Explanation – Linguistic and cultural differences can lead to disparities in economic opportunities and development across regions, especially when policies and investments are not tailored to local contexts. Centralized policymaking can also contribute to uneven development, as policies designed at the national level may not adequately address the specific challenges and needs of different states. A lack of industrial diversification can limit economic opportunities in some states, leading to dependence on a few industries and vulnerability to economic shocks.

However, uneven agricultural land may not directly contribute to the economic divide across states. In fact, agricultural productivity can vary significantly based on various factors such as climate, access to resources, and technological advancements.

Source: Forum IAS