Resource mobilization and fiscal policy in India

Mobilization of adequate resources is one of the most pressing problems in developing countries like India. In this context, this book examines in detail the relative importance and the role of various fiscal instruments, like taxation, public borrowing, surpluses of public enterprises and deficit financing in raising resources.

The author examines in detail the individual tax components in the tax structure of the Union and State Governments. A special feature of the study is that it includes the responsiveness of the aggregate Union and State taxes and selected individual taxes to changes in national income and their respective bases for the period 1950-51 to 1982-83, as against the earlier estimates which are generally available for different and short time periods. The author has also given important suggestions to widen the tax base, make it more productive and revenue elastic and simpler to understand and administer.

The emergent problem of increasing burden of servicing India's debt and moving towards a situation of "debt trap" has also been discussed in the book. In addition, aspects of public debt management, significance of small savings drive, lessening dependence on deficit financing and the need for improving the performance of public enterprises have also been emphasised.

This outstanding book will be great use to teachers, scholars and students of economics and commerce and to planners and policy makers.