Ethics, Integrity & Aptitude·Ethical Standards
Resource Allocation Dilemmas — Ethical Standards
Constitution VerifiedUPSC Verified
Version 1Updated 5 Mar 2026
| Entry | Year | Description | Impact |
|---|---|---|---|
| 73rd Amendment | 1992 | Constitutionalized Panchayati Raj institutions and mandated devolution of functions, functionaries, and funds to local governments, creating new layers of resource allocation decisions and bringing governance closer to people. | Transformed resource allocation by creating constitutional obligation for states to devolve resources to local governments, leading to complex three-tier allocation mechanisms and enhanced grassroots participation in resource allocation decisions. |
| 74th Amendment | 1992 | Provided constitutional status to urban local bodies and mandated devolution of powers and resources to municipalities, creating urban governance structures with independent resource allocation authority. | Established urban local governments as constitutional entities with resource allocation powers, leading to improved urban service delivery but also creating coordination challenges between state governments and municipal bodies in resource allocation. |