Central State Relations- Financial Relations / Indian Polity / UPSC 

The Indian Constitution’s federal system divides all legislative, executive, and financial powers between the Center and the States.
However, because the Constitution established a unified judicial system to uphold both federal and state laws, there is no division of powers in the judiciary.
Even though the federal government and the states are leaders in their own fields, for the federal system to work effectively, there must be the greatest possible concord and cooperation between them.