Treadmill Economics and ‘Stockholm Syndrome’

Pradosh Nath

There has been a major shift in the definition of wealth of a nation from pre-classical to classical scholarship in Economics. In pre- classical understanding the wealth of nation was the wealth of the King; the geographical jurisdiction of the Kingdom, and the nature’s bounty in it. In Classical definition it is produced wealth that is considered as the wealth of Nation. Distinctive difference lies in the extent of value addition. A mediaeval economy evolves as an industrial economy through a complex transformation process of extensive and intensive value addition. Is it possible to reverse the process? That is transforming back an industrial economy to a mediaeval one. What seems impossible has been achieved in West Bengal over last 4/5 decades. Once a vibrant industrial economy is in the process of reverse transformation. How this incredible yet unenviable feat has been achieved?

The answer lies in the extent of enfeeblement of the governance that becomes subservient to party hierarchy from the administrative headquarters to the level of gram Panchayat. In this  Mikail Hussain’s article is interesting, ‘Gamble with Islamist Extremism’ (Frontier, Vol. 58, No. 2, July 6-12, 2025) insightful in the context of the politics of this sub-continent. The essence of this gamble is creating an eerie political milieu made of ‘Stockholm Syndrome’- ensuring loyalty by instilling fear.The parallel in the West Bengal politics is not difficult to decipher.

In West Bengal an ensemble of left parties could manage to activate the syndrome over 34 years. This was the time when the political project of the then ruling dispensation was to organise ‘proletariats’ that would ensure onset of revolution, and golden days afterwards. They would vouch for golden days in the names of Marx, Engels, Lenin, Stalin, and a fraction of Mao. The hap for the hapless will come through a revolution that this ensemble promised, sighting examples of fairy tales of revolutions that created Soviet Union, socialist countries in East Europe, Mao’s China, Cuba, North Korea, and Vietnam; while carefully hiding how those same countries, over a few decades turned out to be an autocratic uglier face of capitalism.

The main problem towards revolution faced by the left ensemble has been the inadequate number of dedicated and committed proletariats. Text book formula for creating Proletariats has been to organise protests (sometimes violent) in the organised sectors of industries and plantations with the expectations that such sparks would lead to wild fire of revolution across the country. The formula did not work. There was violent trade unionism across the country led by different political outfits of conflicting ideologies and followers. So the project failed to create proletariats in good enough numbers and commitments to make the ‘revolution’ happen. Instead, the revolutionary verbose drove industries enmasse away from the chaos for more conducive space; created a huge army of jobless surplus workforce across the skill sets.

The clarion call for ‘revolution’ had dosage of militancy associated with it. That made the inroads for local strongmen (may call them ruffians), who turned out to be the face of the party and also ‘revolution’. This is nothing new in Indian politics, rather prevalent across the political parties, states and over decades. The left politics gave in to the same dubious practice. The side effect has been much more insidious. To make room for the ruffians, maintaining the extra-social elements as extra-political outfit as essential for revolution, extra institutional provisioning has been necessary. This was how people saw the rise of what is now known as ‘Syndicate Raj’.

This is the time when Singur happened. The ruling left ensemble was desperately looking around and soliciting industrial capital with assurance of favours. That is how TATA has been lured to set up Nano car factory in Singur, not very far from Kolkata, with the assurance of land and associated infrastructure. The petty landholders were not sure of the future livelihood implications after handing over the land for the proposed factory. Future, being non-existent, the hapless population left with no option but to cling on to whatever asset they had. Mamata Banerjee emerged as the messiah of the apprehensive and suspicious petty landholders. Her flamboyant no hold bar rhetoric could successfully agitate the otherwise docile middle class Bengali population throwing the government clueless for counter strategies. TATAs were compelled to withdraw from Singur; and shifted to Gujarat. The whole episode along with police atrocities at Nandigram emerged as the Waterloo for the ‘left’ in West Bengal as reflected in subsequent assembly elections reducing left’s seat share to unenviable and unbelievable ‘zero’.

TMC, the new political entity, took a few lessons from the practices of the three and half decades of the left rule. Foremost among those is the need of a strong party network connecting the headquarters with the village level units. Opened the TMC doors for local strongmen from all other political parties. Panchayat, and other local level elected bodies were the readily available structure for that. Once occupied, with the blessings of the supreme leader, ‘partycracy’ ruled, and the bureaucracy became subservient to party network – power to the ruffians disguised as power to the people. So much so that local leaders (strongmen) will keep the government officers on their toes, make them obey the diktats, threatening of consequences if not obeyed. Law and order in the state, therefore, made subservient to party satraps.

Once created the sustainability of this network was also to be ensured. This has been achieved in two ingenious ways. There was a great realisation that post- left rule, the people at the margin, whose number has grown over decades, do not live by dreams any more, instead they live counting days, or months. The new narrative had all the left ingredients, sans revolution, with a few more added, targeting all possible social anomalies – the poor, marginal section of the population, OBCs, minorities, women, girl child, senior citizen and what not. To allow them to live, government exchequer has been opened wide for plethora of ‘Shree’ programmes. Executed through the panchayat, these programmes helped establishing fear laden loyalty to the party and respect to the Supremo. It also opened the flood gate of the practice of ‘cut money’ in every sphere of spending by government departments. Soon intelligent government officials and ministers also found great opportunities of making fortunes in this practice, and ensured a full-proof network.

The party also has to win elections, and for that it has to count votes and voters. While the ‘Shree’ programme could buy loyalty, polling booths and casting of votes could be managed with the fear laden loyalty established through party network. The strategy also has been used to create and ensure vote bank. Facing BJP’s Hindutwa politics the best bet has been to indulge and nurture Muslim votes, which is about 30% of the total voters. Doles for minorities delivered through local strongmen coated with the blessings from the party supremo, along with indulgence towards fundamentalist tantrums helped securing large chunk of Muslim following; ensuring solid vote bank.

The overall politico-economic scenario that was taking shape could be described with the following subtexts. Industrial capital running away, economy fell upon the already overburdened agriculture of tiny landholdings and huge disguised unemployment. The whole process transformed the state of West Bengal to a state of increasing volume of surplus labour. Skilled manpower ran away toeing the new destinations of the capital. Unskilled manpower in search of livelihood started migrating in different parts of the country, especially in metropolis as seasonal labourers. The head count of unemployed, thus, for the comfort of the government, reduced by that many heads. Rest of the job seekers have been advised to be self- employed trying own business ventures, like opening roadside tea stalls selling popular deep fried snacks (local name tele bhaja) that would require very little investment, and the whole family may get engaged. This employment creating advice has been supplemented by generous doles from government exchequer as aids to economic distress due to social anomalies. ‘Shree’ schemes also partially ensured sustenance of the party network as a supplement to other avenues opened through (un)authorised coal and sand mining, encroaching govt land for private real estate ventures, admissions to colleges, universities, Adhaar Card, voter card and wherever government scrutiny is involved, or approval is needed.

Jewel of all these economic endeavours, innovative income generating initiatives is the government and local ruffian’s nexus in cash for jobs in government departments and schools. When exposed govt was all out with all its wherewithal to save the cash at the cost of loss of jobs of 26000 teachers. In truth a few thousand more teachers are waiting to face the similar fate.

This background takes one to the beginning. The back-of the-hand treadmill economics takes the credit for bringing the state economy to the present shape-value addition through ‘tele bhaja’, illegal mining of sand and coal, business of real estate encroaching government land and water bodies. Government largesse in the form of ‘Shree’, religious celebrations of various types, groups, and practices, construction of massive competitive religious complex. Such activities push money circulation with little value addition that will have any meaningful cascading effects on the economy. And given the state of docile government administration hijacked by partycracy expenditure on largesse and dubious value added, end up as cash haul along the line of hierarchy. Reverse Transformation, therefore, is complete.

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Frontier Autumn Number
Vol 58, No. 14 - 17, Sep 28 - Oct 25, 2025