The Real Problem Ahead

Despite over 8% economic growth last fiscal year and a roaring stock market in Mumbai that is easily one of the world's most expensive, New Delhi still distributes free food grains to more than 800 million of its 1.4 billion people.

India has the second-highest number of billionaires in Asia but has tens of millions who depend on the government's 100 days minimum guaranteed wage employment programme, digging wells, building roads, and filling potholes for about $4 a day.

The Solution

"The economic and social freedoms are low owing to repressive public policies. This has to change. Unless it changes, inequality will rise further."

"Inequality is not something that will go away on its own ... it needs proactive government interventions."

My Take on this:

I agree that a consistent government intervention is required to reduce economic inequality. However, I'm also of the view that India does provide opportunities to everyone. In some communities (India is largest in variety), the mindset need to change. What I can see that people in these communities do not want to rise their economic status. There is nothing like an American Dream mindset in India.

People who are earning some good amounts through jobs are only happy to buy some life insurance policies in hope to double their money in 20 to 30 years. I'm not talking here some small numbers. It's extensive. In millions and billions.

For government, it's necessary to improve education budget which isn't even half of US in percentage terms acoording to respective GDP sizes. Unemployment is another issue that needs to rectified asap.

view all related items

31 sats \ 1 reply \ @k00b 21 Jun

I love all the India reporting you've been doing. When I hear news about other countries it's really hard to understand what the stats mean and if its true.

0 sats \ 0 replies \ @Coinsreporter OP 21 Jun

Thank you so much!

I think we're on the same boat. The stats are actually never true. They can be near true if they aren't cooked.

My way of reporting:

Take any piece of news, sit at a corner tea stall, talk with unknown people for an hour or so, grind all thoughts and report the reality.

21 sats \ 2 replies \ @Undisciplined 21 Jun

I very much caution against following the US's lead when it comes to government schools. Ours are the worst and most expensive in the developed world.

I'm glad the author of the piece highlights reducing onerous regulations on the poor, rather than creating new government programs.

21 sats \ 1 reply \ @Coinsreporter OP 21 Jun

No, India can't follow US's lead as it's budget for education isn't even 10% to the budget for education in US. I won't say that our education system is very cheap now. But still, there are government funded schools and colleges which provide free education to all. Government funded schools have mostly gone near empty within last 10 years but colleges, mostly medical and technical, are keeping strong strengths.

0 sats \ 0 replies \ @Undisciplined 21 Jun

The important part is that you still have a culture that values education. As long as you have that the system will will get better.

22 sats \ 3 replies \ @grayruby 21 Jun

What do you see as the prospects for the 800M Indians still on government food support? Is it simply an educational/skills based gap or is India still lacking some of the necessary infrastructure to connect these people to areas of opportunities.

100 sats \ 2 replies \ @Coinsreporter OP 21 Jun

The truth may surprise you. Government started this food support scheme when COVID was in its full swing. At that time it was actually needed but government did not stop years after only to make it count for their political benefits.

Can you believe on this that 833 million people out of 130 million are surviving on government provided food in an economy that's sitting 5th in the world.

Government is providing free 🆓 amenities and people are happy to recieve. It's not that everyone requires it. I've seen many people getting free grains from government ration providers and then selling it to private shops because they believe that the quality of government provided wheat and rice isn't good enough.

My village has more than 100 houses and from every family there are members who are living in a city or a nearby town for jobs or business. No family in my village actually needs the support of government ration but everyone gets it monthly.

11 sats \ 1 reply \ @grayruby 21 Jun

"My village has more than 100 houses and from every family there are members who are living in a city or a nearby town for jobs or business. No family in my village actually needs the support of government ration but everyone gets it monthly."

That's kind of what I was wondering. Thanks.

50 sats \ 0 replies \ @Coinsreporter OP 21 Jun

I'm here to tell you the truth!

I'm also among those who is recieving these free amenities from government.

Every individual who isn't a taxpayer recieves these food supplies. Many people in India save taxes by hook or by crook. I intentionally don't pay. On paper, I'm unemployed now. My school business is a social work which remains untaxed. I have some agriculture land that easily earn me around +20000 dollars and agricultural production is also an untaxed business here.

If I earn these amounts by doing a job somewhere, I shall be required to pay around 10% of it. So, it's actually easier to hide your actual financial status in India. Maximum people who do small business (like I with the help of my father and brother run a logistics business) don't pay taxes or if pay, pay quite less.

11 sats \ 1 reply \ @SatsMate 21 Jun

Hmm - I don't know if government assistance can help, I do agree that education and spirit are important. Also a further destruction of any caste system needs to happen.

You need more inspiration examples of someone rising from the "untouchables" to the "nobles" and to push/educate those in lower socio-economic status to rise. The spirit if inspiration and rising clases comes from within

0 sats \ 0 replies \ @Coinsreporter OP 21 Jun

There's no untouchability in India now except where you see some old people which is a rarity these days.

I'm from a Brahmin family and I've never witnessed untouchability among my generation. I've friends from every community. And as I'm already 35, my following generation does not show a little trace of it.

Again, telling you this because I can practically see no practice of untouchability these days in schools, colleges, marketplaces and anywhere else.*

0 sats \ 0 replies \ @kilianbuhn 21 Jun

That's too pessimistic.

In the last few years all of india SUDDENLY got electricity. Everyone even the poors got smartphones and internet. Plumbing.

The facts on the ground change. Don't get distracted by noise.

0 sats \ 0 replies \ @Coinsreporter OP 21 Jun

deleted by author