IDEAS home Printed from https://ideas.repec.org/p/pra/mprapa/12432.html
   My bibliography  Save this paper

Holding India together: The role of institutions of federalism

Author

Listed:
  • Singh, Nirvikar

Abstract

India is a large, heterogeneous and complex nation, with multiple languages, religions and ethnicities, and over one billion people. It stands out in having held together while sustaining a working democracy for over five decades, at relatively low levels of income. One of the main institutional aspects of managing heterogeneity to preserve national unity is the structures of Indian federalism. This paper traces some of the features of Indian federal institutions, focusing on their contribution to this ‘holding together.’ It reviews the conceptual and analytical underpinnings of the role of federal structures in sustaining unity, and summarizes historical developments and current institutional structures of the Indian case. It assesses the role of federal dimensions of political, administrative and judicial structures in the holding together function. It also examines fiscal federal institutions and their impacts, including distributional and growth issues. It also separately focuses specifically on the special treatment of what may be characterized as India’s periphery.

Suggested Citation

  • Singh, Nirvikar, 2008. "Holding India together: The role of institutions of federalism," MPRA Paper 12432, University Library of Munich, Germany.
  • Handle: RePEc:pra:mprapa:12432
    as

    Download full text from publisher

    File URL: https://mpra.ub.uni-muenchen.de/12432/1/MPRA_paper_12432.pdf
    File Function: original version
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Khemani, Stuti, 2007. "Does delegation of fiscal policy to an independent agency make a difference? Evidence from intergovernmental transfers in India," Journal of Development Economics, Elsevier, vol. 82(2), pages 464-484, March.
    2. Alberto Alesina & Enrico Spolaore, 1997. "On the Number and Size of Nations," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 112(4), pages 1027-1056.
    3. Douglass C. North, 1990. "A Transaction Cost Theory of Politics," Journal of Theoretical Politics, , vol. 2(4), pages 355-367, October.
    4. Basu, Kaushik, 2003. "Prelude to Political Economy: A Study of the Social and Political Foundations of Economics," OUP Catalogue, Oxford University Press, number 9780199261857.
    5. Patrick Bolton & Gérard Roland, 1997. "The Breakup of Nations: A Political Economy Analysis," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 112(4), pages 1057-1090.
    6. Rohini Pande, 2003. "Can Mandated Political Representation Increase Policy Influence for Disadvantaged Minorities? Theory and Evidence from India," American Economic Review, American Economic Association, vol. 93(4), pages 1132-1151, September.
    7. Khemani, Stuti, 2001. "Decentralization and accountability : are voters more vigilant in local than in national elections ?," Policy Research Working Paper Series 2557, The World Bank.
    8. Singh, Nirvikar, 2003. "Some Economic Consequences of India's Institutions of Governance: A Conceptual Framework," Santa Cruz Department of Economics, Working Paper Series qt9jk1j8m1, Department of Economics, UC Santa Cruz.
    9. Miss Catriona Purfield, 2004. "The Decentralization Dilemma in India," IMF Working Papers 2004/032, International Monetary Fund.
    10. World Bank, 2004. "India : Fiscal Decentralization to Rural Governments," World Bank Publications - Reports 14674, The World Bank Group.
    11. Rui J. P. de Figueiredo & Michael McFaul & Barry R. Weingast, 2007. "Constructing Self-Enforcing Federalism in the Early United States and Modern Russia," Publius: The Journal of Federalism, CSF Associates Inc., vol. 37(2), pages 160-189, Spring.
    12. Pradeep Chhibber, 1995. "Political parties, electoral competition, government expenditures and economic reform in India," Journal of Development Studies, Taylor & Francis Journals, vol. 32(1), pages 74-96.
    13. Singh, Nirvikar, 2007. "Fiscal Federalism and Decentralization in India," MPRA Paper 1447, University Library of Munich, Germany.
    14. Khemani, Stuti, 2004. "Political cycles in a developing economy: effect of elections in the Indian States," Journal of Development Economics, Elsevier, vol. 73(1), pages 125-154, February.
    15. Singh, Nirvikar, 2003. "Some Economic Consequences of India's Institutions of Governance: A Conceptual Framework," Santa Cruz Department of Economics, Working Paper Series qt9jk1j8m1, Department of Economics, UC Santa Cruz.
    16. Arulampalam, Wiji & Dasgupta, Sugato & Dhillon, Amrita & Dutta, Bhaskar, 2009. "Electoral goals and center-state transfers: A theoretical model and empirical evidence from India," Journal of Development Economics, Elsevier, vol. 88(1), pages 103-119, January.
    17. Friedman, David, 1977. "A Theory of the Size and Shape of Nations," Journal of Political Economy, University of Chicago Press, vol. 85(1), pages 59-77, February.
    18. Nirvikar Singh & Laveesh Bhandari & Aoyu Chen & Aarti Khare, 2004. "Regional Inequality in India: A Fresh Look," Development and Comp Systems 0412006, University Library of Munich, Germany.
    19. Weingast, Barry R, 1995. "The Economic Role of Political Institutions: Market-Preserving Federalism and Economic Development," The Journal of Law, Economics, and Organization, Oxford University Press, vol. 11(1), pages 1-31, April.
    20. Singh, Nirvikar, 2007. "Fiscal Federalism and Decentralization in India∗," Santa Cruz Department of Economics, Working Paper Series qt11b543tk, Department of Economics, UC Santa Cruz.
    21. Hope,Nicholas C. & Kochar,Anjini & Noll,Roger & Srinivasan,T. N. (ed.), 2013. "Economic Reform in India," Cambridge Books, Cambridge University Press, number 9781107020047, October.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Economou, Emmanouel/Marios/Lazaros & Kyriazis, Nicholas, 2014. "Achaeans, Indians and Europeans: A Comparison of federations," MPRA Paper 57289, University Library of Munich, Germany.
    2. Emmanouil M. L. Economou & Nicholas C. Kyriazis, 2016. "The Achaeans and the Europeans: An Interdisciplinary Comparison of Federations," International Journal of Social Science Research, Macrothink Institute, vol. 4(2), pages 8-23, September.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Trent J. MacDonald, 2019. "The Political Economy of Non-Territorial Exit," Books, Edward Elgar Publishing, number 18871.
    2. ., 2019. "Economic theory of non-territorial unbundling," Chapters, in: The Political Economy of Non-Territorial Exit, chapter 1, pages 14-38, Edward Elgar Publishing.
    3. Singh, Nirvikar, 2008. "India’s Development Strategy: Accidents, Design and Replicability," MPRA Paper 12453, University Library of Munich, Germany.
    4. Singh, Nirvikar, 2007. "Fiscal Federalism and Decentralization in India," MPRA Paper 1447, University Library of Munich, Germany.
    5. Floriana Cerniglia; Riccarda Longaretti; Alberto Zanardi, 2020. "The Emergence of Asymmetric Decentralization: Centrifugal and Centripetal Forces," CRANEC - Working Papers del Centro di Ricerche in Analisi economica e sviluppo economico internazionale crn2001, Università Cattolica del Sacro Cuore, Centro di Ricerche in Analisi economica e sviluppo economico internazionale (CRANEC).
    6. Persson, Torsten & Tabellini, Guido, 2002. "Political economics and public finance," Handbook of Public Economics, in: A. J. Auerbach & M. Feldstein (ed.), Handbook of Public Economics, edition 1, volume 3, chapter 24, pages 1549-1659, Elsevier.
    7. Nirvikar Singh, 2007. "The dynamics of reform of India’s federal system," CESifo Forum, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 8(01), pages 22-31, April.
    8. Shabana Mitra & Althaf Shajahan, 2022. "Crime, elections, and political competition," Review of Development Economics, Wiley Blackwell, vol. 26(4), pages 2394-2413, November.
    9. Rohner, Dominic & Esteban, Joan & Flamand, Sabine & Morelli, Massimo, 2018. "A Dynamic Theory of Secession," CEPR Discussion Papers 12398, C.E.P.R. Discussion Papers.
    10. Nathan Berg & Jeong-Yoo Kim, . "Equilibrium National Border and Its Stability," Prague Economic Papers, University of Economics, Prague, vol. 0, pages 1-18.
    11. Jean Lacroix & Kris James Mitchener & Kim Oosterlinck, 2023. "Domino Secessions: Evidence from the U.S," NBER Working Papers 31589, National Bureau of Economic Research, Inc.
    12. Liesbet Hooghe, Gary Marks, 2002. "Types of Multi-Level Governance," Les Cahiers européens de Sciences Po 3, Centre d'études européennes (CEE) at Sciences Po, Paris.
    13. Grégoire Rota Graziosi, 2004. "La fragmentation politique, une revue de la littérature," Revue Française d'Économie, Programme National Persée, vol. 18(4), pages 193-223.
    14. Michel Le Breton & Shlomo Weber, 2003. "The Art of Making Everybody Happy: How to Prevent a Secession," IMF Staff Papers, Palgrave Macmillan, vol. 50(3), pages 1-4.
    15. Bharatee Dash & Angara Raja, 2013. "Do political determinants affect the size and composition of public expenditure? A study of the Indian states," International Review of Economics, Springer;Happiness Economics and Interpersonal Relations (HEIRS), vol. 60(3), pages 293-317, September.
    16. Bhavnani, Rikhil R. & Lacina, Bethany, 2017. "Fiscal Federalism at Work? Central Responses to Internal Migration in India," World Development, Elsevier, vol. 93(C), pages 236-248.
    17. Radax, Wolfgang, 2009. "The number and size of nations revisited: Endogenous border formation with non-uniform population distributions," MPRA Paper 15783, University Library of Munich, Germany.
    18. Ahmad, Ehtisham & Brosio, Giorgio, 2009. "Decentralization and local service provision: what do we know?," LSE Research Online Documents on Economics 38347, London School of Economics and Political Science, LSE Library.
    19. Joan-Maria Esteban & Sabine Flamand & Massimo Morelli & Dominic Rohner, 2018. "The Survival and Demise of the State: A Dynamic Theory of Secession," Working Papers 1028, Barcelona School of Economics.
    20. Antonio Sciala' & Paolo Liberati, 2008. "The impact of economic openness on the vertical structure of the public sector," "Marco Fanno" Working Papers 0085, Dipartimento di Scienze Economiche "Marco Fanno".

    More about this item

    Keywords

    federalism; decentralization; intergovernmental relations;
    All these keywords.

    JEL classification:

    • H1 - Public Economics - - Structure and Scope of Government
    • H7 - Public Economics - - State and Local Government; Intergovernmental Relations
    • P35 - Political Economy and Comparative Economic Systems - - Socialist Institutions and Their Transitions - - - Public Finance
    • P26 - Political Economy and Comparative Economic Systems - - Socialist and Transition Economies - - - Property Rights

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pra:mprapa:12432. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Joachim Winter (email available below). General contact details of provider: https://edirc.repec.org/data/vfmunde.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.