Shankar Sharma's quirky theory: How liberalising India's 'marriage market' can unlock economic growth

Shankar Sharma, founder of GQuant Investech

In a quirky analogy, market veteran Shankar Sharma shared his take on why India might not be achieving its full economic potential, tying this to high exit barriers in the "marriage industry." While India has liberalised in most areas, but it remains totally "commie" or communist in nature when it comes to exiting marriages, wrote Sharma in a tongue and cheeky post on 'X'.

In order to resolve this, Sharma suggested introducing a "marriage IBC" (a playful  reference to India’s Insolvency and Bankruptcy Code), which would make marriages more competitive by easing the process of exit (divorce).

According to the theory, Sharma said that since there are such high "exit barriers" in marriage, people (particularly men, who are said to look like "aloos" or potatoes) don’t invest much effort in maintaining their appearance or attractiveness. Similarly, most women look like "bhaloos" (bears) for the same reason as they don’t feel the need to stay at their best because the risk of being replaced is low.

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By introducing a marriage IBC, the idea is that if people could easily leave marriages, they would be incentivised to constantly "stay at the top of their game" in terms of looks, behavior, and spending on lifestyle improvements like diet, clothing, and luxury items.

"If marriage is bankrupt then immediately one should go to marriage IBC and find more suitable partner providing exit to people who are trapped even if it is that deep discount. That's how society becomes competitive," Sharma remarked.

He further made a comparison to"F2-gora lands" (foreign, developed countries), emphasising that these nations are wealthier because their marriage markets are more fluid, with fewer barriers to entry and exit. "So men women have to be at top of their game always, so spending on diet, clothes, cars, toys, makeup is constantly rising," Sharma noted.

The final point Sharma made that if India adopted to this more liberal approach to marriage, India could see significant rise in GDP per capita, from $2.5k to $50k, thanks to increased consumption and economic activity driven by the need to stay competitive in relationships.

Following the 'X' post, a lively discussion erupted among users. Some praised the theory, calling it "unique" and "out of the box," appreciating the creative analogy linking marriage dynamics to economic growth. However, the idea also sparked skepticism, with one user pointing out that while the theory might work in a money-driven society, it overlooks the deep-rooted importance India places on family values, tradition, caste, and religious considerations.

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