The Prime Minister-appointed panel on Food and Public Distribution System (F&PDS) headed by Deputy Chairman Planning Commission Montek Singh Ahluwalia has suggested that the current system of distributing PDS foodgrain per household should be replaced with per capita allocation. According to National Sample Survey (NSS) data, lower income households have more members per family than higher income households, the panel has said in its draft report. Justifying its suggestion as a “progressive...
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Cash delusions by Praful Bidwai
Cash transfer as substitute for state service provision is a dangerous recipe for callously anti-poor and corrupt governance. THE staggering number of recent articles, papers and books on the virtues of giving cash in place of public services to the poor has created an impression that a sort of epidemic has broken out. Economists, policymakers, bureaucrats and newspaper commentators are all infected by it and are in turn infecting others. The central...
More »Cash transfers and food insecurity by Kannan Kasturi
Distribution of basic food grains and fuel at controlled prices every month through the Public Distribution System (PDS) could be the largest service provided by the Indian State, touching as it does over 65 million families through a network of nearly half a million retail shops. Given that the urban middle class has little stake in the health of the PDS, there have to be some compelling reasons for the...
More »Dr Arvind Virmani, Affiliate Professor (& Distinguished Senior Fellow), George Mason University (School of Public Policy-CEMP), and Executive Director, IMF interviewed by TCA Srinivasa-Raghavan
Given a positive regulatory environment, banks and other financial intermediaries will certainly be interested in using the smart card opportunity. Dr Arvind Virmani, with a Ph.D. from Harvard and 30 years of professional experience, is one of the most valued economists in the Government. Before he retired as Chief Economic Advisor in 2009, he had served in the Finance Ministry and the Planning Commission. A researcher par excellence, his research papers...
More »Money where the mouth is by E Somanathan
As of 2006, over 43% of Indian children under five were malnourished, a rate that has barely budged since the early 1990s. This gives India the dubious distinction of having the highest percentage of malnourished children in the world. There are at least 53 poorer countries with lower malnutrition rates, including Bangladesh, Nepal, Haiti and several African countries. At Independence, India was poor, so it wasn’t thought possible to guarantee...
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