The current perception that cash transfers can replace public provision of basic goods and services and become a catch-all solution for poverty reduction is false. Where cash transfers have helped to reduce poverty, they have added to public provision, not replaced it. For crucial items like food, direct provision protects poor consumers from rising prices and is part of a broader strategy to ensure domestic supply. Problems like targeting errors...

It would be sad if the potential of cash transfers was lost as a result of hasty posturing by those on various sides of the debate. The fact is that, in India today, poverty and economic insecurity remain endemic in spite of fantastic economic growth. The existing system has failed to arrest the growing number in poverty, despite substantial government spending ostensibly designed to reduce poverty. Could cash transfers help? A...

The National Advisory Council has proposed a framework for the National Food Security Act. But its potential could be wasted by a flawed approach to the PDS. Two years have passed since the Central government announced that a draft National Food Security Act (NFSA) would be posted on the Food Ministry's website “very soon.” After prolonged deliberations, a detailed framework for this Act has recently been proposed by the National Advisory...

-The Indian Express   Indian government uses public funds to alleviate, prevent and end poverty; but, unarguably, does so inefficiently. A new report from the World Bank for the Planning Commission on India’s “social protection” programmes outlines the scope of the failure and provides a few answers. Those programmes can be divided into three kinds, the report argues: those that prevent a slide into poverty, like social security and insurance schemes; those...

Do we, the Indian middle class, see the corruption within us? I was too busy being corrupt to join Anna Hazare’s camp last week. For four days, I heard nothing but stories of our Tahrir Square-like revolution against the corrupt unfurling right under our noses in Delhi’s Jantar Mantar. But it was school admission time and I had some serious palm-greasing, document-fudging, string-pulling, weight-throwing and tout-chasing to do. I had...