Tag: fiscal federalism.

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Examine the major causes behind the rising debt burden of Indian states in recent years. Outline a multi-dimensional strategy for ensuring fiscal sustainability at the state level.

Topic: Indian Economy and issues relating to planning, mobilization of resources, growth, development and employment Q6. Examine the major causes behind the rising debt burden of Indian states in recent years. Outline a multi-dimensional strategy for ensuring fiscal sustainability at the state level. (10 M) Difficulty Level: Medium Reference: IE Why the question Rising debt …

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Discuss the constitutional and functional role of State Finance Commissions in promoting decentralised governance. Why have many states struggled to operationalise their recommendations effectively?

Topic: devolution of powers and finances up to local levels and challenges therein Q3. Discuss the constitutional and functional role of State Finance Commissions in promoting decentralised governance. Why have many states struggled to operationalise their recommendations effectively? (10 M) Difficulty Level: Medium Reference: NIE Why the question Growing emphasis on fiscal decentralisation, strengthening of …

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“Decentralisation without devolution leads to symbolic federalism.” Examine this statement in the context of local governance. Analyse the reasons for limited devolution.

Topic: devolution of powers and finances up to local levels and challenges therein. Q3. “Decentralisation without devolution leads to symbolic federalism.” Examine this statement in the context of local governance. Analyse the reasons for limited devolution. (10 M) Difficulty Level: Easy Reference: InsightsIAS Why the question The issue of ineffective grassroots governance despite constitutional decentralisation …

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Discuss the need for a new federal compact in India. Assess the structural weaknesses in the existing Centre–State framework. Suggest constitutional and institutional reforms.

Topic: Issues and challenges pertaining to the federal structure, Q3. Discuss the need for a new federal compact in India. Assess the structural weaknesses in the existing Centre–State framework. Suggest constitutional and institutional reforms. (15 M) Difficulty Level: Medium Reference: IE Why the question Debates around centralisation, fiscal federalism, Governor’s role and post-2026 delimitation have …

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Explain how cesses and surcharges alter the effective working of vertical devolution in India. Discuss why this has become a major Centre–State dispute despite an unchanged devolution percentage. Suggest reforms to restore predictability and fairness in fiscal federalism.

Topic: Issues and challenges pertaining to the federal structure, devolution of powers and finances Q2. Explain how cesses and surcharges alter the effective working of vertical devolution in India. Discuss why this has become a major Centre–State dispute despite an unchanged devolution percentage. Suggest reforms to restore predictability and fairness in fiscal federalism. (15 M) …

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Examine the implications of persistent underspending in Centrally Sponsored Schemes. Analyse the reasons behind such underspending. Discuss its consequences for welfare governance.

Topic: Welfare schemes for vulnerable sections of the population by the Centre and States Q2. Examine the implications of persistent underspending in Centrally Sponsored Schemes. Analyse the reasons behind such underspending. Discuss its consequences for welfare governance. (15 M) Difficulty Level: Medium Reference: TH Why the question Persistent underspending in Centrally Sponsored Schemes has become …

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Outline the constitutional basis of fiscal federalism in India. Describe how revenue and expenditure powers are allocated between the Union and the States. Assess the implications of this allocation for State fiscal autonomy.

Topic: Devolution of powers and finances up to local levels and challenges therein. Q4. Outline the constitutional basis of fiscal federalism in India. Describe how revenue and expenditure powers are allocated between the Union and the States. Assess the implications of this allocation for State fiscal autonomy. (15 M) Difficulty Level: Easy Reference: IE Why …

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Examine the major structural changes proposed under the Viksit Bharat–Guarantee for Rozgar and Ajeevika Mission (Gramin) Bill in comparison to MGNREGA. Assess their implications for rural employment security and welfare delivery. Also explain the challenges that may arise during implementation.

Topic: Welfare schemes for vulnerable sections of the population by the Centre and States and the performance of these schemes; Q4. Examine the major structural changes proposed under the Viksit Bharat–Guarantee for Rozgar and Ajeevika Mission (Gramin) Bill in comparison to MGNREGA. Assess their implications for rural employment security and welfare delivery. Also explain the …

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Assess the impact of the growing reliance on cesses on Centre–State fiscal balance. Explain its long-term consequences for cooperative federalism in India.

Topic: Functions and responsibilities of the Union and the States, issues and challenges pertaining to the federal structure. Q3. Assess the impact of the growing reliance on cesses on Centre–State fiscal balance. Explain its long-term consequences for cooperative federalism in India. (10 M) Difficulty Level: Medium Reference: NIE Why the question The growing dependence on …

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India’s Disaster Response: Centralisation Concerns and the Road Ahead

Source: TH Subject:  Disaster Management Context: The Wayanad landslides (Kerala, 2024) and the Centre–State mismatch in relief have raised concerns that disaster funds are becoming more centralised and conditional. About India’s Disaster Response: Centralisation Concerns and the Road Ahead What Is India’s Disaster Response? It is a national, multi-level system created under the Disaster Management …

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“Universal Health Coverage in India remains a promise more on paper than in practice”. Analyse the institutional and fiscal constraints in achieving it. Examine the gaps in primary health infrastructure. Suggest measures for effective implementation of Ayushman Bharat 2.0.

Topic: Issues relating to development and management of Social Sector/Services relating to Health, Education, Human Resources. Q4. “Universal Health Coverage in India remains a promise more on paper than in practice”. Analyse the institutional and fiscal constraints in achieving it. Examine the gaps in primary health infrastructure. Suggest measures for effective implementation of Ayushman Bharat …

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Restoring Fiscal Space for the States

Syllabus: Economy   Source:  TH Context: The abolition of the GST compensation cess marks a turning point in Centre–State fiscal relations. Several States have raised concerns over the loss of fiscal autonomy and revenue stability, demanding reforms in India’s tax-sharing mechanism to strengthen cooperative federalism. About Restoring Fiscal Space for the States: Fiscal Policy Evolution …

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Why is India’s municipal fiscal architecture considered structurally flawed? Analyse how this affects urban economic productivity and service delivery. Outline measures to create a sustainable local revenue framework.

Topic: Indian Economy and issues relating to planning, mobilization of resources, growth, development and employment Q5. Why is India’s municipal fiscal architecture considered structurally flawed? Analyse how this affects urban economic productivity and service delivery. Outline measures to create a sustainable local revenue framework. (15 M) Difficulty Level: Medium Reference: TH Why the question: Structural …

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Urban Fiscal Architecture in India

Syllabus: Local bodies Source:  TH  Context: India’s municipalities, which contribute nearly two-thirds of the national GDP, control less than 1% of total tax revenue. A recent analysis highlights how over-centralisation of taxes post-GST has crippled city finances. About Urban Fiscal Architecture in India: Structural Flaw in Urban Fiscal Architecture: Revenue–Responsibility Mismatch: Cities generate 66% of …

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Discuss how the expanding welfare architecture of Indian states has affected fiscal sustainability. Evaluate the trade-offs between welfare spending and capital formation. Propose institutional mechanisms for fiscal prudence without compromising inclusivity.

Topic: Indian Economy and issues relating to planning, mobilization of resources, growth, development and employment. Q5. Discuss how the expanding welfare architecture of Indian states has affected fiscal sustainability. Evaluate the trade-offs between welfare spending and capital formation. Propose institutional mechanisms for fiscal prudence without compromising inclusivity. (15 M) Difficulty Level: Medium Reference: IE Why …

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Examine the challenges of inter-governmental coordination in disaster governance. Outline the institutional reforms required for a holistic and integrated approach.

Topic: Disaster and disaster management Q6. Examine the challenges of inter-governmental coordination in disaster governance. Outline the institutional reforms required for a holistic and integrated approach. (10 M) Difficulty Level: Medium Reference: TH Why the question Recent notifications assigning disaster tasks to various Ministries highlight the issue of fragmented responsibilities and the urgent need for …

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“The rising twin burden of committed expenditure and subsidies has locked Indian states into a cycle of fiscal stress”. Analyse its implications for welfare and infrastructure spending. Suggest reform measures.

Topic: Indian Economy and issues relating to planning, mobilization of resources, growth, development and employment Q5. “The rising twin burden of committed expenditure and subsidies has locked Indian states into a cycle of fiscal stress”. Analyse its implications for welfare and infrastructure spending. Suggest reform measures. (15 M) Difficulty Level: Medium Reference: NIE Why the …

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