IISPPR

Category: Public Policies

Public Policies
Poorti

Health Insurance Penetration and Its Impact on Access to Healthcare in Developing Countries

1.Introduction 1.1 Understanding Relative Income in Economic Decision Making Relative income, as opposed to absolute income, refers to an individual or household’s economic position in comparison to others within their society or social reference group. James Duesenberry formulated the Relative Income Hypothesis (1949), which emphasized that individuals derive utility not only from their income but also from how that income compares to the income of others. In the school- and education-related context, this means that the decision regarding school type (public vs. private), tutoring, and other learning resources is dependent not only on the economic circumstances of the household but also on social norms and competitive pressures. Relative income shapes educational expenditures in both up and downward directions. Frank (2007) argues that families are often pushed to spend on visible status goods by perceived social comparisons, with education being one of the most important ones.  In a study by the Pew Research Center (2020), 62% of parents from urban areas in India reported “keeping up with peers” as a major consideration while spending on private tuitions and elite educational systems.This shows the non-linearity of educational investments: families will make a priority not due to their expectations of educational attainment, but because their sense of relative deprivation.   1.2 Link between Income and Educational Choices Statistical evidence from across the world and from Indian studies points toward strong concurrence between the income level of the household and the access to education. A significant proportion of high-income families can afford private schooling, extra tutoring, digital resources, and extracurriculars, all of which combine to enhance educational attainment. According to the National Family Health Survey (NFHS-5, 2019-21), the net attendance ratio for secondary education in India in the richest quintile is 71 percent, while in the poorest quintile, it is only 41 percent. According to UNESCO (2022), drop-out rates before completion of primary education are four times higher for children from bottom 20% income households than for those from the top 20%. Moreover, the Annual Status of Education Report (ASER) 2023 further indicates that the higher-income households consistently perform better than their peers in foundational numeracy and literacy, suggesting that income determines not only access but quality and outcomes too.   1.3 Income Tax Policies as a Determinant of Educational Investment Income tax policy is one of the most important tools through which wealth can be redistributed in an economy. The way such tax policies are structured at a given time can either alleviate or exacerbate economic inequality. For instance, progressive taxation whereby wealthier earners pay higher taxes in proportion to their income is almost invariably associated with greater redistribution and greater public services, education among them. Regressive taxation, or systems with very few tax brackets and fewer redistributive mechanisms, on the contrary, tend to increase inequality and limit the potential for public investment. Countries with more progressive taxes and more public education expenditure, such as Finland, Sweden, and Norway, are also among the best-performing and highly unequal societies in the world, according to the OECD (2023). The tax-to-GDP ratio of India, which hovers around 11.4% (2022-23), is far below that of the OECD average of 34%. Public expenditure on education is still much lower than the world average at 2.9%, notwithstanding the Kothari recommendation of at least 3% of GDP. Such low fiscal space means relatively poorer access to investment in quality schooling particularly in resource-poor rural and peri-urban areas. Further, amendments in income tax laws, such as increased deductions for education loans under Section 80E or the introduction of the new tax regime in 2020, have introduced differential effects on households and have sometimes acted as incentives while at other times tended to act as deterrence on private educational investment. 2.Objectives The link between tax policies and education has increasingly gained currency among economists, policy-makers, and social scientists. This study seeks to assess how changes in the system of taxation, especially income taxation, affect household decisions about children’s education. The objectives are designed to look into direct economic effects and indirect socio-psychological effects concerning income inequality triggered by taxation. To analyze the impact of income tax reforms on household income and child education outcomes. Income tax legislation directly affects households’ disposable income. Governments utilize progressive tax structures, tax rebates, deductions for education, and conditional cash transfers to increase or decrease private investment in education. Regressive tax structures, on the other hand, put a heavier burden on poorer households, making them less able to invest in education. The focus of the goal is to look into how historical changes in income taxation policies have resulted in measurable differences in educational enrollment ratios, quality of education, and dropout rates across different segments of income.    To analyze the role of income disparity in shaping aspiration for and access to quality schooling beyond absolute income, relative income- how well off a household is vis-a-vis all others within its reference group- can also influence attitudes regarding education. Children from poorer families might have lowered expectation and low motivation or feel stressed by trenchant socio-economic contrasts within school settings. Conversely, families feeling such pressure to “keep up” might invest heavily into education at the expense of basic necessities. This goal examines how such disparities, often exacerbated by uneven tax burdens and limited redistribution, shape aspirations and ultimately cascade down into education pathways.   Theoretical Framework 2.1 Human Capital Theory First conceived by Theodore Schultz in the year 1961 and later amplified by Gary Becker in the year 1964, the Human Capital Theory describes education as a form of investment, just like physical capital, which gives back dividends in the form of increased productivity, better employment alternatives, and much more enhanced overall economic growth; according to the theory, households and individuals behave rationally in cozying up or letting go from investing their resources into education according to analysis of costs (tuition materials, opportunity cost of time) vis—vis expected returns-future income, job security, among others. According to this framework, household income becomes a significant determinant of the ability

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Public Policies
Poorti

Relative Income and it’s effects on Child Education

In a country as socioeconomically diverse as India, the decision to invest in a child’s education is rarely dictated by income alone. Instead, it is shaped by a complex interplay of household earnings, perceived social standing, and the broader fiscal policies that govern disposable income. As income tax reforms continue to redefine the contours of economic opportunity, their ripple effects on educational choices—whether to pursue private schooling, supplemental tutoring, or higher education—become increasingly significant. This paper explores how relative income and income tax structures together influence household education decisions, not just through the lens of affordability, but also through social pressures, aspirations, and perceived deprivation. Drawing on Human Capital and Relative Deprivation theories, the study interrogates how inequality—both economic and psychological—translates into educational access and outcomes in contemporary India.

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Public Policies
Ankit Pandey

Waste Management in India: An Analysis of Government Policies and Outcomes

Recommendations 

To tackle the chronic gaps in solid and liquid waste management (SLWM) under the Swachh Bharat Mission (SBM), a multi-pronged approach is the need of the hour. Community involvement has to be given top priority through behavior change campaigns focusing on segregation of waste at source, utilizing local institutions like schools and Panchayats for outreach targeting (Kumari, 2024). Incentivizing families through reward programs and incorporating multimedia aids in awareness campaigns can correct misunderstanding regarding waste disposal while emphasizing its health and environmental consequences (Patil, 2025). At the same time, decentralized infrastructure, such as biogas plants and compost pits, must be ramped up with strict controls on capacity levels to avoid overloading plants, while PPPs can improve maintenance and operational effectiveness of existing vermicomposting units (Ghosh et al., 2025). Strengthening liquid waste management by investing in drainage systems and leachate treatment technologies is also crucial (CPCB, 2022).

  Institutional capacity building and policy integration are essential to prevent ODF targets from overshadowing SLWM. A specific SLWM framework under SBM with distinct budgets and monitoring mechanisms would guarantee responsibility (Kumari, 2024). Educating municipal workers in waste management procedures and policy harmonization with circular economy values, e.g., encouraging recycling and waste-to-energy initiatives, can embed sustainable practices (ADB, 2021). Technological advancement should also be given high priority, e.g., Research and Development in affordable automated segregation technologies, biodegradable products for agricultural residues, and digital solutions such as waste-tracking apps to enhance transparency (Anand & Devi, 2023). Scaling pilot projects on managing menstrual waste would further ensure recycling and safe disposal of sanitary products.

In order to improve the enforcement of the Solid Waste Management (SWM) Rules, 2016, a few major recommendations arise. First, enforcement measures need to be strengthened by setting up strong monitoring systems at macro and micro levels to monitor compliance and performance of ULBs (CPCB, 2021). Real-time data collection and transparency will facilitate targeted interventions and accountability. Second, 100% segregation at the source should be pursued nationwide aggressively through publicity campaigns and incentivization, as fewer states have laws for 100% segregation (CPCB, 2021). Third, waste treatment facilities need scaling on a priority basis, specifically scientific landfill management with adequate buffer zones in order to avoid environmental pollution, considering the low reclamation rate and widespread dumpsites (CPCB, 2021). All these measures together can fill the gaps that exist and guarantee sustainable urban waste management.

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Public Policies
Madhuleena Das

A Comparative Analysis of Previous Trump-Era and Biden-Era Immigration Policies: Shifts in Enforcement, Humanitarian Approach, and Legal Pathways in the United States.

Conclusion
The comparison of immigration policies under the Trump and Biden administrations highlights a stark contrast in ideology, execution, and humanitarian priorities. While the Trump era was marked by stringent enforcement, deterrence strategies, and significant rollbacks of asylum protections, the Biden administration has attempted to adopt a more humane and inclusive approach. Implementation of legal pathways requires consideration of the rights of asylum seekers, a broad range of civil society actors, and compliance with international and domestic law, but legal pathways moulded in the US for the sake of personal belief of political parties exploit the rights of immigrants, making them dependent on leadership rather than pure essence of Law and Policy. Economic nativism views immigration as a threat to native citizens’ economic well-being, but recent CBO findings highlight immigration’s positive impacts on labour shortage, creation of business, and employment creation.
Ultimately, the analysis reveals that while leadership change can influence the direction of immigration policy, long-term transformation requires legislative action, administrative consistency, and public support. As the U.S. continues to grapple with global migration challenges, future policies must strike a balance between border security and the protection of human rights—reaffirming the country’s commitment to both law enforcement and humanitarian leadership.

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Public Policies
Chhavi Thakur

AI and Blockchain for Transparent Carbon Markets: Policy and Technology Gaps

AI and blockchain could transform carbon markets, yet policies lag behind. This research identifies governance gaps in algorithmic verification, fraud prevention, and equitable access. Through case studies and policy analysis, we recommend standards for trustworthy, scalable, tech-driven climate finance—critical for achieving Paris Agreement goals.

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Public Policies
Chhavi Thakur

Harnessing Business Analytics for Tax Policy Optimization in India: A Data-Driven Approach to Fiscal Management

India’s tax system is a foundation of fiscal policy, but issues such as tax evasion and a large informal economy have so far constrained revenue potential. While business analytics is revolutionizing governance around the world, its role in Indian tax policy is relatively subdued. Our research examines how insights can be gleaned via data to improve tax compliance, reduce the cost of tax collections, and maximize policies.

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Blog
Srijan Vishwakarma

Intellectual property rights in the Digital age

The rapid advancement of digital technologies has significantly transformed the landscape of intellectual property rights (IPR), presenting both new opportunities and unprecedented challenges. This study delves into the evolution of IPR in the digital age, focusing on key domains such as copyright, patents, trademarks, and trade secrets. It examines how digital innovations have altered traditional IP protection mechanisms and enforcement strategies. The rise of artificial intelligence (AI), blockchain technology, and digital rights management (DRM) systems has introduced both sophisticated protection mechanisms and new threats, including large-scale digital piracy, unauthorized content distribution, and the complexities of AI-generated intellectual assets. The paper addresses the global implications of IPR enforcement in an interconnected digital economy, highlighting jurisdictional conflicts, cross-border infringement issues, and the role of international regulatory frameworks.

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Public Policies
Aahna Srivastava

Employment Generation: India’s Specific

Authored by: Aahna Srivastava, Anjali, Divya Atalkar, Khushi Shah and Sakshi Sharma

ABSTRACT
India has witnessed significant employment growth recently, but job creation is still a major concern. Through various survey reports presented by the International Labour Organization and the Ministry of Statistics and Programme Implementation, this paper studies the current scenario of India’s employment growth and government strategies, which aim to boost employment in the country but are not equivalent to its promises. Additionally, the paper frames suggestions for India alongside successful international employment models to overcome challenges faced during job creation and provide better options for its population.

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Public Policies
MUSKAN JAISWAL

TRACKING SDG LOCALIZATION: AN EVALUATION OF SELECTED DISTRICT PROFILES

The Sustainable Development Goals (SDGs) serve as a global blueprint for addressing critical socio-economic and environmental challenges. In India, SDG localization has become a key strategy to ensure effective implementation at the state and district levels. This paper intends to present an analysis of the progress on SDG localization in the selected comparative cases, i.e., Delhi (North-West), Telangana (Hyderabad), Uttar Pradesh (Greater Noida), and West Bengal (Kolkata). It aims to quantitatively track and qualitatively assess the profiles of the district’s adaptation, customization, budgeting, and performance made so far on the local development plans and strategies in sync with the SDGs. 

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