One problem with globalisation is that bad ideas seem to travel faster than good ones; first there was smearing tomato ketchup on everything; then drinking sugar-soaked cocktails ('Cosmo'-politanism) instead of our traditional whisky soda, and now this idea that we should abandon the poor to their fate in order to protect their dignity.
If you want to leave move money in the hands of poor people, you cannot do it through personal income tax cuts. You have to just give them money.
We've learned a huge amount from organisations like Seva Mandir and Pratham, for example. In my personal experience, these organisations work on a very large scale with very poor people.
The poverty line in the U.S., for example, has nothing to do with the poverty line in India. It is a relative poverty line. It is reset from time to time but it is related to U.S. median income, so if I set that to be the absolute poverty line everyone in India would essentially be poor.
Well-designed subsidies help the poor make the best of whatever opportunities they have; poorly designed ones either do very little or actually make things worse for them.
Even Milton Friedman - doyen of radical free market thought - was willing to consider some government intervention into primary education on the grounds that it is unfair for children to not get a chance in life because they were born to poor parents.
The degree of political pressure to make MGNREGA jobs available varies massively from state to state - which is why access to MGNREGA jobs is worse in a very poor state like Bihar than in a richer state like Andhra Pradesh.
Corruption is a huge problem and the poor and the powerless are often its most egregious victims. But it is not an accident that the most effective bureaucracies in the world rely much more on internal controls rather than on independent ombudsmen.