ASKiIMAN™ ARCHIVE / INDIAN POLITY
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Federal Structure Challenges

Centralisation vs Regionalism

PART I — THE CONFLICTING FORCES

CENTRIPETAL FORCE

Centralisation

  • Union's tendency to accumulate power.
  • Overuse of Article 356 (President's Rule).
  • Financial dependence of states on the Center.
  • Deployment of Central Armed Police Forces in states.
CENTRIFUGAL FORCE

Regional Aspirations

  • Demands for greater state autonomy.
  • Creation of new states (linguistic or administrative).
  • Inter-state water disputes & border conflicts.
  • Sons of the soil movements & regional identity.

PART II — MODELS OF INTERACTION

SYNCHRONIZED GROWTH

Cooperative Federalism

  • Union and States acting as equal partners.
  • Institutions: NITI Aayog, GST Council, Inter-State Council.
  • Consensus-building on national policies.
  • Replaces the old "Command and Control" approach.
THE RACE FOR CAPITAL

Competitive Federalism

  • States competing against each other for investments & growth.
  • Ease of Doing Business rankings.
  • Attracting Foreign Direct Investment (FDI).
  • Drives efficiency, but risks widening inequality between rich and poor states.
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