In the run-up to the elections, Dilliwallas have been provided free water, cheap power & transportation. This has left Delhi deep in debt.
In the short-term, history shows that political power can be captured by freebies.
In Tamil Nadu, a party was voted in on offering free TVs. They already controlled the media, and by providing free TVs paid by taxpayers, they could extend their outreach, while simultaneously benefiting their family & party members.
In the long term, however, the consequences can be devastating.
Greece provided free healthcare, free salaries after retirement for all, free everything. The politicians did capture power. However, the economy got into huge trouble.
Venezuela was a highly prosperous country, blessed with natural resources & beauty. Socialism brought it ruin & starvation.
India's economy was just starting to recover after independence from colonialism. Indira would implement socialism, nationalizing businesses, imposing an emergency and adding the words: socialism & secular into the constitution during the emergency. Within two decades, the Indian economy hit a crisis. Emergency reforms brought it back on track.
The Soviet Union, Argentina, Zimbabwe: All the lessons teach us that big government providing free stuff will eventually fail.
California's economy is resilient, with the world's envy of Silicon Valley & Hollywood. Californians & states with similar policies should be careful, with the direction the state is taking.
I wish Delhi well for their choices.
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