24. How illiteracy is impeding Pakistan's fight against COVID-19

History is replete with stories of pandemics breaking out and plaguing humanity. Who hasn’t heard about The Black Death? Which had wiped out over a half of Europe’s population in 14^th century. More dangerous was the Spanish Flu of 1918, rough estimates suggest around 500 million fell victim to the flu and one-fifth of them actually died. Similarly, Ebola ravaged West Africa between 2014 and 2016, claiming 11325 lives. Here again humanity is facing a new pandemic: Covid-19. To date, total number of infections have crossed the mark of 3 million. Total number of deaths has reached 200,000, a staggering number. Nobody knows the end of this ongoing battle between humans and the Covid-19. Pakistan is also bearing the brunt of this pandemic. As many as 14680 cases of infections have already been reported in different parts of the country. Around 322 people have died. The frightening part is it hasn’t peaked yet. Following is breakdown of deaths in provinces and federal territories.

Sindh: 92 Punjab: 84 Khyber Pakhtunkhwa: 104 Balochistan: 14 Islamabad: 4 Gilgit Baltistan: 3 Azad Jammu and Kashmir: 0

Future projections

The question arises does Pakistan have the necessary resources and capabilities to fight the challenge? The answer is NO. There are three major obstacles in Pakistan’s fight against the virus:

•    The People with mediocre brains at the helm
•   Inadequate administrative structure/infrastructure
•   .Widespread illiteracy in the country

Obstacle 1: Incompetent People

What generally happens in political cultures of countries is when a nation is faced with some formidable challenge from outside, its people especially those in power band together to forge a collective response. It not only helps overcome the challenge but also fosters an understanding that national interest triumphs over all other petty considerations and squabbles. However, the Pakistani political culture displays an opposite picture. Mutual tolerance and accommodation are two words unknown in Pakistan’s political realm. Instead of uniting together in the wake of COVID-19 episode, each political party is trying to score political points. The ruling party has failed miserably in this regard. It is responsibility of a federal government to take all the federating units on board and work out a common strategy to effectively deal with a crisis. The government in power has refused the talk to the “venal and corrupt” opposition and made every attempt to marginalize Sindh, where the PPP is ruling. As a result, one sees isolated policy measures in different parts of the country. Deep political polarization has really impeded Pakistan’s fight against the challenge. Besides, the government had shown indecisiveness when it delayed its decision to enforce lockdown.

Parliament of Pakistan

Obstacle 2: Inadequate administrative structure/infrastructure

Pakistan spends less than 2% of its GDP on the health Sector. There is dearth of hospitals, doctors, medical equipment and expertise and research culture. Hardly any day passes without strikes from medical workers. It really paints a bleak picture. The COVID-19 has overpowered one of the best health-care systems around the world, what can one expect from a resource-deficient health sector of Pakistan? There was a lack of testing kits, protective dresses for medical workers and other facilities at hospitals. As a result, the country could conduct a fewer tests, which implied there would be lesser detections. One can understand why we have just 14000 cases as yet. It reflects how ill-prepared we are against a sudden epidemic/pandemic.

Outdated health sector

Obstacle 3: Illiteracy is the main culprit

No other social evil has hampered our fight against this pandemic more than illiteracy. As per recent reports, the literacy of Pakistan stands at 60%. Many in Pakistan believe the COVID-19 is a hoax created by the nexus of US-Israel to wipe out Islam from the face of earth. The government has a daunting challenge before them in the form of illiterate masses. How it impedes our war against 

Corona:

a.     Corona is a hoax

A significant portion of the population believe that the COVID-19 is a hallucination. For them, the incumbent government is spreading lies and fake news only to secure loans from western countries. People don’t really trust their government. As the government could not deliver on its promises, it is trying to divert people’s attention from its incompetence and inaptitude. By spreading the Corona fear, it will advance a theory at the end that it has failed to deliver the goods owing to the chaos caused by the pandemic. Those illiterate people can’t discern a simple fact that the lockdown is driving millions out of job market. Sooner or later, these people are going to get disillusioned and will place the onus for their miseries on the government. The anger runs the risk of voting the government out of power.

b.       COVID-19 can’t infect us in mosques

Many in Pakistan have a firm conviction that COVID-19 is a manifestation of God’s wrath upon humans. People have ceased to follow the commands and teachings of God. Alcohol, prostitution, gambling, deceptions and many other evils are conspicuous across the world. People don’t believe in the existence of God. By sending COVID-19, God wants us to turn to him. Therefore, the religious sections have defied all the restrictions imposed by the government and continued organizing religious congregations across country. According to recent surveys, 70% cases of infections have local origins. As the holy month of Ramadan has begun, one can see packed mosques.

People praying in a mosque in Pakistan

c.       Israel wants to damage Islam through COVID-19

A considerable chunk of people believe that COVID-19 is nothing but a planned move by Israel to wipe out Islam. They refer to the recent decision by the Saudi Arabian authorities to suspend this year’s Umrah and the call to review whether to organize HAJJ congregation or not. Moreover, Jews want to weaken the spirits of Muslims by cutting them from mosques and their brethren. Therefore, instead of observing precautions, people make every attempt to congregate in order to spoil the Jewish plan.

Saudi Arabia Vs Iran

d.       The Theory of Predestination

Similarly, some sections believe death cannot be delayed or averted. The COVID-19 cannot kill us if God doesn’t want us to die. It eliminates all the fears of death from the virus and people roam around freely. We will die when our time comes. As a result, the Government’s lockdown has remained ineffective.

e.       Those in oblivion

A large number of people in Pakistan are poor, illiterate and confined to certain areas for all of their lives. They don’t go outside their villages, don’t have televisions to keep them updated and are not connected to the cyber-world, thus have no truck with what is happening around them. They see the world through a different lens. They have nothing to do with the business of state. For these kind of people, COVID-19 is nothing more than a joke. You can’t explain to them the ideas of social distancing, washing hands, shaking or not shaking hands and sanitizers. All these concepts are foreign to them.

Therefore, illiteracy has become a major obstacle in Pakistan’s fight against the virus. The state is clueless on how to tell its people that COVID-19 is a reality. It infects and spreads. People are dying of it. It has ravaged Europe and the United States. Thus, it is imperative that the people at the helm of affairs leave no stone unturned in providing education to its people in the Post-Corona world.

22.Palestine issue: origin, evolution and Current scenario

                                     ‘World’s most intractable conflict’ 

 1. Origins

⦁ Antisemitism movement had unfolded in Europe in the second half of 19th century and Jews became detestable people for Europeans. In 1881, a series of pogrom swept through Southern Russia, sparking a wave of emigration mainly to America ( settler colonialism—Noam Chomsky).
⦁First immigration wave (1881-1903, named Aliyah)-after Leo Pinsker published Auto-Emancipation 1882, thousands of Jews migrated to other countries. A few hundreds had settled in Palestine too.
⦁It was Theodor Herzl wrote a book Der Judenstaat (the Jewish state) in 1896 when he called for a Jewish state for Jews as the only solution to put an end to their atrocities. In 1897, he convened a meeting of Jews. Jews from all over the world were invited to deliberate on the future of Jewish community. An organization named world Zionist organization was established. And Palestine was chosen as the place for Jews because of the birth of Judaism at the place.
⦁Second wave of immigration 1904-1914: Similarly, again, scores of Jews headed for Palestine during the mentioned period of time. They were clever enough to purchase vast swathes of land in Palestine without showing any clear signs of permanent settlement. Arabs were unmindful of the deep-rooted Jewish aspirations. 
⦁During the World War 1 (1914-18), in order to secure support of Arabs against the Triple Alliance (Germany, Italy, Austria-Hungary, later Ottoman Empire) , British had assured Arabs through Hussein-McMahnon accord ( 24 Oct, 1915) that a country would be carved out for them. And on November 2, 1917 through Balfour declaration, Jews were given the same assurity.
⦁Deceiving the both; Britain and France decided to share the territories in the Middle East through Sykes-Picot agreement in 1916. The territory comprising Israel and Palestine,came under British control.
⦁From 1917 to 1947, many rifts and clashes were witnessed between Arabs and Jews.  Multiple  acts of violence were committed  by both Arabs (1936, 1939) and Jews (1929, 1944). Hundreds of people had perished in the bout of violence. Various commissions were formed to probe the conflicts and recommend strategies to bridge differences between the two adversaries. After a thorough assessment, Peel commission(1937) recommended partition of the land between Arabs and Jews.
⦁As the oppression on Jews increased in the wake of World War 2, migrations to Palestine also had skyrocketed to 554,000 including 115,000 illegal immigrants. Holocaust (brutal massacre of Jews by Hitler) had turned out to be a watershed moment for the establishment of a Jewish state. As many as 6 million Jews were killed by German forces. Now the whole world except Arabs had endorsed the idea of a separate Jewish State for the embattled Jews.
⦁On 14 Feb 1947, sensing ominous violence, Britain had referred  the case of Palestine to the newly established United Nations. In May 1947 UN special commission on Palestine was set up to investigate the root cause of chaos.The commission recommended partition of the land between Palestinians and Jews. Arabs categorically rejected the idea. According to the UN commission report,  the Palestinian State would consist of Gaza, Galilee in North, Nebulous, Hebron and Beersheba, while the Jewish state would consist of Tel Aviv, Haifa, Negev in South and  Jezreel and Huleh valleys. The irony of the plan was that either side was trapped in other’s territory.

UN Partition Plan 1947

                                         

2. Evolution (Wars and Ceasefires)

⦁On 14 May, 1948 the British mandate came to an end and the state of Israel was proclaimed by Jews on the territories allocated to it by the UN. On 15 May, the armies of Egypt, Jordan, Syria , Lebanon and Iraq attacked the new Jewish state.
⦁On 11 June , 1948 the UN-decreed ceasefire signed. After this Israel imported heavy artillery and weapons and reclaimed the areas that Arab had annexed in the beginning. Israel territory increased by 21%.  As many as  800,000 Palestinians were forced to flee their homes and became refugees. A UN resolution 194 in December, 1948 called for "refugees’ repatriation."
⦁In 1967, Israel launched a preemptive strike against Egypt, Syria, and Jordan and at the end of this Six-Day War. It was an important conflict because it left Israel in control of West Bank and Gaza strip and its territory increased by 200%. Israel captured:                                                                               
                               A) West Bank and East Jerusalem from Jordan.
                               B) Sinai Peninsula and Gaza Strip from Egypt.
                               C) Golan heights from Syria.
  Again the occupation was declared illegal by the UN resolution 242 (Nov 1967).
⦁In the light of Israel’s reluctance to return the captured territories, another Arab-Israeli war erupted in 1973 (Yom Kippur war) in which Israel suffered some setbacks. On 6 Oct, 1973 attack by Syria and Egypt on Israel left it helpless.UN resolution 338 on Oct 22, 1973 called for Ceasefire.

Expansion of Israel since 1947

           
⦁First Intifida: during 1980s,  increasing Israeli settlements in West Bank and Gaza Strip infuriated local Palestinians. The latter started agitation against Israel in 1987, which was later called First Intifida. A series of riots and protests followed the initial wave agitation.
⦁Second Intifada 2001-05: Following the failure of Arab Summit 2001, the Second wave of Intifida began against Israel. A prolonged period of violence characterized the relationships between Palestinians and Israelis.
⦁Since the elevation of Hamas to power in Gaza strip, the hostilities further sharpened and violence had increased to a great extent. As of now, Hamas' influence has dwindled and it is unable to offer any significant resistance to Israeli forces. Last year, it had buried the hatchet with Fatah and handed over control of Gaza Strip to it for better governance of the area.
⦁Jerusalem as Israel's capital and violence (2017): American President, Donald Trump, had recognized Jerusalem as Israel's capital on December 6, 2017.  The decision triggered violence and protests in Palestine. Till now, hundreds of Palestinians have been killed by Israeli forces and many other have sustained injuries in clamp down by Israeli forces against protests.

3. Peace Initiatives 

⦁Camp David Accord: an agreement was signed then Egyptian president Anwar Sadat and Israeli Prime Minister Menachem Begin on 17 Sep, 1978. It was agreed that formal proceeding would begin on how to establish Palestinian government in West Bank and Gaza Strip. American president, Jimmy Carter had brokered this peace accord. This accord became the basis for the direct Egypt-Israel peace treaty in 1979 in which Israel agreed to withdraw from Sinai Peninsula.
⦁The Oslo Agreement ( 13 Sep, 1993) enshrined that Israeli troops would withdraw in stages from the West Bank and Gaza, that a “Palestinian Interim Self-Governing Authority” would be set up for a five-year transitional period, leading to a permanent settlement based on resolutions 242 and 338.
⦁Camp David Summit (July 2000): Palestine wanted reversion to the lines of 1967 and recognition of rights of refugees to return to their lands. Israel offered Gaza and large parts of West Bank and Muslim guardianship of holy sites in Jerusalem but the underlying differences could not be bridged and the Summit ended in failure.
⦁Arab Peace Initiative(Beirut Summit, March 2002): Saudi Arabia presided over the congregation and asked Israel to withdraw to Pre-1967 lines. A Palestine state would be set up in GAZA and West Bank and a just solution be suggested for refugees' return. And in exchange for that,  Arab would recognize Israel. This was reinforced in Arab summit in 2007
⦁Road Map 2003–is a plan drawn up by the “Quartet” – the United States, Russia, the European Union and the United Nations. A consensus was reached that the two sides would embark on journey towards a wide range of confidence-building measures. Once confidence is built, the plans for partition would be implemented.
⦁Annapolis 2007: US President George W Bush hosted a conference at the US Naval Academy at Annapolis, Maryland aimed at relaunching the peace process. Israeli Prime Minister Ehud Olmert and Palestinian Authority President Mahmoud Abbas participated in talks along with officials from the peace-making Quartet and more than a dozen Arab countries, including Saudi Arabia and Syria.But Hamas,  which had won the election and took control over Gaza, refused to recognize any development.
⦁Washington 2010: US president Barack Obama tried to bring about reconciliation between Mahmud and Netanyahu. The talks, also attended by President Hosni Mubarak of Egypt and King Abdullah of Jordan, began in Washington on  September 2,  2010. Expectations were low and deadlock was reached within weeks. Another effort ended in failure.
Four Thorny issues hampering progress towards peace
⦁Status of Jerusalem:  Jerusalem is a place sacred for Muslims, Jews and Christians due to the presence of their respective holy sites. Israel regards entire Jerusalem as its capital, while Palestinians consider West Jerusalem as the capital for future Palestine state. Both sides have shown little flexibility on this issue. By recognizing Jerusalem as Israel's capital, US president Donald Trump added fuel to fire. However, the fate of Jerusalem is still hanging in imbalance under UN resolutions.
⦁Refugees return: Israelis claim the refugees left Palestine on their own so they it’s not their responsibility to rehabilitate them. While Arabs claim the hapless Palestinian were expelled or at least forced to flee their homes. While UN resolution 194 in Dec 1948 called for refugees’ repatriation, Israel has refused to budge.

⦁Israeli settlements in WB: The question of Jewish settlement in Golan Heights, West Bank and East Jerusalem is still unresolved.  UN resolution 2334, Dec 23, 2016, condemned and asked for a halt on further settlement.  The resolution has failed to deter Israel.

               

settlements in WB

⦁ Two states based on Pre-1967 border: Despite the UN resolution 242, Israel has repeatedly rejected the idea of returning to Pre-1967 borders. The obdurate attitude  of Israelis stalled the implementation of TWO-STATE solution. 

4. Solution 

Noam Chomsky unequivocally  endorsed the two-state solution based on Pre-1967 borders in his book ‘On Palestine’. Besides, a plethora of UN resolutions (242, 397 and many more) stressed the need for the same.  In June 2002, US president George W Bush also extended his support for a two-state solution. Similarly, Barack Obama said in 2007: "The borders of Israel and Palestine should be based on the 1967 lines with mutually agreed swaps." All in all, the entire world has a consensus on the point that the only viable solution to the problem is creation of two states based on Pre-1967 borders. Israel has to shun it obduracy for a lasting peace in the region and beyond. And on its part, Hamas should not resort to spreading violence to achieve its objective of an independent Palestinian state. Instead, it has adopt a peaceful strategy to win international support for the cause. Based on Pre-1967 borders, the two states would look like

as proposed by President Obama

20. China's Belt and Road Initiative and controversies associated with it

What is this project about? 
Belt and Road Initiative (BRI) is a multi-billion project initiated by China to link Asia with Africa and Europe via land and maritime linkages along six corridors with the objective of improving regional integration,coordination, boosting trade and stimulating economic growth. Many eminent thinkers have declared it "The Project of the Century".
Where are those six corridors? (1)
  1) linking China to Europe through Central Asia and Russia; (China-Mongolia-Russia Economic Corridor (CMREC))
  2) Connecting China with the Middle East through Central Asia (China-Central and West Asia Economic Corridor (CCWAEC))
  3) China-Pakistan Economic Corridor
  4) China-Indo-China Peninsula Economic Corridor
  5)  New Eurasian Land Bridge (NELB)
  6) Bangladesh-China-India-Myanmar Economic Corridor

Six corridors

Total outlay 
According to the Chinese president, China is planning to invest around $1 trillion, mainly aimed at building infrastructure in more than 65 countries. The infrastructure includes ports, railway tracks, road networks, industrial zones, energy-related projects and telecommunication networks. According to a Chinese website, around $220 billion has already been invested in various countries including Pakistan, Malaysia, Vietnam and Central Asian states.
Purpose of the project (as explained in the official Chinese documents) (2)
⦁Policy Coordination:  The countries involved in the multi-billion project will get a chance to harmonize their policies in line with emerging needs. Better coordination implies better prospects for cooperation in areas ranging from trade, to exchange of information, to technology transfer and people-to-people exchanges. Moreover, the states will be to jointly frame strategies against mutual threats such as terrorism, cyber-security threats, global warming and nuclear proliferation.
⦁Infrastructure Connectivity: To materialize the idea of policy coordination, the countries will be linked through physical infrastructure such as roads, railways and maritime routes. Physical connectivity will facilitate speedy exchange of products, ideas and services.
⦁Unimpeded Trade: Mutual trade is pivotal to sustained economic growth. Countries want to bolster trade with one another but infrastructure bottlenecks keep them from realizing full trade potential. Therefore, removing hurdles in the way of mutual trade is the cornerstone of BRI. The more the trade, the faster the economic growth. As a matter of fact,  with economic growth, poverty can be alleviated.
⦁Financial Integration: Another object is to integrate financial system of the member countries to reduce troubles caused by disparate currencies in the world. Financial management becomes easy when uniform currency is used for trade and other exchanges.
⦁Connecting people: As has already been mentioned , people-to-people exchanges will increase with the increased physical linkages among countries. Sharing of ideas among people of different background is considered good for social, political and economic areas. Moreover, people will get a chance to understand their fellow human beings.
How many countries are part of BRI? 
Until 2018, more than 70 countries including many European countries have agreed to become part of the mega project. According to an estimate, 65% of the total population of the world have become part of the Chinese initiative.
What does 'Belt' and 'Road' actually mean? 
The BRI comprises a Silk Road Economic Belt – a trans-continental passage that links China with south east Asia, south Asia, Central Asia, Russia and Europe by land – and a 21st century Maritime Silk Road, a sea route connecting China’s coastal regions with south east and south Asia, the South Pacific, the Middle East and Eastern Africa, all the way to Europe. So basically 'Belt' is a maritime route to link China with the rest of the world and the 'Road' is land route that is going to connect China with other regions.
Who initiated it? 
The pioneer of this project is incumbent Chinese president Xi Jinping who floated the idea of BRI in 2013. He was inspired by the Old Silk Route that had connected China with the Mediterranean Sea through Eurasian Belt some 2000 years ago during the rule of Han Dynasty. 
Critics of BRI:
While BRI was welcomed in greater part of the world, a few countries openly expressed their hostility towards the project.  Among the critics (3) are US, Japan, India and Australia. These countries have declared the project as "Chinese Marshall Plan" to expand and deepen its influence across the world. They contend that the countries like Pakistan, Sri Lanka, Djibouti and Malaysia have fallen into Chinese "Debt trap" and are unable to pay interests on loans. The quote Sri Lanka's example which had to hand over control of a port to China after it had failed to pay back Chinese loans. Another point the critics make is that China is planning to expand its military presence across the world to assert itself as a super power. To substantiate the argument, they quote the example of a Chinese base in Djibouti.
Is the criticism justified?
Critics overlook the positive side of initiative. Belt and Road Initiative is actually a blessing for many developing countries which were looking for foreign investments to build infrastructure and stimulate economic growth and alleviate poverty. For example, China invested more than $50 billion in Pakistan under the BRI commitments. Pakistan had been facing energy crisis for many years and was unable to resolve it.  However, with the help of Chinese investments under BRI, it has built many power plants and overcome the crisis. Similarly, many roads networks, linking underdeveloped regions with developed areas, have been built with the Chinese investments. Besides, the Chinese financed Industrial zones will create jobs and accelerate economic growth. And the present Pakistani debt troubles have nothing to do with China-Pakistan Economic Corridor as Chinese repayments will start from 2023-24. And China never interferes in internal matters of Pakistan. The same approach is adopted by China for other countries as well. Therefore, the criticism seems baseless and unfounded.
Why it is important and should not be hampered? 
As  The UN Department of Economic and Social Affairs (DESA) Development Policy and Analysis Division Director noted that “there are myriad synergies and linkages between the BRI and the sustainable development goals (SDGs)”.
⦁According to a UN report, nearly 820 million people go to bed empty stomach. These people do not belong to US, Australia or Japan. In fact, they are living in developing countries which are part of this project. Chinese investments are creating job opportunities, stimulating economic growth, therefore, alleviating poverty in developing countries. So it is imperative that the critics stop propaganda against the great Chinese initiative help other countries
⦁We are living in a globalized world. As a matter of fact, every country is benefiting from the inter-connected world. Thus BRI is a practical manifestation of globalization and enhanced inter-connectivity. It will expedite flow of ideas, goods and services among member countries.
⦁To deal with major threats such as terrorism, global warming and cyber-attacks, coordination and cooperation among countries is a must. BRI will boost synergy and coordination.
⦁As sustainable goal No. 8 pledges to build infrastructure and foster innovation in developing countries, China is lending helping hand to the underdeveloped countries in this regard and delivering on a UN goal.

Sources: 
1. World Bank (https://www.worldbank.org/en/topic/regional-integration/brief/belt-and-road-initiative)
2. China Trade Research Centre Hong Kong Trade Development Council (HKTDC) (http://china-trade-research.hktdc.com/business-news/article/The-Belt-and-Road-Initiative/The-Belt-and-Road-Initiative/obor/en/1/1X000000/1X0A36B7.htm)
3. China Go Abroad (http://www.chinagoabroad.com/en/article/china-to-advance-six-economic-corridors-in-support-of-the-one-belt-one-road-initiative)

                                                             ---End---

19.Fundamental problems in the economy of Pakistan

Economy of Pakistan is unstable at best at the moment. Current account deficit had widened to staggering $18 billion (5.7% of GDP) at the end of FY 2017-18.  It  was largely due to soaring imports level and shrinking exports. Similarly, Country's fiscal deficit hit a five-year high or 6.6 percent of the Gross Domestic Product (GDP) as it was Rs 2,260 billion in absolute terms for the recently-concluded fiscal year of 2017-18 against the targeted 4.1 percent in the budget. Federal Board of Revenue collected revenue of 5228 billion. And total state expenditures stood at whooping $7488 billion.  The biggest challenge to the country is the surging external debt which is about to cross the $100 billion mark in a few months.

Annual economic
growth

It was more like a bolt from the blue for the citizens who were being assured by the previous government that the economy had been put on the path of a sustained growth and it had acquired the foundation to withstand any abrupt shock. To back their claims, they were pointing to the fact that the economy of Pakistan grew at the rate of more than 5% for two consecutive years. And projected growth rate for FY 2017-18 was also 5.5%.  However, every tall claim proved to be a fiction. The incumbent government in Pakistan told the people that they needed a collective sum of $12 billion to stave off an impending economic disaster. In this regard, first, they had decided to approach the International Monetary Fund for loans to breathe life into the crippled economy. Going to the IMF for loans entails certain risks:  give the United States an opportunity to intimidate Pakistan and bear the brunt of a set of stern conditions by the IMF which implies deviation from locally-devised economic reform agenda. 

 The question arises here;

 Why the economy always plunges into perennial cycle of instability and volatility after posting a decent growth for a brief period of time? 
Lets go back to the period when Pakistan came into being to find answer to the above question. Pakistan, as a state, inherited a plethora of problems right after the partition. The problems included administrative hiccups, financial crunch, rehabilitation of migrants and dearth of officers to run affairs of the state. To meet financial challenges, the then leaders felt compelled to seek foreign assistance. Of course, the United States was 'graced' with the opportunity to help Pakistan in the hour of need. Thus an example was set for future rulers. Later, security pacts with the United States further enhanced Pakistan's reliance on the former for financial needs for a long period of time. Economy posted higher growth rates on account of massive foreign aid. All the while, successive governments failed to put in place a robust economic system. Our tax-collection regime remained an under-performer. No one really had given attention to building human capital, which is tool to bolster economic performance in modern times. Industry in the country remained below par ,thus failed to keep pace with competitors in the region. Political instability has been a constant feature of Pakistan for the last seventy years. As a matter of fact, a strong political government is required to undertake sweeping reforms in various sectors.
 All in all, successive rulers failed to work out a framework to generate enough revenue from local resources to meet a variety of financial needs. They simply became accustomed to meeting financial needs through foreign loans. Whenever foreign assistance was withdrawn for one reason or other, economy plunged into the recurrent cycle of instability. To put it back on the path of stability, rulers had to seek more loans. That is where the IMF repeatedly came into play. That's how the things worked until now. So following fundamental issues needs to be ameliorated to stabilize our economy for good.

Fundamental problems in Pakistan's economic structure 

1.  Political instability:  As has already been said, Pakistan has never been politically stable. Although, politics is a separate domain but it is an undeniable fact that both the fields impact each other a lot. A stable and strong government is indispensable for long term economic policies. In Pakistan, a civilian government is always uncertain about its fate. Therefore, it tends to seek short-term solutions for economic problems that require long-term solution. For example, to build human capital, a government is expected to initiate the process at grass-root level by providing quality education to kids and sustain that quality education till graduate level for the kids. Such an effort requires a long-term planning, while governments last only for five years, if not  two or three; and even during their short stint at the helm power, undemocratic forces continue to threaten them. With the linger sword of Damocles, governments fail to undertake requisite economic reforms.  Moreover, other countries do not invest in a country which is politically weak and fragile. In recent times, our Stock Market plunged from 54,000 index points to 38,000 index points owing to the political instability.
2.  Low tax-to-GDP ratio:  Last year, our fiscal deficit stood at around 6% against the set target of 4.1%. This happens when a state fails to generate enough revenue through tax collection, while it has spend more than the revenue it collected to finance various developments projects. Our tax-to-GDP ratio is 10%, which is one of the lowest in the world. India's tax-to-GDP ratio is 21% and China's tax-to-GDP ratio stands at 20%. Only 1.3 million people file tax returns with the FBR. Paltry  tax collection restricts options for a government in power. It cannot finance projects which are necessary for sustained economic growth. Moreover,  the government fail to continue many development projects, which generally help poor masses. On the whole, such a situation leaves bad impact on economy. To keeps things over the line, the government resorts to seeking loans.
3.Wide gap between imports and exports:  It has been a perennial issue in Pakistan that its exports fail to keep pace with its imports. Last year, our total exports were worth $20 billion and imports stood at staggering $50 billion, which paints a clear picture of why our current account deficit widens so quickly. Although, the previous government had imposed duties on the imports of luxury items, it failed to arrest the surge. There are multiple reasons behind the lackluster performance of our export sector. These range from inefficient human capital to infrastructure bottlenecks, to exporters facing financial crunch, to lack of technology and high cost of doing business in the country. All these imperfections and lacunae create hurdles for exporters, who have to compete with efficient competitors in the region.
4. Inefficient human capital:  human capital consists of set of resources which define individuals’ overall ability and includes skills, education, training, health and other talents. Pakistan was ranked 124 out 140 countries by the World Bank as far as its human capital is concerned. Human capital proves instrumental in economic growth. Developed countries often thrives exponentially based on the efficiency and overall skill-set of their human capital. Pakistan spends less than 3% of its GDP on education against the demand of 4% as recommended by Alif Alaan. To make the picture more clear, it is unfortunate that we have a literacy rate of 58% , which is a national disgrace. In contemporary era, handling economy requires in-depth knowledge of internal and external markets, various sectors and alpha and omega of international financial institutions. Pakistan ranks 128 out of the 140 countries ranked by the World Economic Forum in 2015-16 in the Global Competitiveness Index.
5. Highly dysfunctional mega public corporations: Mega corporations like Pakistan International Airlines (PIA) and Pakistan Steel Mills  (PSM) cause accumulated losses of billions of rupees to the state on annual basis. According to a report by the IMF, accumulated losses of public corporations including PIA, power sector and PSM have stood at 1.6 trillion or 4.7% of the GDP. Corruption, maladministration and nepotism are the primary causes behind the poor performance of these corporations. The state has to bear the expenses.
6. Low Foreign Direct Investment Ratio:  Pakistan attracts a small amount of foreign investment. According to the Survey of Pakistan report, Pakistan attracted FDI of $2.76 billion in fY2017-18. Of the total outlay, $1.58 billion was the Chinese investment under China-Pakistan Economic corridor. Pakistan was ranked 147 out of 190 countries in ease of doing business index, that explains why we have failed to entice foreign investors to invest in Pakistan. Other factors that contribute to the regressive trend of low investment are political instability, poor law and order situation, extremism and terrorism.
7.  Money Laundering: according to International Narcotics control strategy report (2017), Pakistan incur losses of $10 billion annually due to money laundering. People earn money from local resources in Pakistan and stash that money in foreign bank accounts. It is detrimental for the economy of Pakistan in two ways: first, a sum of money which should be invested in Pakistan has been siphoned off; second, those funneling money abroad evade tax. A fragile economy like ours cannot afford an annual flight of $10 billion to foreign countries.

Unless these fundamental challenges to our economy are addressed, the economy will continue to plunge into the vicious cycle of instability. A politically strong government is needed to effectively attend to all these daunting tasks. A robust tax-collection mechanism needs to be put in place to strengthen financial position of governments.  It is the need of the hours that our governments learn the importance of humans and begin investing in them for multi-fold benefits. Similarly, law and order situation should be improved on priority basis to win the trust of foreign investors. Any initiative to curtail money laundering will involve other countries. So it is imperative that we sign agreements with them to bring our money back.Ostensibly, incumbent government of Imran Khan is taking a right set of measures to plug loopholes in our economic  system. It remains to be seen how he turns the tables on various fronts.

18. Kashmir Issue and its adverse effects on South Asia

                                            ‘The oldest dispute on UN agenda’

Introduction:

Since the partition in 1947, Kashmir has been a bone of contention between Pakistan and India. They have fought three wars (1948, 1965, 1999) so far over the disputed territory. The issue was referred to the United Nations in Jan, 1948 and both countries had agreed to accept the solution proposed by the United Nations.  After prolonged deliberations, it was decided by the UN (Resolution 47, 13 August, 1948) that a "free and fair" plebiscite would be conducted to determine the will of people---whether to accede to India or Pakistan. Then Indian Prime minister Jawaharlal Nehru pledged to abide by the UN ruling and take immediate measures to conduct a "free and fair"  plebiscite. However, as  Arundhati Roy in her book ‘Kashmir: the case for freedom’ articulated that "Pundit Nehru who referred the case to UN and accepted it as a mediator; later backtracked from his pledge of plebiscite on absurd pretext that Pakistan had joined the defense pacts which alters the political reality of this region". Till date, the issue is unresolved. As a matter of fact, both India and Pakistan are nuclear powers. There is always a  looming threat of a nuclear war between the two countries. Therefore, it is imperative that international and regional stakeholders make endeavors to find an amicable solution to the dispute to make South Asia peaceful and prosperous.

Brief History:

⦁Kashmir remained an independent state until 19th century. 

⦁British occupied it in 1846 and  soon after sold it to Gulab Singh for 7.5 million under treaty of Amritsar. It remained under Dogra Rule till 1947. Hari Singh was the last ruler (1925-49) of Kashmir.

⦁When Britain, in 1947,  had decided to divide the Subcontinent into two independent states--India and Pakistan,  the Independent states ( 562 at that time) were given freedom to choose between India and Pakistan. Before making a final decision, the states had to take into account the composition of population, geographical proximity and the will of people. 

⦁At the time of partition, around 80% inhabitants of Kashmir were Muslims and less than 20% were Hindus. And geographically, Kashmir was linked to Pakistan. As per the rule applied to the accession of Hyderabad and Junagadh (became part of India), where Hindu population was in majority but rulers of the states were Muslims; Kashmir should have become part of Pakistan on account of geographical proximity and Muslim majority, but that did not happen.

⦁People of Kashmir wanted to accede to Pakistan but MahaRaja Hari Singh wanted an Independent state of Kashmir. He neither wanted to accede to Pakistan nor India. People started agitation to force him to accede to Pakistan. He employed coercive means to put down the uprising. But he failed to bring situation under control.  

⦁Interestingly, many people in Kashmir had their relatives residing in the then North West Frontier Province (NWFP), Pakistan. When they (people of NWFP) saw their relatives being tortured in Kashmir, they decided to put an end to their predicament by invading Kashmir.

⦁Pakhtoon tribesmen from Pakistan under Khurshid Anwar attacked Kashmir on October 22, 1947. Meanwhile, Hari Singh turned to India for military assistance in order to restore peace in the region. 

⦁The Indian authorities had put an immense pressure on Hari Singh to accede to India but he refused to do so. However, on October 26, 1947, the then Indian government claimed that the ruler of Kashmir had signed the document to accede to India. 

⦁Soon afterwards, Indian troops were airlifted to Kashmir and much of region was occupied by them. Witnessing such a brazen act of aggression, Pakistan had also dispatched a small number of troops to Kashmir to halt the Indian offensive. Hostilities continued till January 1948 (the case was referred to the UN). Until the UN intervention in 1948, India had occupied 64% of the total area and Pakistan had seized the remaining territory. 

⦁A ceasefire was signed on January 1, 1949. And Kashmir was formally integrated in  India in 1957.The Article 370 of the Indian constitution ensured that No Indian could purchase property in Kashmir.

⦁The people of Kashmir never accepted the Indian rule and waged limited insurgency against it. The pro-Independence movement in Kashmir gained momentum in 1989 after the government of Indira Ghandi failed to install a puppet government in Kashmir. According to different reports, over the period between 1989 and 2010,  more than 100,000 Kashmiris were killed by the Indian forces. 

⦁As of now, the killing of freedom fighter, Burhan Wani, in May 2016, had triggered a wave of protests in Kashmir, which is still underway. Hundreds of people have been killed and scores of people have been blinded.  According to  reports by various Human rights organizations, more than 400 people have been partially or fully blinded. And thousands have been injured. In addition to that more than 100 have been killed. From 1989-2010, more than 100, 000 have been killed. The UN Human Rights Council had raised concerns about the flagrant human rights violations in India and asked the Indian authorities to facilitate an international probe into the grave situation. But the request has been turned down.

⦁Indian government had recently appointed former Intelligence Bureau chief Dineshwar Sharma as interlocutor take every stake-holder on board in Kashmir. ‘All party hurriyat conference’  turned down the offer of talks on the pretext that Pakistan must be included in the negotiations as a party. Hence, again hopes for any breakthrough dashed after a short-while. 

United Nations and Kashmir Issue

⦁India referred the case to UN on Jan 1, 1948,  thus it accepted UN as mediator.

⦁Resolutions 38 , 39  on January 17, 20, 1948  respectively has set up a commission and directed the then governments of India and Pakistan to create  conducive environment i.e. troops removal etc. for the plebiscite.

⦁UN resolution 47 ( 13 August, 1948) reads  

"Noting with satisfaction both India and Pakistan desire the question of accession of Jammu and Kashmir to India or Pakistan should be decided through a democratic method of free and impartial plebiscite"

⦁UN resolution 51 (3, Jun 1948)---Urged the Commission to expedite the process.

⦁Subsequent resolutions 80 (1950), 91 (1951), 96 (1951), 98 (1952), 122 (1957), 123 (1957), 126 (1957) reinforced the previous resolutions that asked for plebiscite.

⦁On Jan 1, 1949, the  UN facilitated the ceasefire along LOC (1972)

⦁Since then, the UN kept mum on the issue and failed to implement its own resolutions. As of now, it only raises 'concerns' over grave human rights violation in Kashmir.

Why the issue must be resolved?

⦁Nuclear neighbors--- Both India and Pakistan are nuclear powers. A nuclear war has the potential to reduce everything to debris in the region and beyond. Both the countries have already fought four deadly wars. Kashmir is the bone of contention between the two countries, therefore, its redress will be instrumental for regional peace.

⦁Regional cooperation in the light of CPEC, SAARC--- South Asia is among impoverished regions of the world. Part of the reason behind that is there is little cooperation among the South Asian countries on economic, social and cultural fronts as confirms a report by the World Trade Organization by revealing that volume of mutual trade among South Asian countries is only 5%, which is the lowest in the world. South Asian Association for Regional Cooperation (SAARC) has already been rendered dysfunctional due to hostility between India and Pakistan. With China-Pakistan Economic Corridor set to become operational, it is imperative that all the countries in the region benefit from the project, which is aimed at bolstering cooperation among countries.

⦁Cooperation to defeat terrorism---  Every South Asian country has borne the brunt of terrorism. Pakistan and Afghanistan have suffered irreparable damages due to the menace of terrorism. India, Bangladesh and Sri Lanka too have remained vulnerable to terrorism. Peace and serenity, which is vital for progress, evaded South Asia for a longer period of time. Terrorists exploit the lack of coordination and cooperation among the countries. Experts in the region agree that “there is a growing realization throughout the world that trans-border terrorism and organized crime cannot be controlled without bilateral or regional cooperation.” . In 1995,  SAARC had adopted a Regional Convention on the Suppression of Terrorism to boost coordination among countries to defeat terrorism. But strained ties between India and Pakistan over Kashmir Issue thwarted the possibility of cooperation.

⦁Poverty alleviation in the region--- South Asia is the poorest region in the world. Economic cooperation among the South Asian countries is minimal at best.A recent report the World Bank reveals that South Asia houses 30% of the world’s poor.. People lack access to basic amenities of life such as food, shelter and clothing.  Without cooperation, poor of the region cannot be lifted out of poverty. 

%age share of South Asian countries in poverty

⦁Climate change and water issues can be resolved--- The International Panel on Climate Change placed South Asia on the top of  the list of regions vulnerable to the threat posed by Climate Change. "Flooding, food shortages, and stagnating economic growth are just some of the devastating impacts South Asia may experience due to advancing climate change", according to the United Nations. We have recently witnessed deadly floods in India, Nepal, Bangladesh and Sri Lanka and the ensuing colossal damages. Similarly, drought has adversely affected the agriculture sector in Pakistan and caused food shortage in the country. So it is the need of the hour that all the countries in the region work out a joint strategy to weather the storm together.  Another perennial issue that the South Asian region confronted is disputes over water-sharing mechanism. Water-disputes exist among all the South Asian states. The basic reason behind conflicts is that the countries share water of the same sources-- the Indus, the Ganga and Brahamputra-Mehgna. Owing to hostile atmosphere of the region, a regional-solution to the water problems remained elusive.

Positions of World powers on the issue

India declares Kashmir as an integral part. However,  contrary to its wishes, the UN, the US, Russia, UK, France, China, Germany and Canada consider Kashmir a disputed region between India and Pakistan and have repeatedly called for its resolution for the greater good of the region.

Towards Solution:

    Following solution possibilities were discussed from time to time for the resolution of Kashmir issue

⦁  The declaration of Kashmir as a buffer state between India and Pakistan. Independent state would be instrumental in defusing tensions in the region.

⦁  Holding of plebiscite according to the UN resolutions.

⦁   Granting Jammu valley to India and Kashmir to Pakistan to settle differences.

⦁  Withdrawal of all the forces on both sides of the border in Kashmir and place it under UN suzerainty .

⦁  International recognition of Line Control as border between India and Pakistan.

⦁   President Musharraf had gone extra miles in 2006 to find an amicable solution to this lingering problem when he charted out a four-step formula. He compromised Pakistan’s traditional position on the issue.

 a) Gradual demilitarization 

 b)Self-governance for Kashmiris just short of independence 

 c)Free movement for Kashmiris across the border

 d)Joint Mechanism to implement above suggestions 

⦁   Another solution was put forward which asked for creation of independent free economic zone where both India and Pakistan could trade. It also had asked for dignified withdrawal of both armies. 

However, as UN Resolution 1514, 1960 reads-- ‘without dissenting votes, all peoples have the right to self-determination’, the People of Kashmir should be given their fundamental right of self-determination as were given the people of following states 

⦁ New Caledonia was given the choice in November, 2018 referendum: either to remain under French control or become independent

⦁ Similarly a referendum was conducted in Scotland in 2014 to determine whether people want to stay with the United Kingdom or desirous of an  independent state of Scotland.

⦁ South Sudan  became independent in 2011

⦁ Kosovo got independence in 2008 from Serbia

⦁ Democratic Republic of Congo became a separate independent state in  2007

⦁ In 1999, following the United Nations-sponsored act of self-determination, Indonesia relinquished control of the territory. East Timor became the first new sovereign state of the 21st century on 20 May 2002.

⦁ UN secured democratic elections in Haiti ,Cambodia and Salvador in 1990, 1993 and 1994 respectively. 

Why the same "privilege" cannot be granted to the hapless Kashmiris? Both India and Pakistan need to engage in a constructive dialogue to pave ways for a "free and fair"  plebiscite in Kashmir under the aegis of the United Nations to determine the will of people. The region cannot afford any further delay. 

                                                                    ---End---

17. Militarization and Nuclearization of Space

"Space has become the 4th medium in which the military operates in the protection of our national security interests’’. General Howell J. Estes III (ex Commander in Chief of US Space Command). Recently Mike Pence, the US vice president, has announced plans to create a standalone “Space Force” by 2020, becoming the sixth branch of America's military. And president Donald Trump directed the military officials to complete the project of creating a "Space Force" by 2020. Similarly, “We must establish and maintain space superiority. Modern warfare demands it. Our nation expects it. Simply put, it’s the American way of fighting".  General Lance Lord, commander of U.S. Air Force Space Command. And “Space superiority provides freedom to attack as well as freedom from attack.” Counter-space Operations, Air Force Doctrine 2-2.1.
US Space Command’s "Vision 2020" sets out two principles:

⦁Dominating the space dimension of military operations to protect US interests and investment.

⦁Integrating space forces into war-fighting capabilities across the full spectrum of conflict.

To achieve this vision, four steps action plan is

⦁Space is an enabler of military operations. Space based sensors provide information on which forces depend and virtually all other information flows through space.
⦁Commercial space explosion - industry growing at 20% pa, 1000+ satellites to be launched and $500 billion spent world-wide over the next few years.
⦁Space is an emerging area of vital national interest, critical to military and economic instruments of power.
⦁Military must be ready - the nation’s growing dependence on space cannot become a vulnerability - having the ability to deny an enemy’s use of space will grow in importance.

Some programs initiated by US

1. Experimental satellite series 
The Experimental Satellite Series (XSS) is an Air Force research project that seeks to use small satellites to conduct “proximity operations”—maneuvers around other satellites in order to inspect, service, or attack. The Air Force launched the first satellite in the series, the 28-kilogram XSS-10 in January 2003.

2. Kinetic Energy Anti-Satellite (KEASAT) System
 1989 the Army began to develop a direct-ascent, kinetic energy ASAT weapon (KEASAT), which could be launched by rocket booster to destroy a hostile satellite. It was completed in 2000.

3. Counter-Space systems 
Counter-space systems is the principle research and development budget item for systems intended to disrupt enemy satellites. One initiative is the Counter Communications System (CCS), a ground-based, mobile system intended to disrupt satellite-based communications used by an enemy for military purposes. The first CCS system was delivered to the 76th Space Control Squadron this year. It was expected to be deployed in 2007.

4. Space-Based Test Bed
The space-based interceptor test bed is a program to develop and test miniaturized missile defense interceptors based in space. MDA will decide in 2008 whether to build and launch 3-6 satellites for a series of space-based test intercepts, with the first experiments expected in 2010-2011. The defense budget contains $10.6 million to begin this effort.

5.The X-37b
 It is a pilot-less space drone resembling the space shuttle without windows or a cockpit, has already flown multiple missions to space and has space watchers and US adversaries wondering if it could be used as a weapon.
Russia's initiative
⦁ Russia has deployed what could be multiple kamikaze satellites such as "Kosmos 2499" -- designed to sidle up to American satellites and then, if ordered, disable or destroy them. Almaz space station was established in 1960’s.

China's Initiative

⦁China has launched the "Shiyan" -- equipped with a grappling arm that could snatch US satellites right out of orbit. China conducted an anti-satellite test in 2007, which generated a huge cloud of space.

Why US wants to deploy weapons in space? 
It is because it wants to protect its satellites in the space. These satellites are of immense importance for US as US’ economy and military superiority hinges on them. And missile from earth or space can easily target them. But the threats used by US as a rationale to go ahead with their space defense system are exaggerated. Only Soviet Union had developed and tested such weapons in 1980’s but it had placed a moratorium on its program. This was the reason that US had withdrawn from ABM in 2002. U.S. deployment of a Ground-Based Mid-course Missile Defense system represents an intentional first step toward space weaponization. China experts argue that the interceptors of the system based in Alaska and California could be used to attack satellites.

Treaty that prohibited from such adventures
1. Outer space treaty 1967
 It was Opened for signature on 27 January 1967. It entered into force 10 October, 1967.  As many as 89 states have ratified it and 105 states have signed it.
The Outer Space Treaty designates outer space as the province of mankind and prohibits states from placing objects with nuclear weapons or other weapons of mass destruction into orbit. States are also prohibited from installing weapons on celestial bodies and on the Moon. Any other form of military development or activities is also banned, such as military bases and fortifications, weapon testing, and military maneuvers. There are no measures for compliance, but states must inform the UN Secretary-General, the public, and the international scientific community of activities covered in the Treaty.
2. PAROS at CD by China 
As addressed in a Chinese proposal to hold talks on a proposed agreement to prevent an arms race in outer space (PAROS) at the Conference on Disarmament (CD) in 2002, Beijing argues that “outer space is the common heritage of mankind and plays an ever-increasing role in its future development.” However, this initiative did not get positive response from the United States till day.

How 'Weaponization of Space' may destabilize strategic balance between countries? 

As articulated by China in UN CD in 1995. “Will disrupt strategic balance and stability, undermine international and national security and do harm to the existing arms control instruments, in particular those related to nuclear weapons and missiles, thus triggering new arms races.”
⦁One possible response, for example, would be the development of anti-satellite weapons to target space-based weapon systems.
⦁Eventually, China fears that the U.S. space weaponization plan would lead to an arms race in outer space and turn outer space into a battlefield. As china is planning to build as many as 300 ICBM’s to defeat the current US’ defense system of 100-150 interceptors.
⦁Moreover, space weaponization would seriously disrupt the arms control and disarmament process. The initiation of U.S. space-based missile defenses would likely cause Russia as well as the United States (in response to Russia) to make smaller reductions in their nuclear arsenals. China would likely be forced to build more warheads to maintain its nuclear deterrent, which could in turn encourage India and then Pakistan to follow suit.
⦁As Ambassador Hu Xiaodi warned in 2001, “With lethal weapons flying overhead in orbit and disrupting global strategic stability, why should people eliminate [weapons of mass destruction] or missiles on the ground? This cannot but do harm to global peace, security and stability, hence be detrimental to the fundamental interests of all states.”
⦁Moreover, the programs will embolden states to carry out preemptive strikes against their adversaries. So a precursor to a greater escalation.
⦁Nuclear deterrence of countries like china will be rendered ineffective.
⦁A quest to penetrate the defense systems may lead other countries to build more lethal weapons.
⦁Moreover ever increasing debris in space as a result of 50 years space activities may shrink space for civilian programs in space. Because nuclear testing and deploying would leave space with more rubble.
⦁This is the main reason that Countries like US and China have not ratified CTBT.
⦁Moreover vulnerable space weapons may invite aggression from Russia.

Conclusion/ critical analysis:

Given the cheap Counter-measures to space-based defense systems, it is unlikely that US would  deploy expensive weapons in space. So if it really wants to reduce space vulnerability it must seek other ways such as political, legal or other technical tools.  Therefore, vulnerability cannot be eliminated through force. The most easiest and effective way would be a ban on weaponization of space.  China has already embarked upon this campaign in Conference of Disarmament.
China’s working paper on the issue, introduced in June 2002, emphasizes three basic obligations:

⦁Not to place in orbit around the Earth any objects carrying any kinds of weapons, not to install such weapons on celestial bodies, or not to station such weapons in outer space in any other manner.
⦁Not to resort to the threat or use of force against outer space objects.
⦁Not to assist or encourage other states, groups of states, and international organizations to participate in activities prohibited by this treaty.

In order to advance the CD work on the PAROS issue, in August 2004 China alongside Russia prepared two non-papers on the issues of “verification aspects of PAROS” and “existing international legal instruments and the prevention of the weaponization of outer space” and in June 2005 one more non-paper on the issue of “definition issues regarding legal instruments on the prevention of weaponization of outer space.” It is imperative that other countries reciprocate the Chinese efforts in this regard. There is no other way to save this world from destruction. People must force their leaders to shun 'Weaponization of Space' and work towards a 'Weapon-free Space'.

16. Industrialization and emergence of the US as a world power (1870-1916)

Introduction 

After the Civil War (1861-65), American industry had undergone a dramatic shift. Machines replaced  hand labor  as  the  main  means  of  manufacturing, increasing  the production  capacity  of  industry tremendously.  A  new  nationwide  network  of railways  distributed  goods  far  and  wide. Inventors developed new products the public wanted, and businesses made the products in large quantities.  Investors and bankers supplied the huge amounts of money that business leaders needed to expand their operation.

By 1913, the United States produced one-third of the world’s industrial output–more than the total of Great Britain, France, and Germany combined. The living standards and the purchasing power of money increased rapidly, as new technologies played an ever-increasing role in the daily lives of working- and middle-class citizens. Between 1870 and 1920, almost 11 million Americans moved from farm to city, and another 25 million immigrants arrived from overseas. By 1920, for the first time in American history, the census revealed more people lived in cities than on farms. Boom in the mining coal, iron and meat packing, oil, steel and railroad.
The industrial growth centered chiefly on the North. The war-torn South lagged behind the rest of the country economically. The country built up its military strength and became a world power.
The  value  of  goods  produced  by  American  industry  increased  almost  tenfold between 1870  and  1916.  Many interrelated developments contributed to this growth.

 Main factors behind the industrial boom

1. Inventions

Many earth-breaking inventions were made in this epoch of time (1870-1916), which changed the modes and means of production in the United States. Following inventions were made: typewriter (1867), barbed wire (1874), the telephone (1876), the phonograph (early form of record player) (1877), the electric light (1879), the radio in 1895 and the petrol engine car (1885). During 1890s, the phonograph (modern) , motion pictures and electric generator were invented thus contributing to modern household and the discovery of diesel engine was completed in 1897. All these inventions provided a tremendous boost to the industry in the United states.

2. Vast natural resources 

The nation’s abundant water supply helped power the industrial machines. Forests (California and others) provided timber for construction and wooden products. Miners took large quantities of, petroleum, copper, coal and iron ore from the ground. With the annexation of new states and westward expansion, Industrial activity grew at a high pace. Especially the gold discoveries in California attracted a huge foreign investment (1846-1860).

3. Influx of immigrants and Labor supply

More  than  25  million  immigrants  entered  the  United  States  between  1870  and 1916.They belonged to European countries i.e. Germany, the Netherlands, France, Ireland. Immigration plus natural growth caused the U.S. population to more than double during the same period, rising from about 40 million to about 100 million. Interestingly, they were all well educated and had the experience of European industrialization. Abundant labor supply ensured smooth economic growth and kept the competition alive among different corporations. American industrial tycoons harnessed the talent, knowledge and skill of these immigrants to expand and modify industry in the country.

Immigrants standing on a station

4. Distribution and communication

In  the  late  1800’s,  the  American  railway  system  became  a  nationwide transportation network. The total distance of all railway lines in operation in the United  States  soared from about 14,500  kilometers  in  1850  to  almost  320,000 kilometers  in 1900.
A high point in railway development came in 1869, when workers laid tracks that joined the Central Pacific and Union Pacific railways near Ogden, Utah. This event marked the completion of the world’s first transcontinental railway system. The system linked the United States by rail from coast to coast. Mining companies used them to ship raw materials to factories over long distances quickly. Manufacturers distributed their finished products by rail to  points throughout the country. The railways became highly profitable businesses for their owners.

During 1900s

In 1876, Alexander Graham Bell invented the telephone. These developments, along with the telegraph, provided the quick communication that was vital to the smooth operation of big business.

5. Improved enterprise structure

As the railroad was the first big business in America, it introduced a new model for the functioning of an enterprise. American railroads were private rather than public. Huge capital was needed to finance railroads. To deal with such a situation, the businessmen introduced the concept of sale of stocks and bonds to raise funds. They were the first to develop a flow of operating statistics used to control the traffic and also to evaluate the performance of the firm. The production, marketing, purchasing, finance, engineering and research were incorporated in business strategies.
Other two giants were Andrew Carnegie (Steel industry, 1873) and John D. Rockefeller (Standard oil company, 1885). The duo spearheaded the campaign of industrial expansion and transition with a great zeal and prudence.

6. Investment and Banking

The business boom triggered a sharp increase in investments in the stocks and bonds of corporations.  As businesses prospered, people eager to share in the profits invested heavily. Their investments provided capital that companies needed to expand their operations.New banks sprang up throughout the country. Banks helped finance the nation’s economic growth by making loans to businesses.

7. Government policies

Benign government policies also contributed a great part in the robust economic growth. Less tariff, free trade, free lands and also encouraged the people to build more and more lands. Congress had subsidized the construction of rail roads. Congress repealed the wartime income tax law and removed many taxes on coal, iron corporations.

conclusion

Based on the aforementioned factors, the industry in America grew modern and prolific, taking the centre stage across the world thus catapulting the United States to the level of a formidable power.