ABSTRACT
This chapter focuses on the causes of a rapid policy shift in Bihar after 2005, which boosted the rate of growth and decreased the political disorder within the State. It argues that without understanding and analyzing the political environment, which shaped the strategic choices of Nitish Kumar as a rational actor in his vertical and horizontal interactions, the remarkable policy shift in the State is not explicable. The chapter begins with tracing the political process, which led to the end of the so-called 'Jungle Raj' in Bihar. It provides a clear analysis about the relationship between the chief minister, voters and the regional institutions in the horizontal game and the State–Center relations in the vertical game. The chapter illustrates how political determinants at both levels, encouraged the regional leader to opt for the subnational developmental strategies. It discusses how these necessities paved the path to choose a collaborative attitude toward the Center despite political differences.
