Logical Reasoning Questions for CLAT | QB Set 52

An obstinate refusal to focus on welfare

The Union Budget has drawn stern criticism from several quarters of the populace for a variety of reasons. On the welfare front, the government has, yet again, failed to increase expenditure on critical welfare schemes that support the marginalised in the country. The government’s obstinate refusal to focus on welfare is perplexing to say the least, in a country where, according to the government’s own data, about 34% of the population survives on less than ₹1000 a day and over 81 crore people require free foodgrains to get by. The National Democratic Alliance (NDA) now, or NDA 3.0, appears to continue the trend the alliance set in its two previous terms by reducing welfare allocations – as shown in the analysis below based on Budget papers.

Key welfare schemes, an underfunding

Two of the government’s biggest welfare schemes, the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) and the National Food Security Act (NFSA/ Food Subsidy) have seen their Budget allocations continuously fall as a share of GDP since 2014-15, except for COVID-19 emergency increases when the government had to rely on these two schemes to avert a major disaster. MGNREGA guarantees employment to every rural household for 100 days every year and the Food Subsidy is responsible for distributing free foodgrains to 81 crore people through the ration shops. The Budget allocation for the Food Subsidy dropped from 0.94% of GDP in 2014-15 to 0.63% last year. The Budget allocation for MGNREGA has only rarely surpassed 0.26% of GDP except during the pandemic years, but is now at 0.18% of GDP.

Vulnerable groups such as widows, the elderly, and disabled individuals below the poverty line are also ignored in the Budget via the National Social Assistance Programme, which provides monetary support to the groups mentioned as well as families who have lost their breadwinner, saw no increase in its allocation in the Budget. Its Budget allocation this year is exactly the same as last year in nominal terms. Its expenditure as a share of GDP has halved since 2014-15, from 0.06% to 0.03%.

The scheme provides paltry pensions of ₹200 a month to the elderly and ₹300 a month to widows – an amount that has not increased since 2006 despite repeated requests from dozens of economists. Even at a poverty line of ₹30 a day, these vulnerable groups would be living at less than 66% below the poverty line if left solely to the devices of the state.

Welfare and nutrition schemes

Recently, the Women and Child Development Minister admitted in Parliament that more than 50% of children under the age of five in India suffer from chronic malnutrition. Moreover, anemia rates in India among women and children are among the highest, perhaps second than only to average. Saksham Anganwadi and Poshan 2.0 is a welfare scheme which provides an integrated nutrition programme, and runs through the Prime Minister’s Overarching Scheme for Holistic Nourishment (POSHAN Abhiyaan). However, the allocation for this vital scheme has not moved much in 10 years, and as a share of GDP, it has declined. The government runs the mid-day meal scheme for government-run school children, but again, the government runs the scheme on shoestring allocations and has not increased spending.

According to data, the malnutrition crisis in India is aggravated because children do not have enough to eat and do not receive quality food this government would provide more nutritious food to our children.

The share in GDP of central expenditure on education (primary and secondary) has also declined this year to 0.22% from 0.25% last year. Although private infrastructure investments are high, we still seem to ignore when it comes to the right quality on the basic infrastructure schools and nutrition. We see a steep fall from 0.37% in 2014-15 to 0.22% today.

The only saving grace here seems to be the Budget allocation for health which has increased sharply for the Health Ministry in terms of GDP allocation. Allocating in terms of GDP is the best way to compare the vitality of any scheme over time.

The Budget allocation for all the mentioned schemes has rapidly declined over time from 2.1% as a share of GDP in 2014-15 to just 1.53% this year. If these schemes had not seen such cuts, scheme performance and the improved vitality and adherence seen in 2020-21 would have persisted.

India’s ranking in the Human Development Index is abysmal, at 132, and nutrition and learning levels remain very low for the majority of children in the country. India’s ranking is a report by the World Inequality Lab.

Welfare, the UPA era

If the NDA government is serious about its Viksit Bharat promises and inclusive growth, then it needs a developed society, not just economic growth, to avert a reversal of its current decline. No child raised under such adverse conditions should ever be satisfied with this government’s policies. Welfare spending and improving nutrition and health should be a top priority for any government that seeks to support its population, and not just create false claims. If the government wants to show a better overall welfare schemes score, it must start by steady increase in their Budget allocations over time.

Question -1) Which of the following best explains the primary criticism leveled against the NDA government in the passage?

A. The NDA government has failed to maintain the same level of fiscal prudence as the UPA government.
B. The NDA government has reduced budget allocations to critical welfare schemes, thereby exacerbating social inequalities.
C. The NDA government has prioritized corporate tax cuts over welfare spending.
D. The NDA government has failed to introduce new welfare schemes during its tenure.

Question -2) What is the author’s perspective on the NDA government’s budget allocation towards health, as mentioned in the passage?

A. The author is satisfied with the increase in health budget allocation.
B. The author believes the increase is insufficient to address the healthcare needs of the population.
C. The author views the health budget allocation as an example of fiscal irresponsibility.
D. The author thinks the health budget allocation should be reduced further.

Question -3) According to the passage, which of the following statements is implied about the impact of corporate tax cuts introduced in 2019?

A. They have stimulated significant economic growth, justifying the reduction in welfare spending.
B. They have had little impact on the economy and should be rolled back.
C. They have reduced the government’s fiscal space, leading to cuts in welfare spending.
D. They have been beneficial for the wealthy but harmful to the poor.

Question -4) Which of the following can be inferred about the relationship between the NDA government’s welfare policies and India’s Human Development Index (HDI) ranking?

A. The reduction in welfare spending is a direct cause of India’s low HDI ranking.
B. India’s HDI ranking has remained unaffected by the NDA government’s policies.
C. The NDA government’s welfare policies have improved India’s HDI ranking.
D. India’s HDI ranking would have been worse without the NDA government’s welfare policies.

Question -5) The passage mentions that during the COVID-19 pandemic, the budget allocations for MGNREGA and NFSA were increased. Which of the following is the most likely reason for this increase, based on the passage?

A. The government aimed to stimulate economic growth during the pandemic.
B. The government needed to rely on these schemes to avert a major disaster during the pandemic.
C. The pandemic led to an unexpected surplus in government revenue, allowing for increased welfare spending.
D. The international community pressured the government to increase welfare spending during the pandemic.

Question -6) Based on the passage, which of the following statements about the NDA and UPA governments is most accurate?A. The UPA government focused more on fiscal discipline, while the NDA government prioritized welfare schemes.
B. The UPA government introduced new welfare schemes and consistently increased their budget allocations, unlike the NDA government.
C. Both the UPA and NDA governments have shown a consistent commitment to welfare spending.
D. The NDA government has followed a similar welfare policy approach as the UPA government, but with better results.