Of Free Televisions and Outcomes - How We Miss the Woods for the Trees
Erstwhile Chief Minister of Tamil Nadu, K. Karunanidhi, launching the free colour TV scheme in 2006 (source: Rediff ) Recently, a storm unleashed itself on Twitter, as a famous YouTuber came on a popular podcast and made a bizarre claim. Free television distribution, it seems, led to improvement in the outcomes of women. And that is good economics. While I don't watch things all the time, what caught my fancy was the defence of the absurdity since. One journal paper was quoted by the YouTuber in question, and was touted as proof of good economics also being associated with freebies. Again, I usually don't comment on freebies, because I think all freebies as a rule are bad. Freebies raise the cost of service across the economy, create greater entry barriers for the poor that they are supposed to serve, and eventually distract from actual welfare spending on such issues as healthcare and education. However, the absurdity on this was so high that I wanted to write for a change. On