Learning personal economy is essential today

Personal economy is essential in today’s world and one must keep in check one’s expenses. Here is an interview on Personal economy with Prasad Kulkarni, Assistant Professor, Management division, First grade College, Bettampady by Ganesh N Kallarpe. Translated into English by Aaron Dmello

Will the increase in fuel prices keep the country’s economic system secure?

A big part of our country’s income has been dedicated for oil expenses. This is not good for the economic system. Earlier, those who were spending Rs 700 per week for petrol, in the present situation have to inevitably spend Rs 1,500. Hence it is causing trouble in the purchase of other essential things. How to balance one’s petrol expense and daily essential commodities expense needs to be learnt.

There is accusation that an unnecessary expense of the present youth generation is increasing. How can this be stopped?

The youth population is not maintaining a budget over personal income and expenses. They do not know how to make a budget for more. Income – savings = remainder. This remainder can be spent. Only thorough this way can unnecessary expenses be culled.

Is it necessary to study about financial dealing? Why?

It is very necessary to teach personal economy educationally. For this, there is also a course after degree. There is CFP (Certified Financial Planner) course by Financial Planning Standards Board India. But it is not available on the university level.

In the current political scenario of the country, do you think that the country’s economic system is secure?

The country’s economic state is moving at a good rate. For the next 10 years, there is no problem. Market trend is positive. Growth in GDP is seen. The number of people employed has increased. The economic state will remain good till the employed reach to the point of retirement. This is so because, the income of the employed will be more.

Shopaholic culture is the reason for unnecessary expenses. How can this be stopped?

A person with negative thinking will indulge in over spending. Such a person will fall prey to other’s opinion, spend on friends and spend just for show. This is the reason one goes suddenly into depression. Therefore, we must first build self confidence. Then, one will think about one’s finances. Awareness about this must be inculcated amongst the youth.