Visiting prof discusses Indian economy

Ramachandran saysRamachandran sayscountry isRamachandran sayscountry is"misunderstood" A snake charmer graced the screen in a Steinberg-Dietrich lecture hall last week, representing the "traditional perception" of India, according to J. Ramachandran, the Harry Reynolds Visiting International Professor at the Wharton School of Business. But Ramachandran explained that this misconception does not account for the fact that India is "also on the forefront of technology." Addressing an audience of about 20 students Friday afternoon, Ramachandran attempted to shed some light on India, which he referred to as "a country that is rather misunderstood." The speech was the first of a lecture series sponsored by the Wharton Asian Association. Ramachandran began by relating the history of India's economy. From 1947 until 1991, India had a centrally managed economy in which the government played a dominant role. Five years ago, however, a full-scale economic reform program began. According to Ramachandran, the 1991 reform was not the result of an ideological shift. Instead, he attributed the reform to "the country [being] close to bankruptcy." Political instability, rising petroleum prices and the collapse of the Soviet Union --Ea major market for India -- caused the nation's economic problems, Ramachandran said. He described 1991 as a year that brought a new government to power in India. By introducing a variety of policy reforms involving industry, trade, taxes and the financial sector, the new government worked toward integrating India into the global economy, Ramachandran said. He also cited a significant growth in India's economy as a result of these reforms. In the last four years, there have been more than $8 billion in foreign investment, he said. He further explained that these reforms had a great impact on the psyche of the Indian people. Ramachandran described this economic growth as sparking an "explosion of choice" and the "liberalization" of the Indian citizen's mind. "Everybody feels we can't be left behind," Ramachandran said. "India has awakened [and is] alive today." He asserted that the time has come for India to take "its world place." After a short question-and-answer session, Ramachandran talked about the importance of speaking to Penn students. "They can't afford to miss the India opportunity," he said, adding that India will soon become a major player in the global economy. He said he felt that his visit gave him the opportunity to serve as an ambassador for his country and a chance to "show that India is different." WAA Alumni Relations Officer and Wharton sophomore Gary Hung attributed the low turnout to Friday's winter storm. But Hung added that the group did not "plan to have a lot of people, so we can ask questions." Hung said the format of a "mini-lecture" allowed for "more interaction." But WAA Treasurer and Wharton sophomore Hester Wong, who plans the lecture series, said that attendance for the event "was actually pretty good." According to WAA Vice President and Wharton junior Liana Wu, the WAA has been "recently revived" and currently has nearly 70 members. The purpose of the WAA is "to inform students about Asian business and Asian economics," Wu said. "It is unique in that it is the only [Wharton] club that addresses issues in parts of Asia," Wu said. And Wharton junior Nancy Loh said the lecture series allowed the WAA to "bring representatives of Asian business and economic development of the Asian countries to talk about interesting and current issues in Asia. In addition to sponsoring the lecture series, the WAA organized a China conference last semester, which brought together prominent speakers from China and Hong Kong to discuss economic issues related to these areas. Wong said the WAA is currently planning for at least two more speakers this semester.