Subsidy Categorized into Two Groups
- Social subsidy
- Economic subsidy
Social Subsidy:
- Health care
- Education
- Women Empowerment
- Sanitation
- Housing
- Water supply
Economic Subsidy:
- Irrigation and Flood Control
- Transport
- Industry
- Communication
- Power and Energy
- Agriculture
The majority of businesses have their products subsidized by the government in order to provide them at a reduced cost to those in need or families living below the poverty line. The Mahatma Gandhi Employment Guarantee Act is the world’s largest subsidy (MGNREGA). The Indian government would invest around Rs 45,000 crore under this Act. Gives a subsidy for employment.