The Andhra Pradesh Reorganisation Bill, 2014 which created Telangana, has made the population ratio as the framework for allocation of assets and liabilities, between Telangana and the residual state of Andhra Pradesh. The bifurcation has several economic implications. Unemployment will increase as the population is being divided on a linguistic basis, and people of Telugu origin will rush to the new state, and vice-versa; leaving the administration in tatters. Division of assets and officials, the sharing of common resources and particularly sharing of water and energy will be a major problem.

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