Govt to revamp official data for clearer picture of economy
(This story originally appeared in on Jan 19, 2020)
NEW DELHI: Faced with criticism over quality of data as well as allegations of manipulation, the go nment has begun discussions on a much-delayed revamp of official statistics, which have been at the centre of a political slugfest during the last few years.
The focus is to capture economic activity more accurately. The initiative came after a series of meetings by NITI Aayog, ministry of statistics and other go nment agencies revealed major gaps that need fixing immediately to improve the quality of official statistics.
There have been fierce political skirmishes over official data with opposition and a section of experts questioning the higher growth figures in the tenure of the Modi go nment. Former chief economic adviser Arvind Subramaniam claimed that GDP was actually 2.5 percentage points lower than the official figures. Though criticism tapered as official figures reflected a growth slowdown, and Subramaniam’s assertion was questioned, the go nment felt the need to take a long, hard look at official data.
While data with the ministry of corporate affairs is seen to be reliable in measuring organised sector activity, sources said, the picture is different when it comes to capital formation or several other financial parameters where numbers may be deficient. For instance, value of land or paid-up capital does not often capture the market value, especially when the entity has been in business for years.
Sources said that successive statisticians have failed to implement recommendations of the C Rangarajan committee, which submitted its report during the Atal Bihari Vajpayee go nment. While the idea is to use that as a starting point, including enacting a legislation for which a draft bill has been floated for public consultation, the go nment is expected to rope in the World Bank to use global best practices. Besides, the states will be an important partner in data collection with technology to be harnessed, said sources familiar with the discussions.
Pronab Sen, who was the country’s first chief statistician, blames lack of resources for some of the problems. “A substantial number of recommendations of the Rangarajan committee have been implemented,” said Sen, who later became chairman of the National Statistical Commission. “You need more manpower. Getting additional resources in the go nment is a major problem,” he added. Sen is now heading a panel set up to revamp statistics.
Asked whether there was an underestimation of GDP as a result of the outdated parameters, Sen said: “You have no idea which way the bias is.” Another former chief statistician, who did not wish to be quoted, said a significant number of recommendations of the Rangarajan Committee had been implemented but the actual number cannot be computed.
译文来源：三泰虎 http://www.santaihu.com/49233.html 译者：Joyceliu
this is 100% the right thing to do, and long outstanding. Finally, good governance will be there, based on real and complete data, based on current structure of Indian economy, not on what the marxists of Sonia together with Bengal mafia like Pronon Sen gave, which is full of inadequacies. And data should come timely, like it does in the USA.
Let go nment do this exercise, they would be surprised to find that the base earnings of even the road side eateries have shrunk
If this is an excercise to improve the system and not to prove that i have done better, then its a good excercise. Just to blame opposition we dont need to waste t time and public money by this laggard govt
A new way is going to be invented to fool the public. But as in the past they will be exposed as data actual data will speak itself
Nothing but to bring small businesses in the GST net
As Pronab Sen himself told Karan Thapar they may put the report in cold storage as more than 100 such reports are in past. It Modi was serious about data he would immediately gone for Sample Survey of informal sector in 2018 itself to work out new coefficients between informal and formal sector which would have shown actual recession (and only growth of 2-3 per cent which economist believe now to be fact) for last 2-3 years.
正如普罗纳布·森自己告诉Karan Thapar的那样，他们可能会把这份报告冷藏起来，因为过去已经有过100多份这样的报告了。莫迪认真看待数据，他2018年就会对非公部门进行抽样调查，查看非公和公共部门之间的的新系数，绝对能反映过去2 - 3年真实的经济衰退情况(增长率只有经济学家现在相信的2-3%)。
I am sure modi govt will do everything possible in its kitty...except running a govt itself!
Thank you Hemant ji! Sensible ppl , who can see through go nments blunders, are last hope for this country .
More rigging to come in the name of "transparency."
Sanjay Mehta you are right.
Sanjay Mehta 你是对的。
Government is hyper sensitive about it's image and extremely desensitive about the ground reality and the precarious situation and hardhip about common ppl. Come what may they will reach 5 tn economy by statistics jugglery and paid media will make ppl believe this.
So finally they will show the ravaged economy to 5 trillion by revamping data. this go nment is too self absorbed and care more about its image rather than economy or it's ppl.
Revamping is economy is preferable to revamping data.
Revamping economy should be done based on CURRENT, COMPLETE, and CORRECT data. Not outdated data on the economy. So this is a good step.
Was the data current, complete and correct, when the economy was growing at respectable rate in the earlier years? However if one cares for the welfare of the nation, efforts to calibrate the data should be honest. Nothing can be hidden before public.
The 3rd grader got lost in math. Wandering what to do. India got a dumb PM.
There should be ways to somehow calculate unorganized sector of the economy, which gets unnoticed always.
Data is largely a support, but if you have rational policies and agendas that culminates growth to implement, it doesn't really matter immediately to know the exact figures. Since these guys are obsessed with $5 trillion by 2024; proving the numbers now becomes pretty important. Depleting standards of polity by all parties. I only hope global sentiments remain positive still for India.
After 6 years, this govt is still clueless about formula to have a clear picture of economy..I know Modi himself and his govt is full of morons having NO clue what's going on...but, i wonder on their staunch supporters who still thinks and believe this bluff master would bring ACCHHE DIN!!! keep sleeping, we are already in Stagflation zone now!!!
another round of fake data in making
Numbers can tell you a lot about the economy provided the process of getting to that number is correct and integrity is maintained. Maybe Govt has realised this sooner then later
Numbers are just manifestation of living. Has living improved or deteriorated ? Certainly the later.
It is perhaps time that key economic data is generated by an independent body accountable to Parliament like the CAG.
Man Ought to Destroy India
That means more fake data
a go nment whose hall mark has been to fudge all figures can not take U turn and expose itself.
revamping or fudging?