SC Slams Freebies to Rich Amid Deficits | Fiscal Discipline Debate | UPSC GS 2 & 3

Описание: 2. Supreme Court on Freebies: Appeasement or Welfare? | UPSC Current Affairs
3. Freebies vs Fiscal Consolidation | SC Big Observation | UPSC 2026
4. States in Deficit Yet Giving Freebies? Supreme Court Questions Policy
5. Election Freebies Under Scanner | Federalism & Fiscal Responsibility Explained

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The Supreme Court of India has strongly questioned the growing trend of states offering freebies and subsidies, even while running fiscal deficits.

The Court asked whether giving benefits without distinguishing between the affluent and the marginalized amounts to appeasement politics and whether such policies hamper long-term development.

In this video, we discuss:
• Supreme Court observations on freebies
• Difference between welfare schemes and populist freebies
• Fiscal deficit & revenue gap explained
• FRBM Act & fiscal consolidation
• Federalism and state autonomy debate
• Relevance for UPSC Prelims (Important Judgements)
• GS Paper 2 (Federalism, Election process)
• GS Paper 3 (Fiscal consolidation, Economy)

This topic is extremely important for UPSC 2026, PCS & other state exams.

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SC slams states for freebies to affluent while running deficit
Ananthakrishnan G
tween revenue and expendi-
New Delhi, February 19

The CJI said. "We will be hampering the development of
ations of natural calamity.
The Corporation said it is
"operating under explicit public welfare and socio-economic policy directives" and the Rule, If implemented, would result
adversely affecting electricity
sustainable burden on the public exchequer".
Issuing notice to the Centre. the CJI touched on free power distribution by state governments without distinction be-
and those who can't. He asked.
"Is it in public interest that. the state is absorbing all these?
CJ Kant said he was not Nadu, but the whole of India.
mense au them to take tha much on them. So that people
21sо плис
some discipline in
their lives," he said.
Senior Advocate Gopal Sub-ramaniam, appearing for the Corporation, said, "The gap be-
even lemented sauter
Our worry is that states are run ning in deficit and still giving all
these rom where suthis money is coming?
Syllabus
Prelims
Important Judgements
GS Paper: 2
GS Paper: 3
Federalism, Election process
Fiscal Consolidation