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Can Manipur ever trust India again?
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I don't think I agree with that. This seems to be a pretty clear case of unintended consequences of a colonial-era policies that were never properly dealt with. In this case, I'm not sure the size of the state has much to do with it.
Look at Russia the US, India or China. All of them the size of continents, all of them failing to properly represent their wildly different subcultures, each of them ruled by one subculture that doesn't want to represent the rest.