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States' profligacy

Sir, — Amaresh Bagchi's article, `Containing States' profligacy' (June15) should serve as an eye-opener to those leaders who make a total surrender to populism either to gain power or to retain it.

The recent sops announced for almost all sections of the public by most of the newly-elected State Governments and by some existing ones are against the basic principles of fiscal discipline. Prudence in financial management is what is needed.

K.D. Viswanaathan,
Coimbatore, T.N.

Sir, — I agree with Mr. Bagchi that a separate body should be set up to formulate the various incentives to be given to the public. It is the duty of the State Governments concerned to make sure that only the needy benefit.

Arun. R,
Thiruvananthapuram

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