Empowering the Poor: Abandon the broken Model

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Abstract: 

Large increases in revenues, made possible by accelerated growth, have allowed the UPA government to rapidly expand redistribution programmes — distribution of subsidised foodgrain, free elementary education, rural health and the National Rural Employment Guarantee Scheme (NREGS).


But only a small fraction of the benefits of these programmes actually reaches the intended beneficiaries. Leakages along various elaborate government distribution chains are endemic. In sharp contrast to China, the government in India is hopelessly ineffective and inefficient at the delivery of social benefits.