The Kelkar committee has, ideally, advocated nil subsidies. The government is pushing for these reforms by dishing out statistics regarding the number of people who would be directly affected by diesel price increase (car owners, etc), actual LPG users, and so on.
The government is silent about the cascading effect that will be felt on prices of all essential commodities whose price rise will hit hard every section of society, especially the poorest of the poor. The government talks in terms of small percentage increases in prices and expects the common man to be satisfied with these figures. But figures cannot fill hungry stomachs. What the government is glossing over is the fact that the real income has totally eroded.
A 100 rupee note has hardly any real purchasing power today. The Corporate world may be gung-ho in terms of increasing foreign investments in this country. For the aam aadmi, he is worried about his daily bread for himself and his family.
When the British ruled India, we had the EAST INDIA COMPANY from where looting of India began. Today, with the entry of foreign investments in various sectors, we have EAT INDIA COMPANIES entering our country and they are being happily encouraged by our own elected government. In its election manifesto, the Congress had promised to eradicate poverty.
Today, in practice, they are literally eradicating the poor.
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