Khyati Pathak
Every day we look around and blame the government for not doing the things they are supposed to do, and for being overbearing on things like taxation. We The Citizens is a wonderful little book (176 pages) that explains why things are the way they are. Full of wit and wisdom on subjects we don’t think about enough, but are important. I think the authors have done a great job of making the complex interplay of state, market, and society understandable, and that includes the illustrations that elevate the narrative many a times. A graphic narrative that decodes how public policy works (and could work) in the Indian context.
The state is good at employing force, but isn’t very efficient. The market is good at driving efficiency, but is not concerned with ensuring equity. Society is best suited to deal with behavioural changes, but it is prone to majoritarianism. The entire system is a maze of checks and balances to achieve progress while not allowing any of the elements to go out of control. The book delves into how each of these function, and should function.
The state, for instance has a toolkit of at least eight things from doing nothing to nudging to playing umpire to marginally/drastically changing incentives and so on but doesn’t always employ the right one. Munger’s “Show me the incentives and I’ll show you the outcome” brilliantly manifests in these explorations. The book provides an excellent framework to think about this based on axes of extent of intervention and state capacity. The government can fail in many ways, and the taxpayer pays for these mistakes. The best part about the book is how it uses examples to (literally) illustrate these mistakes, and how they can be avoided. All delivered with some fantastic humour.
Why are we a democratic republic and not just a democracy? Because while democracy gives the state legitimacy on coercion, the republic (constitution) guarantees the rule of law. What is the difference between a nation, state and government? The nation is an imagined community, where people don’t know each other but are still willing to sacrifice for. On the other hand, a state is a political entity. The government is the temporary manager of the state. What are public and common goods? Public goods are goods that are non-excludable and non-rival. (e.g. a lighthouse which everyone can use and its usage by one person doesn’t mean another cannot use it) On the other hand, common goods are non-excludable but rival (e.g. fish in the sea). This is why only the government produces public goods. These are the kind of significant nuances that the We The Citizens uncovers.
I cannot stress how accessible this book is. Plain English, relatable examples, and frameworks that can be applied even in other contexts. Like many good things in life, I discovered We The Citizens courtesy the better half. I’d highly recommend this to anyone even remotely curious about how the ‘system’ works. If you’re not, this can actually get you interested.








