Detailed Solution:
The correct answer is “Both (A) and (R) are true and (R) is the correct explanation of (A)”.
The 73rd Amendment Act (1992) is a landmark in Indian governance as it institutionalized Panchayati Raj as a third tier of government, providing a structured framework for local self-governance. It also aimed to promote democracy at the grassroots level.
The amendment granted Constitutional recognition to Panchayati Raj Institutions (PRIs) by adding Part IX to the Constitution and inserting Articles 243 to 243-O. It made Panchayats a mandatory institution across states, defined their structure, composition, and duration, and empowered them to function as institutions of self-government.