Q.3 Recently released RBI data on the states’ outstanding debt has registered an upward movement. In this context, analyse the issues between centre and state in fiscal domain. Also shed light on the issues with discretionary spending by the states. (15 Marks)

Mentor’s Comments-

  • https://epaper.thehindu.com/Home/ShareArticle?OrgId=GNRA75O96.1&imageview=0
  • In the introduction, talk about the dismal fiscal health of the states.
  • In the body, mention issues between centre-state in fiscal domain with a focus on the freebie debate. Next, talk about the issues with discretionary spending by the states.
  • Conclude by highlighting the need of robust financial health for overall economic growth.
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2 years ago

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