01 How is giving powers to local governments linked with federalism?
Answer and explanation
Correct answer: A. It distributes power further downward
Explanation: The governing concept is decentralisation, which extends the broader federal idea of sharing authority across levels of government. When local bodies receive real functions, funds, and decision-making powers, authority moves beyond the Union and state levels to villages and cities. Thus, option A is correct. It does not concentrate all power at the Centre, abolish states, or remove citizens; instead, it can make governance more participatory and responsive.