Subsidies and Welfare Expenditure — Mains Questions

Critically analyze the effectiveness of Direct Benefit Transfer (DBT) in rationalizing India's subsidy regime. Discuss the challenges that persist despite its implementation.

The concept of a 'welfare state' is deeply embedded in the Indian Constitution. Examine how various welfare expenditures and subsidies contribute to achieving the objectives enshrined in the Directive Principles of State Policy (DPSPs).

Discuss the fiscal implications of India's extensive subsidy regime. What measures can be adopted to rationalize subsidies without compromising the welfare of vulnerable sections?