Indian Constitution proclaims its democratic and socialistic polity of ensuring the distribution of income generated equitably among the subjects. The government policy pronouncements must also be binding on the planning body of the country. India is noted for mixed type of economy wherein State intervention plays a pivotal role in ensuring equity in distribution of income generated from various sectors. The aim of the private sector is to earn profit at any cost whereas public sector is concerned with the welfare of the public in addition. The balancing exercise by the State is a must for the recognition of all the labour forces contributing to the nation building and harmonious living. The Government policy started to swift since 1991 by encouraging private sector participation in all the economic activities. Slowly the uneven distribution of income generation went up in graphical depiction.
Effective measures were not taken to arrest the trend which is against the polity declared in the preamble of the Constitution.
The recently released report of Oxfam for India for the year 2017 states the horror story of global inequity of India’s richest 1 per cent garnering as much as 73 per cent of the total wealth generated in the country in 2017.
Further it says, “the billionaire born is not a sign of a thriving economy but a symptom of a failing economic system. Those working hard…. are struggling to fund their child’s education, buy medicines…. and manage two meals a day. The growing divide undermines democracy and promotes corruption and cronyism”.
Big corporate are garnering the income generated by safeguarding their own interest as well as depriving the reasonable interest of others. In the name of socialism and democracy, crony capitalism is thriving.
