An Analysis of Increasing Functions and Allocation of Funds to Panchayat Raj Institutions in Karnataka

Panchayat Raj Institutions (PRIs) become devices through which government discharges its powers and functions. The theory of decentralization that includes the dual factors of decentralized decision-making and optimization of outcome is based on the theory of Pareto Optimality which ensures the well-being of all of those who are likely to be affected by such decisions. When India becomes independent in 1947, perhaps one third of the villages of India had traditional Panchayats and many of them were far from flourishing conditions. The major functions of Panchayats are to help the State and Central Government to channel their powers to grass-root level, it is observed that functions and fund allocation necessities are increasing from time to time due to several reasons. This present paper is making an effort to analyze the increasing functions and allocation of funds to Panchyati Raj in Karnataka with respect to various Panchayat Acts like Mysore Village Panchayat and Local Boards Act 1959, 1985 Act and Karnataka Panchayat Raj (KPR) Act 1993. It is widely accepted that self-governing institutions at the local level are essential for national growth and for effective people's participation in public affairs and development work.