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  • Giving primacy to Human Development

    Why in the News?

    Two recent reports reveal some important facets of India’s Development.

    • The Human Development Report 2023-24, published by the UNDP, takes a comparative perspective and maps the achievements in the area of human development.
    • A paper published by the World Inequality Lab in March 2024 provides long-term trends in income and wealth inequality in India between 1922 and 2023.

    About HDI:

    The Human Development Index (HDI) is a measurement system used by the United Nations to evaluate the level of individual human development in each country. It was introduced by the U.N. in 1990.

    How is the HDI measured?

    The HDI is the geometric mean of the three dimensions above, with indices calculated separately for each country using data on life expectancy, schooling and per capita income. The final result always gives a value between 0 and 1 which defines, according to the UNDP, the four degrees of human development detailed below:

    • Very high: countries with a HDI above 0.80.
    • High: countries with a HDI between 0.70 and 0.80.
    • Medium: countries with a HDI between 0.55 and 0.70. (India is here)
    • Low: countries with a HDI below 0.55.

    India’s poor ranking in HDI:

    • Regional Trends: India’s HDI ranking has improved marginally over the years, but it still lags behind several countries, including Bhutan, Bangladesh, Sri Lanka, and China. In 2022, India ranked 134 out of 193 countries.
    • Low HDI Value: Despite the incremental improvement in ranking, India’s HDI value remains relatively low. The HDI value increased from 0.633 in 2021 to 0.644 in 2022.
    • Gender Inequality Index (GII): While India showed improvement in its GII ranking in 2022, moving from 122 out of 191 countries in 2021 to 108 out of 193 countries in 2022, significant gender disparities persist. Notably, India faces one of the largest gender gaps in labor force participation rates, with a substantial difference between men (76.1%) and women (28.3%).
    • Medium Human Development Categories: India’s HDI ranking places it within the medium human development category alongside countries like Myanmar, Ghana, Kenya, Congo, and Angola.

    Key concerns related to Human Development:

    • Increasing Disparity Between Countries: The report underscores a concerning trend of growing inequality between countries, particularly between those at the upper and lower ends of the Human Development Index (HDI).
    • Economic Concentration: The concentration of economic power in a few countries is exacerbating global inequality. Nearly 40% of the global trade in goods is controlled by just three or fewer countries
    • Tech Company Dominance: The dominance of large technology companies further exacerbates inequality, with the market capitalization of the top three companies surpassing the GDP of the majority of countries.

    Widening inequality:

    • Income Disparities in India: The study from the World Inequality Lab reveals stark income disparities in India, with the bottom 50% of the population receiving only 15% of the national income.
      • Conversely, the top 1% earns on average 23 times more than the average Indian, and the top 10,000 individuals earn 2,069 times the average Indian.
    • Reduction of Middle-Class size: During the period from 2014 to 2022, the incomes of the middle 40% of the income distribution have grown slower than the bottom 50%. This trend suggests a potential reduction in the size of the ‘middle class.
    • High Household Debt and Low Savings: Household debt levels in India have reached a record high of 40% of GDP, while net financial savings have plunged to 5.2% of GDP.

    Way Forward: 

    • Promote Inclusive Growth Policies: Implement policies that prioritize inclusive growth, focusing on reducing income disparities, and enhancing access to education, healthcare, and economic opportunities for all segments of society.
    • Enhance Social Safety Nets: Strengthen social safety nets to provide support to vulnerable populations, including targeted welfare programs, universal healthcare coverage, and unemployment benefits.

    Mains PYQ: 

    Q Despite the consistent experience of high growth, India still goes with the lowest indicators of human development. Examine the issues that make balanced and inclusive development elusive.(UPSC IAS/2019)

  • Tiger Translocation in Sahyadri-Konkan Wildlife Corridor  

    Why in the news?

    Maharashtra’s plan to increase tigers count in Sahyadri-Konkan Wildlife Corridor by translocating tigers from Tadoba-Andhari Tiger Reserve (TATR) (Chandrapur, Maharashtra) underscores the critical role of wildlife corridors in conservation efforts.

    About Tadoba-Andhari Tiger Reserve (TATR)

    • Tadoba became one of India’s earliest national parks when it was declared in 1955, alongside Kanha National Park.
    • The name “Tadoba” is derived from the deity “Tadoba” or “Taru,” worshipped by local Gond Tribals, and “Andhari” refers to the Andhari River flowing through the reserve.
    • It was later expanded and officially merged with the Andhari Wildlife Sanctuary in 1993 to form the TATR.
    • TATR is regarded as one of the world’s most preferred destinations for tiger sightings and is a critical part of Project Tiger, aimed at conserving tigers in India.
    • The reserve has 115 tigers, including 88 within the forest and 27 in the areas immediately surrounding the reserve.

    About Sahyadri-Konkan Wildlife Corridor  

    • The Sahyadri-Konkan corridor (Sahyadri-Radhanagari-Goa-Karnataka), plays a vital role in conserving wildlife, particularly tigers, in the northern Western Ghats region.
    • It spans throughout the states of Maharashtra, Goa, and Karnataka, specifically through the Western Ghats, one of the world’s eight biodiversity hotspots.
    • Protected Areas Connected:
    1. Sahyadri Tiger Reserve (includes Koyna Wildlife Sanctuary (WLS) and Chandoli National Park) and Radhanagari Wildlife Sanctuary (Maharashtra);
    2. Bhimgad Wildlife Sanctuary and Kali Tiger Reserve (includes Anshi National Park and Dandeli WLS) in (Karnataka);
    3. Mollem National Park, Netravali Wildlife Sanctuary (Goa).
    • Fauna: Tiger (Panthera tigris), Indian leopard (Panthera pardus), dhole (Cuon alpinus), and sloth bear (Melursus ursinus), etc.
    • The Western Ghats, including parts of the corridor, are designated as a UNESCO World Heritage Site in 2012 due to their outstanding universal value in terms of biodiversity and endemic species.

    PYQ:

    [2020] Among the following Tiger Reserves, which one has the largest area under “Critical Tiger Habitat”?

    (a) Corbett

    (b) Ranthambore

    (c) Nagarjunsagar-Srisailam

    (d) Sunderbans

  • Glyptothorax punyabratai: A New Catfish Species discovered  

    Why in the news?

    Glyptothorax punyabratai, a new catfish species, has been discovered in the Brahmaputra River drainage in Arunachal Pradesh.

    • The discovery was made by the ICAR-National Bureau of Fish Genetic Resources (ICAR-NBFGR), Lucknow, and published in the journal Ichthyological Exploration of Freshwaters.

    Glyptothorax punyabratai

    • It was collected from the Tung Stream, a tributary of the Tissa River, within the Brahmaputra River basin.
    • It has a unique rhomboidal-shaped thoracic adhesive apparatus, which is a specialized structure that helps the fish adhere to surfaces.
    • The holotype and paratype specimens are housed at the National Fish Museum-cum-Repository of the ICAR-NBFGR, Lucknow.
      • This discovery underscores the potential for both utilization and conservation of fish biodiversity in unexplored areas.

    PYQ:

    [2019]  Consider the following pairs

    Wildlife Naturally found in
    1. Blue-finned Mahseer Cauvery River
    2. Irrawaddy Dolphin Chambal River
    3. Rusty-spotted Cat Eastern Ghats

    Which of the pairs given correctly matched?

    (a) 1 and 2 only

    (b) 2 and 3 only

    (c) 1 and 3 only

    (d) 1, 2 and 3

  • Widal Test: Flaws of Typhoid Diagnosis  

    Why in the news?

    Patients with fever in India often undergo testing and treatment for typhoid fever, primarily relying on the Widal test.

    • The Widal test, though widely used, has several limitations that affect its accuracy and reliability.

    Typhoid diagnosis using Widal Test

    • The Widal test is used primarily to diagnose typhoid fever.
    • Typhoid fever, caused by Salmonella Typhi and related bacteria, presents with symptoms like high fever, stomach pain, weakness, and gastrointestinal issues.
    • It detects antibodies in the patient’s blood against the O (somatic) and H (flagellar) antigens of Salmonella Typhi.
    • Procedure:
    1. The presence of these antibodies is detected through an agglutination reaction.
    2. The test involves serial dilution of the patient’s serum.
    3. The highest dilution at which agglutination occurs indicates the antibody titer, with higher titers suggesting an active infection.

    Diagnostic Challenges:

    • The gold standard for diagnosing typhoid involves isolating the bacteria from blood or bone marrow cultures, which is time-consuming and resource-intensive.
    • Widal test is commonly used due to its convenience and accessibility. However, the Widal test’s interpretation is complicated by factors like the need for multiple serum samples, variations in cutoff values, and potential cross-reactivity with antibodies from other infections or vaccines.

    Challenges with Widal Test:

    • Impractical: A single positive Widal test does not confirm typhoid.
    • Complicated result interpretation: High background antibody levels and variability in test cutoff values.
    • Cross-reactivity with antibodies from other infections and false negatives due to prior antibiotic therapy undermine test reliability.

    Consequences of Widal Test Use:

    • Erroneous results obscure the true burden of typhoid in India, leading to inappropriate treatment and financial strain on patients.
    • Overuse of antibiotics based on Widal test results contributes to antimicrobial resistance, exacerbating the challenge of treating typhoid.

    PYQ:

    [2016] Which of the following statements is/are correct?

    Viruses can infect

    1. Bacteria

    2. Fungi

    3. Plants

    Select the correct answer using the code given below.

    (a) 1 and 2 only

    (b) 3 only

    (c) 1 and 3 only

    (d) 1, 2 and 3

  • CRISPR’s Breakthrough in Treating Blindness

    Why in the news?

    Scientists have successfully used CRISPR-Cas9 gene editing to restore vision in individuals with a rare form of inherited or congenital blindness.

    • The groundbreaking clinical trial, named “BRILLIANCE,” demonstrated promising results in improving vision and quality of life for participants with Leber congenital amaurosis (LCA), a severe vision disorder.

    What is Leber Congenital Amaurosis (LCA)?

    • LCA is a rare genetic disorder that primarily affects the retina the ‘light-sensitive’ tissue at the back of the eye. It leads to severe visual impairment or blindness at birth or within the first few months of life.
    • It is inherited in an autosomal recessive manner, meaning a child needs to inherit one defective gene from each parent to develop the condition.
    • There are several genes associated with LCA, with mutations in at least 14 different genes known to cause the disorder.
    • These genes generally affect the development and function of photoreceptors or the retinal pigment.

    Key highlights of the BRILLIANCE trial:

    • The BRILLIANCE trial involved 12 adults and two children diagnosed with LCA, a condition characterized by early-onset vision loss.
    • Participants received a single dose of a CRISPR gene therapy called EDIT-101, designed to correct mutations in the CEP290 gene responsible for LCA.
    • In this case, CRISPR-Cas9 cuts out the faulty DNA segment in the CEP290 gene and replaces it with a healthy DNA sequence, restoring the function of the CEP290 protein crucial for vision.
    • Out of 14 participants, 11 experienced improved vision without serious side effects.

    Back2Basics: CRISPR-Cas9 Gene Editing

    • CRISPR-Cas9 stands for Clustered Regularly Interspaced Short Palindromic Repeats and CRISPR-associated protein 9.
    • It is a technology that allows geneticists and researchers to edit parts of the genome by altering sections of the DNA sequence.
    • Emmanuelle Charpentier and Jennifer Doudna’s work on CRISPR-Cas9 as a ‘molecular scissor’ earned them the 2020 Nobel Prize in chemistry.
    • The system consists of two key components:
    1. Cas9: This is the enzyme that acts like a pair of molecular scissors. It is responsible for cutting the DNA strand at a specific location, allowing for the removal, addition, or alteration of DNA at that site.
    2. Guide RNA (gRNA): This is a piece of RNA that is designed to find and bind to a specific sequence of DNA that matches its code. The gRNA guides the Cas9 enzyme to the exact spot in the genome where an edit is desired.
    • Mechanism:
      • The process begins with the design of a gRNA that matches the DNA sequence where an edit is needed.
      • Once inside the cell, the Cas9 enzyme and the gRNA form a complex that can identify and bind to the target DNA sequence.
      • The Cas9 then cuts the DNA at this location.
      • After the DNA is cut, the cell’s natural repair mechanisms can be harnessed to add or remove genetic material, or to make specific changes to the DNA.

     

    PYQ:

    [2019] What is Cas9 Protein that is often mentioned in news?

    (a) A molecular scissors used in targeted gene editing

    (b) A biosensor used in the accurate detection of pathogens in patients

    (c) A gene that makes plants pest-resistant

    (d) A herbicidal substance synthesized in genetically modified crops

  • Orangutan uses Plant to treat wound

    Why in the news?

    An orangutan was observed treating a wound with medicine from a tropical plant, showcasing how some animals employ natural remedies to alleviate their ailments.

    • This behavior, documented in a recent study published in Scientific Reports, represents a novel instance of self-medication among wild animals.

    About Orangutans

    • Orangutans, are distinguished by their vivid red fur, are the largest arboreal mammals and spend the majority of their time in trees and forests.
    • The name “orangutan” translates to “man of the forest” in Malay.
    • They possess long, powerful arms and grasping hands and feet that facilitate movement through the branches.
    • Highly intelligent, these great apes share 96.4% of genetic makeup of modern man.
    • Orangutans primarily inhabit the tropical rainforests of Southeast Asia, specifically on the islands of Borneo and Sumatra.
    • Conservation Status: Critically Endangered (IUCN Red list)
    • Population: Bornean (Approximately 104,700); Sumatran (Approximately 13,846); Tapanuli (Around 800);
    • Behavioral Features:
      • These apes lead mostly solitary lives in the lowland forests, dining on wild fruits such as lychees, mangosteens, and figs, and drinking water collected in tree cavities.
      • Orangutans are mainly frugivorous, they primarily eat fruits, and consume leaves, bark, insects, and occasionally small animals.
      • They construct nests in trees with vegetation for sleeping at night and resting during the day.
      • And, now they are found treating a wound with medicine from a Tropical plant.

    PYQ:

    [2013] Consider the following:

    1. Star tortoise
    2. Monitor lizard
    3. Pygmy hog
    4. Spider monkey

    Which of the above are naturally found in India?

    (a) 1, 2 and 3 only

    (b) 2 and 3 only

    (c) 1 and 4 only

    (d) 1, 2 and 3 and 4
  • [UPSC Prelims ’24 Webinar] Do this on D-Day | How after 2 Prelims FAILURE, I got 34 marks above Cut-Off using Knowledge + Logic + Common Sense

    [UPSC Prelims ’24 Webinar] Do this on D-Day | How after 2 Prelims FAILURE, I got 34 marks above Cut-Off using Knowledge + Logic + Common Sense

    UPSC Prelims – Use ‘Troika’ of Knowledge + Logic + Common Sense by Dr. Shri Krushna (IAS, UPSC 2023)

    Join FREE Webinar on 10th May, 7:00 pm

    First 200 will get free mentorship session

    Register Now!

    The UPSC Prelims is a tough filter designed to weed out the unprepared.

    The only way to sail through these times is by keeping calm.

    “That’s all that people keep telling me – to keep calm! It’s easier said than done, for in the Last Open Mock, I scored only 60 marks. I have drained myself!”

    Stay calm—it’s your secret weapon. Learn proven techniques to score high and prep for Mains with no stress. There is no need to read more sources, go through multiple mocks, or take a 15-Day Revision Challenge.

    We just want you to look deeply into the analysis of the UPSC Prelims 2023 Paper.

    Dr. Shri Krushna, IAS, UPSC 2023 this year, has to share some ways he used to score comfortably above the cut-off.

    Look at the remark in his Question Paper.

    Waggle Dance, like most aspirants, was unknown to Shri. However, he focused on the word “kin”, which meant those who lived in groups.

    Through just observation, we know that only honeybees among these options are the ones who live in kins.

    Similarly, look at the following question and its remarks:

    UPSC isn’t expecting you to know such trivial details. All you have to do is keep calm and read these questions carefully.

    In the above question, “making a tool” can be done only by an intelligent being; hence, Shri Krushna chose the closest relative to humans—the Orangutan.

    So, let’s get to the crux of it—standard resources and mocks can’t make you feel prepared anymore. Every ranker who qualifies for prelims painstakingly crafts a process for it. And now, it’s your turn.

    Civilsdaily Prelims Webinars allow you to access the real work from those who have done it before.

    We are bringing you a WEBINAR on the 10th of May at 7 PM, during which Dr. Shri Krushna, IAS 2023, will go through the questions in the UPSC Prelims 2023 Paper and show you how he used common sense, knowledge, and logic to clear the exam with a very safe margin.

    It’s time to rewrite your success story — will you seize the opportunity?

    REGISTER FOR IAS SHRIKRUSHNA’S WEBINAR

    Register Now!

    Why attend this webinar?

    • Get an Edge: Learn how to get those 15-20 questions correct with logic.
    • D-Day Simplified: No need to use a lot of strategies, just master the one shared in the Webinar.
    • PDF Analysis – Done by Dr. Shri Krushna (Scanned Copy of his test paper with analysis done by him) Direct to your email after the Webinar is over.

    Registration is FREE but MANDATORY!

    Attend this Webinar if

    1. If you have been giving Prelims for the past 1-2 years and NOT CONFIDENT with your Prelims Preparation.
    2. If you are BEGINNER & want to have an edge of analyzing PYQs
    3. PDF Analysis – Done by Dr. Shri Krushna (Scanned Copy of his test paper with analysis done by him) Direct to your email after the Webinar is over

    The Webinar will be followed by Dominate Prelims Open Mock Test 2.0 on 11th May, Saturday in both Online/Offline Mode.

    Register for Open Mock!

    Timings:

    GS 1 – 9:30-11:30 AM

    CSAT – 2:30-4:30 PM

    Discussion – 4:45 – 6 PM

  • The unseen effects of Climate Change on Mental Health

    Why in the News? 

    Studies show that individuals with schizophrenia are more likely to experience fatal effects from extreme heat compared to those with kidney or heart problems as per Geo Health report.

    What is schizophrenia? 

    As per the National Institute of Mental Health, Schizophrenia is a serious mental illness that affects how a person thinks, feels, and behaves. People with schizophrenia may seem like they have lost touch with reality, which can be distressing for them and their family and friends.

    Effects of Extreme Heat  as per the Geo Health Report:

    • Schizophrenia Heat-Related Deaths: GeoHealth in 2023 revealed that an extreme heat event in British Columbia in 2021 led to more fatalities among individuals with schizophrenia compared to those with kidney and heart diseases.
    • Mental Health Conditions: People with mental health conditions, including schizophrenia, anxiety, and bipolar disorder, were identified as being at higher risk of succumbing to heat-related deaths during extreme heat events.
    • Impact of Extreme Heat Event: British Columbia experienced an eight-day extreme heat event in 2021, with temperatures soaring as high as 40 degrees celsius, significantly above the average temperature of around 20 degrees celsius. The region recorded approximately 740 excess deaths during this heat wave.
      • Researchers analyzed the data based on various medical conditions, including heart disease, schizophrenia, chronic kidney disease, dementia, depression, Parkinson’s disease, and osteoporosis.
    • Higher Risk of Schizophrenia: Contrary to expectations, the study reported a 200% increase in the prevalence of schizophrenia diagnoses during the extreme heat event in 2021 compared to a summer without recorded heat waves.

     Key challenges for treating Schizophrenia:

    • Dysfunction of the Hypothalamus: The dysfunction of the hypothalamus, a structure deep in the brain responsible for maintaining bodily homeostasis, may contribute to increased vulnerability to heat stress among individuals with schizophrenia.
    • Impact of Antipsychotic Medications: Certain antipsychotic medications prescribed for schizophrenia can interfere with the functioning of the hypothalamus, potentially raising body temperature. This side effect, when combined with high ambient temperatures, can lead to fatal outcomes.
    • Psychotic Symptoms and Anosognosia (unable to be aware of the symptoms): Individuals with schizophrenia often experience psychotic symptoms such as hallucinations, delusions, disorganized thinking, and memory loss. The anosognosia, a condition where individuals are unaware of their illness can further complicate treatment efforts.

    Way Forward:

    • Enhanced Monitoring and Support Systems: Implement enhanced monitoring and support systems for individuals with schizophrenia during extreme heat events.
    • Education and Awareness Campaigns: Conduct education and awareness campaigns to inform individuals with schizophrenia and their caregivers about the risks of heat-related distress and the importance of staying cool and hydrated during extreme heat events.
    • Tailored Treatment Plans: Develop tailored treatment plans for individuals with schizophrenia that take into account the potential impact of antipsychotic medications on body temperature regulation.

    Mains PYQ 

    Q Public health system has limitation in providing universal health coverage. Do you think that private sector can help in bridging the gap? What other viable alternatives do you suggest? (UPSC IAS/2015)

    With inputs from:

    https://agupubs.onlinelibrary.wiley.com/doi/10.1029/2022GH000729

    https://www.nimh.nih.gov/health/topics/schizophrenia#:~:text=What%20is%20schizophrenia%3F,for%20their%20family%20and%20friends

  • The government’s new PhD guidelines will make Universities more Elite

    Why in the news?

    The UGC chairperson announced that students with four-year undergraduate degrees can now appear for the National Eligibility Test (NET), an exam that certifies eligibility for lectureship in colleges and universities in India, and PhD programs.

    Key Implication of this Announcement:

    • Lowering of Standards: Allowing students with four-year undergraduate degrees to appear for the National Eligibility Test (NET) and pursue PhD programs without a Master’s degree may lead to concerns about the lowering of academic standards.
    • Quality of Teaching: Concerns arise regarding the quality of teaching in universities and colleges if fresh undergraduate students are recruited to teach other undergraduate students.
    • Impact on University Rankings: The decision may have implications for the rankings and reputation of Indian universities, particularly those with prestigious tags like the Institution of Eminence and high NAAC ratings.
    • Dilutes the perception: Allowing candidates to pursue a PhD in a subject unrelated raises concerns about the diversity and interdisciplinary nature of research.
      • The decision to broaden access to PhD programs may be aimed at dismantling the perception of PhD as an elite qualification.
      • However, critics may argue that diluting the entry requirements for PhD programs could undermine the rigor and prestige associated with earning a doctorate.
    • Impact on Research Culture: Lowering the barriers to entry for PhD programs may have implications for the research culture and scholarly integrity within academic institutions.

    Measures to maintain standards for the National Eligibility Test (NET):

    • Retain Postgraduate Degree Requirement: Maintain the requirement of a postgraduate degree for appearing in the NET to ensure that candidates have a solid foundation in their respective fields of study.
    • Reintroduce MPhil Programs: Reinstate MPhil programs to provide an intermediary step between postgraduate and doctoral studies. MPhil programs offer an opportunity for students to further develop their research skills and prepare for doctoral-level research.
    • Enhanced Mentoring and Preparation Period: Implement a structured mentoring program for NET aspirants to help them transition from undergraduate to postgraduate and eventually doctoral-level research.
    • Specialized Entrance Exams for PhD Programs: Instead of eliminating separate entrance exams for PhD programs, consider introducing specialized entrance exams that assess candidates’ research aptitude, subject knowledge, and suitability for doctoral-level research

    Way Forward: 

    • Promote Interdisciplinary Research: Encourage interdisciplinary research by providing opportunities for collaboration and exchange across different academic disciplines.
    • Maintain Research Standards: Uphold rigorous standards for doctoral research and teaching positions to ensure the quality and integrity of academic programs. Implement quality assurance mechanisms to monitor and evaluate the standards of the NET and PhD programs.

    Mains PYQ: 

    Q The quality of higher education in India requires major improvement to make it internationally competitive. Do you think that the entry of foreign educational institutions would help improve the quality of technical and higher education in the country. Discuss.(UPSC IAS/2015).

  • An Inheritance Tax will help reduce Inequality

    Why in the news? 

    A remark by Chairman of Indian Overseas Congress Sam Pitroda on implementing an inheritance tax as a tool of wealth redistribution has sparked massive debates.

    The Negative Impact of Inequality:

    • Growth affected: Inequality harms growth in the medium-to-long run by reducing firm productivity, lowering labor income, and diverting resources away from essential rights like education.
    • Inequal Opportunity: In unequal countries like India, where one is born greatly influences lifetime outcomes, with almost a third of consumption variation being explained by the place of residence (state, city, or village).
    • Concentration of Wealth: The richest 1% holding 40% of India’s wealth underscores the vast wealth disparities that exacerbate inequality.
    • Skewed Distribution of Gains: Research indicates that the gains from India’s growth over the last two decades have disproportionately benefited high-income urban residents, further exacerbating inequality.

    What is Inheritance Tax? 

    • An inheritance tax is a tax levied on the assets or wealth passed down from one generation to another upon the death of the owner.
    • Unlike a wealth tax, which is recurring and applied to all physical and financial assets an individual owns, an inheritance tax is a one-time tax specifically targeting intergenerational transfers of wealth.

     

    How an Inheritance Tax could help reduce Inequality?

    The Constitution mandates equality of status and opportunity, obliging the government to take steps to reduce disparities arising from accidents of birth.

    • Reduction of Wealth Concentration: By taxing large inheritances, an inheritance tax helps to redistribute wealth from the wealthiest individuals and families to the broader society.
    • Encouragement of Productive Investments: Inheritance taxes can encourage wealthy individuals to invest their wealth in productive activities rather than simply passing it down to heirs.
    • Incentive for Innovation: Critics may argue that inheritance taxes disincentivize innovation by reducing the incentive to accumulate wealth to pass on to future generations.
    • Funding for Public Expenditure: Revenue generated from inheritance taxes can be used to fund essential public services and social programs, such as education, healthcare, infrastructure, and poverty alleviation initiatives.
    • Historical Effectiveness: Historical examples, such as the estate duty in India between 1953 and 1985. It reduced the top 1% personal wealth share from 16% to 6% between 1966 and 1985.
    Another approach is the Land Value Tax (LVT): The Land Value Tax (LVT) is a tax system that levies charges on the unimproved value of land. Unlike traditional property taxes, which take into account both the value of the land and the value of any buildings or improvements on the land, the LVT focuses solely on the value of the land itself.

     

    Conclusion: Tackling wealth inequality requires a multifaceted approach that includes measures such as inheritance taxation, wealth taxation, and the Land Value Tax (LVT). These measures not only help to redistribute wealth and promote economic fairness but also contribute to fostering a more inclusive and prosperous society where opportunities are more evenly distributed.

    Mains PYQ:

    Q Comment on the important changes introduced in respect of the Long term Capital Gains Tax (LCGT) and Dividend Distribution Tax (DDT) in the Union Budget for 2018-2019.

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