Freebies — free electricity, ration, bus rides, or even kitchen appliances — have become a staple of Indian politics and governance. But are these "gifts" empowering the poor, or slowly weakening our economic backbone? In this blog, I explore the constitutional, economic, and social impacts of India’s freebie culture — with data, case studies, and solutions that matter.
What Are Freebies? Freebies are goods or services offered at zero cost, primarily to win electoral support or address social inequalities. 🔹 Examples: Free laptops, bus travel, monthly cash doles, LPG connections, health insurance. 🔹 Purpose: Welfare support or political appeasement? The line between supportive governance and populist giveaways is getting thinner.
India is a sovereign, socialist, secular, democratic republic. But when freebies are misused, they undermine both fiscal sustainability and citizen dignity. "True welfare empowers. Misused welfare enslaves."
Not all freebies are wasteful. India has a long history of nurturing a social welfare regime whereby material goods are distributed to the poor and vulnerable populations of the country, helping uplift their socio-economic condition. However, many of such welfare goods are often called ‘hand-outs’ or ‘freebies’ that are promised or delivered based on electoral considerations; they are widely viewed as manipulative, aimed only at influencing electorates. The mass distribution of all kinds of welfare goods also has costs to the public exchequer, especially in terms of trade-offs with long-term developmental initiatives; it can also disincentives human agency and enterprise.
The role of freebies in Indian politics is a topic of much debate and discussion. Freebies, also known as populist welfare schemes or electoral giveaways, refer to the distribution of free goods or services by political parties to the electorate with the aim of gaining political support and securing votes. These freebies can range from essential commodities like food and clothing to more extravagant offerings like electronic appliances, farm loan waivers, and subsidized housing.
While proponents argue that freebies help uplift marginalized sections of society and address socio-economic disparities, critics contend that they promote a culture of dependency, hinder economic growth, and undermine the principles of good governance and fiscal responsibility. It is important to acknowledge the historical context of freebies in Indian politics. India, as a diverse and populous democracy, faces significant challenges related to poverty, unemployment, and social inequality. Political parties, especially during election campaigns, often use freebies as a tool to appeal to voters and demonstrate their commitment to addressing these issues. The provision of free goods and services is seen as a means to alleviate the burden on the economically disadvantaged sections of society and garner their support.
One of the main arguments in favor of freebies is their potential to uplift marginalized communities. In a country like India, where a significant portion of the population lives below the poverty line, freebies can provide immediate relief and improve the quality of life for those struggling to meet their basic needs.
Freebies are items that are provided without charge or cost. In Indian politics, it has been rampant. During election season, it is a well-known and prevalent habit. Freebie politics has been an important aspect of electoral campaigns in recent years, and the situation is no different in the upcoming assembly elections in five states: Uttar Pradesh, Uttarakhand, Goa, Punjab, and Manipur. Freebies are one of the most profitable ways for political parties to entice voters. Freebies were offered by both the Congress and the BJP in the 2019 general election. There has been a shift in the way freebies are distributed. Free water, free power, and free health care are no longer attractive.
The word “freebie” is not new in politics, although it has become fashionable in recent years. During the previous 20 years, India has undergone various developments in several fields. Hinduism and Islam are the two main cornerstones of Indian politics. Politicians do not gain votes from voters based on work done or challenges facing the country such as employment, inflation, poverty, or government work done during their time period.
First and foremost, the question arises in the minds of ordinary people: what does it mean? Freebie culture is simply defined as giving something to individuals who are in desperate need without charging them any money.
In a bulletin published in June 2022, the Reserve Bank of India (RBI) defined “freebies” as “a public welfare measure that is provided free of charge.” Freebies can be distinguished from public or merit goods like healthcare and education, as well as other state expenditures that have broader and longer-term advantages, according to the RBI. However, it is quite challenging to discern between freebies or “non-merit” commodities and welfare or so-called “merit” goods. Analysts have underlined that merit goods, such as free or heavily discounted food, shelter, education, and healthcare, are essential for accelerating human development and therefore boosting national growth. Nevertheless, the widespread proliferation of inferior products like mixer grinders raises questions about their impact on the electorate’s decision-making process.
The answer, in part, lies in the human psyche’s predisposition to respond favorably to immediate rewards, often without a full grasp of the broader implications. This psychological inclination towards short-term gratification can be a powerful force shaping electoral outcomes.
The Supreme Court of India has recently raised concerns over the growing trend of political parties offering freebies to voters before elections. The court questioned whether such policies are creating a “class of parasites” and discouraging people from working.
Understanding Freebie or Revedi Culture: A ‘freebie’ refers to an item or service that is offered without any cost to the recipient. The Reserve Bank of India (RBI) has defined freebies as public welfare measures provided free of charge, including free electricity, water, public transportation, farm loan waivers, and subsidies.
Difference Between Freebies and Welfare Schemes:
Welfare Measures are essential for maintaining the dignity of life, such as healthcare, education, and social protection. They aim to accelerate human development and contribute to economic growth. Examples include the Public Distribution System (PDS), State support for education and health.
Freebies are the mass distribution of non-merit goods, draining government revenue. They reduce incentives for work and distort the economic balance. Examples include free distribution of laptops, scooters, household appliances.
The governing BJP is even offering sugar and clarified butter at low prices in northern Punjab state. In the past, farm workers got cows and goats in a southern state. Freebies are a fact of life in Indian politics. Some 270 million people - nearly 22 per cent of the country's population - live in poverty, making giveaways particularly attractive to voters.
The election-season freebies, however, raise questions about a fair playing field for smaller parties and independent candidates. In the absence of laws barring such campaign promises, the practice continues. In India's northern Uttar Pradesh, Chief Minister Akhilesh Yadav, the state's top elected official, is promising free smartphones. In the previous 2014 election, he fulfilled his promise of free laptops for students after winning the vote. His main challenger, the BJP, also promised laptops, free internet and cooking gas to those who vote for them.
Election funding: Anonymous cash donations to political parties, running into billions of rupees (hundreds of millions of dollars) are seen at the heart of India's endemic corruption. Only a quarter of the annual income of the two main political parties, the BJP and the Congress party, comes from known sources and are declared in their tax returns.
Conclusion
The debate over freebies in Indian politics is complex, involving constitutional values, economic sustainability, and social welfare. While they offer immediate relief to vulnerable populations, there are significant concerns regarding fiscal responsibility, dependency, and the distortion of electoral processes. Understanding the distinction between welfare measures and populist giveaways is crucial for evaluating their long-term impact on the nation's development.