Archive for the ‘Markets’ Category


May 18, 2012

Internet Link Down

Dear Airtel Customer,

Your DSLLink is down. Please check your Telephone cable connected to the modem.


Different :domains:

May 18, 2012

Different domains have different errors. Can’t see why they don’t have the same errors.


May 9, 2012

White beauty.

Of course, this is for everyone

“Send 100s of photos in 1 email”

May 7, 2012

“Send 100s of photos in 1 email”

One packet of ciggies in India is approximately 1 dollar.

Different “domains”

February 7, 2012

If is going to order its results and give different results from, then I don’t see why the the two sites should have the same google logo.  Some tired american hack.  India can have different logos from the uk or us sites.

From NY Fed: List of Reporting Dealers

February 7, 2011
Reporting Dealers

Bank of America
Bank of Montreal
The Bank of New York
Bank of Tokyo-Mitsubishi
Barclays Capital
BNP Paribas
Canadian Imperial Bank of Commerce
Deutsche Bank AG
Goldman Sachs & Co.
JP Morgan Chase Bank
Mizuho Corporate Bank
Morgan Stanley
Royal Bank of Canada
Royal Bank of Scotland
Skandinaviska Enskilda Bank
Société Générale
Standard Chartered
State Street Corporation
Sumitomo Mitsui Banking Corporation
UBS Bank
Wells Fargo Bank N.A.

From RBI website: List of Authorised Dealers

February 6, 2011

Annexure : List of authorised dealers in foreign exchange May 30, 2005 : Annexure : List of authorised dealers in foreign exchange

List of banks and other institutions to whom licences have been issued to deal in foreign exchange
(paragraph 1.4)
A. Banks and others holding full-fledged licences
Abu Dhabi Commercial Bank Ltd.
Allahabad Bank
American Express Bank Ltd.
Andhra Bank
ANZ Grindlays Bank Ltd.
Arab Bangladesh Bank Ltd.
Bank Internasional Indonesia
Bank of America National Trust and Savings Association
Bank of Bahrain and Kuwait B.S.C.
Bank of Baroda
Bank of Ceylon
Bank of India
Bank of Madura Ltd.
Bank of Maharashtra
Bank Muscat International S.A.O.G.
Bank of Nova Scotia
Bank of Punjab Ltd.
Bank of Rajasthan Ltd.
Bank of Tokyo-Mitsubishi Ltd.
Banque Nationale De Paris
Barclays Bank p.l.c.
Benares State Bank Ltd.
Bharat Overseas Bank Ltd.
Bombay Mercantile Co-operative Bank Ltd.
The British Bank of the Middle East
Canara Bank
Catholic Syrian Bank Ltd.
Central Bank of India
Centurion Bank Ltd.
The Chase Manhattan Bank
Chinatrust Commercial Bank
Cho Hung Bank
Citibank N.A.
City Union Bank Ltd.
Commerzbank A.G.
Corporation Bank
Credit Agricole Indosuez
Credit Lyonnais
Dena Bank
Deutsche Bank Aktiengesellschaft
The Development Bank of Singapore Ltd.
Development Credit Bank Ltd.
Dhanalakshmi Bank Ltd.
Dresdner Bank A.G.
Federal Bank Ltd.
The Fuji Bank Ltd.
Global Trust Bank Ltd.
HDFC Bank Ltd.
The Hongkong and Shanghai Banking Corporation Ltd.
ICICI Banking Corporation Ltd.
IDBI Bank Ltd.
Indian Bank
Indian Overseas Bank
IndusInd Bank Ltd.
Internationale Nederlanden Bank (ING Bank)
Jammu and Kashmir Bank Ltd.
KBC Bank N.V.
Karnataka Bank Ltd.
Karur Vysya Bank Ltd.
Krung Thai Bank Public Company Ltd.
Lakshmi Vilas Bank Ltd.
Maharashtra State Co-operative Bank Ltd.
Mashreq Bank p.s.c.
Morgan Guaranty Trust Co. of New York
Nedungadi Bank Ltd.
Oman International Bank S.A.O.G.
Oriental Bank of Commerce
Oversea-Chinese Banking Corporation Ltd.
Punjab National Bank
Punjab and Sind Bank
The Sakura Bank Ltd.
Sangli Bank Ltd.
Sanwa Bank Ltd.
Saraswat Co-operative Bank Ltd.
SBI Commercial and International Bank Ltd.
The Siam Commercial Bank Ltd.
Societe Generale
Sonali Bank
South Indian Bank Ltd.
Standard Chartered Bank
State Bank of Bikaner and Jaipur
State Bank of Hyderabad
State Bank of India
State Bank of Indore
State Bank of Mauritius Ltd.
State Bank of Mysore
State Bank of Patiala
State Bank of Saurashtra
State Bank of Travancore
The Sumitomo Bank Ltd.
Syndicate Bank
Tamilnad Mercantile Bank Ltd.
Thomas Cook (India) Ltd.
The Toronto Dominion Bank
UCO Bank
Union Bank of India
United Bank of India
United Western Bank Ltd.
UTI Bank Ltd.
Vijaya Bank
Vysya Bank Ltd.
A.D.(M.A. Series) Circular No.45

B. Institutions holding restricted authorisation to deal in foreign exchange
Export-Import Bank of India
Industrial Credit & Investment Corporation of India Ltd.
Industrial Development Bank of India
Industrial Finance Corporation of India
SBI Factors and Commercial Services Pvt. Ltd.
Small Industries Development Bank of India

The Commercial Bank of Korea Ltd. and Hanil Bank have ceased to be authorised dealers in foreign exchange. Accordingly, their names have been deleted from the list of authorised dealers in foreign exchange.


February 1, 2011

Interest is the price paid for the use of money. Money is defined, narrowly, as cash (notes, coins) and demand deposits. Demand deposits form by far the larger of the two components. Create a list of industries and map them each to a payment pattern. Retail is cash and credit driven. Credit because of the use of credit cards. We take on debt for a month or so until we pay our credit card bills. I know one thing about payment patterns for sure. I get my paycheck every month. That gives me liquidity enough (just enough) to see me through the expenditures of the month. And there are many more like me. We spend what we get. There is an interest rate here also. For consumption loans in Bangalore the rate is Rs 100 per month on every Rs 1000 borrowed. (This rate I will check tomorrow with my informant.) The credit card can go into debt. Companies can be debt ridden and debt free. The retail sector is cash and carry. Thus compartment the industry list into retail and non retail. From the tills of the shop to the bank. From the tills of the shops to the wholesalers. From the wholesalers to the producers. From the producers to their factors. Their landlords, their workers, their raw materials suppliers (other shops),their financiers.. This is the industrial circulation. Incomes come in a distribution with a very long right tail. The top 1% gets a lot of the income. They have savings. (The flow into the capital markets) (There can be inflows from the industrial circulation as well, as provident funds and pension funds cumulate). And they get a substantial chunk of what we spend.

And what do the financiers provide? They provide the services of liquidity. So how much liquidity I need, depends on who will take cash and who will take credit. If none of my creditors asked for settlement (because they were getting credit for whatever thay needed) I would need no liquidity. If I had no creditors, and I was spending whatever I earned in a month, then I would turn my whole bank deposit into cash (notes and coin) by the end of the month. But I maintain a minimum balance in the bank account. And I have some nominal savings. So there is some lending my me to the bank. And since money is a means of final settlement of debt, and there are some people who wont give me credit, I need liquidity, or money. So I work and earn.
We spend what we get, and they get what we spend (Kaldor).

So the HNIs and pension funds supply savings at a varying rate into the capital market, and entrepreneurs borrow that in the hope of making profits. (Here analyze borrowing: C&I LOC, Credit card, Mortgage, School loans). This is the financial circuit. We deposit our salaries in the bank, thus giving the bank a certain pool of cash, and the banks lend it out to investing industry. The industry being expanded fulfils welfare needs of the populace. Us and them.

A part of profits is conspicuously consumed. The rest is returned to savings. Why don’t schools take payment for the education they have delivered, after the graduates have proved its value in the outside world?

Someone gave me fellowship to study economics at NYU grad school. Who was it? How did they evaluate the grant? Did I study for free? It was from Prof. Todaro’s grant I think I heard. Or was it UN money? It was financial aid, but whose money was it?

Things I have been

October 16, 2010

I started out, my first earning, was by being an extra in a hindi firm.  I got Rs50, and spent Rs25 of it on buying for myself a copy of Greene’s The Quiet American.  Shabbir Rangwala swiped the book off me.

I have been a servant in NY.  Thus I could relate to the work of Shrimati, and even showed her how to use a mop.

I have been an economist in a large investment bank, and have guided the policies of nations.

But I have not been a chef!

From Samuelson’s Economics

June 27, 2009

From: Economics (10th ed) by Paul A. Samuelson (1976)


The preceding theories help explain a famous question that troubled Adam Smith in The Wealth of Nations.  He asked, How is it that water, which is so very useful that life is impossible without it, has such a low price-while diamonds, which are quite unnecessary, have such a high price?

Today even a beginning student can give a correct answer to this problem.  “That’s simply explained,” he can write on an examination.  “The supply and demand curves for water are such that they intersect at a very low price, while supply and demand curves for diamonds are such that they intersect at a high price.” (Today he could add that water is no longer all that cheap.)

This is not an incorrect answer.  Adam Smith could not have given it because supply and demand curves ae descriptive tools had not yet been invented, and were not to be for 75 years or more.  But after he had mastered the new lingo, old Adam Smith would naturally ask the question, “But why do supply and demand for water intersect at such a low price?”

 The answer is by now easy to phrase.  It consists of two parts:

Diamonds are very scarce, the cost of getting extra ones is high; and water is relatively abundant, with its cost low in many areas of the world.  This first part would have seemed reasonable to even the classical economists of more than a century ago, who would probably have let it go at that, and would not have known how to reconcile these facts about cost with the equally valid fact that the world’s water is more useful than the world’s supply of diamonds.  In fact, Adam Smith never did quite resolve the paradox.  He was content simply to point out that the “value in use” of a good -its total contribution to economic welfare-is not the same thing as its “value in exchange”-the total money value or revenue for which it will sell.  Smith had not arrived at the point where he knew how to distinguish marginal utility from total utility!

Today, we should add to the above cost considerations a second truth:

The total utility of water does not determine its price or demand.  Only the relative marginal utility and cost of the last little bit of water determine its price.  Why?  Because people are free to buy or not buy that last little bit.  If water is priced higher than its marginal utility, then that last unit cannot be sold.  Therefore the price must fall until it reaches exactly the level of usefulness of the last little bit, no more and no less.  Moreover, because every unit of water is exactly like any other unit and because there is only one price in a competitive market, every unit must sell for what the last least useful unit sells for.  (As one student put the matter: The theory of economic value is easy to understand if you just remember that the tail wags the dog: concentrate on marginal and not on total utility.)

Paradox resolved:  The more there is of a commodity the less the relative desirabilty of its last little unit becomes, even though its total usefulness grows as we get more of the commodity.  So, it is obvious why a large amount of water has a low price.  Or why air is actually a free good despite its vast usefulness.  The many later units pull down the market value of all units.