How does the Central government and State governments divide tax collection? Why was ban on alcohol a bad decision by Bihar? Which government policies are really beneficial to the public? In this episode, Karthik breaks down the complexities of revenue and expenditure, explaining how taxes are collected, allocated, and utilized to drive India's growth. From infrastructure development to social welfare programs, discover how taxes shape the nation's future. Tune in for a fascinating discussion on the economics of governance and the role of taxes in building a better India.

How does the Central government and State governments divide tax collection? Why was ban on alcohol a bad decision by Bihar? Which government policies are really beneficial to the public? In this episode, Karthik breaks down the complexities of revenue and expenditure, explaining how taxes are collected, allocated, and utilized to drive India's growth. From infrastructure development to social welfare programs, discover how taxes shape the nation's future. Tune in for a fascinating discussion on the economics of governance and the role of taxes in building a better India. Chapters - 00:00:00 - 00:01:11 - Episode Introduction 00:01:11 - 00:12:44 What are the different roles of the Central government and State governments? 00:12:44 - 00:25:33 How does the government navigate through debt, inflation and financial emergencies? 00:25:33 - 00:30:30 How is the country’s revenue divided between the Central government and state governments? 00:30:30 - 00:37:30 Why was Bihar’s decision to ban alcohol a bad one? 00:37:30 - 00:42:40 Which tax revenues are controlled by the Central government and which by State governments? 00:42:40 - 00:51:00 On what and how much is the expenditure by both governments? 00:51:00 - 01:11:11 What are some measures proposed by Karthik to optimise the financial operations and outcomes by the government? 01:11:11 - 01:19:37 What are the steps that need to be taken to ensure well-run governments and a better economy? 01:19:37 - 01:21:49 Concluding today’s episode Resource List - Accelerating India's Development: A State-Led Roadmap for Effective Governance, Book by Karthik Muralidharan - https://amzn.in/d/ig9Sw0i Indian Finance Commision - https://fincomindia.nic.in/ NREGA Website - https://nrega.nic.in/MGNREGA_new/Nrega_home.aspx Paper on Public Employment Programs - https://www.econometricsociety.org/publications/econometrica/2023/07/01/General-equilibrium-effects-of-improving-public-employment-programs-experimental-evidence-from-India More about Pensions - https://seenunseen.in/episodes/2023/9/18/episode-347-indias-massive-pensions-crisis/ What is the 3-i framework? - https://www.ncchpp.ca/docs/2014_ProcPP_3iFramework_EN.pdf CEGIS Website - https://www.cegis.org/ Union Budget by the Ministry of Finance - https://www.indiabudget.gov.in/ About SparX by Mukesh Bansal SparX is a podcast where we delve into cutting-edge scientific research, stories from impact-makers and tools for unlocking the secrets to human potential and growth. We believe that entrepreneurship, fitness and the science of productivity is at the forefront of the India Story; the country is at the cusp of greatness and at SparX, we wish to make these tools accessible for every generation of Indians to be able to make the most of the opportunities around us. In a new episode every Sunday, our host Mukesh Bansal (Founder Myntra and Cult.fit) will talk to guests from all walks of life and also break down everything he's learnt about the science of impact over the course of his 20-year long career. This is the India Century, and we're enthusiastic to start this journey with you. Follow us on our Instagram: / sparxbymukeshbansal Also check out our website: https://www.sparxbymukeshbansal.com You can also listen to SparX on all audio platforms! Fasion | Outbreak | Courtesy EpidemicSound.com