Why in the News?

On November 26, 2024, India celebrated 75 years of its Constitution, honouring how leaders from different viewpoints worked together in the Constituent Assembly to build a nation that respects the rights and interests of all cultural groups.

Why Did Constitution Makers Agree to Create a Liberal Political State in India?

• Emphasis on Liberty: The Constitution-makers embraced liberalism, which prioritizes individual freedom and the belief that citizens should operate without state interference. This was seen as essential for realizing human potential in intellectual, moral, and physical dimensions.
• Positive State Role: Recognizing the severe social and economic inequalities at Independence, the framers concluded that a purely liberal approach without state intervention would exacerbate these disparities. Thus, they envisioned a state that actively works to reduce inequality through affirmative action and policies designed to uplift marginalized groups.
• Egalitarian Vision: The Constitution reflects principles of egalitarian liberalism, aiming to create an inclusive society where equal opportunities are available to all. This is evident in the Fundamental Rights and Directive Principles of State Policy (DPSP), which advocate for reducing inequalities and ensuring fair access to resources.

How Does the Neoliberal Ideological Order Shadow the Constitutional Vision of Creating an Egalitarian Social Order in India?

• Concentration of Wealth: The neoliberal agenda has facilitated wealth concentration among a small elite, undermining constitutional provisions intended to prevent such disparities.
  • The report that indicates that by 2022-23, 90% of billionaire wealth was held by upper castes in India is titled “Towards Tax Justice and Wealth Redistribution in India” (2024), prepared by the World Inequality Lab at the Paris School of Economics.
• Shift in Economic Focus: Since the adoption of neoliberal reforms in the 1990s, there has been a marked shift towards prioritizing private capital investment over welfare state interventions.
• Rising Inequality: Research indicates that income inequality has surged post-reforms, with the top 1% of earners capturing an increasing share of total income rising from 6% in the 1980s to approximately 22% by 2022-23.

What Policy Measures Can Be Implemented to Address Inequality Effectively? (Way forward)

• Strengthening Welfare Policies: Reinvigorating welfare state mechanisms to ensure basic needs are met for all citizens can help bridge the gap between different socio-economic groups. This includes enhancing social security systems and public health initiatives.
• Affirmative Action: Expanding affirmative action policies can help uplift marginalized communities by ensuring their representation in education, employment, and political spheres.
• Progressive Taxation: Implementing a more progressive tax system can redistribute wealth more equitably. Higher taxes on the wealthy can be used to fund social programs aimed at reducing poverty and improving access to education and healthcare.
• Community Resource Management: Encouraging community-based management of resources can empower local populations and ensure equitable distribution of wealth generated from local economies.
• Regulatory Frameworks: Establishing robust regulatory frameworks that prevent monopolistic practices and ensure fair competition can help mitigate wealth concentration and promote economic equity.

Mains PYQ:

Q COVID-19 pandemic accelerated class inequalities and poverty in India. Comment. (UPSC IAS/2020)

Get an IAS/IPS ranker as your 1: 1 personal mentor for UPSC 2024

Attend Now