Federalism is a system of government where power is shared between a central authority and constituent units. India practices federalism through its three-tier structure of national, state, and local governments. Key aspects include the division of powers outlined in the constitution, the creation of linguistic states for administrative ease, and flexibility in language policy to unite a diverse nation. While periods of central overreach have undermined federalism, India's success is largely due to democratic politics, the respect for autonomy, and the desire for different groups to live together.