The third episode of the five-part podcast series on the book, "Public Choice – A Primer" by Dr Eamonn Butler, explores how incentives drive political and bureaucratic behaviour, why collective decisions are vulnerable to special interest influence, and how institutional design, as explained by Public Choice Theory, can either mitigate or amplify these distortions.

Drawing from Chapters 5 to 9 of the book, this episode explores how collective decision-making processes are frequently shaped by interest groups, political bargaining, and bureaucratic incentives. It highlights the subtle yet influential ways in which concentrated interests and institutional mechanisms shape policy outcomes—often at the expense of broader public welfare.This podcast series aims to make the ideas of public choice theory more accessible to a wider audience. Speaker:

Kumar Anand, Economist & Public Policy Professional; Senior Fellow, Academy, Centre for Civil Society (CCS), New Delhi

Moderator:

Sreelakshmi Harilal, Associate, Research & Projects, Centre for Public Policy Research (CPPR), Kochi, Kerala

Tune in for an insightful conversation on Public Choice Theory and its application in understanding power, interest groups, incentives, as well as institutional, political, and public policy decision-making in democratic systems.

As India stands on the brink of the XVI Finance Commission’s recommendations, the debate on fiscal federalism has re-emerged at the centre of public policy discourse.

A recent report titled “State Finances in Transition: An Analysis of Revenue Receipts and Fiscal Dynamics in India during the XV Finance Commission Period,” published by the Foundation for Responsive Governance and authored by Sharad Pandey and Avani Kapur from the Foundation for Responsive Governance (ResGov), provides an in-depth examination of the receipts side: the sources, structure, and trends in own revenues, tax devolution, grants-in-aid, and borrowings.

India’s fiscal federalism is now at a crossroads—caught between the ideals of fiscal decentralization and the practical realities of centralization.This episode of the podcast discusses the research report by ResGov, aiming to explore whether the constitutional vision of fiscal balance can be reimagined in today’s context.

KEY DISCUSSION POINTS

• India's performance during the XV Finance Commission period, and major trends that emerged across key fiscal indicators
• Realistic ONTR avenues states can explore without undermining the equity or affordability of public services
• Key drivers of actual tax devolution during the XV Finance Commission period, which exceeded the amounts originally recommended
• Measures to be prioritised to strengthen the states’ receipt side of the balance sheet under the 16th Finance Commission, since borrowings continue to constitute a significant share of total state receipts

SPEAKERS:

Avani Kapur, Founder and Director, Foundation for Responsive Governance (ResGov)

Sharad Pandey, Senior Research Consultant, Foundation for Responsive Governance (ResGov)

HOST

Banisha Begum Shaikh, Senior Associate - Research & Projects, CPPR

Tune in for an insightful discussion on revenue receipts and fiscal dynamics in India during the XV Finance Commission period.

The second episode of the five-part podcast series on the book, "Public Choice – A Primer" by Dr Eamonn Butler, explores how and why governments exist, how collective decisions are made, and how electoral behaviour shapes policy outcomes.

Drawing from the chapters “Who Needs Government?” and “How to Win Elections,” the episode attempts to unpack the mechanisms of governance, the trade-offs inherent in collective decision-making, and the paradoxes of democratic participation.

This podcast series aims to reach a wider audience by making the key ideas of public choice theory more accessible.

Speaker:

Dr Pradeep Kumar B, Professor of Economics, Maharaja’s College, Ernakulam, Kerala

Moderator:

Jofi J Francis, Senior Associate (Project Administration), Centre for Public Policy Research (CPPR), Kerala

Tune in for an insightful conversation on the economic and political rationale behind governments, the inherent costs and trade-offs in collective decision-making, and how voter behaviour and political incentives shape policy outcomes.