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LATEST NEWS UPDATES | People hold UPA responsible for price rise by Yogendra Yadav

People hold UPA responsible for price rise by Yogendra Yadav

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published Published on Aug 10, 2011   modified Modified on Aug 10, 2011

Popular perception of the state of economy, as recorded by the CNN-IBN-CNBC-TV18 State of the Nation Poll in association with Forbes India conducted by the CSDS, confront the "aam admi" government with many reasons to worry. Unlike corruption, the message is not loud here. Years of survey research have demonstrated that Indians tend to be positive and optimistic when it comes to their economic conditions. One needs to look at the figures closely and compare these carefully to similar surveys in the past to pick the subtle but definite signs of worry.

In overall terms, popular assessment of the state of economy under UPA II remains evenly divided, with about the same proportion saying that the economy has improved or deteriorated. Among the poor, the negative view outnumbers the positive assessment. Farmers and non-farmers alike believe that the condition of farmers has worsened in the last two years. The resentment is more intense among small and marginal farmers.

The real unease comes out in popular responses to "price rise". In the Indian context, ever-present concern about "price-rise" is not just a complaint against inflation; blaming "price-rise" is often a euphemism for talking about lack of purchasing power and livelihood opportunities. There is an overwhelming feeling, cutting across class lines though a shade stronger among the poor, that situation on the price rise front has got worse. People hold Central Government rather than their state government responsible for it. And what is worse, UPA II has managed to give an impression that it is not sincere about tackling price rise. Even the Congress voters are as unhappy on this count as the rest.

This unease has begun to affect the general economic outlook of the Indian public. Thinking of their own household, people still say that their conditions have improvement as compared to recent past, that they are satisfied with their financial situation and that they are optimist about future. But a careful comparison with similar surveys in the past shows that public opinion is turned a shade negative over the last two years, especially among the poor. This unease of the "aam admi" needs to be distinguished from the unease of the investor and the corporate sector who have been frustrated with the slow pace of economic reforms. This survey reconfirms that the Indian public remains skeptical of 'reforms' like entry to foreign firms, privatisation of PSUs and tax on agriculture.

On the burning issue of land acquisition, the public opinion tends to favour the position of anti-acquisition activists. On balance, people feel that the existing land acquisition policies are not fair to the farmers. On balance, people favour the propositions that the government should acquire land only for unavoidable public purposes and not for any developmental project. Acquisition of land for private companies is also not viewed favourably. Interestingly, there is little difference on these questions between farmers on the one hand and non-farmers in the village or city dwellers on the other.

IBN, 10 August, 2011, http://ibnlive.in.com/news/price-rise-a-major-worry-for-upa/174663-37-64.html


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