Head over to RightVIEWS

Today I am announcing the launch of RightVIEWS media. It's flagship product is the YouTube channel RightVIEWS and we also have Podcast and website to go along with that.

The idea is to create a long-form content on Podcast for the moment and use the blog for written content. 

On the Channel itself, I aim to create a series of videos on particular subject rather than one single long video. 

This is the start and we have 49 subscribers, 38 videos and 20 podcasts. Lets see how we can expand it. Head over to rtvws.com to learn more. 

Why is there is no lending in crisis?

On LinkedIn, Callum Thomas has shared a post detailing tightness in lending standards and gradual shifting to tight credit conditions.

Lending standards tighten at the exact wrong time in a crisis. Also in a crisis the ratings get downgraded en masse. When we want banks to lend, banks do not want to lend. When we want banks to stop lending, banks get busy making risky loans. This is one problem of banking regulation that has not received enough attention. 

Markets and particularly rating agencies need to appreciate the difference between Macro risk (where all aspects of the economy are impaired) v/s corporate risk (where particular company suffers impairment because of its own actions or inactions).

Credit cannot be pushed - it needs to be pulled. To achieve this, a better mechanism is interest subvention. It seems to be a much better tool when macros risks are prevalent.

An SPV which guarantees interest rate up to X% (ranging from 30-50% of lending rate - so for India it will guarantee 3% interest cost for US it could 0.75%) it should cause firms to pull credit and deploy it for productive uses.

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Rahul Prakash Deodhar, Advocate, Bombay High Court is also a private investor. He can be reached at rahuldeodhar@gmail.com, on twitter at @rahuldeodhar or at his website www.rahuldeodhar.com.

Buy my books "Subverting Capitalism & Democracy" and "Understanding Firms"

Will US Dollar collapse? What will be an alternate currency? What about Gold?

At this point I am not sure Dollar collapse is closer. 

A dollar collapse needs to have three points - 

1. The fundamental weakness in USD (we have this more or less) 
2. a World not reliant on US consumer demand 
3. A strong challenger

Last 2 conditions are not met - at least not yet. Euro has its flaws and needs to iron those out before it can become a challenger. Yuan will not be a challenger. SDR is closest option we have but there are issues there too. I am not confident of the blockchain currencies that exist presently.

IF Dollar is really stressed we may go back to a gold-peg rather than other currencies. In fact, gold peg may be quite a good Fed policy for the short term.

If we correct the SDR structure then eventually even the US would love to have a 2-level currency system. 

Previously I have discussed views on US Dollars here:
Dollar, the International Currency system and the Ghosts of Connally

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Buy my books "Subverting Capitalism & Democracy" and "Understanding Firms".

COVID-19 Corona Virus - What we need to know.

I have uploaded my first video on Corona Virus what we need to know. Please watch and subscribe to the YouTube Channel. Also follow Right Views on Twitter (http://twitter.com/rtvws) and Instagram (https://www.instagram.com/rtvws/)




The video is accompanied by info pack that can be downloaded here.

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Rahul Prakash Deodhar, Advocate, Bombay High Court is also a private investor. He can be reached at rahuldeodhar@gmail.com, on twitter at @rahuldeodhar or at his website www.rahuldeodhar.com.

Buy my books "Subverting Capitalism & Democracy" and "Understanding Firms"

What is the difference between NRC and NRC Assam?

I made a video explaining the same. It includes a chart explaining the difference which is detailed below.

Here is the video:

I made a chart of the difference between NRC and NRC of Assam:


Here it is:

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Rahul Prakash Deodhar, Advocate, Bombay High Court is also a private investor. He can be reached at rahuldeodhar@gmail.com, on twitter at @rahuldeodhar or at his website www.rahuldeodhar.com.

Buy my books "Subverting Capitalism & Democracy" and "Understanding Firms"