Even though the Central Government agreed to link the wages paid under MG-NREGA to the Consumer Price Index for Agricultural Labourers (CPIAL), it shied away from paying statutory minimum wages in various states of India. Their logic for this: Lack of clarity on who will bear the extra financial burden—the Centre or the states? A letter from the Prime Minister Manmohan Singh to UPA and NAC Chairperson Sonia Gandhi dated 31...

It was bad enough that the National Advisory Council in its recommendation of October 2010 proposed a food security Bill that diluted the principle of a universal right to food. It is appalling now that the C. Rangarajan Committee seeks to truncate that proposal, and legally establish a narrowly targeted public distribution system on the grounds of feasibility. Their argument is a false argument for more reasons than one. First,...

The National Advisory Council headed by Congress president Sonia Gandhi is unhappy with the poor implementation of the Scheduled Tribes and Other Forest Dwellers (Recognition of Forest Rights) Act, which was once billed as a landmark initiative of the UPA I for economic empowerment of the tribal people. The NAC now wants the government to change the law to make it more effective and has recommended several amendments, including one to...

Economists across the world are expressing concern about rising food prices. The United Nations Food and Agriculture Organization recently released its Food Price Index. The list showed that a number of foods cost more than during the world food crisis of two thousand eight. The index is at its highest level since it began in nineteen ninety. Demonstrations and deadly food riots have broken out this month, as they did in...

The problem is all pervasive as the prices of almost all food items have been rising In a scenario that is all familiar in India and for that matter in many other countries too, rising food prices have become an extremely sensitive issue with major political and social ramifications that go well beyond the economic ones. Not that the economic consequences are unimportant. From the macroeconomic management point of view, rising food...