For the purpose of making laws, the subjects are divided into three lists : (i) Union List : It includes subjects over which only the union government can make laws, e.g.–defence, foreign affairs, currency etc. (ii) State List : It contains those subjects over which the state governments have the powers to make the laws, e.g. police, trade, irrigation, agriculture etc. (iii) Concurrent List : It contains those subjects over which both the central and the state governments can make the laws but in case of a clash, it is the laws made by the Central government which will prevail. These subjects include education, forest, trade union, etc.