Deconstructing Bihar's Underdevelopment: Beyond the 'Landlocked' Argument
UPSC Relevance
Prelims: Indian Economy (Regional imbalances, Economic policies like Freight Equalisation Policy, Green Revolution); Indian Geography (Landlocked states).
Mains:
General Studies Paper 1 (Society & Geography): Poverty and developmental issues; Regionalism; Migration; Factors responsible for the location of industries (historical factors like the Freight Equalisation Policy).
General Studies Paper 2 (Polity & Governance): Issues and challenges pertaining to the federal structure (Special Status demand); Governance issues (state capacity); Role of the Finance Commission.
General Studies Paper 3 (Economy): Indian Economy and issues relating to planning, mobilization of resources, growth, development and employment; Inclusive growth; Land reforms; Economics of agriculture; Industrial policy.
Key Highlights from the News
The argument that Bihar's underdevelopment is due to being landlocked is not entirely true. States like Punjab and Telangana are also landlocked but are ahead in development.
Despite fertile soil and irrigation facilities, Bihar's agricultural productivity is lower than the national average. The Green Revolution spread to Madhya Pradesh instead of Bihar.
The article points to the Freight Equalisation Policy as a major historical reason. This policy eliminated Bihar's natural industrial advantage and stifled industrial growth.
There is criticism that Bihar's politics, instead of augmenting production, focuses only on redistributing limited resources based on caste.
Granting 'Special Status' alone will not be a solution, as the state lacks the state capacity to efficiently utilize the allocated funds.

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