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Which commission was set up to recommend reforms in Centre-State financial and administrative relations?

1. Finance Commission
2. Sarkaria Commission
3. Planning Commission
4. Election Commission

Correct answer: Sarkaria Commission

Solution

The Sarkaria Commission was appointed to review the working of arrangements between the Centre and the States, including financial and administrative relations. The Finance Commission deals only with fiscal distribution, not the broader Centre-State relationship.

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