Question:

Why should Bihar be given status of a special state? Explain.

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Argue with criteria: vulnerability, fiscal capacity, infrastructure gaps—then propose conditional, time-bound support rather than a permanent tag.
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Solution and Explanation

Historically, “special category status” targeted states with {hilly terrain, strategic borders and sparse resources}. Though that template changed after the 14\textsuperscript{th} Finance Commission, Bihar argues need‐based support. It is flood-prone (Kosi–Ganga basin) with high population density, a low industrial base, small tax handles, agrarian employment and substantial SC/OBC populations needing human-capital investment. Being landlocked raises logistics costs; power, roads and urban services lag national averages, constraining private investment. Special assistance—higher central grants, interest-free capex loans, GST compensation windows, and outcome-linked transfers—could accelerate catch-up in health, education, skills and connectivity. Critics caution against open-ended labels; therefore a criteria-based “special assistance” framework tied to measurable reforms and disaster resilience would balance equity with efficiency while addressing Bihar’s persistent developmental gaps (≈135 words).
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