Nail the lies.

During presidential elections in the US last year various organisations kept a strict vigil on the veracity of what politicians were saying. Fact Check at Washington Post awarded 3 Pinocchios to one candidate for making a completely wrong statement. PolitiFact called it a " pants on fire " lie. In India politicians, especially ministers, are able to get away with whoppers without any challenge from journalists or experts. Our most revered Finance Minister said recently," All over the world, the thinking has changed. The mandate of the central bank must not only be price stability. The mandate of central banks must be seen as larger mandate which includes price stability, growth and maximizing employment." Livemint, 30 July. That is a real whopper. It is not the duty of the central bank to create jobs. That is the job of ministers who create policies and are responsible for government spending. It is true that the Federal Reserve is injecting $85 billion into the market every month by buying treasuries and mortgage backed securities but that is only because inflation rate in the US is below 2% and not running at over 10%, as in India. In fact, the Fed is acutely conscious of the possibility of inflation and the Chairman, Ben Bernanke said that the Fed would begin to wind down the stimulus as soon as it was sure of recovery or if unemployment came down to 6.5%. That caused Foreign Investors to sell off $3.5 billion of Indian debt which caused the rupee to fall below 60 to the dollar. The European Central Bank is helping countries like Spain by buying Spanish bonds so as to keep yields below 7%. Yields on the benchmark 10 year government bonds in India are already over 8% and on treasuries at over 11%. In Japan the central bank is trying to get inflation up to 2%. Whereas the US has 15 cabinet posts and 7 of cabinet rank, making 22 in all we have 53 ministries, each with its air conditioned offices, countless civil servants and security guards. No central bank can control prices while parasitic politicians loot hundreds of billions of taxpayer money through scores of scams and spend trillions of rupees to win elections. The looted money is either sent broad or invested in properties and taxes have been increased to extortionate levels to keep the fiscal deficit under control. This has caused inflation to soar but the RBI is not allowed to increase interest rates to control it. Sadly our journalists and experts are scared to nail the lie. Criminal liars.