GK Question

polity hard mcq

Article 301 guarantees freedom of trade, commerce and intercourse throughout India, subject to Parliament's power under Article 302 to impose restrictions in public interest. Which restriction is explicitly prohibited by Article 303?

  1. Restrictions during National Emergency
  2. Discrimination between States by virtue of any entry in the Legislative Lists
  3. Restrictions on harmful goods
  4. Restrictions for national security

Answer: Discrimination between States by virtue of any entry in the Legislative Lists

Inter-State trade framework: (a) Article 301: Freedom of trade/commerce/intercourse throughout India, (b) Article 302: Parliament may impose restrictions in public interest, (c) Article 303(1): Neither Parliament nor State Legislature can make law giving preference to one State over another or discriminating between States by virtue of any entry in Legislative Lists, (d) Article 303(2) exception: Preference allowed to address scarcity of goods, (e) Article 304: States may impose reasonable restrictions on goods from other States with Presidential assent. Balances economic unity (free flow of goods) with regulatory needs (public health, scarcity management); prevents economic Balkanization while allowing legitimate State interests.

Topic Federalism - Inter-State Trade and Commerce
Exam Relevance Economic federalism provision case study critical for UPSC Mains and Judiciary exams