The Politics of Budget Formulation and Agenda-setting

Narayan Lakshman

in Patrons of the Poor

Published in print April 2011 | ISBN: 9780198069980
Published online September 2012 | e-ISBN: 9780199081288 | DOI:
The Politics of Budget Formulation and Agenda-setting

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This chapter studies the underlying politics of the trends in disaggregated components of expenditure and revenue. It discusses the technical constraints and processes of political bargaining direct and limit the flow of funds to poverty-alleviating policies that are implemented by the state government. The chapter presents an analysis that studies the budget formulation process and how it is being practiced at the state government level. The political bargaining processes used by the chief minister and cabinet ministers are also discussed. The important redistributive policies practiced in Tamil Nadu and Karnataka are studied, as well as how the politicians are able to influence the patterns of resource allocation. Most of the data gathered come from interviews with administrative officers, political leaders, and political elites.

Keywords: components of expenditure and revenue; competitive political outbidding; poverty-alleviating policies; budget formulation process; political bargaining processes; redistributive policies; resource allocation patterns

Chapter.  20612 words.  Illustrated.

Subjects: Indian Politics

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