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1 Introduction One of my three major obsessions for four and a half decades is Hegemonic Power Transfer Theory, about how a declining economic power like the USA accommodates itself to a rising economic power like China. (See Power transition theory - Wikipedia)That mathematical science is based upon the consideration and the statistical analysis of the data relating to behaviour of major economic powers over the last two centuries and was principally progressed by Abraham Fimo Kenneth Organski (1923–98) and Jacek Kugler (1923-now, and seebut there are now many other major contributors. Most people I have met (who are sometimes very highly educated) are not well informed about that subject so I have written a primer about it which you can read at George Tait Edwards's answer to Does the USA have a good reason to destroy the military base of China in South China Sea now? Would the US find it too late 5 or 10 years later?1.1 US Hegemony Has Been Ended By American Political Actions And Not By The Rise of China or by Foreign Economic ActivityOne bias in the above question above is the implicit idea that China is somehow responsible for the economic decline of the USA. The principal cause of US relative economic decline is US Government policy particularly since the 1980s and not the actions of China or foreign governments.After 1980 President Ronald Reagan’s deliberate policy to relocate abroad what he regarded as “old, smokestack industries” such as the US companies’ manufacture of the basic inputs of steel and aluminium and also the export of US light motor vehicle industries (along with the export of the feeder SME industries which provided the sub-components to enable the construction of these cars) accelerated US economic decline. These policies created a massive rustbelt in the US States below the Great Lakes and much higher unemployment in the USA. See George Tait Edwards's answer to What are some of the ingredients that make the United States stand out in the world? And with regard to Reagan’s policy of relocating US industries abroad, see para 5.2.4 of George Tait Edwards's answer to Why is China’s economy growing significantly faster than the U.S. economy? And for some details of “the Reagan Plan” see the NYT article REAGAN'S HIDDEN 'INDUSTRIAL POLICY' which reports“The Reagan plan to shrink America's basic industries has been enormously successful. Since 1981, when the value of the dollar began climbing to unprecedented levels as the budget deficit ballooned, some 2 million jobs have been lost in old-line manufacturing businesses. Steel, autos and others have been forced to reduce domestic capacity, set up operations abroad (or enter into joint ventures with foreign producers) and diversify into specialized niches.”And these are only the direct employment losses. The USA had an economic multiplier effect of about four or five during the 1980s becausethe shutdown of steel, aluminium and auto manufacturing industries caused the decline and the destruction of the service industries which had served these companies and their employeesthe “feeder firms” which had produced the sub-components of the auto industries were also moved abroadthe response of local authorities (LA) to their loss of revenue was a reduction in their local employment and LA provision andthe employment which still exists in the rustbelt is more often a lower-quality, sometimes no-fixed-contract jobs, with the R&D for the manufacturing plus the related defence industry subcomponents manufacture also moving abroad.The USA largely Republican Governments since 1980 do not recognise these multiplier effects many of which continue to contribute to the US spiral of relative economic decline today. For example, Gordon Ramsay has recently massively improved the food quality of a Detroit Restaurant and in a normal economic background that establishment would flourish. But the working people of Detroit can no longer afford to eat out as often as they once did, so that restaurant has gone bankrupt.Almost identical effects can be observed in the United Kingdom where an official Conservative policy of industrial shutdown and partisan victimisation of the poor has produced the growth of Austerity-enforced starvation and the explosive growth of food banks along with the shutdown of local restaurants and public houses.These consequences of industrial declines have no positive aspects. Of course the loss of domestic production in both the USA and UK creates the opportunity for foreign supply of domestic demand, and the surge in imports of goods no longer produced locally causes a large balance of payments problem in both countries, but it was the lack of an effective industrial policy and the malign neglect of the side effects of that [in the absence of government remedial action} which is the root cause of both UK and US industrial decline.2 My Re-interpretation of the QuestionLarge well populated rising nations become potential hegemonic powers because of their high economic growth. The USA became a hegemonic power in 1945 because FDR understood the process of economic growth. See my 12 June 2013 article FDR’s American Economic Miracle 1938-44, or the First Economic Bomb - The USA from 1938 to 1944 (Part 1)2.1 The Rise Of Any Large Nation to Potential Hegemonic Economic Power Is Not Limited By or Related to the Western Concept of “Legitimacy”Whether countries can become the leading hegemonic power has nothing to do with the Western idea of “legitimacy” but everything to do with the leadership of that country understanding and practising the economic understandings which lead to relatively high economic growth. In particular, the partial or full practice of the five major aspects of Shimomuran-Wernerian Macroeconomics (SWM) has historically produced high-growth economic miracles while Washington Consensus Macroeconomics (WCM) has continually resulted in low growth and relative economic decline.2.1.1 The concept of legitimacy of national actions is a Western-produced Eurocentric and mainly Anglo-centric idea which has been historically used to justify the “legitimacy” of the actions of the Western “Great powers” particularly the many military adventures of the UK and the USA. The central idea in international law is a value system which regards the position of the West as “developed” and the position of other nations as “undeveloped” and “Less Developed Countries” (LDCs) so it includes an embedded Eurocentric value system, which seems to and does devalue the cultural worth and downrates the achievements of other countries.2.1.2 Also inherent in the Western legal system is the primacy of the personal or corporate individual above the the interests of all others, so that issues are set to be prejudicially settled in Western law in favour of these individuals or corporations. In Western Law a basic assumption appears to be that all group and national interests such as the continuation of a life-supporting environment, a safe society based on individuals not carrying small arms, and group or social gains are less important than the massive personal gains made by billionaires. The misinterpretation in American Law of the US constitutional right for a “free people” to bear arms is a collective national right, and does not say that individuals can, but this is the constant US Media misinterpretation of that constitutional Amendment. That individualistic legal bias in favour of corporations is a big factor in how American politicians behave and which their private media supports.2.1.3 In my view it is a justified exaggeration to say that the bias in US Law in favour of the personal and corporate individual is a major factor which is responsible for the enormous political and social mess the United States of America has now arrived at. The elevation of immediate corporate interests or the short-term interests of US billionaires above long-term environmental, personal, group or national outcomes is an unhelpful bias in US Law. It is easy for large corporations to ruin the environment in the USA and elsewhere without risking any significant timely legal challenge to their profit-achieving activities. The profit-seeking behaviour of the US healthcare system is seen by US Republicans as more justified than the establishment of a slightly more adequate healthcare system such as Obamacare. [See George Tait Edwards's answer to Why is the USA’s health spending so high at 17% of GDP compared to the UK’s spending of 11% yet still doesn’t offer universal care?]The continuation of the mistaken policy of individuals bearing small and murderous munitions results in the USA having the highest suicide rate in the world, because the major use of these freely available weapons is to commit suicide (see When will people realize that guns don't kill people; people kill people?) but the social cost in the frequent incidents of the mass murder of some school children and their teachers cannot be justified by a mistaken reference to personal freedom. The LA times has today produced a report saying that https://www.quora.com/link/More-than-15%-of-childhood-deaths-in-America-are-due-to-guns-study-says/redirect but you can’t read that report except in the USA.The US Republican political preference for tax cuts for the benefit of the rich with Austerity for the workers and the political preference for big finance over the activities of local SME-supporting banks has produced a low 5% invention-to-innovation rate in the USA, ruining America’s potential future. And the lack of US industrial policy has produced the collapse of what was once [in 1945] the greatest industrial economy in the world, as US Republicans folded their arms and took no action as the once-great industrial companies of America after 1980 relocated elsewhere with Government encouragement and support, perhaps creating greater profits for their American owners but destroying the US worker employment and local prosperity these companies had previously provided. These are all observations and do not depend on any economic theory.What academic support exists for such a view? It is not something that American academics usually contemplate, trapped as they are within a WCM mindset, because that’s the only economics education taught in the West. See George Tait Edwards's answer to What's Wrong With Washington Consensus Macroeconomics?2.1.4 The US-promoted ‘international? Law of the Sea”Many US individuals have expressed the view that the “International Law the Sea” allows the militarily powerful US Navy to cruise where it pleases, because that “Law” is seen as eternal and universally supported. Yet that Law was created less than three quarters of a century ago, in 1945, in order to enable trade through international waters and sea channels which lie within close proximity to, and within the coastal sea territory of, nation states. The Law was meant to enable peaceful international trading by merchant shipping, not to facilitate military threat by its misinterpretation by the US to locate much of the mighty US Pacific Fleet around Chinese shores.That American activity could lead to a major conflict between the USA and China. I hope it does not. See China Cannot Be Trumped – George Tait Edwards – Medium and Trump is probably not foolish enough to destroy the world.2.2 Florian Matsumoto’s Critical Review of Onuma’s Attempt to Comment From A Transcultural ViewpointAn excellent detailed criticism, dissection and discussion of Onuma’s recent attempt to to define a “new” international Law can be accessed at Florian Couveinhes Matsumoto’s pdf paper The_End_of_the_History_of_Liberalism_and.the last “Transcivilisational” Man? Onuma’s Attempt to Define a “New” International Law.Which is located at The End of the History of Liberalism and the last “transcivilizational” Man? Onuma’s Attempt to Define a “new” international Law” », to be published, Asian Journal of International Law, 2018It should be noted that Florian Couveinhes Matsumoto is Assistant Professor at the École normale supérieure (Paris, Ulm), Université de recherche Paris Sciences et Lettres, member of the Centre de Théorie et d’Analyse du Droit (UMR CNRS 7074) and associate researcher at the Institut de Hautes Études Internationales (Université Paris II).That paper reaches detailed discussion heights not attained in this Answer. The author’s detailed knowledge of international law exceeds mine by many magnitudes. I accept from the outset that my attempt to summarise part of that informationally precise paper is doomed to failure, as was the attempt of Onumo to adopt a transcultural perspective, but his attempt reveals interesting depths and hints at possible transcultural conclusions.I wish to try to summarise why I think this paper is seminal and state some of its aspects and conclusions to illustrate its importance. There is nothing I can find in English (and this paper was originally in French) which illustrates the great difficulty of successfully adopting a transcultural perspective for the hopeful purpose of achieving a valid legal commentary and arriving at transcultural conclusions. My summary is inevitably inadequate and incomplete. The only fair way to treat this original and ground-breaking paper to quote all of it, but the copyright laws prevent that. The interested reader is invited to study the entire paper with probably undoubted benefits to the reader’s understanding.There are four sections in this 8-page paper as follows. These are:I Dealing (again) with the western perspective on international lawInternational Law is actually Western Law and is inevitably embedded within the cultural and personal perspectives of any commenting author. As Florain Matsumoto concludes in part I:“However, Onuma’ s book also undoubtedly displays the considerable difficulty inherent in such an attempt, or more accurately the impossibility of adopting a non-Western perspective without assuming a revolutionary point of view, a point of view that most Western lawyers describe as philosophical, political, or ideological, and, in a sense, as an erroneous or entirely subjective perspective. Indeed, although the trans-civilizational perspective on international law claimed by Onuma seems to imply a revolutionary stance, his book seems more reformist in nature and only a few criticisms appear to be truly transcivilizational. At least two of these need to be highlighted.”II Two “truly” transcivilizational criticismsFlorain Matsumoto continues:“As one might expect, the most visible transcivilizational criticism relates to the (usually Western-oriented) history of international law. In the sections of the book dedicated to this theme (pp.55 et seq. and 149 et seq.), the author accepts the classical view that today international law is a product of European and then Western modernity (pp. 16, 31, 55 et seq.), but rejects the idea that there was indeed international law “in the geographical sense of the term” before the Berlin Act (1885) and the Shimonoseki Treaty between China and Japan (1895) (p.81). Similarly, he is of the opinion that this law was not “globally valid in the formal sense ” before “most nations representing humankind” became “subjects of international law”, namely before people in decolonized countries freely recognized such a law in the 1960s (pp.57, 63) In the same way again, a truly global law of the sea only arose after World War II (p.320)”Matsumoto comments that both the cultures of China and Islam had influence in determining some aspects of the Western legal system but the cultures of other Asian nations, Africa, and pre-conquest North and South American cultures did not. And Matsumoto observes:“Unlike the criticism of the traditional presentation of the history of international Law, the second truly transcivilizational criticism does not relate to a particular area. In a way, it may be argued that it is the main thesis of the book. According to this thesis (if it may be summarized subjectively), contemporary Western lawyers as well as Western governments place an undue emphasis on the role of international judges (and secondarily NGOs and transnational corporations) as international Law makers, whereas non-Western lawyers and governments place their hopes in the capacities of nation States to rule their countries and regulate their relationships with strangers. More specifically, “the ideas, notions or concepts that people use as cognitive and interpretative frameworks of international law have basically been constructed by male international lawyers of powerful Western nations” (pp. 52-53) and “Western nations [...] have always been characterised by a legalistic culture” (p. 39).The use of Western models for transcultural Law is rejected because“litigation is a pathology, not a physiology of law” (pp. 8, 26, 457) and because “[l]aw without court is normal in many societies in human history” (p. 550). Consequently, “the study of international law in the twentieth century seems to have been excessively judicial-centric for gaining a comprehensive picture of international law” (pp. 116, 252, 258, 408, etc.). For instance, “the ICJ is not an important organ in interstate conflict settlement” (pp. 27, 117, 559-560, 579, 662) and more broadly, most international judges do not resolve most inter- State disputes (pp. 557, 571, 662).”Much of Western Law appears to based more on win-or-lose suppositions rather than the often more appropriate mediated settlement of conflict, and many “commonly perceived features of law [righteousness, consistency, universal applicability, rigidity and formality] work [at times] negatively against conflict resolution” (pp. 585 et sq.).”Because mediated war avoidance could be a major function of a well-ordered international legal system, the usefulness the existing Western legal systems seems less than adequate.III The reiteration of problematic narratives deriving from the western perspectiveMatsumoto points out that although Onuma is seeking a “trancivilisational perspective” and lists his credentials (briefly, as an Asian International Lawyer practising in Asia but mentally constructed by modern European civilisation) he cannot help using the Western classifications of states as more or less culturally developed according to Western measures. As Matsumoto observes“If we do not first deconstruct the myth of a world that follows a unique path of progress (towards Christianity, Western-style Law, the market economy, capitalism, human rights, etc.), and more specifically a progress that is exhaustively predeterminable by a small group of self-proclaimed superior people, it is impossible to obtain a critical distance from Western-centrism.”IV Potential solutions suggested by Matsumoto’s Review of this Onuma bookThese are for a new system of International Law with mankind’s place in the environment as central within that system with considerable implications for the future of mankind. This is the best legal argument for the positive restructuring of law on an environmental basis I have ever read.2.2 There Is No Read-Across From Economic or Military Supremacy To Legal Primacy or LegitimacyThe greater scientific, economic, and military development of the West has often been wrongly read across, or assumed, to create a situation of greater moral or legal primacy. The UK and USA do not have a history which involves any gentle, culturally sympathetic, or altruistic treatment of foreign or colonised people. Racism is still at the heart of the UK Conservative ruling party, and Theresa May, the now-Prime Minister, has suffered squirming embarrassment at a Commonwealth Conference because she was instrumental while in the Home Office of creating the Windrush Scandal, in which documents proving the British residential legitimacy and citizenship of Caribbean immigrants were destroyed, justifying a “Send-Them-Home” policy over which she presided and which often relocated Black British (who had lived in Britain for decades) to the Caribbean.The USA - despite Lincoln’s 13th Amendment to the US Constitution, which was intended to free the Black slaves- has continued to practice the legal and informal diminishment of the rights of its native Indian and black and its more recent immigrant populations. The addendum to the 13th Amendment - that slavery is abolished “except for felons” - appears to have created a semi-legitimised Black-slave-creating-culture in some of the Southern states of the USA. Of course the Southern cotton farms needed cheap labour to continue to exist, and the police in the cotton-producing states promptly provided that cheap labour by arresting fit young Black men for minor offences and the Federal Prison system leased their re-created slave labour to the cotton farms. And once imprisoned, Blacks appear to be often mistreated in Federal prisons to ensure their continued incarceration. One statistic tells it all: of blacks arrested, 50% are never released but die in prison.And those who are released run up against a system almost design to deny the restoration of their voting rights. Released black prisoners have to appeal individually to the State Governor and travel to and get a hearing for the restitution of these voting rights and for partisan political reasons these rights may not be restored. Jeb Bush enabled the 2000 election of his brother George W by refusing voter rights restoration in Florida. SeeAll this in the country which the US Media continually describe as “the land of the free.” And see the 2008 now out-of-date but revealing Global Research reportThe Prison Industry in the United States: Big Business or a New Form of Slavery? - Global Research2.3 Gandhi’s Key CommentWhen Gandhi was asked“What do you think of Western Civilisation?” he famously replied“I think it would be a good idea.”2.4 It Is Not What China Lacks But What China Possesses That Is VitalThe last part of the question makes more sense if it is reversed, to read “What does China Have that the USA lacks?”This Answer is an inevitably brief summary of a great deal of research (much of it not mine) and a lot of relevant information.There is no necessary “legitimacy” in the rise of powers and major nations have tended to act in their own interests with no regard for “international law”. The League of Nations and the UN have both been failures when confronted by major nations adopting warlike policies. As Mussolini observed, “The League of Nations is all very well when sparrows shout, but is of no use at all when eagles fall out.”What China possesses isa different form of democracy based upon universal elections of local government officials and a meritocratic, well-educated central Governmenta different objective in its pursuit of economic development (rule for the prosperity of all or most the people and not rule for the increasing benefit of the already rich)a much less racist society (historically based upon the assimilation of different peoples and cultures within the Han Chinese people and their culture)a much deeper understanding of the high-growth, low inflation, no-cost investment credit economics/Shimomuran-Wernerian Macroeconomicsa tolerance of other cultures derived from the constant contact with other religions and cultures over centuriesthe central Sun Tzu/“Art of War” idea that conflicts are best settled without warsa large Initiative (the B&RI/OBOR Project) which rests upon the voluntary bilateral engagement of nations (that is, two at a time) and the currency swaps and further negotiations which present an alternative jointly agreed system of making economic progress and removing all aspects of the American third party involvement in the economic progress. This project removes any reference to the American legal system with its third party win-lose approach to the settlement of disputes, allowing conflicts to be settled perhaps more successfully by bilateral negotiation, removes the Bank of International Settlement and US currency from involvement in the initiative, reducing the US power to involve itself or affect these projects, by removing US currency from the project, and even perhaps US knowledge about the extent of the project. [For the data about the declining use of the US dollar as a reserve currency, see George Tait Edwards's answer to With the current state of world affairs, does it look like the US will pay off its debts or will the US lose is standing as economic leader (self proclaimed), and lose the power of the dollar in as the standard universal dollar?] These projects present possible alternatives to the involvement of any part of US Law or reserve-currency dollars in making bilateral real economic progress. Perhaps that is why the post-Spenglerian Western Media continually run down this initiative.3 How Economic Growth Arises I cannot fully cover this topic in this Answer, but very briefly, there are five major sources of economic growthFirst, the SMEs which in all countries are the source of most of the employment and nearly all (about 95%) of the fresh invention and innovation in that country and the major source of further future growthSecond, national prosperity is enabled by a well-developed and well funded industrial factory system upon which the living standards of the workers dependThird, economic growth is increased by a realistic economic understanding which is practised by the government of the country andFourth, the foundation of company success at every scale - in the the small, medium and large enterprises in a country - is only made possible by a system of supporting banks at all sizes within a country, which banks exist to obey Werner’s Third Law that“Thousands of small banks provide thousands or tens of thousands of small loans to small businesses, medium sized banks provide thousands of medium sized loans loans to medium sized businesses and large banks provide many large loans to large businesses.”We can regard these banks as local (like Germany’s SME-supporting Sparkassen banks) or secondary banks (like regional or local authority banks like the Lundesbanks) or primary national banks usually only located in the capital and which also provide loans to national or nationalised industries. The comments that follow are illustrations of the above four key principles but the evidence is so voluminous that it cannot be fully replicated here.Fifth, a Government-funded system to provide a social security net and for the health, education and safety of citizens along with an effective infrastructure is a large and major component of economic development and growth. The best illustration of this aspect of economic growth may be the Nordic countries, where sometimes Government employment is so large that it is the major component in the economy and hence the major reason for high economic development. Another aspect of this issue in modern times is the B&RI/OBOR project where Chinese initiative along with local government funding is upgrading road, rail, pipeline and energy production systems at a speed and on a scale not previously possible.There are numerous examples of each of these five principles and only a brief reference to the major use of each principle is mentioned below with the exception of China, which is applying each principle but sometimes not with full effect.3.1 Funding SMEs is the source of the SME inventions transferred to the factory floor and which pave the way to a greater economic future.The nation which has continually funded its SMEs from local Sparkassen banks is Germany, which has through its local public banking system founded SMEs and funded their development on a scale not present elsewhere. Because SMEs are so numerous these organisations in all nations provide not only the major sources of employment and national output but also the inventions and, where funding exists, the transfer-to-the-factory floor innovations which drive the economy forward.Many large transport-vehicle companies often only provide the body shell of the product and are actually the integration plants for tens of thousands of sub-assemblies which go into making the final product.As Werner von Braun observed about the Apollo rocket“There it goes, over 100,000 moving parts, every one built by the lowest bidder, and it all works.”Modern motor vehicles typically contain about 25,000 sub-assemblies while a Boeing 747 is built from over 5 million parts, mainly fixtures.When major manufacturing industries are closed down in the UK, the number of employees lost which is often quoted by the UK Government are the final numbers of caretakers prior to closure and not the maximum numbers of workers employed in the factory at the height of its production. The many larger tens of thousands of jobs lost in the subsidiary-parts producing and the servicing of the once-flourishing company are not usually mentioned, although these are usually by far the major effect.3.2 The Industrial Manufacturing Economy is the major source of Worker Employment and Dispersed Prosperity in All NationsThe manufacturing industries are the major employers of workers when economic miracles occur. The historical data illustrates that up to 45% of workers are gainfully employed in the manufacturing sector during the greatest dominance of these industries. In WCM economies, their manufacturing industries tends to remain in the range from about 30% to 40% of GDP. [If we look at the Tokyo Zone countries where WCM has been adopted and given up, Japan had a 30.1% share of its economic output originated by industry in 2017, while South Korea has 39.3% from that source and Taiwan has 36%. The still-practicing SWM of China has 40.1%. By contrast, the WCM-practising economies of the USA has 19.1% and the pre-Brexit UK has 20.2%.]3.3 An Understanding of No-Cost Investment Credit Creation at the Central Bank has been and is the Indispensable Key to High Economic Growth Throughout The Last Millennia in nearly all high-growth colonies and nations3.3.1 Wang Anshi’s Chinese Economic Miracle And Its Decline Under The MongolsThe Chinese Prime Minister Wang Anshi was the first investment credit economist whose actions created the world’s first industrial economy and welfare state. This is far too large a subject to be adequately dealt with here.See my limited contributions to that immense subject atHow did Wang Anshi contribute to the economic world?and also see regarding the Rise of the Tokyo Zone economies my blog atShimomuran Economics and the Rise of Japan and ChinaAs well as the first half of my article/Answer about the significance of Wang Anshi at George Tait Edwards's answer to What are major Chinese innovations?4 Financially Restrictive Economic Policies by Political “Conservatives” have Produced The End Of Hegemonic Empires during the Last Thousand YearsIt would take too long to provide the extensive references and data supporting this conclusion, but the interested reader is invite to look up and investigateThe Song Empire and its Decline Under The Conservatives After the defeat of the Mongols, no-cost investment credit creation was once again used by the Chinese governments to stimulate and achieve the then-highest level of economic development in the world. The peak period of the dynastic Ming Empire was the great heights achieved by the Yongle Emperor (who ruled from 1402–1424). That Yongle Emperor was a despotic liberal whose cruelty was as notable as his outstanding economic achievements. The Chinese Conservatives through their restrictive financial policies ended Chinese economic ascendancy in the 15th century.The Scottish Industrial Revolution 1700-1800 and its Decline Under The ConservativesThe pre-independence growth of the three Tobacco Slave states (comprised of Virginia, Maryland and North Carolina) was based upon the denominated-in-pounds-of-tobacco promissory notes (or IOUs) of the Tobacco Lords who created vast amounts of circulating credit based upon the stability of tobacco prices (a “specie-backed” alternative currency) and the conversion of these IOUs to goods at the 125 Trading Posts ( or Tobacco Lord Shops) in these three colonies. This is one of the four papers of my PhD research at the University of Southampton so I will say no more about it than I already have.The first century of Scottish Industrial revolution (1900–1800) was based upon the founding of SME-supporting banks in Scotland (from the first Murdoch bank in Scotland in 1730 to the Tobacco-lord establishment of the Ship Bank and the Arms Bank in Glasgow in 1749 and many others) and 88 of the embryo Scottish SMEs were established with Tobacco and Sugar Lord investments derived from the profits of the American and West Indies slave trade plantations. See The Scottish Industrial Revolution, or The Scottish First Industrial Miracle 1700–1800FDR’s Economic Miracle 1938–44 and US Economic Decline After 1980 Under The Republicans - see para 1.1 aboveThe Japanese Economic Miracle and its Decline After It Adopted WCM in 1991 - see How Japan Zoomed From War Devastation into Prosperity 1945–52 and Professor Richard Werner’s book Princes of the Yen5 Conclusions5.1 The Anglo-Centric Legal System is a product of the UK and US Hegemonies and is too culturally embedded in these nations to achieve an international endorsement by all nations. It is culture-specific in its foundation in and references to the West and is not a transcultural legal system and its formation was not based upon all of the major cultures of mankind. It is not effective at solving international disputes.5.2 It is very unlikely that the current international legal system will survive the demise of the UK and US hegemonies because that structure is a product of their culture. A F K Organski and J Kugler, two of the leading lights of the Hegemonic Power Transfer Theory (see the Introduction above) have pointed out that when a hegemonic power transfer occurs, the arrangements that prevailed in the previous era are likely to be changed because although it is possible for these previous patterns to suit the rising hegemonic power, that is unlikely.5.3 The rising nation of China is already creating bilateral currency arrangements with most participants in the B&RI/OBOR programme. That bipartite system seems to be more readily amenable to conflict resolution than any more remote tripartite Western judicial system.5.4 In its own interests and in the best interests of the world, China needs to develop and lead a system for reversing Global Warming. Whether that needs to done within a Chinese-proposed and internationally-agreed alternative legal system is a moot point, but it does seem that a transnational and transcultural legal system might need to be developed to deal more effectively with the acceleration of national growth and the resolution of international conflicts than the Western-based UN and its underfunded institutions (IMF, World Bank, OECD etc) have done.5.5 The most interesting section of the Matsumoto Review of Onuma’s book review is its Section IV Potential solutions. The major issue is the creation of an international legal system which leads to a balanced environment with mankind within it.

I don't know if I should be answering this since Balaji Viswanathan (பாலாஜி விஸ்வநாதன்) has already answered it. But since, I have had a deep interest in the outcome of the 2014 General Elections and the trajectory India takes, I would try to put in my $.02Pre Election Timeline:12th Sept'13 : Modi is appointed as BJPs PM Candidate. He had been working pretty hard,and thus this was a proud day for a Modi follower. He was one of the few politicians who gave speeches at the Citizens for Accountable Governance and made quite an impact among the youth. : Narendra Modi anointed BJP PM candidate, Advani disappointed - The Times of IndiaPre-appointment this was one of his best speeches ,in Sri Ram College :where he talks about Swarajya(self-governance/Independence) v/s Surajya(good governance)2nd Oct (Manthan) : Now, CAG (Citizens for Accountable Governance) started off as a platform where citizens (mostly young first time voters) could make an informed choice on the eve of 2014 Elections.While Rahul Gandhi attended just one, Modi attended two or three.So impressed were the guys at CAG, that they provided 'Brand Strategy' for his campaign : Page on firstpost.comHis speech on the finale day was very well received among the first time voters.Sept'13 - April'14 (Blitzkrieg Campaign) : An orator par excellence, Modi endeared the masses against the backdrop of massive corruption scandals in the UPA. The strategy of his campaign was mostly done by CAG and Amit Shah & Co. From innovate campaign slogans like "Abki Bar Modi Sarkar" to "Sabka Saath Sabka Vikaas" , the PR machinery was in full force. This articles traces the amazing journey from Sept'13 till 9th May. Page on tinyurl.comFast forward to 16th May'14 : Riding on the Modi wave, BJP wins majority on it's own. : Page on indianexpress.com. After 30 Long years. India got rid of 'coalition compulsions'. Which were seen to be the major reason for corruption, policy paralysis and zero accountability as blame could be pushed elsewhere. This day also saw, the defeat of the left-liberal ideology which almost ruined India's tremendous potential since Independence.Personally, this felt like India achieved Independence (all over again) from the Oligarchy of Gandhis.Indian election result: 2014 is Modi's year as BJP secures victoryBefore I drift off,into how much the Congress and it's socialist economic policies have hurt us, will come back to the question.So what has PM Modi achieved since assuming power?Lights ,Camera, and Action...25th May/Swearing In : In sort of a diplomatic coup, he invited heads of State of All SAARC Countries, and all heads of state except Bangladesh attended the grand swearing in. It got great International press as well : Narendra Modi sworn in as Indian PM in spectacular ceremony Though to be fair, a lot of effort was put in by MEA, Security Agencies etc,to make the swearing in a grand success.Unsung heroes of Narendra Modi’s diplomatic coup | Latest News & Updates at Daily News & Analysis28th May (SIT) : First Decision that the newly formed Cabinet made was to create an SIT as per Supreme Court orders, which the last government was dilly dallying for obvious reasons.ref : First Cabinet move: SIT on black money - The Times of IndiaMaking Bureaucracy Efficient : Like in his home state of Gujarat, Modi is trying to make the Bureaucracy accountable,transparent and most importantly effective.1. Ex-TRAI chief Nripendra Mishra, who has a great track record, was made the principal secretary to the PM. He was so important for Modi, that the government had to pass an ordinance route to clear the route for his appointment.Why Modi govt is determined to take Nripendra Misra alongOrdinance pushed in 2 days to clear Nripendra Misra's path to principal secretary post - The Times of India2. Spymaster Ajit Doval : Ex-RAW chief in 2004 Congress Govt, Modi hired the best man to re-establish India's security infrastructure by bringing in Ajit Doval. The only IPS Cadre to ever win the Kirti Chakra, Doval is a man of impeccable integrity and great intelligence who can fix most of India's internal security problems. Ajit Kumar Doval was therefore appointed as the NSA(National Security Advisor)Pakistani media went into a hysteria, post Doval's appointment :Exposing Ishrat Jahan Case :Quora : Is Ajit Kumar Doval, the best you can get?Unofficial blog : AJIT DOVAL'S PERSPECTIVESNSA Ajit Doval's new status effectively dwarfs many in Cabinet3. Bureaucratic Reshuffle : 48 Appointments including Reshuffles were made at the joint secretary level, in one of the biggest in Indian Bureaucracy .Narendra Modi approves transfers, appointments of 48 bureaucratsImportant Decisions Of Modi SarkarTransfers at midnight: biggest bureaucratic reshuffle - Hindustan TimesModi govt carries out first major bureaucratic reshuffle - Hindustan Times4. Accountability: The government introduced a series of measures to bring in accountability from bureaucrats through attendance tracking system, file tracking system (to go live by Dec End'14)India’s work-shy bureaucrats face attendance trackingIt brings in e-SamikSha : A digital platform to track the files.e-SamikSha: A new digital monitor for bureaucracy to rein in slackersMinimum government,maximum governance : Keeping up with his maxim of less government (regulation) and more governance (cutting the red-tape), PM Modi undertook a lot of bold steps : 1. Scrapping of GoMs and EGoMS : One of the major reasons of Policy Paralysis in the 2nd term of the UPA coalition was like the extra fat around the government's belly. The liposuction was done as one of the first moves by the PM.GoMs & EGoMs scrapped to expedite decisions2. Planning Commission Scrapped (15th Aug'14): In one of the boldest moves, signalling a shift away from the Soviet Style Centralized Planning , this relic of Nehruvian-Socialism was scrapped.--PM Modi announces scrapping of Planning Commission, new body to be set up to foster 'cooperative federalism' - Hindustan Times--New body set to replace Planning Commission3. A few more action scenes :In line with expediting the pending infrastructure projects, PMO took control of Project Monitoring Body ,set up by the erstwhile government to fast track huge projects : PM Modi takes control of oversight panel to speed up $300 bn stuck projectsA lot is being done on the 'governance' side which will be evident in the laws that were passed by the Lok Sabha in the Budget and the Winter Sessions of 2014.Legislative Reforms : As of Dec'14, no big-ticket/big-bang reforms were passed (or allowed to be passed in some cases) which the industrialists had expected. Not surprisingly the Lok Sabha's productivity in both the sessions of Parliament was over 100% (More was done than was planned to be done at the outset ) : Budget session productivity hits a high of 104% - The Times of India and for Winter Session : Lok Sabha records highest productivity in last five yearsBelow,I will go through briefly with the comparatively major steps the government took as far as modifying existing law or creating new laws was concerned.a. Juvenile Justice Act : Major change was that for those above 16 years, Heinous crimes,the child will be tried as an adult. The Juvenile Justice (Care and Protection of Children) Bill, 2014b. Judicial Reforms (Pending Constitutional Amendment subject to ratification by 50% Indian states) : This will eliminate the Collegium system of appointing judges and make it more transparent to the Nation. Cabinet clears constitutional status for Judicial Appointments Commission As of 26th Dec, the states ratified the same, and it may get presidential nod soon. Higher judiciary appointments through NJAC soon, says Sadananda Gowda - The Times of India7 key highlights of the Judicial Appointment Commission Bill | Latest News & Updates at Daily News & Analysisc. GST Constitutional Amendment : In what has been ascribed as the biggest indirect tax reform in the history of Independent India, Lok Sabha passed the Constitutional Amendment for introduction of GST to replace a myriad of Central,State,Local taxes. This is in line with Modi's promise of removing LBT (Local Body Tax) which he termed as "Looton Batoon Tax".The key features of GST Constitutional Amendment Bill 2014Why India Inc wants GST so badly: FAQTo be fair, the credit entirely goes to Arun Jaitely, who took the states on board,before tabling it in Lok Sabha.An un-updated link : GST Indiad. Repealing and Amending (Second) Bill, 2014 : It was high time to replace Archaic laws and it was done in two installments.Modi government prepares bill to repeal 36 archaic lawsThe law commission of India in Sept'14 came out with a report on many such 'Junk Laws' : Page on lawcommissionofindia.nic.inSadananda Gowda to focus on bringing down litigation, junking obsolete laws - The Times of IndiaLaw ministry to scrap dated lawsIn the winter session, the bill passed LS to repeal 287 of the around 700 junk laws that India has. Centre identifies 287 more outdated laws to repeale. Coal and Insurance (Ordinances) : To meet the energy requirements of the Country, which relies on Coal, the Centre re-promulgated the Coal Sector Ordinance, to auction off the coal blocks, as they could not be passed in Rajya Sabha. Similarly , FDI in insurance was increased upto 49%.Cabinet approves ordinance on coal and insuranceGreen signal for reforms: President Pranab Mukherjee signs ordinances on insurance and coal - The Economic TimesOther small steps taken by GoI:Decriminalize Suicide : Government decriminalizes attempt to commit suicide, removes section 309 - The Times of IndiaThird Gender : Hijra: India's third gender claims its place in lawMany more important bills have passed the Lok Sabha, and pending in the Rajya SabhaList of Bills on Government's Agenda in Parliament's Winter SessionMotor Vehicles Act : Stricter penalties for Driving violations. New Motor Vehicle Act Proposes Intelligent Driving SolutionsNew Motor Vehicles Act proposes big fines for uninsured vehicles owners - The Economic TimesA Slew of new initiatives: [edit :added pics]Swachh Bharat : As already pointed out, in one of the most ambitious projects 'Clean India', it will in long run (if all goes well) benefit the poor people the most. PM has stressed time and again,that it's a non-political clarion call to clean up our streets,lanes,communities and own. Swachh Bharat Abhiyan: Clean India is responsibility of all 1.25 billion Indians, says PM Narendra Modi.Digital India: Another huge initiate of the PM, 'Digital India' seeks to penetrate Broadband internet to even the remote Indian Villages by 2019. Google,FB and most of all Microsoft has expressed deep interest in this initiative. Also, digital literacy (through NPTEL and similar platforms) can reach the villages when free/cheap internet is made available in a big way. But it's main object is to offer all government services made online. (e-Governance, tele-medicine.) News : Google in race with Facebook, Microsoft for a slice of digital India , Modi Cabinet approves Rs 1 lakh crore Digital India projectModel Village (Sansad Adarsh Gram Yojna) Another good initiative for the MPs to adopt a village each (without additional funding) . I personally doubt though how many MPs will be serious about this : PM Modi's Saansad Adarsh Gram Yojana: 7 key features.MyGov.in: A Platform for Citizen Engagement towards Good Governance in India: Under PM Modi's initiative, NIC created this portal to crowd-source ideas for effective. governance News : PM Narendra Modi launches portal, MyGov, for citizens to contribute in governance. In the long run, the farther e-governance penetrates,the lesser the corruption. This,highly depends on India having un-interrupted power.Make In India : Another pet project of PM Modi ; it aims at transforming India into a manufacturing in (and for) India. It was launched with much fanfare, but it's yet to kick start as Foreign (and Indian) Corporates are still on a wait-and-watch mode. If successful,India as a manufacturing hub can employ millions and lift them out of poverty. As India imports a lot of it's defense manufacturing, PM's push is to manufacture India's defense requirements within. More on it under the defense and Internal security section. Focus on electronics: It's expected that India's import bill of electronics may exceed it's Crude Oil by '22. Make in India: Ministries told to prefer domestically-manufactured electronic goods. News : Who's who of India Inc : Modi's Make in India mantra: FDI is First Develop India. (Edit : Had missed the below two. Thanks Gyaneswar Panigrahi )Srameva Jayate (Efforts Alone Triumph)/ Labour Reforms : Though the industry did not get it's dream of "hire and fire policy" (which would have wrecked havoc in Indian Politics), PM Modi brought in the much needed end to Inspector Raj. Now, the inspections were only to be done, for units randomly selected (via a Centralized System) and the report uploaded in a time bound,transparent manner. Modi rolls out labour reforms , Narendra Modi launches key labour reforms, promises better work culturesJan Dhan Yojna (Zero Balance Bank Account) : In possibly the largest exercise of Financial inclusion, PM Modi's Govt along with all National Banks a scheme to allow the poor, to open zero balance bank accounts. Jan Dhan balance tops Rs 5,000 crore mark, nearly 7 crore accounts opened - The Economic Times . Though it has received it's fare share of criticism, that it will overburden the current banking Infrastructure. Is Jan Dhan really a success?. The intent of the Govt though,was that the poor at least has an account so that the Govt can go ahead with the roll out of DBT (Direct Benefits Transfer)Man-ki-Baat (Voice of Heart?) : Though it can be seen as an initiative under the mygov portal , Modi has effectively used the Radio stations to reach out to even the most remotest of villages, on pertinent social questions. This way, he can even communicate (one way) with those in the remotest of village (as radios can even run on batteries). This may not have tangible benefits economically, but letters are pouring from all over India to PM's office on a range of social issues. For eg. The latest was on the menace of drugs : Man Ki Baat: Modi links drug money and terror. It is generally well received : Modi's 'man ki baat' was heard by 66% of listeners in 6 cities(Changing) Foreign Policy : In most countries , Foreign Policy does not change with a change in the government. However, given absolute majority, and knowing that the world is evolving intoa multi-polar power centers, Modi has given huge importance to Foreign Policy (mainly to check the growing domination of China.It all started with his swearing-in ceremony, which invited the heads of state of all SAARC nations.From look East, GoI has evolved into act-east . He has traveled to 7 countries in the past 7 months. : List of Prime Ministerial trips made by Narendra ModiHe was very well received at the Bricks and G20 summits.: It was decided that A BRICS bank established. It unfortunately went to China, but as per the agreement it will be headed by an Indian. Top 8 things PM Narendra Modi said at BRICS summit - The Times of India It's effectiveness,given it will be operated out of China, remains to be seen. What the new bank of BRICS is all aboutThough, his US and Japan visit can be seen as more of optics,because major things that India wanted, din't go through. However, he made the world notice him. US and India were going through a tough time in deplomatic relations ,especially after the Khobragade incident. Modi's visit seems to have cooled a lot of tensions and US is looking at India in quite a different light. US think tanks ,especially after the elections ,had been calling for a more strategic partnership with India : An Opportunity to Reenergize U.S.–India Relations . Or take for example the case of Richard Verma, whose appointment as US Ambassador to India was cleared in 7 Days by a bi-partisan vote : Understanding Richard Verma's Swift Senate Confirmation as U.S. Ambassador to IndiaIndia warms up to Israel (Finally!!) : Indian-Isarel relationship has always been strange. It was only in 1992 that Diplomatic Relationship between the two countries was formally established and Israel set up it's consulate in Mumbai. However, Modi being soft towards Israel (mainly due to ideological leaning and Israel inviting him , when he was the 'shunned' CM) ,the government is engaged with Israel at the highest levels. PM Modi may be the first Indian Prime-minister to vist Israel. Junking the age 0ld "Non Alignment" movement, PM Modi is all for closer ties with Israel : India’s shift away from Palestine could spell the Non-Aligned Movement's doom - Opinion. Which is being seen in Foreign Policy Circles as a diplomatic coup. There's a lot of buzz in Israeli press as compared to our Indian press about this new "Strategic Partnership" : The Times of Israel . The 'arab press' is worried about this : Why Modi’s India aligns more closely with Israel than with Palestinians . Israeli defense firm as a promo video launched this (funny and chauvinistic) Bollywood like song, signifying our common goals and interests :More on Defense ties with Israel, in the defense section.Tony Abbot and Modi's Chemistry : Modi's visit to Australia bore more fruits compared to US/Japan (feel feel to disagree) as the Governments signed the long pending civil nuclear deal : Energy-Starved India Signs Civil Nuclear Deal To Get Uranium Supplies From Australia. This will pave way, for generating nuclear energy in India,especially after the nuclear reactors we are building with Russia,go live. Tony Abbot's Interview : India, Australia seal civil nuclear deal. A Free Trade Agreement (FTA) is expected to be signed in an year.In the meanwhile, Modi addressed the parliament of Nepal, visited Bhutan,Myanmar and seeks to work together with these governments for common interests. (Checking rise and hegemony of the dragon).A tough message to Pakistan was sent when ceasefire violations were responded in kind, the secretary level talks stopped when Pakistani officials met separatists and so son.India held it together at the WTO talks and helped keep India's food security program safe. (Though that program itself faces massive leakages)[Edit: Added following] Chemistry with Japan PM Shinzo Abe : Abe and Modi share a special friendship which was quite evident when they greeted each other :India sees Japan as a closer friend under PM Modi. This did not yeild though, in the nuclear deal. Also, Modi continues to be a special interest in Japanese press : Narendra Modi - The Japan Times. Japan agreed to invest upto $35 Billion into India during the vist : 10 highlights of Modi's visit to Japan. The two countries agreed to have deeper defense and security ties. This bonhomie also seeks to check China : Why India’s Modi and Japan’s Abe Need Each Other — Badly[Edit The Section Energy were added later on]Energy (Power Sector) : As a part of it's Manifesto , BJP had promised to "Ensuring a basic level of Infrastructure to all - Home, Electricity, Water, Toilets and Access.[sic]" . Similar to his home state of Gujarat, the PM want's each state to have un-interrupted power supply,thus saving a lot on diesel among other things. His focus has also been on Clean Energy. As one of the below report puts it "There is a tangible shift in policy focus on the sources of power. The government is keen on promotion of hydro, renewable and gas-based projects, as well as adoption of clean coal technology."Solar Power : India Plans the World's Largest Solar Power Plant. Currently the biggest solar plant in India is in MP [151 DC MegaWatt] : Solar power plant inaugurated in MP - India's largest solar power plant inaugurated in MP. Where as the largest being planned will have a 750 mega watt output : World's biggest solar power station to come up in Madhya Pradesh. International Press is quite interested : Can Narendra Modi bring the solar power revolution to India?Nuclear Power : The landmark Nuclear Deal signed between India and US by the then PM Manmohan Singh, could not bring in foreign investors due to India's Strict nuclear liability laws , which put off the suppliers. PM Modi is not in favor of diluting these laws but creating and insurance pool,which will encourage the US firms to supply the technological know-how,fuel and the nuclear reactors (which will mostly be Made in India under Joint Ventures) to satisfy India's huge electricity demand. News : India to complete process of placing nuclear power reactors under IAEA safeguards. Insurance pooling idea has gotten the international players ready to re-think : Exclusive - India looks to sway Americans with nuclear power insurance plan.Policy reforms on the power side : The body IBEF (Indian Brand Equity Forum) has an informative summary on the power sector in India spanning from 12th Plan to the 13th Plan : Power Sector in India, Indian, Renewable Energy, Wind Energy, Solar Power . GoI came up with a report in Dec'14 and set it's TargetsThe Mos Of Power,Coal and Infrastructre (Piyush Goyal) had an interesting take on Capitalism and Socialism and how India Inc. needs to do it's part in Nation Building :Impetus on Defense, National Security and Space: Modi in his election speeches, had made quite harsh allegations on the UPA for the ill-treatment of our Armed forces and the rapidly deteriorating Security agencies due to government apathy. He was quite right. Various voices accused the UPA of playing 'votebank-politics' over National Security; most notably Ajit Doval himself who was the then IB Chief. A legal student's blog on POTA/TADA and laws alike : The need of POTA. The vision for the next five years for Internal Security were summed up as : " Developing internal security, under which a policy of ‘zero tolerance’ to terrorism, extremism, riots and crime would be pursued." Ref: NDA Treads where UPA Dithered on Defence, Security.In sync with the Make-In-India campaign, GoI started with manufacturing the much needed submarines internally : Six submarines to be ‘made in India’Since FDI in defense sector was increased to 49% , some firms have started showing interest in manufacturing locally. French defence firms back PM Narendra Modi's "Make in India" pushIndian firms excited about new opportunities : Indian firms tool up for defense orders on Modi's 'buy India' pledge. Defense analysts were also happy with the 'intent' of Modi's government : Clearing of defence deals shows intent of Narendra Modi Government, says Uday BhaskarForeign media too was interested in the clearance of large purchase by the defense acquisition council : India Under Modi to Buy First Heavy Weapons Since 1980sThe contentious issue of OROP (One Rank One Pension) : BJP had promised in it's manifesto that it would implement OROP on coming to power. This had been promised by the previous governments also,but never given much consideration later on. 'One-rank one-pension' scheme before next budget: Manohar ParrikarThe PM has tried to boost the morale of the forces by visiting them during Diwali in Siachen.Internal Security wise, the new NSA is overseeing through NIA, the Burdhwan blasts as well as the highway in Assam. This was never seen before. Also taking over the probe of the blasts from Bengal Police was done in the interests of National Security. Burdwan blast: Doval visits blast site, takes stock. NIA has joined CBI in the Saradha Chit fund scam : NIA, CBI join forces to track Saradha-JMB ‘link’SMART Policing : Though far off from the police reforms, PM made clear that modernizing the police force is one of his aims. PM Modi makes pitch for SMART policing There are a lot more interesting things going on in Defense but, it's best to follow Indian defense forums for the specifics.MODI Wave: As pointed out by Balaji Sir, BJP has won the states of Maharashtra, Haryana, Jharkhand and shown a good performance in J&K (where it was not even an entity). BJP knows very well it's numbers in Rajya Sabha need bolstering for it to pass key reforms (in future). It was therefore essential to win as many elections in states till 2016. This is what India looks like post the state elections (BJP and it's allies in orange)First time since Independence, BJP has more MLAs than the Congress! : At 1058, BJP has most MLAs nationwideApart from numbers, owing to India's federal structure, Centre can just be a facilitator, the Nation can only progress if the states progress. (Unlike say communist China, where the party can do as it pleases in any state,except maybe the autonomous regions)In Maharashtra, it was successful in displacing a massively corrupt Congress-NCP government which wasted 15 years in office. The new CM Devendra Fadnavis seems promising. Also Modi cut their unruly ally Shiv-Sena to size.Haryana : A clean Chief Minister Mr. Khattar, seems to be promising,but hasn't done anything huge since coming to office.Jharkhand: Since the creation of the state around 12 years ago, it has witnessed 9 CMs and 3 President's Rules. Finally it has a stable government,and looks ahead for development.Coming up : Elections in Delhi (2015) , Bihar and Tamilnadu (2016) and most importantly UP in 2017. All three have seen huge corruption (save Delhi for 49 days of Arvind Kejriwal) and hence if Modi wave sustains,GoI's plan will find easier implementation at the state level.Criticism : The government is not without it's fare share of criticism. Especially the row over conversions : Conversion row could derail BJP in Delhi Assembly polls.I was expecting the PM to change or repeal the APMC Act (Agricultural Produce and Marketing Act) : Is criticism of APMC Act in line with farmer sentiment?Fiscal Conservatism : This has perhaps been the least criticized aspect of Modi Govt and specifically of Finance Minister Jaitely's (mostly he is not at all criticized in the MSM!)The fiscal conservatism has in trying to stick to the audacious target of 4.1% Fiscal Deficit, the government cut money from areas which are quite vital. For eg. Health Care : India slashes health budget, already one of the world's lowest .Pressuring RBI for Interest Rate Cut have kind of irritated the RBI Governor Raghuram Rajan. He has stated that the rate itself is not the problem, but the high NPAs (non- performing assets) are. On 2nd Dec'14, he left the rates unchanged and what followed in the press interaction,gives the reason why that was so :Page on rbi.org.in [--edit--Added below--]THE SHAMEFUL : Being pro Modi, the only decision of the Center which I found to be absolutely reprehensible,nay shameful was to deny moderate increase in Pension to disabled soldiers. It had to take our Hon. Supreme Court,to knock sense into the insensitive decision of Modi Govt : Supreme Court rejects Centre’s appeal denying benefit to disabled soldiersBut most of all, what PM has done,has given us Hope! ,hope for a better,cleaner and stronger India.

No.Marxist Leninist governments must have a regular rotation of cadres to survive. This was abandoned in the Soviet Union after Stalin. Top government officials decided that instead of operating the levers of power they would rather steal the public goods and means of production outright. And this is precisely what happened. The Soviet Union was strong under a centrally planned economy, and opponents to socialism were removed from power. Power for too long tends to corrupt, whether it be in the U.S. with Senators like Mitch McConnell or Lindsey Graham, or members of the Politburo. China survived not due to market reforms but due to vast anti-corruption probes and removing from power corrupt officials. Purging doesn’t have to mean killing officials. It means firing them and replacing them. In China there were also age restrictions so younger people with fresher idea were brought in.All attempts at market reforms in the USSR only weakened it and ultimately destroyed it. The system started weakening after Stalinism was abandoned in 1953. Khrushchev's “market reforms” were disastrous and ill conceived. Corrupt officials rejected fresh ideas because they believed their power would be reduced. One example is that of Viktor Glushkov , who conceived of an early form of the Internet and developed a system of cybernetics to help the planned economy better deal with exponential complexity.The USSR had a planned economy, where all physical resource funds listed in the National Plan were redistributed by 20-30 subdivisions with roughly 500 staff members. The USSR’s economy, colossal in size, was very difficult to plan precisely using only manual calculation methods. Additionally, the plan underwent constant modifications throughout the year in order to adjust for changing circumstances. Therefore it became clear that it was impossible to coordinate all the planning and economic controls without the use of computers.Glushkov was aware of this, and during 1963 visited around 100 plants and organizations of varied specializations ranging from industrial plants and mines to state farms. He then spent a week at the Central Statistics Administration, where he studied the control chain from regional offices to the Central Administration itself. Glushkov also spent much time studying the operations of the State Planning Committee. Soon, the number of organizations he visited reached 1,000. These experiences gave Glushkov an extremely thorough understanding of the national economy of the USSR as a whole, from the lowest level of authority to the top, enabling him to recognise the system’s peculiarities, challenges, and instances where computing technologies could make a difference.The first draft project for the Unified nation-wide network of computing centers (Russian: EGSVC) was created as early as 1964.The first draft project for the Unified nation-wide network of computing centers (Russian: EGSVC) was created as early as 1964. Glushkov proposed a system to help the country’s authorities control the economy of the entire Soviet Union at all levels of the hierarchy, all in real time using a network of computing centers. The project implied a complete restructuring of the entire system of control, planning, and economic forecasting.The submitted project suggested the creation of 100 computing centers in the biggest industrial cities and economic centers, connected by broadband communication channels.The submitted project suggested the creation of 100 computing centers in the biggest industrial cities and economic centers, connected by broadband communication channels. These centers would be spread across the entire country, and service around 20,000 large industrial plants and ministries as well as small enterprises. The presence of a distributed databank and the possibility of addressless to any information from any branch of the system (after verification of access privileges) was the distinguishing feature of the system. A number of proposals regarding data security were also included.Glushkov’s plans were not fulfilled, and eventually his rival, the Central Statistics Administration rose to be in charge of the State Economic Administration computerization project.However, after the committee reviewed the project, very little of it was left. The budget of 5 billion rubles for 10 years and the need to prepare over 300,000 highly skilled specialists for the project forced the committee to cancel many projects. The practical implementation of EGSVC was limited to creating a number of more basic objects like the Management Information and Control Systems (MICS) and the Automated Manufacturing Process Control Systems (Russian: ASUTP). Their functions were limited to industrial process automation and statistical information collection, in addition to document control in some organizations. This fell far short of the original vision of automation for the entire planning and control system. Thus, Glushkov’s plans were not fulfilled, and eventually his rival, the Central Statistics Administration rose to be in charge of the State Economic Administration computerization project. As a result, the focus of the project shifted to improving the Administration’s work flow.There were other reasons that prevented the implementation of Glushkov’s vision. In large part, it was the fault of the State Planning Committee, by way of its cumbersome bureaucratic apparatus. The heads of its regional and branch administrations were not interested in receiving accurate information about their performance, not to mention unprepared to receive and process economic information. Secondly, implementation of such a large project required large expenditures. Thirdly, the process of in-line data input was still imperfect and necessitated additional training for the staff.Statistics departments and some of the planning department branches were still using computing-analytical machines from 1939, while in the US the comparable authorities had already switched to the new generation of computers. Before 1965, the Americans were developing two lines of computing machines: science research machines and economics machines. These first merged in the machines made by IBM. In contrast, the USSR only had science research machines because nobody cared to develop computers for economics; thus, there was nothing to merge. While Glushkov attempted to spark computer designers’ interest in the necessity of such machines, he managed to persuade neither B.I. Rameev (head designer of “Ural”) nor V.V. Przhiyalkovskiy (designer of the “Minsk” computer series).Victor M.Glushkov meets scientists from USAGlushkov stated openly that the OGAS project was more complex than the space and nuclear programs combined, because it would affect every administrative branch: industry, trade, planning, control and more.Starting in 1964, leading economists like Liberman, Belkin, Birman and others began to speak out openly against Glushkov. Despite this, the Chairman of the Council of Ministers A.N. Kosygin, being a very practical man, decided to hear him out and weigh the potential costs. Glushkov stated openly that the OGAS project was more complex than the space and nuclear programs combined, because it would affect every administrative branch: industry, trade, planning, control and more. However, according to his calculations, the system would pay for itself within 5 years of operation.Still, the country’s leadership decided that simple economic reform would suffice, and cost less. Glushkov and OGAS were put aside. Not much later, First Secretary of the Central Committee of the Communist Party of the Soviet Union, P. Shelest, summoned Glushkov and ordered him to stop OGAS propaganda and instead focus on lower-level systems.The Lviv MICS was the first system in the USSR used at a plant with large-scale production.Expecting this, Glushkov and his team at the Institute of Cybernetics of the Academy of Sciences of the Ukrainian SSR began working on the “Lviv system” – a MICS for use at the Lviv television plant “Elektron” (today, a more modern term “Enterprise Resource Planning Systems” or “ERP-systems” is used to describe such systems). The Lviv MICS was the first system in the USSR used at a plant with large-scale production. The history of the system began in 1965. Glushkov attended a conference organized by the regional national economy department in Lviv, where he gave a speech promoting automated control systems and explained how they work. The Director of the television plant S.O. Petrovskiy gave the scientist an opportunity to create such a system at his plant and promised cooperation. Glushkov, excited by the chance to create a first-of-its-kind machine, completed the project within 2 years.After completing the “Lviv system”, the Institute of Cybernetics went on to build an even more complex system “Kuntsevo” for the Kuntsevo radio manufacturing plant.In the late 1960s, new information emerged about American attempts to build an information network. Apparently, they completed a draft project for several such networks in 1966, 2 years after Glushkov’s original OGAS proposal. The launch of ARPANET, which would connect computers in several American cities, was planned for 1969. As a result, the Soviet leadership decided to return to the OGAS idea, and created another high-level committee, which now included the Minister of Finance, Minister of Instrument-building, etc. This committee was tasked with making a decision about the creation of OGAS.In the new version of the project, Glushkov shifted emphasis from core issues to implementation mechanisms. He proposed to create a State committee on OGAS design control, and a central scientific center including 10-15 existing institutes. Most importantly, he proposed that one of the members of the Politburo be made responsible for the projects.At the hearing on OGAS, where neither Brezhnev nor Kosygin were present, the Politburo expressed major objections toward the project. This is how Glushkov himself described it in his “Confessions”:“Suslov led the hearing. After Kirillin spoke, I had the chance to present the idea. My speech was short.” It provoked many questions, but Glushkov answered all of them. “Then Kosygin’s assistants were invited to speak. Baybakov was first, and he not only supported me, but also emphasized the importance of the project and explained how the resources needed for implementation could be procured.”“Minister K.B. Rudnev signed the document, but commented negatively, said that it was premature to sign it. Garbuzov, Minister of Finance made a speech worth recounting.He entered the stage and addressed Mazurov, Kosygin’s first assistant. He said that, well, he went to Minsk as directed, in order to examine the poultry farms. At the so-and-so farm, the workers designed a computing machine on their own. I laughed out loud. He shook a finger at me and said, “You, Glushkov, shouldn’t laugh, we are discussing a serious issue”. However, Suslov interrupted him, “Comrade Garbuzov, you are not the chairman here, and it’s not up to you to control the proceedings of a Politburo hearing”. He shrugged, and self-confidently continued, “The machine can perform three programs; turns on music when the hen lays an egg, turns lights on and off, and so on. This increased egg production at the farm”. So he suggested that first we should implement these machines at all the poultry farms in the Soviet Union, and only then could we even begin thinking about silly projects like a nation-wide system…So someone introduced a counter-suggestion, which significantly decreased the level of the system. State control was replaced by Head Administration of computing technologies at the State committee for science and technology; the central scientific center – by the All-Union Scientific Research Institute for issues of organization and control; etc. The main task remained intact, but became more technical, and focused on the Nation-wide computing center network. The economic dimension, the mathematical model development for OGAS and the rest was phased out.if we don’t do this now, by the late 1970s the Soviet economy will face serious problems that will force this issue to re-emerge”Toward the end of the hearing, Suslov came forward to say, “Comrades, perhaps we are making a mistake by not accepting the project in full; however, it is so revolutionary a change that it is difficult for us to implement at this time. Let us try it this alternative, and see how it goes”. Then he asked not Kirillin but me, “What do you think?” I said, “Mikhail Andreevich, I can tell you one thing, that if we don’t do this now, by the late 1970s the Soviet economy will face serious problems that will force this issue to re-emerge”. However, my opinion was ignored, and the counter-suggestion was accepted.”After the directives by the XXIV assembly about OGASwere published, strange assaults on Glushkov began. For example, as he remembered it, in 1970 when he was returning from Montreal to Moscow on the Il-62 plane, the experienced pilot felt something was wrong when they were already flying over the Atlantic and returned. It turned out that someone added something to the fuel mix. Glushkov landed safely, but the rationale and perpetrators of the sabotage remain unknown.Behind the scenes other intrigues took place. Minister of Finance Garbuzov managed to set Kosygin, who originally supported OGAS, against Glushkov. He told Kosygin that the State Committee would become an organization that would check the activity of Kosygin and the Council of Ministers, and thus should never be allowed.“OGAS is done for” – said Glushkov’s opponents.In 1972, the All-Union conference, headed by Kirilenko, took place. It finalized the shift toward manufacturing process control. The aim was to slow the development of automated control systems. “OGAS is done for” – said Glushkov’s opponents.During the preparations for the XXV Assembly of the CPSU, the word “OGAS” was taken out of the text of the decision. Glushkov wrote a memo for the Central Committee proposing to create branch control systems, which could later be merged into OGAS. This suggestion was accepted.Viktor Mikhailovich also began a media campaign for the creation of OGAS. The editor of “Pravda” supported this idea. After the article “For the entire country” was published, Glushkov finally felt hope that OGAS could see the light of the day. After all, “Pravda” was a branch of the Central Committee, which meant that the article was approved. However, this was not to be.According to experts’ estimates, the Soviet control system was three times as cheap as the American system, at the same level of GDP. The decision not to approve OGAS was the biggest strategic mistake of our leadership and our society”.Y.E. Antipov, deputy chairman of the Military-industrial committee of the USSR and a supporter of OGAS commented, “The planned economy of the former USSR allowed us to create the most effective system of economic control. Understanding this, Glushkov made his bet on OGAS. According to experts’ estimates, the Soviet control system was three times as cheap as the American system, at the same level of GDP. The decision not to approve OGAS was the biggest strategic mistake of our leadership and our society”.As a result, Glushkov was like a prophet “not welcomed in his town”. He was misunderstood and forgotten.During those difficult times, D.F. Ustinov, Minister of Defense supported Glushkov. He suggested the scientist implement the idea of OGAS partially, in the defense branches of the industry. The branches being well-organized, it was easy to create a number of effective automated control systems for them in a very short time. However, Glushkov’s opponents continued to plot against him. His automated control systems were declared ineffective and to cause financial loss. While in a limited number of cases this was true, due to poor understanding and use of the systems, the reports were exaggerated and presented as the last word. This in turn resulted in the policy of denial of accelerated computerization and informatization of the society. Just as in cybernetics, Glushkov’s opponents managed to achieve temporary success, which was crippling despite his best efforts.Victor M.Glushkov (in the center) at the meeting in Tula with head designers of computer system for military enterprises. OGAS did not die away yet! 1980.Another new and unexpected opponent was Glushkov’s worsening health. During his last days of life, Ustinov’s assistant came to him and asked if they could help him in any way. “Send me a tank!” he responded furiously, remembering the wall of bureaucracy and misunderstanding he never managed to breach. On the morning of January 30, 1982, the great scientist’s heart stopped beating.Academician Glushkov was ahead of his time; the state and society were not ready to receive OGAS when he proposed it. This was the scientist’s tragedy, as he did not want to accept that others could not comprehend something that for him, was self-evident.[1]Footnotes[1] Academician Glushkov’s “Life’s Work”