Rajiv Gandhi Foundation finds Gujarat No 1 state-

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SIARAM (AT) aol (DOT) comDate: Sat, 21 May 2005 15:30:15 EDTRajiv Gandhi

Foundation finds Gujarat No 1 state- SIARAM (AT) aol (DOT) com

Rajiv Gandhi Foundation finds Gujarat No 1 stateTIMES NEWS NETWORK[ SATURDAY,

MAY 21, 2005 07:24:45 AM]NEW DELHI: The Narendra Modi brand of governance has

got an unexpectedendorsement. The Rajiv Gandhi Foundation, headed by Sonia

Gandhi, has adjudgedModi’s Gujarat as the Number 1 state in economic freedom

index.A study ‘Economic Freedom for States of India’ carried out by the

Rajiv GandhiInstitute for Contemporary Studies, the foundation’s think-tank,

has come tothis conclusion after analysing “economic freedom†in different

states ofIndia.The study has defined economic freedom as “absence of

goverment coercion orconstraint in the production, distribution or consumption

of goods and servicesbeyond the extent necessary for citizens to protect and

maintain liberty byitselfâ€.In other words, the foundation does not agree that

individual liberty is underthreat in Mr Modi’s

Gujarat.The study is all praise for Gujarat, as it grades state governments on

itspolitical decision-making; the extent to which justice is served; levels

ofcorruption; and the extent of regulation in the labour market.The study,

which has taken into account the size of government, security ofproperty rights

and regulation of credit and business has said that Gujaratcomes on top. On the

size of goverment, Gujarat comes in the first position.For, only a small share

of the GSDP is accounted for by government services.Here, the government has a

small role as subsidiser. Power subsidies are amongthe lowest in Gujarat.In

what could be a discomforting finding for the Congress and the Left, the

RGFstudy says: “Safety of life is an essential component (of economic

freedom).Gujarat, AP, Tamil Nadu, Haryana and MP have a very small share of the

totalcrimes being accounted for by violent crimes. This share is much higher

in J&K,UP, Jharkhand, Bihar and Assam, where murder, rape, kidnapping,

abduction,riots, arson and dowry deaths are more rampantâ€.The findings do not

end here. “In Gujarat, Chattisgarh, Rajasthan and MP (allBJP ruled) a large

share of the cases that are taken up by the police areensured complete

investigation, unlike in West Bengal, Punjab, Bihar, Jharkhandand

Assamâ€.Also,“in Gujarat, least number of mandays are lost as a result of

strikes andlockout as a ratio of total industrial workers in the

stateâ€.Gujarat’s liberal licence regime has also come for praise in the

report.“Constraints on trade imposed by market and license fees were also

included ineconomic freedom. Corruption is also seen to be relatively low in

Modi’sGujarat. “In Gujarat, AP, Maharashtra, a smaller share of the total

casesresgistered are pending investigation.â€â€œGujarat, AP, Maharashtra and

Haryana exhibited low

minimum license fee fortradersâ€.“Corruption is measured in terms of cases

pending investigation as a ratio oftotal cases registered under Prevention of

Corruption and related acts. InGujarat, AP, Maharashtra, a smaller share of the

total cases resgistered arepending investigation. The situation, however, is

bleak in West Bengal, J&K,HP, Jharkhand and Bihar

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