Wednesday, September 2, 2020

Kamala Harris: A Look At Joe Biden’s Running Mate

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Vanshita Banuana

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Kamala Harris: A Look At Joe Biden’s Running Mate

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Global Views 360

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September 2, 2020

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Kamala Harris giving a speech

Kamala Harris giving a speech | Source: Twitter

On August 11, Democratic Party’s nominee for the US Presidential election. Joe Biden chose Kamala Harris as his running mate for vice president. Her selection preceded a lot of noises from within democratic party’s grass-root workers and progressive leaders to choose a woman of colour for the VP position. This was taken as a show of support for the progressive causes  for which Joe Biden nd Democratic Party stand with full force.

Here’s a look at the life and policies of Kamala Harris, who could be the first woman to occupy the position of Vice President of the USA.

Kamala Harris (L) with her mother—Shyamala Gopalan (C) and Sister—Maya Harris (L) | Source: IndiaAbroad

Kamala Harris was born to immigrant parents who came to the USA as students in the 1960s and stayed on to fulfil their dreams. Her Father came from Jamaica in 1961 to pursue economics from UC Berkeley, while her mother came from India in 1958 to pursue research in endocrinology and breast cancer, also from UC Berkeley. They met and married during the social protest movement in the 1960s but got separated while Kamala was only seven years old. Her mother never remarried and took great care of Kamala and her sister Maya.

Kamala’s mother belonged to one of the highest social classes, the Tamil Brahmin but raised both of her daughters as Black American. She kept her contact with the family back in Chennai (earlier known as Madras), India, which continued with Kamala as well.

Kamala spent much of her childhood in Montreal, Quebec, Canada after her parents divorce. After graduating high school she attended Howard University, a historically Black college in Washington, D.C. She is also a member of Alpha Kappa Alpha, a well-known Black sorority. She married Douglas Emhoff, an attorney, in 2014. Her sister is currently a lawyer, an MSNBC political analyst, and has worked with Clinton’s 2016 presidential campaign.

She was the district attorney general of San Francisco and attorney general of California, and was the first Black woman to hold those positions. She went into the profession apparently because she wanted to change the law enforcement system from the inside. Over the years she has repeatedly referred to herself as a “top cop,” though she also prefers “progressive prosecutor.” She became a member of the Senate and has been running for President since 2016.

Her stance on several policies has changed over the years. During her prosecutor years she occupied a classic centrist stance: she supported some reforms to the criminal justice system, which was unique in an era of “tough on crime” policies (that often had racist undertones), but at the same time she tried to keep favour with police officers and unions— perhaps due to her nature as a prosecutor, and was often silent on bills which might have be seen as too polarised towards one end of the spectrum.

Her more well-acclaimed decisions came in the form of programs such as anti-bias training, Open Justice and Back on Track. Open Justice is an online portal that makes various criminal justice data, such as deaths and injuries in police custody, available to the public. Back on Track was about a year long program aimed at young and first-time low-level offenders, offering to waive jail time if they went to school, got a job, and other such goals.

It might be worth noting that a lot of Harris’ actions focus on what can be done after an arrest is made and before incarceration, which inherently means that reducing police brutality and reforming prisons have not yet been great strengths of hers. Since the beginning of the Black Lives Matter movement, civil rights activists have looked up to Harris, a Black woman in a position of power, to lead the change in terms of legislature, but have come out with mixed results. Most of them feel that Harris strives for some reform but never gets too bold, and essentially ends up upholding the status quo.

For instance, around 2015, she made body-worn cameras mandatory for all of the small percentage of special agents employed by the attorney general, but did not support a bill to make them mandatory for all police officers in California, stating that she opposed a “one-size-fits-all approach.” Some of her other decisions while she was a prosecutor have been questioned in recent debates, such as her anti-truancy law, and the evolution of her opinion on marijuana.

Harris has spoken out in support of Kashmiris under Indian occupation after the revocation of article 370. Biden has been critical of the Citizenship Amendment Act. However, she has also described the India-US relationship as “unbreakable”, and even tweeted a welcome message for Indian Prime Minister Narendra Modi on his visit to India in June 2017.

Biden’s choice of Harris as his running mate for vice president is considered by her supporters as symbolic and historic due to her identity as a Black Asian-American and the representation she brings to a powerful stage. Her critics however, have been skeptical due to her career as someone who worked very closely with law enforcement.

Harris, like any other politician, has a checkered past which deserves scrutiny. Those who are rooting for or against her deserve to know about the different aspects of her political, social and other policy positions which helped evolve into the politician she is today and the direction in which she is expected to move in the future. This will be essential for her to appeal to a wider population and add to the votes for Joe Biden in the November 2020 Presidential poll.

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April 13, 2021 7:47 AM

Are India's Antitrust laws effective at controlling monopolies?

On 15th of July 2020, Reliance Industries Ltd (RIL) held its annual general meeting of the shareholders. The chairman and managing director Mukesh Ambani, announced that global tech giant Google would be investing $4.5 billion in Jio Platforms. Facebook also has acquired a 9.99% stake in Jio Platforms. This is the first time in the world that both the global tech giants have invested in the same entity. These investments have boosted the confidence for Jio Platforms and also for India’s growth but there have been questions and speculations about the potential anti-competitive makeup of these deals.

The objective of this article is to explore the interpretation and the effectuality of Antitrust laws in India.

Anti-competitive practices are those business practices which firms engage in to emerge as the or one of the few dominant firms, who will then be able to restrict inter firm competition in the industry in a bid to preserve their dominant status. The Collins English dictionary defines antitrust laws as those laws that are intended to stop large firms taking over their competitors by fixing prices with their competitors, or interfering with free competition in any way. These laws focus on protecting consumer interests and promoting a competitive market. The word ‘Antitrust’ is derived from the word ‘trust’. A trust was an agreement by which stakeholders in several companies transferred their shares to a single set of trustees.

In present-day India, talking about market dominance Reliance Industries Ltd (RIL), resembles American company—John D Rockefeller's Standard Oil Company—of the early 20th century. Mukesh Ambani holds the highest ability to influence markets and policy in every sector in which RIL is present—petrochemicals, oil, telecom, and retail. Many industry experts and critics suggest that Ambani has used his political clout to twist the regulatory framework in his favor.

Gautam Adani, founder of Adani Group | Source: Twitter

Furthermore, economic power in aviation infrastructure is clustering into a few hands as well. In 2019, the Adani Group bagged the 50-year concession to operate all the six Airports Authority of India-operated airports—Lucknow, Jaipur, Guwahati, Ahmedabad, Trivandrum, and Mangaluru—which were put up for auction. The company also obtained a controlling stake in ‘The Chhatrapati Shivaji Maharaj International Airport, Mumbai’ from GVK Airports. Moreover, Adani Group is now set to construct the Navi Mumbai International Airport. The group is now eyeing Indian Railways while they have already established an alarming monopoly in green energy and sea ports. While Airports are natural monopolies, one private company controlling more than 8 important airports is not good news to airlines.

India has established antitrust laws to promote competition. For 40 years, India followed the Monopolies and Restrictive Trade Practices Act 1969 (MRTP). This act was based on principles of import substitution and a command-and-control economy. However, over time several amendments had to be made to the act. In 2002, the Indian approved a new comprehensive competition legislation. This is called the Competition Act 2002. The act focused on regulating business practices in order to prevent practices having an appreciable adverse effect on competition (AAEC) in India. The act primarily regulates three types of conduct: anti-competitive agreements (vertical and horizontal agreements), abuse of a dominant position, and combinations such as mergers and acquisitions. The act lists out the cartel agreements that it intends to prevent. This list includes price-fixing agreements, agreements between competitors seeking to limit or control production, market-sharing agreements between competitors and bid-rigging agreements. These agreements are called “cartel” arrangements.

The competition Act is enacted by the Competition Commission of India (CCI), which is exclusively responsible for the administration and enforcement of the Act. It comprises a team of 2 to 6 people appointed by the government of India. The CCI has previously handled high-profile cases. In 2018, CCI imposed a fine of Rs135.86 crore on Google on the grounds that Google misused its dominant position and powers to create a search bias. In another important case, the CCI, ordered a probe into Idea, Vodafone and Airtel when Reliance Jio owner Mukesh Ambani lodged a complaint against the three for forming a cartel and denying Jio the POI required for network connection, causing multiple call failures. The Cellular Operator Association of India was also probed for encouraging the same.

In some cases, the Competition Commission has been successful in tackling activities that are against the free competitive market. However, critics and economists believe that the act is now unable to adapt to the changing business environment in e-commerce, telecom, technology and the government’s role in distorting competition. Demonetization and GST drove the formalization of the economy. One consequence of them was that bigger, better organized players gained at the cost of smaller ones with lesser resources. The Insolvency and Bankruptcy Code (IBC) was designed to solve the problem of non-performing assets (NPAs) of banks. But consequentially, it has also led to a consolidation in many sectors.  

However, CCI has expressed inability to consistently adjudicate punitive measures due to obligation in several cases. This points to the loopholes in the very provisions of the Competition Act 2002. In an Economic and Political Weekly (EPW) article, Aditya Bhattacharjea—an Economist—argues that even though the 2002 Act represents an improvement from the MRTP Act which was extremely restrictive, the present act also remains riddled with loopholes and ambiguities. According to Bhattacharjea, this creates unnecessary legal uncertainty, which acts in advantage of lawyers and law firms. For instance, the act allows the CCI to leave some scope of flexibility for “relative advantage, by way of contribution to the economic development.” Bhattacharjea argues that this may allow large firms to justify their anti-competitive practices in the name of development.

Mark Zuckerberg and Mukesh Ambani having online interaction after Facebook invested in Jio Platforms | Source: NDTV

Data portability plays a significant role in determining market power of certain firms. In 2017, the CCI closed cases against both WhatsApp and Jio involving allegations of predatory pricing and privacy violations. In both these decisions, the regulator did not consider the restrictions around data portability as a competitive advantage. The possible data leveraging advantage for the attempted monopolization could be the ‘portfolio effect’. Portfolio effect refers to increasing the range of brands, by bundling of telecom or messaging service and other service offerings or illegal vertical restraints, even predatory pricing. This in turn may lead to greater ability of further leveraging, deterring innovation and results in degradation of quality. Another possible advantage is explained as the theory of leveraging. The best example of leveraging is when Microsoft entered the media-player market by extending its quasi-monopoly on the operating systems market by taking advantage of the indirect network effects. In case of Facebook acquiring 10% of Jio’s shares, it is a concern that both entities could potentially use WhatsApp’s market dominance in telecom and social networking services and establish dominance in e-commerce market through anticompetitive acts.

There was a consensus among Indian policymakers at the time of the 1991 economic reforms that economic liberalization would eliminate the nexus between the business elites and the policymakers. On the contrary, the relationship between these two groups got further strengthened.

On the other hand, few critics and industrialists argue that extreme restrictions on growing companies hampers the progressive growth of the national economy. While RIL’s Jio looks like a cause for concern, the company has also saved Rs. 60,000 crores for annual savings in India. In addition to that, the entry of Jio to the telecom industry has led to a rise in data consumption and improved accessibility and affordability of the internet across the nation.

However, the concern still lingers as the question of whether this growth is a result of actual innovation or crony capitalism remains unsolved.

However, the fact that telecom, organized retail, ports and airports have two or three players controlling the bulk of the sector needs to be addressed. A healthy competition is quintessential for long-term growth and innovation. Harmful trade practices and cartelization does not only affect small manufacturers but also the general public.

The government, CCI and other lawmakers must closely examine the present laws and provisions and need to see if they are required to amend the act.

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