Current Affairs · 16th Finance Commission
Consider the following statements regarding the evolution of horizontal devolution criteria under the 16th Finance Commission: 1. The structural introduction of the 'Contribution to GDP' metric replaces the previous tax effort criterion, which carried a 2.5% weight under the 15th Finance Commission. 2. This replacement reflects a transition towards performance-linked federalism, aligning fiscal devolution with growth. 3. To fully support this structural replacement, the 16th Finance Commission completely abandoned redistribution efforts among poorer states. Which of the statements given above is/are correct?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 11 and 2 only✓
- 21 and 3 only
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1 and 2 only
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