‘Working With Congress on MIG Scheme’: Economist Thomas Piketty

Economist Thomas Piketty said that the poor in India had been “badly treated by the country’s elite”.

Economist Thomas Piketty has confirmed that he will help the Congress frame its minimum income guarantee (MIG) scheme.

(Photo Courtesy: Facebook/Thomas Piketty)

French economist Thomas Piketty has confirmed that he will help the Congress frame its minimum income guarantee (MIG) scheme, a major poll promise made by the party ahead of the general elections.

A report in The Print quoted Piketty as saying that the poor in India had been “badly treated by the country’s elite”.

“It is high time to move from the politics of caste conflict to the politics of income and wealth distribution,” the Paris School of Economics professor said, as per the report.

Last month, Congress President Rahul Gandhi had said that his party would implement such a scheme if they were voted to power in 2019.

Piketty also confirmed that he will be working with Abhijit Banerjee, director of Abdul Latif Jameel Poverty Action Lab, MIT, on the proposed MIG scheme.

“Yes, we’ve been exchanging with the Congress together with Abhijit Banerjee (MIT) about how much it would cost and how to implement this,” Piketty said. “My view is that a minimum income scheme would be highly welcome.”

MIG offers a basic income scheme or direct cash transfer to the poor. It would theoretically mean abolition of all subsidies, and distribution of the amount thus saved to the needy in cash.

The idea was also floated by the then UPA government months before the 2014 Lok Sabha elections.

(With inputs from The Print)