This low level of expenditure in turn leads to low level of production and therefore financial resources. Fifthly, political and administrative failure also bolsters backwardness. Sheer bad administration and deteriorating law and order creates a bad atmosphere for development.
However, disparities in development also exist within each state. In many cases, this inequality had become a source of tension and given birth to sub-regional movement for separate states within the Indian union. Examples: Vidarbha in Maharashtra or Telengana in Andhra Pradesh. Secondly, with some economic development taking place and new opportunities for employment, there has grown up a son of the soil moment which posits that the state specifically belongs to the main linguistic group and is their homeland.
All others who live there are classed as outsiders. Demands are then raised to give preference to the sons of the soil in giving employment and economic opportunities. This has happened in cities like Bombay in Maharashtra or in urban areas of Assam. These movements are another challenge to the Indian nation.