Middle Class and 2009

Vir Sanghvi, in The dream lives (Counterpoint,Hindustan Times, January 4), is obviously optimistic. He does not see the gloom in the same way as many of us do as the new year begins. We may be wiser with hindsight about what went wrong during 2007, but we still seem to be clueless about the way ahead. We still do not know how to neutralise the terror machine operating from Pakistan and are knocking at the door of the US to bail us out. On the economy, thanks to our healthy habit of saving, there is no shortage of liquidity. But small-scale industries have been inundated by cheap imports from China and have largely taken to trading, resulting in a drop in exports. Sanghvi has been very careful not to suggest remedial measures. An awakened middle class is not enough in itself. The government needs to act responsibly on the economic and security fronts to restore public confidence. Whether it has the courage and foresight to do so ahead of the polls is the million-dollar question.