22.12 ndian onom
and thus have an indefinite life are tradable on the
commoDities trAnsAction tAx floors of the stock exchanges.
[See Chapter 17, Tax Structure in India]
An ad hoc grouping of firms, governments, etc.
Products being used as the means of payment as in brought together to undertake a particular project
the traditional barter system. Such practices take by pooling their resources and skills for major
place generally when the confidence in money has construction projects, loans, etc.
fallen down (as for example in the situations of
high inflation and high depreciation). consumer DurAbles
communitisAtion Consumer goods that are consumed over relatively
long periods of time rather than immediately
A method of privatising public service delivery (opposite to the consumer non-durables) such as
without going for the tendering process. It is done
cars, houses, refrigerators, etc.
by transfering powers including financial powers
to the user community who will take up the job
of revenue collection along with an effective and consumer non-DurAbles
more practical governance of the service delivery. Consumer goods which yield up all their
This model is bereft of profit motive and so, more
satisfaction/utility at the time of consumption
(opposite to the consumer durables), examples are
Service delivery in communitised elementary
cheese, pickles, jam, etc.
schools and health service institutions has
improved considerably and power tariff collection
has risen by 100 per cent since the reform began conspicuous consumption
in 2002 in Nagaland—Secretary, Union Ministry Consumption for the purpose of showing off
of Steel, Raghaw Sharan Pandey who did it in
ostentatiousness but not for the utility aspect –
Nagaland as its Chief Secretary.
for example, the use of diamond-studded sandals,
watches, pens, etc.
It is about identifying activities that an individual, contAgion
a firm or a country can do most efficiently, being
together. A situation or an effect of economic problems in
The idea, usually credited to David Ricardo, one economy spreading to another also known as
underpins the case of free trade. It suggests that the domino effect.
countries can gain from trading with each other
even if one among them is more efficient (i.e., contrAriAn
it has an absolute advantage) in every kind of
economic activity. A person following an investment strategy
(specially in share market) just opposite to the
general investors in a given period. For example,
when a share is generally being sold by the
This is the abbreviated form of consolidated stock. investors, a contrarion keeps on buying them—
The government bonds which have no maturity the logic is that due to selling pressure the price