What is the truth in the claim of some South Indian politicians that South is propping up North.

What is the truth in the claim of some South Indian politicians that South is propping up North. A finance expert analyses.


  1. Its right and this so called north south divide is created by so called intellectuals and politicians. There is one India and that is Bharat!

  2. This professor makes a statement and then contradicts himself elsewhere. He conveniently forgets that industries develop either at the source of raw materials or where the market is. What will anyone do with all industries near the source of raw material? The economics and economies have a role in the decisions taken. Somewhere he says people of south prospered because of these industries and magnanimity of north and elsewhere he says metal prospered because of Saudi money transfer and other states also with money transferred from abroad. He also goes on to talk about Kerala nurses and he forgets about it specialist from south and IT industries which developed without any help from north. He talks about higher credit given in TN. Babks extend credit to those when they are sure of getting it back, not because they gave to favour south.

    • Freight equalization policy was a big (maybe biggest) reason why Bengal de-industrialized. Coal, Iron, Ports, inland waterways were all nearby Bihar (now Jharkhand) and Bengal. Before this, it was the most industrialized province but after this policy industries started shifting to other parts of the country. Communism and violent trade unionism were the final nails in coffin.

  3. That opinion was new to me on why south progressed? Iyer ji can you do an interview with the prof on the topic why NE India is lagging behind. What were the wrong Nehru policies, why govt totally failed to deliver and corrective measures if any? Arunachal and sikkim just got one airport each this year,after so many years of independence?!


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