Would you rather buy a necessity like Kerosene or food grains at a subsidy or receive an equivalent amount of cash instead? Would you prefer that the government decides your consumption pattern rather than figuring out on your own how to spend your income? One of the “big ticket” reform items in the budget was the announcement that subsidies on Kerosene, fertilizers and Liquefied Petroleum Gas and delivery through the Public...

Delhi will soon get rid of problems related to scarcity and adulteration in Kerosene oil being used by lakhs of poor families for cooking every day as new scheme is coming up replacing Kerosene stoves. The Delhi government, along with the union government, has been giving final touches to a scheme which will replace Kerosene oil stoves with LPG and further provide subsidy through banks to the poor. This will make...

There was a lot of apprehension before budget day regarding what the Union finance minister will do to reduce the deficit. Will he roll back the tax concessions implemented a couple of years ago as part of a fiscal stimulus package? Will he announce populist social sector spending in view of the major state polls coming up this year? Will he be too timid and not take any bold steps...

In a unique move to curb corruption in the public distribution system (PDS), ration coupons in Bihar will be bar-coded from June. The next set of PDS coupons —a for June 2011 to May 2012 — has gone into print and will have bar code to prevent duplication. A bar code is a group of thin and thick lines printed on products you buy in a shop, and which a computer...

This article documents and then examines the various benefits that, it is claimed, will flow from linking the Unique Identity number with the public distribution system and the National Rural Employment Guarantee Scheme. It filters the unfounded claims, which arise from a poor understanding of how the PDS and NREGS function, from the genuine ones. On the latter, there are several demanding conditions that need to be met in order...