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Tharun TejaAIR 123· 2025

Question Q.2GS3GS3

Social protection schemes are an integral aspect of a welfare economy; however, the principles of fiscal prudence cannot be ignored. Discuss, with special reference to Old Pension Scheme (OPS).

Open scan (p.3)

Main Body

Social welfare schemes are mandatory as per Directive principles of state policy(10) and by right of fundamental rights III Necessity for welfare economy is Old Pension Scheme (Half of full drawn salary):Promotes growth of geriatric sector / longevity dividendPsychological independence in career choice (low corruption)Decreases dependence (50% dependent on children)Increases wages and personal income (No initial payout for pension) Issue of fiscal prudence: i) High burden on state (50% funds for defensepension) = Capital expenditure revenue ii) Lack of financial education among people = Investment in markets ↓ iii) Difficulty in ascertaining necessity of h+f pension salary (HoH has no qualitative basis for deciding) iv) Straddling of old (Social security, 1290) Investment by privateFinancial prudence of public and state
genderneutralTax incentives NPS, replacing OPS, is necessary as observed by many countries changing their pension laws France
152 words1 paragraphs

Conclusion

NPS replacing OPS is necessary as observed by many countries changing their pension laws France

15 words

Topper

Tharun Teja

AIR 1232025

Subject & Paper

GS3GS3

Topic

Economic Development

Government Budgeting

Social Protection and Fiscal Policy

Writing Stats

167

Total words

1

Paragraphs

analytical, structured

Tone