Abstract
While fiscal federalism in India has a long history, its practice has grown increasingly opaque over the years. Serious attention is required to improve its principles and practices. The India of today, notably through its governance “matrix”, economic development, institution-building and multilateral relations, are vastly different from the India that drafted its constitution in 1950. India is going through a transition in its intergovernmental relations. Boundaries based on linguistic factors and administrative convenience are blurring, given changes brought on by innovation and migration. Socio-economic trends such as technological change, rising mobility and market integration will affect the future of fiscal federalism in India.
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