Economics

In The Name Of Empowerment Creating Dependencies

By Samriti Dhatwalia

January 29, 2025

Political Parties have always found a way to lure people by providing them with gifts in exchange of votes. Everybody does like one great gift but if this gift takes something out of your own pockets then it is something to be concerned about. India stands at the number one position in giving out freebies to people in order to entice votes from them. Being the largest democracy of the world, India has very easily influenced its neighbouring nations in South Asia and Southeast Asia to start persuading its people to vote for them in return for a gift. Copying others has always been an easy task but one needs to understand that the birth country itself calls it a Revadi Culture. 

Understanding The Economics Behind These Subsidies 

For understanding the concept of subsidies/ freebies, one needs to understand how money actually flows in the economy.Here we shall focus on the macroeconomic theory of economics. The money that the government has is by collecting taxes from its citizens and using this money for the development of the nation, both tangible and intangible assets. To make this money come into use we as citizens have to elect our representatives, who will further work according to the aspirations of the people and the country. During the process of elections, these so-called representatives come into the public space, with their manifesto and promises on how their party will work for us. But somehow we have made these politicians think that we are too easy to be sold. We have portrayed ourselves in a manner that they can buy us by providing us favors out of our own pocket. 

Here I would ask a question. Have you ever wondered why in the term of five years of a Chief Minister or Prime Minister, these politicians somehow vanish underground after winning in the elections and come out of their burrow just some six months before the next voting begins. This allurement is something we as citizens are also looking forward to, here we think that it’s only a matter of one vote, how much does it cost. But in reality it costs the country some thousands of crores which could have been put for the construction of yet another university. This politics of freebies and subsidies is a mad race to distort the expenditure. 

This was something we had read in our books of polity and economics, but it never occurred to our mind when these representatives turned out to be alms providers and that too with our money. These promises may be too much or sometimes too little, but  one needs to understand their effect on the economic condition of the country. Here the talk of the town comes out as how recently politicians from Maharashtra, Jharkhand, Tamil Nadu and many more are promising financial assistance to women. One needs to understand that empowerment of pockets by fiscal grants only increases dependence. This vague promise may strain government resources, lead to financial mismanagement, and foster inefficiencies in public service delivery. 

Let’s see how our neighbouring countries have adapted to this trait of India

In South Asia let’s move in alphabetical order and talk about Afghanistan. There are many nations which are so fortunate with the resources which should have been their strength but certain people in power ruin everything for them. Afghanistan is one such nation. Suppressed by the Talibani forces, this nation state does not have anything to offer its people, and the people depend on the aid provided by the United Nations. So FREEBIES are a distant dream and the reason behind it is lack of democracy.  

Then comes the country Bangladesh, formed in 1971 after the Liberation War and after the war it parted ways from Pakistan. This country is led by Sheikh Hasina under the Awami League. Here democracy prevails and during elections people are promised with old age allowances, widow and disabled allowances, school stipends which all seems good but we also see that they offer the people with cash handouts before elections. Bhutan offers all the basic amenities of a state to its people but again here as well the political parties are linked with cash transfers during the time of elections. Maldives also believes in the same and provides the rich with subsidies on fuel and energy enterprises and a dream of free internet services to the poor. Along with all the same facilities Nepal offers subsidised farming equipment, transportation services, and obviously cash transfers. Pakistan offers to provide its citizens with money under the Benazir Income Support System, and Ehsaas Programme Emergency Cash Relief. Here the former is to provide money to the poor and the latter talks about giving out cash in times of disasters, which the state surely suffers from. With such disastrous floods, and such a bad economic condition, I have zero idea how daringly the politicians promise when they know that their countries survive on aid from the other nation states. Sri Lanka on the other hand, promises its citizens with food subsidies, fuel subsidies, healthcare and education support. Somehow they also manage to give hopes about various social welfare schemes, but the ground reality is totally opposite.

All the eleven Southeast Asian countries have different people in power but somehow all of their so-called promises before elections to the people include similar matters. These include, distribution of vegetable oil, cash handouts, free transportation, campaign giveaways- T Shirts, some other gifts as  well. In Laos, they provide free access to public libraries, and Hajj Subsidies. One thing which came out as striking to me was  how parties like the United Malays Organisation offer online vouchers before elections. 

The creator of Freebies –  INDIA

Indian politicians, part of the world’s largest democracy, use every possible means to win an election. Various political parties promise people with fuel, electricity, water, cash transfers, loan waivers. It all seems so great to the ears but in reality it shows us that our representatives would not work to improve our political, economical and social conditions but would compensate for their lack of work by providing us with these free services. This attitude of the government creates dependence and not Atma Nirbharta. Somehow if we look in the other direction, they are not only providing these services to the poor sections of the society but also the rich industrialists. These industrialists are provided with tax deductions, and government tenders are offered to them which are really helpful in filling up their coffers with money. The capital city of the country provides its people with 200 units of free electricity, 20,000 litres of water per month, free bus rides to women, their own food distribution programs, and the highlight of the period- Free Wifi services. Thulam Saruvlam, a candidate from Tamil Nadu, had promised people with a mini-helicopter, Rs 1 crore to every household, a robot for homemakers to do household work, and 100 sovereigns of gold for women when they get married. This shows the height of stupidity. Not only this, Saravanan has also promised to provide Rs 1 crore to youth who wish to start a business, a car worth Rs 20 lakh for every household, Rs 10 lakh per month for differently abled people, a 100-day trip to the moon, a 300-foot artificial iceberg to keep the residents of the constituency cool, a space research centre and a rocket launch pad. Just imagine the height of idiocy. ABSURD As I mentioned above how the current Prime Minister, Narendra Modi calls this a Revadi CultureBut little does he know that states like Uttar Pradesh promise to provide its people with free LPG cylinders as beneficiaries as a part of the Ujjawala Yojana. The BJP Uttar Pradesh managed to give out free cylinders but at the time of refiling them, various reasons such as the KYC and other technical issues came up and the so called beneficiaries do not enjoy any benefit. Free Education is one thing, and promising direct cash to women by the Dravida Munnetra Kazhagam (DMK) is a bit too much. To our surprise these things actually help in getting votes for these representatives.  

Women and Subsidies – scandal or genuine effort ?

Elections and politics in India have always been male-centric, but these assembly elections are showing us a different picture altogether. Politicians today are moving towards women and attracting them towards their parties. Is it a scandal or a genuine effort towards attracting more women voters? Though cash handouts have enhanced welfare results for numerous women, they can also serve as a means for political mobilization. Women’s organizations or activists in the political realm may take advantage of these programs to enhance the participation and representation of women in politics. The only worry is that political leaders may only implement such programs for voting advantages without actually tackling the underlying systemic challenges that impact women’s well-being. In certain cases, women might receive these handouts passively, instead of actively engaging in the political process. Cash giveaways by politicians as a form of patronage can occasionally perpetuate gender biases and restrict women’s influence in politics. One really needs to understand how women  (not all but many) in India vote according to their own husbands wishes. 

Certain cash transfer programs, like scholarships targeting girls or subsidies for maternal health, can enhance women’s opportunities for education and healthcare, resulting in lasting advantages such as empowerment, decreased gender gaps, and improved socio-economic results. Although cash handouts can provide instant relief, their long-term effectiveness and sustainability are frequently a topic of discussion. These measures may only offer temporary fixes for long-standing gender inequalities without fundamental changes like enhanced education access, improved job prospects, and stronger caste safety nets. 

 

The underlying problem is that women are considered as one. No certain differentiation has been made. How can young college going girls have the same aspirations as an old-age widow and do you really think a high upper caste woman thinks similar to a lower caste woman working in our own houses. Can a hindu woman and their muslim counterparts share the same ideas and be on the same page? 

Being a Dalit Icon, B.R. Ambedkar has always vouched for women rights as they have been declined many opportunities in the past. So, the politicians need to understand that women should be considered as human beings, they should understand our needs, and most importantly consider us much above from a mere price of 1500 rupees. This promise of providing money to women from the age of 21 to 60 is a mere drama. Firstly, because this is a bad financial step, and secondly it will create differences amongst women themselves. The higher caste women will certainly avoid taking this money and the lower caste who actually require some monetary respite will go empty handed, as the caste system still prevails in India.

As people’s representatives they should focus on developing a harmonious society, where people both men and women are empowered enough so that they do not see themselves taking money from others. A democratic nation has its roots in its people and when empowerment is concerned, I believe true empowerment comes when people, especially women are free to make their own decisions, be it from any caste and are not bound by others. 

Thus, Cash handouts in Indian politics have a significant impact on women, particularly in providing immediate economic relief and improving financial inclusion. However, the efficacy of these handouts in truly empowering women depends on the context in which they are provided, the agency given to women in managing these funds, and the broader socio-political changes accompanying such schemes. While some women benefit from these programs, their long-term empowerment requires more than just cash transfers—it necessitates structural reforms in education, employment, healthcare, and legal rights. Additionally, the use of such schemes as political tools raises concerns about the potential for patronage and dependency, rather than true autonomy for women.