Manifestos of both the AIADMK and the DMK for the 2021 Assembly election have a slew of freebie announcements, which raises questions about their impact on the State’s finances. The recent report of the 15th Finance Commission pointed out that the profligacy during 2014–2016 (in the run up to the election in May 2016) perhaps had a telling effect on the fiscal indicators of the State. It can be recalled that Tamil Nadu moved from a revenue surplus to a revenue deficit State after 2012-13.
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