Obama solution ; For India or for America ......?

U.S. president Barack Obama's message to economic policy maker friends in India to open its economic gates wide for FDI in all the sectors is desperation of a president who has to face election within months. Announcement came from the mouth of a president who advices his own people to buy U.S. made commodities from nearby store to strengthen American economy and who is opposed to outsource jobs to India. It is well known fact that American economy is not in very good shape and its growth depends on foreign markets.
Open market global economy is failing throughout the world. Developing countries like India which allowed themselves to be trapped in an economy fully controlled by dollar are now in dilemma, if they need more dollars they have to go for speedy reforms and if reforms are expedite conditions within country will be difficult. Now the growth story is over.
Indian govt formulated economic policies to suit US and big corporate houses of the world. Buying power of rupee is falling without any apparent reasons. Situation is aggravated by increasing inflation and double digit food inflation and price rise is burning holes in common Indian's pockets. When subsidies will be withdrawn and diesel prices will rise after VP elections prices of all commodities will shoot up. This will further recede buying power of rupee which will cause depletion in small savings which will result into increased rate of interest and low industrial growth, therefore, rise in unemployment and fall in GDP.
To come out of prevailing economic confusion govt must decide its way now.