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The system of Panchayati Raj involves
A) The village, block and district levels
B) The village and state levels
C) The village, district and state levels
D) The village, state and union levels

Answer
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Hint: In India, the Panchayati Raj is currently a governance system in which the gram panchayats are the basic components of local authorities. The system was eventually called Panchayati Raj, and it was inaugurated on October 2, 1959, at Nagaur, Rajasthan, by then-Prime Minister Pandit Jawaharlal Nehru.

Complete answer:
The system is divided into three levels which are as follows:
1. Gram Panchayat (village level): Its elected leader is the Sarpanch. Members of the gram panchayat are directly elected by the voting-age village population for a five-year term.
2. Mandal Parishad or Block Samiti of Panchayat Samiti (block level): In general, the block panchayat is a higher-level version of the gram panchayat.
3. Zila Parishad (district level): The administration of the advance system at the district level in Panchayat Raj is often referred to as Zila Parishad. The head of this form of government is an officer of the IAS cadre who also serves as the district's panchayat raj chief.

Currently, the Panchayati Raj system exists in all states except Nagaland, Meghalaya, and Mizoram, as well as all Union Territories save Delhi. The Panchayati get funding from three sources: local body grants recommended by the Central Finance Commission, monies for the execution of centrally sponsored programmes, and funds given by state governments.

Hence, the correct answer is option A.

Note: Panchayati Raj, a decentralised type of governance in which each community is responsible for its own affairs, was supported by Mahatma Gandhi as the cornerstone of India's democratic system. Gram Swaraj was the phrase used to describe such a concept (village self-governance). India, on the other hand, evolved a highly centralised style of governance.