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“automotive fuel pump reading at 242 pesos” by Gab Pili on Unsplash

Despite being less than 9 months away from the general elections, Central government in India has not resorted to the much anticipated populist decision of reducing taxes on petroleum products. This might not be the best political move, but it is definitely a matured policy stand in terms of handling of economy.

In the summer of 1998, India conducted its second nuclear test, nationalist sentiments were running high all over the country. BJP led government at the center was hailed for the bold step, it was natural to assume that the party’s popularity was at all-time high. However, within 6 months from the day “Buddha smiled”, they lost the crucial Delhi state elections. The reason for the loss was primarily attributed to the rising prices of essential commodities, specifically the price of onion. In the largest democracy of the world, with median annual household income of USD 3168 and the median per capita income of USD 616, the prices of essential commodities is a very sensitive political and policy matter, it poses an exceptional challenge in terms of achieving equilibrium between good economics and good politics. …

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Amit Singh

Public Policy, Politics, Education, Science and Technology

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