ISSN (Print) - 0012-9976 | ISSN (Online) - 2349-8846

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Fiscal Federalism and Regional Inequality in India

In all federal structures, the composing units are not self-sufficient financially. But, in India, the economic dependence of states on the centre is rather high because of widespread disparities in their levels of economic development. The federal transfers to the states through the Finance Commission, Planning Commission and centrally-sponsored schemes are investigated. The role of the union government in equitable direct investment, subsidy, and private investment policy for unbiased regional development is also underlined . The data proves that although the Finance Commission’s transfers are progressive, the share of devolution for low-income states is gradually decreasing. Unfortunately, all other transfers and efforts by the centre are regressive to address the regional inequality issues.

India’s Green Revolution and Beyond

The widely accepted “success” of India’s green revolution in making the country self-sufficient in foodgrains has made it the model for all agrarian futures envisioned in the country. This article argues that this vision of the future is based on a selective understanding of India’s agrarian past as backward and needing redemption. There is inadequate evidence to support the claim that India was food-insecure in the 1960s. Moreover, evidence suggests that India’s food and nutritional insecurities today are the aftermath of the green revolution strategy promoted since the 1960s. This article is a small contribution towards comprehensively outlining that past so that we can begin to imagine a new vision for India’s agrarian future.
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