VB-G RAM G replaces MGNREGA: a fiscal-federalism test

Question (10 marks, ~150 words):

The shift from MGNREGA to VB-G RAM G raises important questions of fiscal federalism. Critically examine.

Explain MGNREGA design and the new scheme (125 days, ₹300 floor). Show funding shift to ~60:40 and States' share rising ~7%->~37%; ₹95,692 cr interim. Argue strain on weak-capacity States and the ₹300<₹375 gap. Way forward: transitional support, indexation, social audit.