Q1. ‘Grants-in-aid’ is given to the States for
(a) Improving the Centre-State relationship
(b) Reducing regional imbalances
(c) Improving the development of backward areas
(d) Various development schemes and rehabilitation purposes
(UPSC Prelims 1981)
Answer: (c) Improving the development of backward areas
Explanation: Grants-in-aid are financial allocations provided by the Central Government to States, especially for the development of backward regions. These funds aim to reduce regional disparities, support targeted schemes, and promote inclusive growth.
Q2. The most irritating factor in the Centre-State relationship is the
(a) River water dispute
(b) Interference of the Centre in the functions allotted to them by the Constitution
(c) Allocation of finances
(d) None of the above
(UPSC Prelims 1985)
Answer: (b) Interference of the Centre in the functions allotted to them by the Constitution
Explanation: A major source of tension in Centre-State relations is the perceived interference by the Central Government in areas constitutionally assigned to the States, affecting autonomy and federal balance.