Inequality, unemployment among youth, inflation of various commodities and household debt are at an all-time high in the country, said political economist Parakala Prabhakar, in Chennai on April 16.
Speaking at a national colloquium on the present political situation titled “The values at stake,” organised by Chennai Thinker’s Forum, Mr. Prabhakar, who is also the author of the book The Crooked Timber of New India, said there is a serious unemployment problem in India, particularly among youngsters in the age group between 20 and 25. “The unemployment rate among them stands at 40%. According to the International Labour Organisation, nearly 60-65% of the unemployed are educated.”
Mr. Prabhakar also quoted a report by the World Inequality Lab and said that inequality in India is at a historic high, even when compared to the British rule. “Nearly 1% of Indians garner 22% of national income and 1% own 44% of national assets. The inequality became very sharp in the last decade,” he said, adding inflation in the country too has surged. Inflation of various commodities such as vegetables (27%), pulses (19.5%), cereals (7.8%), spices (16.4%), milk (4.6%), and sugar (7.5%) and household debt (40%) stand at historical high. However, the household savings remain as low as 5%. The national debt stood at ₹160 lakh crore till 2023, even with the RBI reducing reserves and selling public assets, he said.
