"Universal Basic Income (UBI) is a viable solution to eradicate extreme poverty in India." Critically discuss the statement.

According to UNDP, 28 crore people in India are under extreme poverty who are multi-dimensionally poor. Economic Survey in 2016 suggested Universal Basic Income for eradication of poverty in India. UBI is a certain amount of monthly money given to all citizens of country by government. Positives of UBI in poverty reduction: (1) Direct income support will make people buy food for themselves (Analytic send)

Entitlement Approach. (2) Vicious cycle of growth [Diagram showing: UBI → Revenue grant, Food & health, Economy contributes, Productivity increase] (3) Food availability is enough in India - 340 million metric Tonnes production. Issue is affordability. Limitations of UBI: a Increased inflation: as money supply will increase. b Decreased production: people will seek leisure instead of work. c Burden on state subsidy: No revenue/funds for capital investment.

d Dependency trap called 'aid curse': citizens will become dependent on state for survival. e Need for capacity building to overcome multi-dimensional poverty which include education, health and standard of living. Suggestions for eradicate extreme poverty: (1) Rationalised UBI like BROGIT model. (2) Investment in health and education, skill building. (3) Targeted Mission: 'Zero Hunger SDG-1 by 2030'. (4) Capability Approach: DAY-NRLM, SHG formation. "Poverty is the worst form of violence" - Gandhi.

— VIVEK SINGH · AIR 276