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Corruption in the PDS & will coupons or cash transfer work better?
Posted on May 26, 2011 | 2 CommentsThis is a part of a series of articles on the proposal to shift from PDS to coupons or cash transfers. To see the introduction, click here . The level of corruption in the public distribution system has been one of the rallying points in the cry for change. The following are some of the corruption related arguments for change: There is large scale corruption in the system It is undeniable that there is a lot of corruption in the PDS, and something needs to be done about it. In arguing that we should shift from PDS to coupons or... -
The politics of PDS “reforms”
Posted on May 26, 2011 | No CommentsThis is a part of a series of articles on the proposal to shift from PDS to coupons or cash transfers. To see the introduction, click here . Some scholars have pointed out that the motivation to dissolve the PDS comes from the ideological belief that the government should not be engaged in providing public services, and of course the material appeal this has for the rich. The quest for PDS reform started in the context of India’s liberalization and globalization. Pushed by multilateral agencies, the PDS was converted into a targeted system in 1997. The motivation of these reforms... -
Coupons and cash transfers give people a choice unlike the PDS
Posted on May 26, 2011 | No CommentsThis is a part of a series of articles on the proposal to shift from PDS to coupons or cash transfers. To see the introduction, click here . Paying cash instead of grains will give people a choice Another strong argument for coupons or cash is that the recipients will have the choice to spend it on what matters most to them. Proponents of reform have argued that the Indian policymakers tend to be paternalistic, and often argue that if the government gives cash instead of grains, poor people may misuse it, including by drinking it away. They have argued... -
Shifting from PDS to coupons or cash transfers: Assorted arguments
Posted on May 26, 2011 | No CommentsThis is a part of a series of articles on the proposal to shift from PDS to coupons or cash transfers. To see the introduction, click here . Please read other articles in this topic before getting here… The cost of administering the PDS is high Some economists have pointed out that the cost of administering the PDS is very high, and it is now possible to transfer cash to people at a cheaper rate. This is one of the strongest arguments for a shift from PDS to cash transfers, in my opinion. The amount of money that could be... -
PDS does not reach the right people, let’s shift to cash transfers or coupons
Posted on May 26, 2011 | No CommentsThis is a part of a series of articles on the proposal to shift from PDS to coupons or cash transfers. To see the introduction, click here . Many have argued that half the PDS entitlements reach the “non poor”. I believe that resources are scarce, and the government should spend the money on people who need it most. We should thus be concerned if resources are being spent on those who do not need it. In considering whether resources reach the right people, we should remember that we have a rather poor system of identifying the poor. The poverty-line... -
The PDS does not work, let’s shift to coupons or cash transfers
Posted on May 26, 2011 | No CommentsThis is a part of a series of articles on the proposal to shift from PDS to coupons or cash transfers. To see the introduction, click here . In evaluating alternatives including cash transfers, it is first important to identify both contributions and failures of the system. Proponents of reforms today have focused exclusively on the problems, without dwelling on the things that it has done. There is a reason why the PDS is so popular in Tamil Nadu, Kerala, Andhra and increasingly in other states including Chhattisgarh. In all these cases the PDS has worked and means a lot... -
Shifting from PDS to coupons or cash transfers: FAQs
Posted on May 26, 2011 | No CommentsThe Public Distribution System (PDS) in India has come under a vigorous attack in the recent months. There have been calls to dismantle the system and to replace with alternatives such as providing coupons or cash transfers. Without any doubt the PDS has serious problems, and performs abysmally in some parts of India. Unfortunately, these are also among the poorest regions where the need for protection from hunger is the greatest. Considering that the PDS is supposed to contribute to something as fundamental as food security, such poor functioning must be addressed. In the recent past there have been discussions... -
Understanding Tamil Nadu’s commitment to public services: An institutional perspective
Posted on December 31, 2010 | No CommentsMy doctoral dissertation on the question of why Tamil Nadu has an impressive commitment to providing basic public services such as roads, water, electricity and education. -
Creating a Yelp for the government
Posted on October 13, 2010 | No CommentsIn 2004 website called yelp.com was created to help people find local businesses such as small restaurants, salons, etc. The idea of the website was simple. Any user or a business can locate itself on the map and provide basic information about itself. For example, a restaurant could describe itself and provide its menu and other details, and any user could review the organisation. Someone who is looking for a service, e.g. salon in a particular area, can now search easily for all salons by the price, services and reviews. What yelp does is to enable people anyone to find... -
Asset creation in private lands using NREGA: Problems & opportunities
Posted on September 24, 2009 | No CommentsNational Rural Employment Guarantee Act (NREGA) is primarily a programme aimed at creating public assets that would be useful for the society at large. When NREGA was created, it relaxed this principle by allowing projects in private lands of selected marginalised communities including SCs and STs. The Minister for Rural Development is now trying to extend this by permitting works in private lands owned by small and marginal farmers who are not SCs and STs. This proposal has been welcomed by some like Mihir Shah and has been sharply criticised by Aruna Roy and Jean Drèze among others. I believe...
