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With reference to inter-state trade and commerce, consider the following statements:
1. Constitution provides that trade, commerce and intercourse throughout the territory of India shall be free without any restrictions.
2. Parliament cannot impose restrictions on the freedom of trade and commerce between the states in any case.
Which of the statements given above is/are correct?
  • a)
    1 only
  • b)
    2 only
  • c)
    Both 1 and 2
  • d)
    Neither 1 nor 2
Correct answer is option 'A'. Can you explain this answer?
Verified Answer
With reference to inter-state trade and commerce, consider the followi...
  • Article 301 declares that trade, commerce and intercourse throughout the territory of India shall be free. The freedom guaranteed by Article 301 is a freedom from all restrictions, except those which are provided for in the other provisions (Articles 302 to 305) of Part XIII of the Constitution itself. Hence, statement 1 is not correct.
  • Parliament can impose restrictions on the freedom of trade, commerce and intercourse between the states or within a state in public interest. But, the Parliament cannot give preference to one state over another or discriminate between the states except in the case of scarcity of goods in any part of India. Hence, statement 2 is not correct.
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Most Upvoted Answer
With reference to inter-state trade and commerce, consider the followi...
Statement 1: Constitution provides that trade, commerce and intercourse throughout the territory of India shall be free without any restrictions.
Statement 2: Parliament cannot impose restrictions on the freedom of trade and commerce between the states in any case.

Explanation:
Inter-state Trade and Commerce:
Inter-state trade and commerce refers to the exchange of goods and services between different states within the territory of India. It is an important aspect of the Indian economy as it contributes significantly to the overall growth and development of the country.

Statement 1: Constitution provides that trade, commerce and intercourse throughout the territory of India shall be free without any restrictions.
The statement is correct. Article 301 of the Indian Constitution guarantees the freedom of trade, commerce, and intercourse throughout the territory of India. It states that "Subject to the other provisions of this Part, trade, commerce, and intercourse throughout the territory of India shall be free."

This means that there should be no barriers, restrictions, or impediments to the free movement of goods and services across state borders. The purpose of this provision is to promote economic unity and integration among the states and to create a common market within the country.

However, it is important to note that this freedom is not absolute and is subject to certain reasonable restrictions imposed by the government. These restrictions can be imposed in the interest of public health, morality, security, and other similar grounds as provided under Article 302 of the Constitution.

Statement 2: Parliament cannot impose restrictions on the freedom of trade and commerce between the states in any case.
The statement is incorrect. While the Constitution guarantees the freedom of trade and commerce between the states, it also empowers the Parliament to impose restrictions if it deems necessary. Article 302 of the Constitution gives the power to Parliament to impose restrictions on inter-state trade and commerce in public interest.

These restrictions can be imposed through legislation if there is a need to regulate trade and commerce for reasons such as public health, public order, or the protection of Indian industries. However, such restrictions need to be reasonable and in the interest of the general public.

Conclusion:
In conclusion, the correct statement is Statement 1. The Constitution provides that trade, commerce, and intercourse throughout the territory of India shall be free without any restrictions. However, Parliament does have the power to impose reasonable restrictions on inter-state trade and commerce in public interest.
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With reference to inter-state trade and commerce, consider the following statements:1. Constitution provides that trade, commerce and intercourse throughout the territory of India shall be free without any restrictions.2. Parliament cannot impose restrictions on the freedom of trade and commerce between the states in any case.Which of the statements given above is/are correct?a)1 onlyb)2 onlyc)Both 1 and 2d)Neither 1 nor 2Correct answer is option 'A'. Can you explain this answer?
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