Chief economic advisor to the finance ministry Kaushik Basu says the government should step in and acquire land for development projects to protect the interests of farmers. He also explains why the government cannot tackle food inflation by distributing free foodgrain among the poor. Excerpts from interview with ET: A large number of land-intensive project have run into opposition. Could it actually undermine our infrastructure thrust and growth? There is...

When noted economist Jean Dreze visited Surguja in Chhattisgarh a decade ago, its utterly non-functional Public Distribution System (PDS) looked like especially “designed to fail.” The National Advisory Committee member has written in a recent article that the ration shop owners illegally sold the grain meant for the poor and “hunger haunted the land.” But that was then. The economist was pleasantly shocked to see the transformation this time. “Ten years...

The Supreme Court today upheld the Uttar Pradesh government’s land acquisition for the Taj expressway linking Delhi with Agra, dismissing farmers’ contention that the land had been acquired for a “company” and not for a “public purpose”. The top court agreed with Allahabad High Court’s view that even if a private company — Jaypee Infratech Ltd — had paid all land acquisition costs, the acquisition would be considered for a public...

Technological interventions, innovative and fool-proof delivery mechanisms, constant reviews and fixing responsibility at each level ensure that an effective delivery system is in place. The Public Distribution System in Tamil Nadu is a success story, in its coverage as well as its pricing. Each family, whether below the poverty line or not, is entitled to 20 kg of rice at Re. 1 a kg. The State Government opted for universal coverage...

Finance Minister Pranab Mukherjee on Thursday countered the Opposition attack that the government's policies resulted in price rise and said the steps it took resulted in food inflation coming down. Replying to the debate on the motion on price rise, he said additional revenue measures were also taken to bring down the fiscal deficit and keep the economy in a better shape. The Rajya Sabha later unanimously adopted the motion: “This House...