Economy (7 Year PYQ Trend Analysis)

02
03
Table of Content
SYLLABUS 04
SOURCES TO BE REFERRED TO 04
DISTRIBUTION OF THE PREVIOUS 7 YEARS’ QUESTIONS 05
QUESTION SOURCE-TYPE ANALYSIS 07
ANALYSIS OF SOURCES 08
DIFFICULTY LEVEL DISTRIBUTION 09
DIFFICULTY LEVEL ANALYSIS 09
OVERALL OBSERVATIONS 10
ADVICE FOR STUDENTS 11
MACROECONOMICS
EĂƟŽŶĂů/ŶĐŽŵĞĐĐŽƵŶƟŶŐ 12
DŽŶĞǇĂŶĚDŽŶĞǇ^ƵƉƉůǇ 16
DŽŶĞƚĂƌǇWŽůŝĐǇ 23
ĂŶŬŝŶŐĂŶĚĂŶŬŝŶŐZĞŐƵůĂƟŽŶƐ 30
WĂǇŵĞŶƚĐŽƐǇƐƚĞŵ 46
/ŶŇĂƟŽŶĂŶĚZĞĐĞƐƐŝŽŶ 52
&ŝƐĐĂůWŽůŝĐǇĂŶĚ'ŽǀĞƌŶŵĞŶƚƵĚŐĞƟŶŐ 58
ǆƚĞƌŶĂů^ĞĐƚŽƌ 77
&ŝŶĂŶĐŝĂůDĂƌŬĞƚ 104
INDIAN ECONOMY
>ĂŶĚZĞĨŽƌŵƐ 118
ŐƌŝĐƵůƚƵƌĞ 119
/ŶĚƵƐƚƌŝĞƐ 140
/ŶĨƌĂƐƚƌƵĐƚƵƌĞ 143
ŶĞƌŐǇ^ĞĐƚŽƌ 146
WůĂŶŶŝŶŐ 150
ϭϵϵϭZĞĨŽƌŵƐ 152
WŽǀĞƌƚǇ 155
^ŬŝůůĐƋƵŝƐŝƟŽŶĂŶĚ,ƵŵĂŶĞǀĞůŽƉŵĞŶƚ 157
>ĂďŽƵƌĂŶĚŵƉůŽǇŵĞŶƚ 161
^ŽĐŝĂů^ĞĐƵƌŝƚǇ 165
YƵĂůŝƚǇĂŶĚ^ƚĂŶĚĂƌĚŝǌĂƟŽŶ 169
ŝŐŝƟǌĂƟŽŶ 171
MICROECONOMICS
KƉƉŽƌƚƵŶŝƚǇŽƐƚ 174
>ĂǁŽĨĞŵĂŶĚĂŶĚ^ƵƉƉůǇ 175
2 QUESTIONS DROPPED BY THE UPSC 177
04
SYLLABUS
Economic and Social Development-Sustainable Development, Poverty, Inclusion, Demographics,
Social Sector Initiatives, etc.
b¨ΑÞü½½êÞΑ«ÞΑ«ÄõÚ«½üΑÃÄæ«ËÄΑ«ÄΑæ¨ΑÄËæ«Ĉæ«ËÄΑæ¨æΑfT[ΑÚ½ÞÞΑõÚüΑüÚΑæΑæ¨Α£«ÄÄ«Ä£ΑË¢Α
æ¨Αü½Π
b¨Α Þü½½êÞΑ¢ËÚΑ ËÄËÃ«ÞΑö¨«¨Α «ÞΑ ÃÄæ«ËÄΑ ËõΑ ××ÚÞΑ ÚÞæÚ«æΠΑ +ÄΑ Ú½«æüΡΑæ¨ÞΑ ½ÞÞΑæ¨ÄΑ ͎͊Α
öËÚÞΑ¨«Αö«æ¨«ÄΑ£ÚæΑÃÄüΑæË×«ÞΠΑA«ÄΑæ¨ΑϏæΠϐΑ[æÚæ«Ä£Α¢ÚËÃΑæ¨ΑÄæêÚΑË¢ΑÃËÄüΡΑæËΑö¨æΑæ¨ΑÚË½ÞΑË¢Α
æ¨ΑΑΑΑ«ąÚÄæΑ×½üÚÞΑ«ÄΑÄΑËÄËÃüΑÚΡΑæËΑ¨ËöΑÃê¨ΑË¢Αö¨æΑ«ÞΑ×ÚËêΑ«ÄΑæ¨ΑËêÄæÚüΡΑËÃΑêÄÚΑæ¨Α
Þü½½êÞΠΑ
SOURCES TO BE REFERRED TO
Essential Material (EM)

͊ΠΑAÚËËÄËÃ«ÞΑλBWbΑ½ÞÞΑ͊͋μ
͋ΠΑ+Ä«ÄΑËÄËÃ«Αõ½Ë×ÃÄæΑλBWbΑ½ÞÞΑ͊͊μ
͌ΠΑA«ÚËËÄËÃ«ÞΑλBWbΑ½ÞÞΑ͊͋μ
͍ΠΑ êÞ«ÄÞÞΑ[æê«ÞΑλBWbΑ½ÞÞΑ͊͋μ
͎ΠΑfÄ«ËÄΑ ê£æ
͏ΠΑËÄËÃ«Α[êÚõü
*Business Studies NCERT (for Financial Market only)
Essential Newspapers (EN)

͊ΠΑb¨Α(«Äê
͋ΠΑb¨Α+Ä«ÄΑû×ÚÞÞ
*You can selectively refer to The Hindu Business Line or the Live Mint
Reference Material (RM)

͊ΠΑT+ ΑλÚæ«½Þμ
͋ΠΑÚæ¨×«ΑλöÞ«æμ
͌ΠΑq«ºÞ×«ΑλöÞ«æμ
͍ΠΑ+ÄõÞæË×«ΑλöÞ«æμ
*You can selectively refer to the websites of the RBI, the WTO, Britannica etc.
Random Resources (RR)

õÚüΑ üÚΑ ÞËÃΑ ÙêÞæ«ËÄÞΑ ¢æêÚΑ «ÄΑ æ¨Α fT[Α TÚ½«ÃÞΑ ö¨«¨Α ÚΑ ÞΑ ËÄΑ æ¨ÃÞΑ æ¨æΑ ÚΑ ÄËæΑ
ËõÚΑ«ÄΑæ¨ΑÞæÄÚΑÞËêÚÞΑÃÄæ«ËÄΑËõΑλAΡΑBΑËÚΑWAμΠ
Π£ΠΑæ¨ΑÙêÞæ«ËÄΑËÄΑϏræÚΑÚ«æϐΑ«ÄΑ͉͋͋͊ΠΑΑ[ê¨Αæ¨ÃÞΑÚΑ½ÞÞÚαºÄËöÄΑÄΑ¨ÄΑÞê¨ΑÞËêÚÞΑ
λ¢ÚËÃΑö¨ÚΑæ¨Αæ¨ÃÞΑÚΑÞËêÚμΑ¨õΑÄΑ½ÞÞ«ĈΑÞΑêÄËÄõÄæ«ËÄ½ΑËÚΑWÄËÃΑWÞËêÚÞΑ
λWWμ
05
DISTRIBUTION OF THE PREVIOUS 7 YEARS’ QUESTIONS

ACROSS DIFFERENT TOPICS
TOTAL ECONOMICS QUESTIONS - 135
1 Question
Law of Demand and Supply
TOTAL
1 Question
Opportunity Cost 135 Questions
2 Questions
Digitization Please Note:
2 Questions ͋ΑÙêÞæ«ËÄÞΑöÚΑÚË××ΑüΑfT[ΣΑËÄΑ
Quality and Standardization
«ÄΑ ͉͉͋͋Α ÄΑ æ¨Α Ëæ¨ÚΑ «ÄΑ ͉͋͋͋ΠΑ b¨Α ͋Α
3 Questions
Social Security
ÙêÞæ«ËÄÞΑ¨õΑÄΑû½êΑæËΑÚÚ«õΑ
æΑæ¨ΑæËæ½Π
4 Questions
Labour and Employment
3 Questions
Skill Acquisition and
Human Development
1 Question 3 Questions
Poverty National Income Accounting
2 Questions 6 Questions
1991 Reforms Money and Money Supply
1 Question 6 Questions
Planning Monetary Policy
3 Questions
Energy Sector 13 Questions
2 Questions Banking and Banking Regulations
Infrastructure
2 Questions
Industries
6 Questions
Payment Ecosystem
Agriculture Inflation and Recession
13 Questions
1 Question Fiscal Policy and
Land Reforms Government Budgeting
11 Questions
Financial Market
MACROECONOMICS
INDIAN ECONOMY 28 Questions

External Sector
MICROECONOMICS
06
3 Questions
National Income Accounting
6 Questions
3 Questions Money and Money Supply
National Income Accounting
6 Questions
Monetary Policy
13 Questions
Banking and Banking
Regulations
28 Questions
External Sector
6 Questions
Payment Ecosystem
4 Questions
Inflation and Recession
MACROECONOMICS
13 Questions
Fiscal Policy and Government Budgeting
Digitization National Income Accounting
2 Questions
Quality and Standardization
3 Questions
Social Security
4 Questions
Labour and Employment 17 Questions
Agriculture
3 Questions
Skill Acquisition and
Human Development
1 Questions
Poverty
2 Questions
1991 Reforms
1 Questions
2 Questions
Planning
Industries
Energy Sector Infrastructure
INDIAN ECONOMY
07
1 Question 1 Question
Opportunity Cost Law of Demand and Supply
MICROECONOMICS
QUESTION SOURCE-TYPE ANALYSIS
54 Questions
40 Questions Essential Newspaper
60 Essential Material
26 Questions
50 Reference Material
40
15 Questions
30 Random Resources
20
10
0
08
ANALYSIS OF SOURCES
b¨Α ËõΑ «õ«Þ«ËÄΑ «ÞΑ Þ½«£¨æ½üΑ «Ćê½æΑ æËΑ ÃºΑ ÞΑ some questions have both static and dynamic
angles ÄΑ¨ÄΑÄÄËæΑΑÄÞöÚΑËÄ½üΑüΑÚ¢ÚÚ«Ä£ΑæËΑBWbΑËËºÞΠΑ"ËÚΑûÃ×½ΑÙêÞæ«ËÄÞΑÚ½æΑ
æËΑûæÚÄ½ΑÞæËÚΠ
b¨ÚΑ«ÞΑÄËΑËêæΑ«ÄΑæ¨Α¢æΑæ¨æΑnewspaper reading is indispensableΑæËΑ×Ú×Úæ«ËÄΑ¢ËÚΑæ¨ΑüÄÃ«Α

Þ×æÞΑ«ÄΑËÄËÃ«ÞΠ
Please note:Α"ËÚΑÃËÞæΑË¢Αæ¨ΑÙêÞæ«ËÄÞΡΑö¨ÚΑÄöÞ××ÚΑ½«ÄºÞΑÚΑÞ¨ÚΡΑÄÞöÚÞΑÄΑ«Ä¢ËÚÃæ«ËÄΑ
Ëê½Α½ÞËΑΑ¢ËêÄΑ«ÄΑËÄËÃ«Α[êÚõüÞΡΑêæΑæ¨ΑÞÃΑËê½ΑÄËæΑΑ¢ËêÄΑæΑËÄΑ×½ΠΑb¨æΑ«æΑö¨ÚΑ
æ¨ΑÚ«Ä£ΑË¢ΑÄöÞ××ÚΑ«ÞΑ«Ã×ËÚæÄæΠ
A few questions were based on very unconventional or lesser-known themesΑÄΑÞËÃΑÙêÞæ«ËÄÞΑ

¨ΑÞææÃÄæÞΑö¨«¨ΑÚΑ«Ćê½æΑæËΑĈÄΑ«ÄΑËÄõÄæ«ËÄ½ΑÞËêÚÞΠΑBËöΑæ¨æΑüÚÞΑ¨õΑ×ÞÞΡΑÞËÃΑ
Ë¢Αæ¨Αæ¨ÃÞΑ××ÚΑõÚüΑËÃÃËÄΡΑêæΑæΑæ¨Αæ«ÃΑö¨ÄΑæ¨üΑÚΑÞºΡΑËÄõÄæ«ËÄ½ΑÞËêÚÞΑöÚΑ
«Ćê½æΑæËΑĈÄΠ
ΑΑüÚαö«ÞΑÄ½üÞ«ÞΑ«ÞΑÞ¨ËöÄΑ½Ëö
2017:Αb¨ΑÙêÞæ«ËÄÞΑËÄΑVê½«æüΑËêÄ«½ΑË¢Α+Ä«ΑÄΑT(f
2018: b¨ΑÙêÞæ«ËÄÞΑËÄΑB[[HΑ£Ú«ê½æêÚ½Α[êÚõüΑÄΑæ¨Α«æÃÞΑËÄΑö¨«¨Α#[bΑ«ÞΑ××½«ΑλÄËæΑÞüμ
2019:ΑÃËÞæΑË¢Αæ¨Α¢æÞΑËê½ΑΑËæ«ÄΑ¢ÚËÃΑËÄõÄæ«ËÄ½ΑÙêÞæ«ËÄÞ
2020:Αb¨ΑÙêÞæ«ËÄÞΑÚ½æΑæËΑϏÚ«Α×Ú«ϐΡΑϏ×ê½«Α«ÄõÞæÃÄæΑ«ÄΑ£Ú«ê½æêÚϐΡΑϏÄËÄαĈÄÄ«½ΑæÞϐ
2021:Αb¨ΑÙêÞæ«ËÄΑËÄΑϏræÚΑÚ«æϐ
2022: b¨ΑÙêÞæ«ËÄΑËÄΑϏαËÃÃÚϐ
2023:Αb¨ΑÙêÞæ«ËÄÞΑËÄΑæ¨Α×ËÚæÞΑλ¨õ«Ä£ΑÄΑÄ£½ΑË¢ΑËÄËÃ«Α£Ë£Ú×¨üμΡΑ[͌«ΡΑϏÞæ«½«æüΑÄΑ£ÚËöæ¨Α
×æΠ
Vikaspedia and Arthapedia are hidden gemsΑ ÄΑ ËÃ×ÄÞæΑ ¢ËÚΑ æ¨Α Ã«ÞÞ«Ä£Α «Ä¢ËÚÃæ«ËÄΑ «ÄΑ æ¨Α
BWbΑËËºÞΠΑ(ËöõÚΡÚæ«ÄΑÄêÃÚ«½Α¢æÞΑÞ¨Ëê½ΑΑÚËÞÞα¨ºΑ«ÄΑÞΑæ¨ËÞΑÚΑ¢ËêÄΑæËΑΑ
Ë¢ΑË½ÚΑæÞΠ
09
DIFFICULTY LEVEL ANALYSIS

õÚüΑ üÚΡΑ «ÚÚÞ×æ«õΑ Ë¢Α ¨ËöΑ ÃÄüΑ êÄËÄõÄæ«ËÄ½Α ÄΑ «Ćê½æüΑ æ¨ÃÞΑ ¢æêÚΡΑ ËÄΑ ÄΑ õÚ£Α ͍͉Α
×ÚÄæΑË¢Αæ¨ΑÙêÞæ«ËÄÞΑ¨õΑ½öüÞΑÄΑ[xΠΑÄËæ¨ÚΑ͉͌α͍͉Α×ÚÄæΑÙêÞæ«ËÄÞΑÚΑË¢ΑAHWbΑHWΑ
A+fAΑ½õ½ΑÄΑËÄ½üΑ͌α͍ΑÙêÞæ«ËÄÞΑÚΑ+""+f;bΠ
DIFFICULTY LEVEL DISTRIBUTION
YEAR NO. OF QUESTIONS EASY MEDIUM DIFFICULT

͉͋͊͐ ͎͋ 9 ͍͊ ͋
͉͋͊͑ ͉͋ ͑ 9 3
͉͋͊͒ ͋͌ ͑ 7 ͑
͉͉͋͋ ͉͋ ͑ ͑ 4
͉͋͋͊ ͎͊ 7 6 ͋
͉͋͋͋ ͍͊ ͎ 6 3
͉͋͋͌ ͊͑ ͑ 7 3
10
OVERALL OBSERVATIONS
õÚüΑüÚΡΑËÄΑÄΑõÚ£ΡΑ͊͑α͉͋ΑÙêÞæ«ËÄÞΑÚΑÞºΑ¢ÚËÃΑæ¨ΑËÄËÃ«ÞΑÞæ«ËÄΠΑrΑ½ÞÞ«¢üΑ
ÞËÃΑË¢Αæ¨ΑÙêÞæ«ËÄÞΑêÄÚΑêÚÚÄæΑą«ÚÞΑλ¨ÄΑæ¨ΑÄêÃÚΑ××ÚÞΑÞ½«£¨æ½üΑ½ËöμΠ
60 percent of the questions asked in the 7 YEARS (2017-2023) have been from the Macro-
economics sectionsΑ λ£Ë«Ä£Α üΑ æ¨Α BWbΑ ½ÞÞ«Ĉæ«ËÄμΑ ËÃ×Ú«Þ«Ä£Α æ¨Α ûæÚÄ½Α [æËÚΡΑ
AËÄüΑ[ê××½üΑÄΑ Äº«Ä£ΑÞæ«ËÄÞΠΑ
Úæ«ÄΑæ¨ÃÞΑ¨õΑÄΑ¨«£¨½üΑÚêÚÚ«Ä£Α½«ºΑTüÃÄæΑËÞüÞæÃÞΑλËÚΑ«£«æ½Α"«ÄÄμΠΑ+ÄΑ
͉͋͊͐ΡΑ ͋Α ÙêÞæ«ËÄÞΑ öÚΑ ÞºΑ ¢ÚËÃΑ æ¨æΑ Þæ«ËÄΡΑ ͌Α öÚΑ ÞºΑ «ÄΑ ͉͋͊͑Α ÄΑ ͊Α «ÄΑ ͉͋͊͒ΠΑ b¨Α
ÚÞËÄΑöÞΑ½ÚΡΑæ¨Αdemonetisation-led growth in the sector of Digital Finance made it a
×Ë×ê½ÚΑæ¨ÃΠ
b¨ΑÙêÞæ«ËÄÞΑ¢ÚËÃΑ+Ä«ÄΑËÄËÃüΑλ£Ë«Ä£ΑüΑæ¨ΑBWbΑ½ÞÞ«Ĉæ«ËÄμΑ¨õΑÄΑÙê½½üΑ
ÚÞËÄ½Α«ÄΑÄêÃÚΠΑSo far, Indian Agriculture has been the dominating section. ͉͋͋͊Α
ÄΑ͉͋͋͋Α¨õΑÄΑÚÚæ«ËÄÞΑæ¨Ëê£¨ΑÞΑ«ÄΑæ¨ËÞΑæöËΑüÚÞΑæ¨ÚΑöÚΑÄËΑËÄËÃ«ÞΑÙêÞα
æ«ËÄÞΑÞΑËÄΑ+Ä«ÄΑ£Ú«ê½æêÚΠ
+ÄΑ£Ú«ê½æêÚΡ Minimum Support Price (MSP) ¨ÞΑÄΑΑõÚüΑÚêÚÚ«Ä£Αæ¨ÃΠΑ+ÄΑ͉͉͋͋Α«æÞ½¢ΡΑ

ÞΑ ÃÄüΑ ͌Α ÙêÞæ«ËÄÞΑ λÚ½æΑæËΑ A[TÞΑ «ÄΑõÚü«Ä£Α £ÚÞμΑöÚΑ ÞºΠΑb¨Α ÄûæΑ «Ã×ËÚæÄæΑ
ÞêαÞæ«ËÄΑ¨ÞΑÄΑ£Ú«ê½æêÚ½ΑbÚΠΑ
b¨ÚΑ½ÞËΑ¨õΑÄΑÚ×æ«æ«ËÄΑË¢ΑÙêÞæ«ËÄÞΑö«æ¨ËêæΑÄüΑ«ËæΑË¢Α¨Ä£ΠΑ+ÄΑ͉͋͊͒ΑÄΑ͉͋͋͊ΡΑ
æ¨ΑÞÃΑÙêÞæ«ËÄΑöÞΑÞºΠ
½ÞËΡΑ ÄºΑ ËÚΑ êÚêΑ¨ÞΑÄΑΑÚêÚÚ«Ä£Αæ¨ÃΠ
A«ÚËËÄËÃ«ÞΑÞæ«ËÄΑ¨ÞΑÄΑ«£ÄËÚΡΑêæΑæ¨æΑËÞΑÄËæΑÃÄΡΑfT[Α¨ÞΑÄËÄΑ«æΑ
¢ËÚõÚΠΑ+ÄΑæ¨Α͐ΑüÚÞΡΑËÄ½üΑ͋ΑÙêÞæ«ËÄÞΑ¨õΑ¢æêÚΠ
fT[Α «ÞΑ ½ÞËΑ £Ë«Ä£Α üËÄΑ æ¨Α ËÄõÄæ«ËÄ½Α ËÃ«ÄΠΑ Α ¢öΑ ÙêÞæ«ËÄÞΑ ¢ÚËÃΑ Accountancy
¨õΑ½ÞËΑ¢æêÚΣΑΠ£ΠΑÚ½æΑæËΑ×«æ½έÚõÄêΑË¢ΑĈÚÃÞΡΑÄ ‘cyber insurance.’
æöÄΑ ͉͋͊͐Α ÄΑ ͉͋͋͌ΡΑ ÞËΑ¢ÚΑ ͋Α ÙêÞæ«ËÄÞΑ¢ÚËÃΑ ËÄËÃ«ÞΑ ¨õΑ ÄΑ ÚË××ΠΑb¨ΑĈÚÞæΑ
ÙêÞæ«ËÄΑöÞΑ¢ÚËÃΑ͉͉͋͋ΑλÞΑËÄΑæ¨Α+ÄæÚÄæ«ËÄ½ΑbÚΑË¢Α+Ä«μΑÄΑæ¨ΑÞËÄΑËÄΑöÞΑ
¢ÚËÃΑ͉͋͋͋Αλ×«æ½Α"½«£¨æμΠ
11
ADVICE FOR STUDENTS
fÄËêæ½üΡΑËÄËÃ«ÞΑ«ÞΑËÄΑË¢Αæ¨ΑÃËÞæΑ«Ã×ËÚæÄæΑÞê¶æÞΑ¢ÚËÃΑæ¨ΑΑfT[Α[Α
TÚ½«ÃÞΑ×Ë«ÄæΑË¢Αõ«öΠ
+æΑÚÙê«ÚÞΑΑæ¨ËÚËê£¨Α×Ú×Úæ«ËÄΠΑÞΑæ¨ΑÚÄ£ΑË¢Αæ¨ÃÞΑËõÚΑ«ÞΑõÚüΑö«ΑÄΑ
«õÚÞΡΑ ÞæêÄæÞΑ ÚΑ õ«ÞΑ æËΑ ÄËæΑ £æΑ ËõÚö¨½ÃΑ ÄΑ ½öüÞΑ æºΑ ÞæüΑ
üαÞæ×ÞΠΑ
½öüÞΑÞæÚæΑö«æ¨Αæ¨ΑBWbΑËËºÞΑλ½ÞÞΑ͊͊ΑÄΑ͊͋μΠΑ+¢ΑËÄΑöÄæÞΑæËΑÞæÚæΑ¢ÚËÃΑÄΑ
õÄΑÃËÚΑÞ«Α½õ½ΡΑæ¨ÄΑ½ÞÞΑ͒ΑËËºÞΑÚΑΑ£ËËΑË×æ«ËÄΠ
#Úê½½üΑÄöÞ××ÚΑÚ«Ä£ΑÄΑΑÞæÚæΠΑHÄ½üΑÞ¢æÚΑÚõ«Þ«Ä£ΑÄΑêÄÚÞæÄ«Ä£Α
æ¨ΑÞ«ΑËÄ×æÞΑË¢ΑÃÚËËÄËÃ«ÞΡΑËÄΑÄΑËÃ×Ú¨ÄΑæ¨ΑæÚ¶æËÚüΑË¢Αæ¨Α
+Ä«ÄΑËÄËÃüΠ
bÚüΑæËΑÞæ«ºΑæËΑËÄΑÞæÄÚΑÄöÞ××ÚΑλæ¨Α¨Ë«Α«ÞΑüËêÚÞμ
½öüÞΑÚΑæ¨ΑfÄ«ËÄΑ ê£æΑæÚÄÞÚ«×æΑÄΑæ¨ΑËÄËÃ«Α[êÚõüΑÚ½ÞΑæ¨æΑüÚΠ
ÄΑÃËÞæΑ«Ã×ËÚæÄæ½üΑÞê××½ÃÄæΑüËêÚΑ×Ú×Úæ«ËÄΑüΑæº«Ä£ΑÚ£ê½ÚΑÃËºΑæÞæÞΠ
Have Faith in Yourself and Study Well!

12
MACROECONOMICS
NATIONAL INCOME ACCOUNTING
(3 Questions)
Year 2018 GROSS NATIONAL PRODUCT (GNP)
Q1. Increase in absolute and per capital real GNP do NOT connote a higher level of economic
development, if
λμΑ«ÄêÞæÚ«½ΑËêæ×êæΑ¢«½ÞΑæËΑº×Α×Αö«æ¨Α£Ú«ê½æêÚ½ΑËêæ×êæΠΑ
λμΑ£Ú«ê½æêÚ½ΑËêæ×êæΑ¢«½ÞΑæËΑº×Α×Αö«æ¨Α«ÄêÞæÚ«½ΑËêæ×êæΠΑ
λμΑ×ËõÚæüΑÄΑêÄÃ×½ËüÃÄæΑ«ÄÚÞΠΑ
λμΑ«Ã×ËÚæÞΑ£ÚËöΑ¢ÞæÚΑæ¨ÄΑû×ËÚæÞΠ
ANSWERS C
EXPLANATION
An essential aspect of development is to enable the maximum number to experience the fruits of
development. ËÄ×æÞΑË¢Α×ÚΑ×«æΑ«ÄËÃΑλ×ÚΑ×«æΑ#TΑËÚΑ×ÚΑ×«æΑB[TμΑÚΑÄËæΑ½ΑæËΑ×æêÚΑ
æ¨«ÞΑ Þ×æΑ Ë¢Α õ½Ë×ÃÄæΠΑb¨ÚΑ ÃüΑ Α Α ÞΑö¨Ú«ÄΑ «ÄÚÞΑ «ÄΑ ÞË½êæΑ ÄΑ ×ÚΑ ×«æΑ #BTΑ «ÞΑ
Úĉæ«õΑË¢Α£ÚËöæ¨Α«ÄΑ«ÄËÃΑË¢ΑΑÞÃ½½ΑÞæ«ËÄΑË¢ΑÞË«æüΑÄΑæ¨æΑÃ¶ËÚ«æüΑË¢Αæ¨Α×Ë×ê½æ«ËÄΑ«ÞΑ×ËõÚæüΑ
ÞæÚ«ºÄΑÄΑêÄÃ×½ËüΠΑAê½æ«Α«ÃÄÞ«ËÄ½ΑÄËÄαÃËÄæÚüΑÞË«½Α«Ä«æËÚÞΑ(like poverty or prosperity
and employment or unemployment)Α ÚΑ ææÚΑ ÚĉæËÚÞΑ Ë¢Α ËõÚ½½Α ËÄËÃ«Α õ½Ë×ÃÄæΑ «ÄΑ æ¨Α
ÞË«æüΠΑHence option (c) is the correct answer.
ANALYSIS:
ANALYSIS:
Scope for elimination

ÞΑ ÄΑ Α ÞÄΡΑ Ë×æ«ËÄΑ λμΑ «ÞΑ æ¨Α ËÄ½üΑ Ë×æ«ËÄΑ ö¨«¨Α æ½ºÞΑ
ËêæΑ Ùê½«ææ«õΑ £ÚËöæ¨Α λ×Ë×ê½æ«ËÄΑ ÄĈææ«Ä£Α êΑ æËΑ
£ÚËöæ¨μΠΑ½½ΑËæ¨ÚΑË×æ«ËÄÞΑÚΑÚ½æΑæËΑÙêÄæ«ææ«õΑ£ÚËöæ¨ΠΑ
b¨«ÞΑ ÙêÞæ«ËÄΑ Ëê½Α ¨õΑ ÄΑ Þ«½üΑ ÄÞöÚΑ êÞ«Ä£Α æ¨Α

ºÄËö½£Α¢ÚËÃΑæ¨ΑAÚËËÄËÃ«ÞΑλBWbΑ½ÞÞΑ͊͋μΑËËºΑ
ûÚ×æΑ¢ÚËÃΑBWb
ÄΑæ¨Α+Ä«ÄΑËÄËÃ«Αõ½Ë×ÃÄæΑλBWbΑ½ÞÞΑ͊͊μΠΑb¨Α
(êÃÄΑ#Ë£Ú×¨üΑλBWbΑ½ÞÞΑ͊͋μΑ½ÞËΑ«ąÚÄæ«æÞΑö½½Α
æöÄΑϏõË½×ÃÄæϐΑÄΑϏ#ÚËöæ¨ϐ
13
SOURCE : Indian Economic Development (NCERT Class 11), Human Geography (NCERT Class 12)
Additional Information
Gross National Product (GNP)Α«ÞΑΑÃÞêÚΑË¢Αæ¨ΑæËæ½ΑËÄËÃ«ΑËêæ×êæΑ×ÚËêΑüΑæ¨Α
ÚÞ«ÄæÞΑË¢ΑΑËêÄæÚüΡΑËæ¨Αö«æ¨«ÄΑ«æÞΑËÚÚÞΑÄΑÚËΡΑêÚ«Ä£ΑΑÞ×«ĈΑæ«ÃΑ×Ú«ËΠ
Gross Domestic Product: +æΑ«ÞΑæ¨ΑÃËÄæÚüΑõ½êΑË¢Α½½ΑĈÄ½Α£ËËÞΑϞΑÞÚõ«ÞΑ×ÚËêΑ
«ÄÞ«Αæ¨ΑËÃÞæ«ΑæÚÚ«æËÚüΑË¢ΑΑËêÄæÚüΑêÚ«Ä£ΑËÄΑĈÄÄ«½ΑüÚΑËÚΑΑÙêÚæÚΠ
Net Domestic Product (NDP) «ÞΑÄΑÄÄê½ΑÃÞêÚΑË¢Αæ¨ΑËÄËÃ«ΑËêæ×êæΑË¢ΑΑÄæ«ËÄΑ
æ¨æΑ«ÞΑ¶êÞæΑæËΑËêÄæΑ¢ËÚΑ×Ú«æ«ËÄΡΑ½ê½æΑüΑÞêæÚæ«Ä£Α×Ú«æ«ËÄΑ¢ÚËÃΑæ¨Α£ÚËÞÞΑËÃÞα
æ«Α×ÚËêæΑλ#TμΠΑBTϽΑ#Tα×Ú«æ«ËÄ
Net National Product at Market Price (NNP)Α«ÞΑæ¨ΑæËæ½ΑÃËÄüΑõ½êΑË¢Α½½Αæ¨ΑĈÄ½Α£ËËÞΑÄΑÞÚõ«ÞΑ
û½ê«Ä£Α×Ú«æ«ËÄΡΑö¨«¨Α«ÞΑæ¨ΑËÄÞêÃ×æ«ËÄΑË¢ΑĈûΑ×«æ½ΠΑb¨êÞΑBBTΑϽΑ#BTΑγΑ×Ú«æ«ËÄ
National income = BæΑBæ«ËÄ½ΑTÚËêæΑæΑ¢æËÚΑËÞæΑϽΑBæΑBæ«ËÄ½ΑTÚËêæΑæΑÃÚºæΑ×Ú«ΑγΑ+Ä«ÚæΑ
æûÞΑϹΑ[êÞ««ÞΠ
Year 2018 CAPITAL FORMATION
V͋ΠΑÞ×«æΑ«Ä£ΑΑ¨«£¨ΑÞõ«Ä£ΑËÄËÃüΡΑ×«æ½Α¢ËÚÃæ«ËÄΑÃüΑÄËæΑÚÞê½æΑ«ÄΑÞ«£Ä«ĈÄæΑ«ÄÚÞΑ«ÄΑ
output due to
λμΑöºΑÃ«Ä«ÞæÚæ«õΑÃ¨«ÄÚüΑ
λμΑ«½½«æÚüΑ
λμΑ¨«£¨Α×Ë×ê½æ«ËÄΑÄÞ«æü
ΑλμΑ¨«£¨Α×«æ½αËêæ×êæΑÚæ«Ë
ANSWERS D
EXPLANATION
×«æ½Α¢ËÚÃæ«ËÄΑÃÄÞΑ«ÄÚÞ«Ä£Αæ¨ΑÞæËºΑË¢ΑÚ½Α×«æ½Α«ÄΑΑËêÄæÚüΠΑ+ÄΑËæ¨ÚΑöËÚÞΡΑ×«æ½Α¢ËÚÃæ«ËÄΑ
«ÄõË½õÞΑÃº«Ä£ΑË¢ΑÃËÚΑ×«æ½Α£ËËÞΑÞê¨ΑÞΑÃ¨«ÄÞΡΑæËË½ÞΡΑ¢æËÚ«ÞΡΑæÚÄÞ×ËÚæΑÙê«×ÃÄæΡΑÃæÚ«½ÞΡΑ
½æÚ««æüΡΑæΠΡΑö¨«¨ΑÚΑ½½ΑêÞΑ¢ËÚΑ¢êæêÚΑ×ÚËêæ«ËÄΑË¢Α£ËËÞΠΑ"ËÚΑÃº«Ä£Α«æ«ËÄÞΑæËΑæ¨ΑÞæËºΑË¢Α
×«æ½ΡΑ Þõ«Ä£Α ÄΑ «ÄõÞæÃÄæΑ ÚΑ ÞÞÄæ«½ΠΑ ×«æ½Α Ëêæ×êæΑ Úæ«ËΑ «ÞΑ æ¨Α ÃËêÄæΑ Ë¢Α ×«æ½Α ÄΑ æËΑ
×ÚËêΑËÄΑêÄ«æΑË¢ΑËêæ×êæΠΑ
"ËÚΑ ûÃ×½ΡΑ Þê××ËÞΑæ¨æΑ «ÄõÞæÃÄæΑ «ÄΑ ÄΑ ËÄËÃüΡΑ «ÄõÞæÃÄæΑ «ÞΑ ͌͋АΑ λË¢Α #TμΡΑ ÄΑæ¨Α ËÄËÃ«Α
£ÚËöæ¨ΑËÚÚÞ×ËÄ«Ä£ΑæËΑæ¨«ÞΑ½õ½ΑË¢Α«ÄõÞæÃÄæΑ«ÞΑ͑АΠΑ(ÚΡΑΑWÞΑ͌͋Α«ÄõÞæÃÄæΑ×ÚËêÞΑÄΑËêæ×êæΑË¢Α
WÞΑ͑ΠΑ×«æ½ΑËêæ×êæΑÚæ«ËΑ«ÞΑ͌͋έ͑ΑËÚΑ͍ΠΑ+ÄΑËæ¨ÚΑöËÚÞΡΑæËΑ×ÚËêΑËÄΑêÄ«æΑË¢ΑËêæ×êæΡΑ͍ΑêÄ«æΑË¢Α×«æ½Α«ÞΑ
ÄΠΑ (ÄΡΑ «¢Α æ¨Α ×«æ½αËêæ×êæΑ Úæ«ËΑ «ÞΑ ¨«£¨ΡΑ æ¨ÚΑ ö«½½Α ÄËæΑ Α Þ«£Ä«ĈÄæΑ «ÄÚÞΑ «ÄΑ Ëêæ×êæΑ
despite high savings and investment.
14
ANALYSIS:
ANALYSIS:
Scope for Elimination: H¢Α½½Αæ¨Α¢ËêÚΑË×æ«ËÄÞΑ«ÄΑæ¨ΑÙêÞæ«ËÄΡ only option (d) as a proper mathematical
relationship with capital formation. b¨ΑËæ¨ÚΑË×æ«ËÄÞΑÃüΑ¨õΑÄΑąæΡΑêæΑæ¨ΑÞÃΑÄÄËæΑΑÙêÄα
æ«ĈΑÞæ«Þ¢æËÚ«½üΡΑö¨ÚÞΑ×«æ½αËêæ×êæΑÚæ«ËÄΑÄΑΑû×ÚÞÞΑÃæ¨Ãæ«½½üΑÞΑ×«æ½έHêæ×êæΠΑ+¢Α
¢ËÚΑæ¨ΑÞÃΑ×«æ½ΑλÄêÃÚæËÚμΡΑËêæ×êæΑλÄËÃ«ÄæËÚμΑ«ÞΑ¨«£¨ÚΡΑæ¨ÄΑ×«æ½αËêæ×êæΑö«½½ΑΑ½ËöΠΑb¨êÞΡΑΑ
½ËöΑ×«æ½αËêæ×êæΑÚæ«ËΑ«ÞΑÞ«Ú½Π
SOURCE : : Business Studies (NCERT Class 12)
Please Note:
õÄΑ æ¨Ëê£¨Α Α Þ«Α ËÄ×æΡΑ «æΑ «ÞΑ ÄËæΑ «Úæ½üΑ ËõÚΑ «ÄΑ æ¨Α BWbΑ AÚËËÄËÃ«ÞΑ ËËºΑ
λ½ÞÞΑ͊͋μΡΑæ¨ΑËÄ×æΑ«ÞΑû×½«ÄΑ«ÄΑΑ¨×æÚΑ«ÄΑæ¨ΑBWbΑ êÞ«ÄÞÞΑ[æê«ÞΑËËºΑλ½ÞÞΑ͊͋μΠΑ+¢Α
æ«ÃΑ ×ÚÃ«æÞΑõÚüΑ Þ½æΑ ×ËÚæ«ËÄÞΑ Ë¢Αæ¨Α BWbΑ ½ÞÞΑ ͊͋Α êÞ«ÄÞÞΑ [æê«ÞΑ ¨×æÚÞΑ ÄΑ Α
ÚΠΑE.g. Chapter 13 of the Class 12 Business StudiesΑû×½«ÄÞΑæ¨ΑËÄ×æΑË¢Α×«æ½ΑHêæ×êæΑ
Wæ«ËΑÄΑ+HWΑλ+ÄÚÃÄæ½Α×«æ½ΑHêæ×êæΑWæ«Ëμ
Incremental Capital Output Ratio (ICOR) «ÞΑ Α ÃæÚ«Α æ¨æΑ ÞÞÞÞÞΑ æ¨Α ÃÚ£«Ä½Α
ÃËêÄæΑË¢Α«ÄõÞæÃÄæΑ×«æ½ΑÄÞÞÚüΑ¢ËÚΑΑËêÄæÚüΑËÚΑËæ¨ÚΑÄæ«æüΑæËΑ£ÄÚæΑæ¨Α
ÄûæΑêÄ«æΑË¢Α×ÚËêæ«ËÄΠΑ
Α½ËöÚΑ+HWΑ«ÞΑ×Ú¢ÚÚΑÞΑ«æΑ«Ä«æÞΑΑËêÄæÚüϖÞΑ×ÚËêæ«ËÄΑ«ÞΑÃËÚΑĆ«ÄæΠΑHõÚ½½ΡΑ
Α¨«£¨ÚΑ+HWΑõ½êΑ«ÞΑÄËæΑ×Ú¢ÚÚΑêÞΑ«æΑ«Ä«æÞΑæ¨æΑæ¨ΑÄæ«æüϖÞΑ×ÚËêæ«ËÄΑ«ÞΑ
«ÄĆ«ÄæΠΑ b¨Α ÃÞêÚΑ «ÞΑ êÞΑ ×ÚËÃ«ÄÄæ½üΑ «ÄΑ æÚÃ«Ä«Ä£Α Α ËêÄæÚüϖÞΑ ½õ½Α Ë¢Α
×ÚËêæ«ËÄΑĆ«ÄüΠ
Year 2022 REAL SECTOR
Q3. Which of the following activities constitute real sector in the economy?
͊ΠΑ"ÚÃÚÞΑ¨ÚõÞæ«Ä£Αæ¨«ÚΑÚË×Þ
͋ΠΑbûæ«½ΑÃ«½½ÞΑËÄõÚæ«Ä£ΑÚöΑËææËÄΑ«ÄæËΑ¢Ú«Þ
͌ΠΑΑËÃÃÚ«½ΑÄºΑ½Ä«Ä£ΑÃËÄüΑæËΑΑæÚ«Ä£ΑËÃ×Äü
͍ΠΑΑËÚ×ËÚæΑËüΑ«ÞÞê«Ä£ΑWê×ΑÄËÃ«ÄæΑ ËÄÞΑËõÚÞÞ
[½æΑæ¨ΑËÚÚæΑÄÞöÚΑêÞ«Ä£Αæ¨ΑËΑ£«õÄΑ½Ëö΢
λμΑ͊ΑÄΑ͋ΑËÄ½ü
λμΑ͋ΡΑ͌ΑÄΑ͍ΑËÄ½ü
λμΑ͊ΡΑ͌ΑÄΑ͍ΑËÄ½ü
λμΑ͊ΡΑ͋ΡΑ͌ΑÄΑ͍
ANSWERS A
15
EXPLANATION
b¨ΑÚ½ΑÞæËÚΑË¢ΑÄΑËÄËÃüΑ«ÞΑæ¨ΑºüΑÞæ«ËÄΑÞΑæ«õ«æ«ÞΑË¢Αæ¨«ÞΑÞæËÚΑ×ÚÞêΑËÄËÃ«ΑËêæ×êæΑÄΑ
«ÞΑÚ×ÚÞÄæΑüΑæ¨ËÞΑËÄËÃ«ΑÞ£ÃÄæÞΑæ¨æΑÚΑÞÞÄæ«½Α¢ËÚΑæ¨Α×ÚË£ÚÞÞΑË¢Α#TΑË¢Αæ¨ΑËÄËÃüΠΑ
"ËÚΑ «ÄÞæÄΡΑ¢ÚÃÚÞΑ ¨ÚõÚÞæ«Ä£Αæ¨«ÚΑ ÚË×ÞΑ ËÚΑæûæ«½Α Ã«½½ÞΑ ËÄõÚæ«Ä£Α ÚöΑ ËææËÄΑ «ÄæËΑ¢Ú«ÞΑ ÄÞêÚΑ
«ÄÚÞΑË¢ΑËÄËÃ«ΑËêæ×êæΑÄΑ«ÄΑæêÚÄΑ×ÚË£ÚÞÞΑË¢Α#TΠΑb¨ΑÞæËÚΑ«ÞΑÚê«½Α¢ËÚΑæ¨ΑÞêÞæ«Ä«½«æüΑË¢Αæ¨Α
ËÄËÃüΑêÞΑË¢Α«æÞΑ×ÚËêæ«õΑ×«½«æüΑæËΑÃæΑÄæ«ËÄÞϐΑ££Ú£æΑÃÄΠ Hence options 1 and
2 are correct.
HÄΑ Ëæ¨ÚΑ ¨ÄΡΑæ¨ΑĈÄÄ«½Α ÞæËÚΑ «ÞΑ Α Þæ«ËÄΑ Ë¢Αæ¨Α ËÄËÃüΑ ÃΑ ê×Α Ë¢ΑĈÚÃÞΑ ÄΑ «ÄÞæ«æêæ«ËÄÞΑæ¨æΑ
×ÚËõ«Α ĈÄÄ«½Α ÞÚõ«ÞΑ æËΑ ËÃÃÚ«½Α ÄΑ Úæ«½Α êÞæËÃÚÞΠΑ b¨Α ĈÄÄ«½Α ÞæËÚΑ £ÄÚæÞΑ Α £ËËΑ
×ËÚæ«ËÄΑË¢Α«æÞΑÚõÄêΑ¢ÚËÃΑ½ËÄÞΑÄΑÃËÚæ££ÞΠΑb¨«ÞΑÞæËÚΑËÃ×Ú«ÞÞΑΑÚËΑÚÄ£ΑË¢Α«ÄêÞæÚ«ÞΑ«Ä½êα
«Ä£ΑÄºÞΡΑ«ÄõÞæÃÄæΑËÃ×Ä«ÞΡΑ«ÄÞêÚÄΑËÃ×Ä«ÞΡΑÄΑÚ½ΑÞææΑĈÚÃÞΠΑb¨êÞΡΑΑËÃÃÚ«½ΑÄºΑ
½Ä«Ä£Α ÃËÄüΑ æËΑ Α æÚ«Ä£Α ËÃ×ÄüΑ ËÚΑ Α ËÚ×ËÚæΑ ËüΑ «ÞÞê«Ä£Α Úê×Α ÄËÃ«ÄæΑ ËÄÞΑ ËõÚÞÞΑ
ËÄÞæ«æêæΑ ĈÄÄ«½Α ÞæËÚΑ æ«õ«æ«ÞΑ ÄΑ ÄËæΑ Ú½Α ÞæËÚΑ æ«õ«æ«ÞΠΑ Hence options 3 and 4 are not
correct.
ANALYSIS:

ΑËÃÃÚ«½ΑÄºΑ½Ä«Ä£ΑÃËÄüΑæËΑΑæÚ«Ä£ΑËÃ×ÄüΑÄΑΑËÚ×ËÚæΑËüΑ«ÞÞê«Ä£ΑWê×ΑÄËÃ«Äæα
Α ËÄÞΑËõÚÞÞΡΑΑæ¨ÞΑÚΑĈÄÄ«½Αæ«õ«æ«ÞΑÄΑÄËæΑÚ½ΡΑÞËΑ«¢ΑöΑ½«Ã«ÄæΑ͌ΑÄΑ͍ΡΑöΑÚΑ½¢æΑö«æ¨Α
Ë×æ«ËÄÞΑ͊ΑÄΑ͋ΠΑ+ÄΑÞê¨ΑÙêÞæ«ËÄÞΡΑËÄΑÞ¨Ëê½ΑæÚüΑæËΑĈÄΑÞ«Ã«½ÚΑË×æ«ËÄÞΑλ×êæΑæ¨ÃΑæË£æ¨ÚμΑÄΑæ¨ÄΑÞ×α
ÚæΑ¢ÚËÃΑ«ÞÞ«Ã«½ÚΑË×æ«ËÄÞΠΑ;Ë£«½½üΡΑ½½Αæ¨Α¢ËêÚΑË×æ«ËÄÞΑÄÄËæΑΑËÚÚæΑæË£æ¨ÚΠ
SOURCE : ¨ææ×Þ΢έέöööΠ«ÄõÞæË×«ΠËÃέæÚÃÞέ¢έĈÄÄ«½εÞæËÚΠÞ×
https://www.imf.org/external/region/tlm/rr/pdf/Jan1.pdf
16
MONEY AND MONEY SUPPLY

(6 Questions)
Year 2022 TYPES OF MONEY
Q1. Which one of the following statements correctly describes the meaning of legal tender money?
(a) The money which is tendered in courts of law to defray the fee of legal cases
(b) The money which a creditor is under compulsion to accept in settlement of his claims
(c) The bank money in the form of cheques, drafts, bills of exchange etc.
(d) The metallic money in circulation in a country
ANSWERS B
EXPLANATION
;£½ΑæÄÚΑ«ÞΑÄüΑËĆ«½ΑÃ«êÃΑË¢Α×üÃÄæΑÚË£Ä«āΑüΑ½öΑæ¨æΑÄΑΑêÞΑæËΑûæ«Ä£ê«Þ¨ΑΑ×ê½«Α
ËÚΑ×Ú«õæΑæΡΑËÚΑÃæΑΑĈÄÄ«½ΑË½«£æ«ËÄΠΑΑÚ«æËÚΑ«ÞΑË½«£æΑæËΑ×æΑ½£½ΑæÄÚΑæËöÚΑÚ×üα
ÃÄæΑË¢ΑΑæΠΑ;£½ΑæÄÚΑÄΑËÄ½üΑΑ«ÞÞêΑüΑæ¨ΑÄæ«ËÄ½ΑËüΑæ¨æΑ«ÞΑêæ¨ËÚ«āΑæËΑËΑÞËΠΑLegal
tenders cannot be refused by any citizen of the country for settlement of any kind of transaction.
¨ÙêÞΑ ÚöÄΑ ËÄΑ Þõ«Ä£ÞΑ ËÚΑ êÚÚÄæΑ ËêÄæÞΡΑ ¨ËöõÚΡΑ ÄΑ Α Ú¢êÞΑ üΑ ÄüËÄΑ ÞΑ Α ÃËΑ Ë¢Α
×üÃÄæΠΑ(ÄΡΑÃÄΑ×ËÞ«æÞΑÚΑÄËæΑ½£½ΑæÄÚÞΠ Hence option (b) is the correct answer.
ANALYSIS:
SOURCE : Macroeconomics (NCERT: Class 12)
17
Year
Year2019
2019 MONEY MULTIPLIER
Q2. The money multiplier in an economy increases with which one of the following?
λμΑ+ÄÚÞΑ«ÄΑæ¨ΑÞ¨ΑÚÞÚõΑÚæ«Ë
λμΑ+ÄÚÞΑ«ÄΑæ¨ΑÄº«Ä£Α¨«æΑË¢Αæ¨Α×Ë×ê½æ«ËÄ
λμΑ+ÄÚÞΑ«ÄΑæ¨ΑÞææêæËÚüΑ½«Ùê««æüΑÚæ«Ë
λμΑ+ÄÚÞΑ«ÄΑæ¨Α×Ë×ê½æ«ËÄΑË¢Αæ¨ΑËêÄæÚü
ANSWERS B
EXPLANATION
C
AËÄüΑAê½æ«×½«ÚΑ«ÞΑæ¨ΑÚæ«ËΑË¢Αæ¨ΑÞæËºΑË¢ΑÃËÄüΑæËΑæ¨ΑÞæËºΑË¢Α¨«£¨Α×ËöÚΑÃËÄüΠΑ+æΑ«ÞΑæ¨ΑÚ½æ«ËÄÞ¨«×Α
æöÄΑæ¨ΑÃËÄæÚüΑÞΑÄΑÃËÄüΑÞê××½üΑË¢ΑÄΑËÄËÃüΠΑ+æΑû×½«ÄÞΑæ¨Α«ÄÚÞΑ«ÄΑæ¨ΑÃËêÄæΑË¢Α
Þ¨Α«ÄΑ«Úê½æ«ËÄΑ£ÄÚæΑüΑæ¨ΑÄºÞϖΑ«½«æüΑæËΑ½ÄΑÃËÄüΑËêæΑË¢Αæ¨«ÚΑ×ËÞ«æËÚÞϖΑ¢êÄÞΠΑb¨Ú¢ËÚΡΑ«æΑ
Ú¢ÚÞΑæËΑ¨ËöΑÄΑ«Ä«æ«½Α×ËÞ«æΑÄΑ½ΑæËΑΑ«££ÚΑĈÄ½Α«ÄÚÞΑ«ÄΑæ¨ΑæËæ½ΑÃËÄüΑÞê××½üΠ
"ËÚΑûÃ×½ΡΑ«¢Αæ¨ΑËÃÃÚ«½ΑÄºÞΑ£«ÄΑ×ËÞ«æÞΑË¢ΑWÞ͊Α;º¨ΑÄΑæ¨«ÞΑ½ÞΑæËΑΑĈÄ½ΑÃËÄüΑÞê××½üΑË¢ΑWÞΑ
͉͊Α½º¨ΠΑb¨ΑÃËÄüΑÃê½æ«×½«ÚΑ«ÞΑ͉͊ΠΑb¨Ú¢ËÚΡΑ«ÄÚÞΑ«ÄΑÄº«Ä£Α¨«æΑË¢Αæ¨Α×Ë×ê½æ«ËÄΑöËê½Α½ΑæËΑ
ÃËÚΑ×ËÞ«æÞΑÄΑ¨ÄΑ«ÄÚÞΑ«ÄΑAËÄüΑAê½æ«×½«ÚΠΑHence (b) is the correct answer.
ANALYSIS:
ANALYSIS:
+æΑ«ÞΑΑÚêÚÚ«Ä£Αæ¨ÃΑÄΑæ¨«ÞΑ«ÞΑΑÞ«ΑËÄ×æΑÞæê«Α«ÄΑÃÚËËÄËÃ«ÞΑÄΑÄüËÄΑ××Ú«Ä£Α¢ËÚΑ
ûÃÞΑÞ¨Ëê½ΑΑËõÚ«Ä£Αæ¨«ÞΑæË×«Π
+ÄÚÞ«Ä£ΑWWΑÄΑ[;WΑö«½½ΑËõ«ËêÞ½üΑÚêΑæ¨ΑÃËÄüΑĉËöΑÄΑ«ÄÚÞ«Ä£Α×Ë×ê½æ«ËÄΑ¨ÞΑÄËΑ«Ã×æΑËÄΑ
æ¨ΑÃËÄüΑÃê½æ«×½«ÚΠ By this we can eliminate three options (a,c,d).
SOURCE : Macroeconomics (NCERT Class 12)

18
b¨ΑËõΑÞÚ«×æ«ËÄΑ¨ÞΑÄΑæºÄΑ¢ÚËÃΑÄΑÚæ«½Α¢ÚËÃΑæ¨ΑΑb«ÃÞΑË¢Α+Ä«
[ËêÚ΢Α¨ææ×Þ΢έέæ«ÃÞËĈÄ«Π«Ä«æ«ÃÞΠËÃέ½Ë£Þέæ¨αÃÚËα¢«Úέö¨æαÚ«õÞαÄαËÄËÃüαÃËÄüέ
Year
Year2020
2020 MONEY SUPPLY
Q3. If you withdraw Rs. 1,00,000 in cash from your Demand Deposit Account at your bank, the
«ÃÃ«æΑąæΑËÄΑ££Ú£æΑÃËÄüΑÞê××½üΑ«ÄΑæ¨ΑËÄËÃüΑö«½½ΑΑ
λμΑæËΑÚêΑ«æΑüΑWÞΠΑ͊Ρ͉͉Ρ͉͉͉Α
λμΑæËΑ«ÄÚÞΑ«æΑüΑWÞΠΑ͊Ρ͉͉Ρ͉͉͉Α
λμΑæËΑ«ÄÚÞΑ«æΑüΑÃËÚΑæ¨ÄΑWÞΠΑ͊Ρ͉͉Ρ͉͉͉Α
λμΑæËΑ½õΑ«æΑêÄ¨Ä£
ANSWERS D
EXPLANATION
b¨ÚΑÚΑ͍ΑËÄ×æÞΑË¢ΑÃËÄüΑÞê××½ü΢ΑA͊ΡΑA͋ΡΑA͌ΑÄΑA͍Α
A͊ΑϽΑΑϹΑΑϹΑHΑ
C Is the currency held by the public. (Public money means that money which is held by everybody other than the
government and the banks. It includes companies, general organisations, households. It does not include inter-bank
or government deposits in banks)
DD means net demand deposits with banks. ‘Net’ here indicates the deposits of only the public in banks.
OD means other deposits. These are the deposits with the RBI, held by certain individuals and institutions • Individu-
als - like the former governors of the RBI • institutions- like IMF deposits
A͌ΑϽΑA͊ΑϹΑbΑϽΑΑϹΑΑϹΑHΑϹΑbΑλ ÚËΑÃËÄüμΑϖbϖΑÃÄÞΑæ«ÃΑ×ËÞ«æÞΑ
A͌ΑÞ¨ËöÞΑæ¨ΑæËæ½Α×êÚ¨Þ«Ä£Α×ËöÚΑ«ÄΑæ¨ΑËÄËÃüΠΑTherefore, when we say money supply in general,
it means M3.
[ËΡΑÄËÚÃ½½üΡΑ«ÄΑÄöÞ××ÚÞΑæΠΑö¨ÄΑæ¨ΑöËÚΑÃËÄüΑÞê××½üΑ«ÞΑêÞΡΑ«æΑÃÄÞΑA͌Αλ[ËÃæ«ÃÞΡΑA͊Α«ÞΑ½ÞËΑ
êÞΑαΑÃÄ«Ä£Α͉͉͊АΑ½«Ùê«ΑÃËÄüΑαΑêæΑËõÚ½½ΑTTΑ«ÞΑÞ¨ËöÄΑüΑA͌μΑ
BËöΡΑ«ÄΑæ¨Α£«õÄΑÞΡΑö¨«½Αæ¨ΑϖϖΑËÃ×ËÄÄæΑö«½½Α¢½½ΑüΑWÞΠΑ͊Ρ͉͉Ρ͉͉͉ΡΑæ¨ΑϖϖΑËÃ×ËÄÄæΑö«½½Α«ÄÚÞΑ
üΑWÞΠΑ͊Ρ͉͉Ρ͉͉͉ΡΑæ¨ÚüΡΑ½õ«Ä£Αæ¨ΑÃËÄüΑÞê××½üΑêÄ¨Ä£ΠΑHence option (d) is the correct answer.
19
ANALYSIS:
ANALYSIS:
½æ¨Ëê£¨Αæ¨ÚΑ «ÞΑ ÄËΑ «ÚæΑ ÞË×Α¢ËÚΑ ½«Ã«Äæ«ËÄΡΑ «¢ΑöΑ ÄΑæËΑ ºÄËöΑæ¨æΑæº«Ä£Α ÃËÄüΑ¢ÚËÃΑ ÃÄΑ
×ËÞ«æΑ ËêÄæΑ λ¢ËÚΑ ûÃ×½Α γΑ Þõ«Ä£ÞΑ ËêÄæμΑö«½½Α ÄËæΑ ÚÞΑæ¨Α ÃËÄüΑ ¢ÚËÃΑæ¨Α ££Ú£æΑ ÃËÄüΑ
Þê××½üΑ«ÄΑæ¨ΑËÄËÃüΑÞΑ«æΑ¨ÞΑËÄ½üΑ¨Ä£Α¨ÄÞΑλ¢ÚËÃΑº×«Ä£Α«æΑö«æ¨Αæ¨ΑÄºΑæËΑæ¨Α×ËÞ«æËÚμΡΑæ¨Α
ÃËÄüΑ«ÞΑÞæ«½½Αæ¨ÚΑ«ÄΑæ¨ΑËÄËÃüΑλ«ÃÃ«æΑąæμΠΑ(ÄΡΑΑ£ÄÚ½Α«ΑËê½Α¨õΑ¨½×ΑæËËΑæËΑ
ÄÞöÚΑæ¨«ÞΑÙêÞæ«ËÄΠΑ
Year 2021 BLACK MONEY
r¨«¨ΑËÄΑË¢Αæ¨Α¢Ë½½Ëö«Ä£ΑąæÞΑË¢ΑÚæ«ËÄΑË¢Α½ºΑÃËÄüΑ«ÄΑ+Ä«Α¨ÞΑÄΑæ¨ΑÃ«ÄΑêÞΑË¢Α
worry to the Government of India?
λμΑ«õÚÞ«ËÄΑË¢ΑÚÞËêÚÞΑæËΑæ¨Α×êÚ¨ÞΑË¢ΑÚ½ΑÞææΑÄΑ«ÄõÞæÃÄæΑ«ÄΑ½êûêÚüΑ¨ËêÞ«Ä£Α
λμΑ+ÄõÞæÃÄæΑ«ÄΑêÄ×ÚËêæ«õΑæ«õ«æ«ÞΑÄΑ×êÚ¨ÞΑË¢Α×Úõ«ËêÞΑÞæËÄÞΡΑ¶ö½½ÚüΡΑ£Ë½ΡΑæΠΑ
λμΑ;Ú£ΑËÄæ«ËÄÞΑæËΑ×Ë½«æ«½Α×Úæ«ÞΑÄΑ£ÚËöæ¨ΑË¢ΑÚ£«ËÄ½«ÞÃΑ
λμΑ;ËÞÞΑË¢ΑÚõÄêΑæËΑæ¨Α[ææΑû¨ÙêÚΑêΑæËΑæûΑõÞ«ËÄ
ANSWERS D
EXPLANATION
b¨ÚΑ«ÞΑÄËΑËĆ«½ΑĈÄ«æ«ËÄΑË¢Α½ºΑÃËÄüΑ«ÄΑËÄËÃ«Αæ¨ËÚüΡΑö«æ¨ΑÞõÚ½Α«ąÚÄæΑæÚÃÞΑÞê¨ΑÞΑ×Ú½α
½½ΑËÄËÃüΡΑ½ºΑÃËÄüΡΑ½ºΑ«ÄËÃÞΡΑêÄËêÄæΑËÄËÃüΡΑ«½½£½ΑËÄËÃüΑÄΑ«ÚÚ£ê½ÚΑËÄËÃüΑ
½½Α«Ä£ΑêÞΑÃËÚΑËÚΑ½ÞÞΑÞüÄËÄüÃËêÞ½üΠΑb¨ΑÞ«Ã×½ÞæΑĈÄ«æ«ËÄΑË¢Α½ºΑÃËÄüΑËê½Α×ËÞÞ«½üΑΑÃËÄüΑ
æ¨æΑ«ÞΑ¨«ÄΑ¢ÚËÃΑæûΑêæ¨ËÚ«æ«ÞΠΑb¨æΑ«ÞΡΑ½ºΑÃËÄüΑÄΑËÃΑ¢ÚËÃΑæöËΑÚËΑæ£ËÚ«Þ΢Α«½½£½Αæ«õ«α
æüΑÄΑ½£½ΑêæΑêÄÚ×ËÚæΑæ«õ«æüΠΑb¨ΑĈÚÞæΑæ£ËÚüΑ«ÞΑæ¨ΑÃËÚΑËõ«ËêÞΑË¢Αæ¨ΑæöËΠΑAËÄüΑæ¨æΑ«ÞΑÚÄΑ
æ¨ÚËê£¨Α«½½£½Αæ«õ«æüΑ«ÞΑËõ«ËêÞ½üΑÄËæΑÚ×ËÚæΑæËΑæ¨ΑæûΑêæ¨ËÚ«æ«ÞΡΑÄΑÞËΑ«ÞΑ½ºΠΑb¨ΑÞËÄΑæ£Ëα
ÚüΑËÃ×Ú«ÞÞΑ«ÄËÃΑ¢ÚËÃΑ½£½Αæ«õ«æüΑæ¨æΑ«ÞΑÄËæΑÚ×ËÚæΑæËΑæ¨ΑæûΑêæ¨ËÚ«æ«ÞΠΑ
"ËÚΑûÃ×½ΡΑ½æΑêÞΑÞÞêÃΑæ¨æΑΑ×«ΑË¢Α½ÄΑ«ÞΑÞË½ΡΑö«æ¨Αæ¨Α×üÃÄæΑÃΑ«ÄΑæ¨Α×ÚË×ËÚæ«ËÄΑË¢Α͏͉АΑüΑ
¨ÙêΑËÚΑ½æÚËÄ«ΑæÚÄÞ¢ÚΡΑÄΑ͍͉АΑ«ÄΑÞ¨ΠΑ+¢Αæ¨æΑ͍͉АΑÞ¨ΑËÃ×ËÄÄæΑ«ÞΑÄËæΑÚ×ËÚæΑæËΑæ¨Α+ÄËÃΑ
bûΑ×ÚæÃÄæΡΑæ¨ÄΑ«æΑ«ÞΑ½ºΑÃËÄüΠΑΑ½Ú£ΑÄêÃÚΑË¢ΑÞÃ½½ΑÞ¨Ë×ÞΑÚËêÄΑæ¨ΑËêÄæÚüΑ½ÃËÞæΑû½êα
Þ«õ½üΑËΑêÞ«ÄÞÞΑ«ÄΑÞ¨Αö«æ¨ËêæΑÚ«×æÞΠΑ½½ΑË¢Αæ¨«ÞΑËê½Α×ËæÄæ«½½üΑΑ½ºΑÃËÄüΠΑÄËæ¨ÚΑÃ¶ËÚΑ
ÞËêÚΑË¢Α½ºΑÃËÄüΑ«ÞΑ«ÄËÃΑÚÄΑüΑËÃ×Ä«ÞΑæ¨æΑ«ÞΑÚËêæΑæ¨ÚËê£¨ΑÞ¨½½ΑËÃ×Ä«ÞΑÚËΡΑ
æ¨ÚüΑõ«Ä£ΑæûΑêæ¨ËÚ«æ«ÞΠ
b¨ÚΑÚΑÞõÚ½ΑöüÞΑæËΑêÚΑ½ºΑÃËÄüΑÄΑæ¨ΑĈÚÞæΑ«ÞΑæ¨ÚËê£¨Α½£«Þ½æ«õΑæ«ËÄΠΑb¨Α£ËõÚÄÃÄæΑ¨ÞΑ
½ÚüΑÄæΑÞõÚ½Α½öÞΑæ¨æΑÞºΑæËΑ¢ËÚÃ½«ÞΑæ¨ΑËÄËÃüΑÄΑÃºΑ«æΑÄÞÞÚüΑæËΑÚ×ËÚæΑËÄËÃα
«ΑæÚÄÞæ«ËÄÞΠΑb¨ÞΑ«Ä½êΑæ¨ΑÄæÚ½Α#ËËÞΑÄΑ[Úõ«ÞΑbûΑæΡΑæ¨ΑõÚ«ËêÞΑ#[bΑæÞΑæΑæ¨Α[ææΑ
½õ½ÞΡΑ æ¨Α ½ºΑ AËÄüΑ λfÄ«Þ½ËÞΑ "ËÚ«£ÄΑ +ÄËÃΑ ÄΑÞÞæÞμΑ ÄΑ +Ã×ËÞ«æ«ËÄΑ Ë¢ΑbûΑæΡΑ ͉͎͋͊ΡΑ æ¨Α
ÄÃ«ΑbÚÄÞæ«ËÄÞΑλTÚË¨««æ«ËÄμΑÃÄÃÄæΑæΡΑÄΑæ¨Α"ê£«æ«õΑËÄËÃ«ΑHąÄÚÞΑæΑæËΑÄÃΑΑ
¢öΠΑÄËæ¨ÚΑÃæ¨ËΑÃ×½ËüΑüΑæ¨Α£ËõÚÄÃÄæΑæËΑÃºΑ«æΑ¨ÚÚΑ¢ËÚΑæÚÄÞæ«ËÄÞΑæËΑΑ¨«ÄΑ«ÞΑæËΑ
ÃÄæΑæ¨ΑÚ×ËÚæ«Ä£ΑË¢ΑTBΑ¢ËÚΑæÚÄÞæ«ËÄÞΑË¢ΑÃËÚΑæ¨ÄΑϲ͋Π͎Α½º¨ΡΑÄΑæ¨Α×ÚË¨««æ«ËÄΑË¢ΑÞ¨ΑÚ«×æÞΑ
Ë¢Αϲ͋Α½º¨ΑËÚΑÃËÚΑÄΑΑ×Ä½æüΑÙê½ΑæËΑæ¨ΑÃËêÄæΑË¢ΑÞê¨ΑÚ«×æÞΑ«¢ΑΑ×ÚÞËÄΑËÄæÚõÄÞΑæ¨Α×ÚËõ«α
Þ«ËÄΠΑÞææÃÄæÞΑ£«õÄΑ«ÄΑË×æ«ËÄΑΡΑΡΑÄΑΑÚΑöüÞΑË¢ΑÚæ«ËÄΑË¢Α½ºΑÃËÄüΠΑHence option (d) is the
correct answer.
20
ANALYSIS:
W¨«Ä£Αæ¨ΑËÚÚæΑÄÞöÚΑæËΑæ¨«ÞΑÙêÞæ«ËÄΑ«ÞΑ×ÄÄæΑËÄΑæ¨ΑÄ«æϐÞΑËÄ×æê½Α½Ú«æüΠΑ(ËöõÚΡΑ«æΑ
«ÞΑÞΑËÄΑ××½«έ×Úæ«½ΑË×æ«ËÄÞΠΑõÚΑÞ«ÄΑæ¨ΑÃËÄæ«Þæ«ËÄΡΑϏ½ºΑÃËÄüϐΑ¨ÞΑ½öüÞΑÄΑ«ÄΑæ¨Α
ÄöÞΠ

Scope for Elimination:Α½ÚüΑ£«õÄΑ«ÄΑæ¨Αû×½Äæ«ËÄΠΑ
SOURCE : https://www.thehindu.com/business/Economy/what-is-black-mon-
üαÄαö¨üα«Þα«æαæËαÞËα«Ćê½æαæËαÙêÄæ«¢üα«æέÚæ«½͎͋͑͋͋͑͑͌Π
Year 2021 MONEY MULTIPLIER
ΑV͎ΠΑb¨ΑÃËÄüΑÃê½æ«×½«ÚΑ«ÄΑÄΑËÄËÃüΑ«ÄÚÞÞΑö«æ¨Αö¨«¨ΑËÄΑË¢Αæ¨Α¢Ë½½Ëö«Ä£ΧΑ
λμΑ+ÄÚÞΑ«ÄΑæ¨ΑÞ¨ΑWÞÚõΑWæ«ËΑ«ÄΑæ¨ΑÄºÞΑ
λμΑ+ÄÚÞΑ«ÄΑæ¨Α[ææêæËÚüΑ;«Ùê««æüΑWæ«ËΑ«ÄΑæ¨ΑÄºÞΑ
ANALYSIS:
λμΑ+ÄÚÞΑ«ÄΑæ¨ΑÄº«Ä£Α¨«æΑË¢Αæ¨Α×Ë×½Α
λμΑ+ÄÚÞΑ«ÄΑæ¨Α×Ë×ê½æ«ËÄΑË¢Αæ¨ΑËêÄæÚü
ANSWERS C
EXPLANATION
½ÚüΑû×½«ÄΑ«ÄΑæ¨ΑÙêÞæ«ËÄΑæ¨æΑ¢æêÚΑ«ÄΑæ¨ΑΑ[ΑTÚ½«ÃÞΑ͉͋͊͒
Formula: Money Multiplier = Money Supply/Base Money
Hence option (c) is the correct answer.
ANALYSIS:
Refer to the question in 2019. The same question was asked, only two options were interchanged.
That directly shows the importance of practicing previous year questions.

21
Year 2023 CENTRAL BANK DIGITAL CURRENCIES (CBDC)
Q6. With reference to Central Bank Digital Currencies, consider the following statements :
1. It is possible to make payments in a digital currency without using US dollar or SWIFT system.
2. A digital currency can be distributed with a condition programmed into it such as a time-fame for spending it.
Which of the statements given above is/are correct?
(a) 1 Only
(b) 2 Only
(c) Both 1 and 2
(d) Neither 1 nor 2
ANSWERS C
EXPLANATION
½æÚÄæ«õÞΑæËΑ [r+"bΑ ÄΑæ¨Α fΠ[ΠΑ Ë½½ÚΑ ÚΑ ËÃ«Ä£Α ¢ÚËÃΑæöËΑ «Úæ«ËÄÞ΢Α Úü×æËêÚÚÄ«ÞΑ ÄΑ ÄæÚ½Α
ÄºΑ«£«æ½ΑêÚÚÄ«ÞΠΑËêÄæÚ«ÞΑö«½½ΑΑ½ΑæËΑ«Úæ½üΑû¨Ä£Α«£«æ½ΑêÚÚÄ«ÞΑ«ÄΑΑ«½æÚ½ΑöüΑÄΑ
ö«æ¨ËêæΑ£Ë«Ä£Αæ¨ÚËê£¨Α[r+"bΑËÚΑÞ«Ã«½ÚΑÞææ½ÃÄæΑÞüÞæÃÞΠΑHence statement 1 is correct.
r¨ÄΑæ¨Αæ¨ÄË½Ë£üΑ½½ËöÞΑÞÃ½ÞÞΑÄΑ«ÄÞæÄæÄËêÞΑËÄõÚæ««½«æüΑ¢ÚËÃΑËÄΑÞËõÚ«£ÄΑêÚÚÄüΑ«ÄæËΑ
ÄËæ¨ÚΡΑ«æΑ¨Ä£ÞΑæ¨Α×Úæ«½ΑÄΑ¢ËÚΑΑËÃ«ÄÄæΑ£½Ë½ΑÚÞÚõΑêÚÚÄüΠΑ ΑËê½ΑΑÃ×½ËüΑ¢ËÚΑ
ĈÞ½ΑæÚÄÞ¢ÚÞΑæËΑ¨ËêÞ¨Ë½ÞΑËÚΑĈÚÃÞΡΑÞê¨ΑÞΑÚ½«¢ΑËÚΑÞæ«Ãê½êÞΑ×üÃÄæÞΠΑ[ê¨Α¨½«Ë×æÚΑÚË×ÞΑËÚΑÞêÞ«α
«ÞΑöËê½Α×ËæÄæ«½½üΑËÃΑÞ«ÚΑö¨ÄΑæ¨ÚΑ«ÞΑö«Þ×ÚΑË×æ«ËÄΑË¢Α ΑËêÄæÞΠΑb¨ΑæÚÄÞ¢ÚΑ
×üÃÄæÞΑ Ëê½Α ½ÞËΑ Α ύ×ÚË£ÚÃÃ½ώΡΑ ö«æ¨Α ËÄ«æ«ËÄÞΑ Þê¨Α ÞΑ û×«Úæ«ËÄΑ ê×ËÄΑ Α Úæ«ÄΑ æΑ ËÚΑ Α
ÚÙê«ÚÃÄæΑæËΑÞ×ÄΑæ¨Α¢êÄÞΑæΑÚæ«ÄΑõÄËÚÞΠΑHence statement 2 is correct.
ANALYSIS:
b¨«ÞΑÙêÞæ«ËÄΑ«ÞΑÚ½æΑæËΑ Α«ÄΑ£ÄÚ½ΡΑêæΑ«ÞΑËõ«ËêÞ½üΑÚ«õΑ¢ÚËÃΑæ¨ΑêÚÚÄæΑą«ÚÞΠΑb¨ΑWÞÚõΑ
ÄºΑ Ë¢Α +Ä«Α «ÞΑ «Ã«Ä£Α æΑ û×Ä«Ä£Αæ¨Α ×«½ËæΑ Α ×ÚË¶æΠΑ AÄüΑ ËêÄæÚ«ÞΑ «ÄΑæ¨ΑöËÚ½Α ¨õΑ ÞæÚæΑ
ΠΑ×ÚæΑ¢ÚËÃΑæ¨æΡΑæ¨ÚΑ«ÞΑ½ÞËΑΑ£ÚËö«Ä£ΑæÄÄüΑÃËÄ£ΑÃÄüΑËêÄæÚ«ÞΑæËΑËêÄæÚΑæ¨ΑË½½ÚΑ¨£α
ÃËÄüΠΑ[r+"bΑöÞΑ½ÞËΑ«ÄΑæ¨ΑÄöÞΑÞΑWêÞÞ«ΑöÞΑÚÃËõΑ¢ÚËÃΑæ¨Α[r+"bΑÞææ½ÃÄæΑÞüÞæÃΠΑb¨«ÞΑÙêÞα
æ«ËÄΑ«ÞΑæ¨êÞΑ«ÄÞ×«ÚΑüΑÃÄüΑêÚÚÄæΑõÄæÞΠΑfT[Α¨ÞΑÄΑÞº«Ä£ΑÙêÞæ«ËÄÞΑÚ½æΑæËΑ×üÃÄæΑ«ÄæÚ¢α
ÞΡΑ«£«æ½ΑÄº«Ä£ΑÞüÞæÃÞΑ¢ÚËÃΑæ«ÃΑæËΑæ«ÃΠ More such questions can be expected in the future, not
¶êÞæΑÚ½æΑæËΑæ¨ΑÞ«Α¢æêÚÞΑËÚΑĈÄ«æ«ËÄÞΑêæΑ½ÞËΑÚ½æΑæËΑæ¨Α××½«æ«ËÄÞΑË¢Αæ¨ΑÄöΑæ¨ÄË½α
Ë£«ÞΑêÞΑ«ÄΑÄº«Ä£ΑÄΑĈÄÄΠ
Only through the daily newspaper reading.
SOURCE : Daily Newspapers

22
Digital Currency Cryptocurrency

Normally backed by the Central Not backed by the central bank
Bank (The RBI has already intro-
duced it in India) (e.g. the RBI does
Centralised Decentralised
Transparent; not as transparent Transparent due to the distributed

as only the sender, receiver and ledger system; Every detail
the banking authorities will be regarding cryptocurrency trans-
aware of the transactions actions is in the public domain.
receives the SWIFT

To Transfer message of
incoming payment
the money
Goes with Account

number & SWIFT Code
Person 1 Person 2
23
MONETARY POLICY
(6 Questions)
Year 2017 MONETARY POLICY COMMITTEE
Q1. Which of the following statements is/are correct regarding the ‘Monetary Policy Committee
(MPC)?
1. It decides the RBI’s benchmark interest rates.
2. It is a 12-member body including the Governor of RBI and is reconstituted every year.
3. It functions under the chairmanship of the Union Finance Minister.
Select the correct answer using the code given below:
(a) 1 only
(b) 1 and 2 only
(c) 3 only
(d) 2 and 3 only
ANSWERS A
EXPLANATION
b¨ΑWÞÚõΑ ÄºΑË¢Α+Ä«ΑæΡΑ͍͊͒͌ΑλW +ΑæμΑ¨ÞΑÄΑÃÄΑüΑæ¨Α"«ÄÄΑæΡΑ͉͋͊͏ΡΑæËΑ×ÚËõ«Α¢ËÚΑΑ

ÞææêæËÚüΑÄΑ«ÄÞæ«æêæ«ËÄ½«ÞΑ¢ÚÃöËÚºΑ¢ËÚΑΑAËÄæÚüΑTË½«üΑËÃÃ«ææΑ«æΑöËê½ΑΑÄæÚêÞæΑö«æ¨Αæ¨Α
æÞºΑË¢ΑĈû«Ä£Αæ¨ΑÄ¨ÃÚºΑ×Ë½«üΑÚæΑλÚ×ËΑÚæμΑÚÙê«ÚΑæËΑËÄæ«ÄΑ«Äĉæ«ËÄΑö«æ¨«ÄΑæ¨ΑÞ×«ĈΑæÚ£æΑ
½õ½ΠΑHence Statement 1 is correct.
ÞΑ×ÚΑæ¨Α×ÚËõ«Þ«ËÄÞΑË¢Αæ¨ΑW +ΑæΡΑËêæΑË¢Αæ¨ΑÞ«ûΑAÃÚÞΑË¢ΑAËÄæÚüΑTË½«üΑËÃÃ«ææΡΑæ¨ÚΑAÃÚÞΑ
ö«½½ΑΑ¢ÚËÃΑæ¨ΑW +ΑÄΑæ¨ΑËæ¨ÚΑæ¨ÚΑAÃÚÞΑË¢ΑATΑö«½½ΑΑ××Ë«ÄæΑüΑæ¨ΑÄæÚ½Α#ËõÚÄÃÄæΠΑ
Hence statement 2 is not correct. b¨Α #ËõÚÄËÚΑ Ë¢Α æ¨Α ÄºδΑ ûΑ ËĆ«ËΑ ¨«Ú×ÚÞËÄΑ Ë¢Α ATΠΑ Hence
statement 3 is not correct.
ANALYSIS:

+æΑ«ÞΑö½½αºÄËöÄΑæ¨æΑĈÞ½Α×Ë½«üΑ«ÞΑæ¨ΑÚÞ×ËÄ«Þ«½«æüΑË¢Αæ¨ΑfÄ«ËÄΑ"«ÄÄΑA«Ä«ÞæÚüΑÄΑAËÄæÚüΑTË½«üΑ«ÞΑ
æ¨æΑË¢Αæ¨ΑWÞÚõΑ ÄºΑË¢Α+Ä«ΠΑ(ÄΑ½Ë£«½½üΑATΑÞ¨Ëê½ΑΑ¨«ÚΑüΑæ¨ΑW +Α#ËõÚÄËÚΠΑfÞ«Ä£Αæ¨æΑ
Þ«Ã×½Α½Ë£«ΡΑÞææÃÄæΑ͌ΑÄΑΑ½«Ã«ÄæΠ
+Ã×ËÚæÄæΑ+ÄÞæ«æêæ«ËÄÞΑö¨«¨Αö«½½ΑΑ½ËæΑË¢Αõ½êΑÄΑæÚÄÞ×ÚÄüΑæËΑÃËÄæÚüΑ×Ë½«üΑ«Þ«ËÄÞΑ«ÄΑ+Ä«ΠΑBËæΑ
ËõÚΑ «ÄΑ ÄüΑ Ë¢Αæ¨Α ÞÞÄæ«½Α AæÚ«½ΡΑ êæΑ ATΑ ¨Α ÄΑ «ÄΑ ÄöÞΑ Þ«ÄΑ Þ«ÄΑæ¨Α Ë×æ«ËÄΑ Ë¢Α +Äĉæ«ËÄΑ
bÚ£æ«Ä£ΑW£«ÃΠΑ
SOURCE : ¨ææ×΢έέ×«ΠÄ«Π«ÄέÄöÞ«æέTÚ«ÄæW½ÞΠÞ×ûΧÚ½«Ͻ͎͊͊͋͏͍
24
REMEMBER:
+æΑ«ÞΑæ¨ΑÄæÚ½Α#ËõÚÄÃÄæΑö¨«¨ΑÞæÞΑæ¨Α«Äĉæ«ËÄΑæÚ£æΑÄΑÄËæΑæ¨ΑW +ΠΑb¨Α
W +ΑËÄ½üΑæºÞΑËÚΑÞê££ÞæÞΑÃÞêÚÞΑæËΑËÄæÚË½Α«Äĉæ«ËÄΠ
ÞΑ×ÚΑ[æ«ËÄΑ͍͎Α}ΑË¢Αæ¨ΑW +ΑæΡΑ͍͊͒͌Ρ
+Äĉæ«ËÄΑ æÚ£æΠδλ͊μΑ b¨Α ÄæÚ½Α #ËõÚÄÃÄæΑ Þ¨½½ΡΑ «ÄΑ ËÄÞê½ææ«ËÄΑ ö«æ¨Α æ¨Α
ÄºΡΑæÚÃ«ÄΑæ¨Α«Äĉæ«ËÄΑæÚ£æΑ«ÄΑæÚÃÞΑË¢Αæ¨ΑËÄÞêÃÚΑTÚ«Α+ÄûΡΑËÄΑ
«ÄΑõÚüΑĈõΑüÚÞΠΑ
Year 2019 MONETARY POLICY
Q2. Which one of the following is not the most likely measure the Government/RBI takes to stop
the slide of Indian rupee?
(a) Curbing imports of non-essential goods-and promoting exports
(b) Encouraging Indian borrowers to issue rupee denominated Masala Bonds
(c) Easing conditions relating to external commercial borrowing
(d) Following an expansionary monetary policy
ANSWERS B
EXPLANATION
b¨ΑË×æ«ËÄÞΑλμΡΑλμΑÄΑλμΑÚΑ½½ΑÃÞêÚÞΑö¨«¨Α«ÄæÄΑæËΑÞ¨«½Αæ¨Α+Ä«ÄΑêÚÚÄüΑ£«ÄÞæΑ×Ú«α
æ«ËÄΠΑ H×æ«ËÄΑ λμΑ ö¨«¨Α «ÞΑ ϏË×æ«Ä£Α ÄΑ û×ÄÞ«ËÄÚüΑ ÃËÄæÚüΑ ×Ë½«üϐΑ öËê½Α ÄËæΑ Α Α ½«º½üΑ ÃÞêÚΑ ÞΑ
û×ÄÞ«ËÄÚüΑÃËÄæÚüΑ×Ë½«üΑ«ÞΑæ¨ΑÃËÄæÚüΑ×Ë½«üΑË×æΑüΑæ¨ΑW +ΑλWÞÚõΑ ÄºΑË¢Α+Ä«μΑö¨ÄΑæ¨Α
W +Α «ÃÞΑ æËΑ Þæ«Ãê½æΑ æ¨Α ËÄËÃüΑ ÄΑ æ¨æΑ ËÃÞΑ ö«æ¨Α Α ËÞæΑ λ«Äĉæ«ËÄΡΑ ö¨«¨Α ½ËöÚÞΑ ×êÚ¨Þ«Ä£Α
power and causes money to lose value).Αb¨æΑ «ÄÚÞÞΑæ¨Α ÃËÄüΑ Þê××½üΡΑ ½ËöÚÞΑ «ÄæÚÞæΑ ÚæÞΡΑ ÄΑ
«ÄÚÞÞΑ££Ú£æΑÃÄΠΑHence option (b) is the correct answer.
;ËöÚΑ «ÄæÚÞæΑ ÚæÞΑ ö«½½Α ½ÞËΑ æÄΑ æËΑ ÚêΑ æ¨Α õ½êΑ Ë¢Α æ¨Α êÚÚÄüΠΑ +¢Α ËÃÞæ«Α «ÄæÚÞæΑ ÚæÞΑ ¢½½Α
Ú½æ«õΑæËΑ½Þö¨ÚΡΑ«æΑËÃÞΑ½ÞÞΑææÚæ«õΑæËΑÞõΑÃËÄüΑ«ÄΑËÃÞæ«ΑÄºÞΠΑb¨Ú¢ËÚΡΑ«æΑö«½½Α½ΑæËΑ
ÄΑËêæĉËöΑË¢Α¢ËÚ«£ÄΑêÚÚÄüΑÄΑæ¨Ú¢ËÚΡΑÞ½«ΑË¢Α+Ä«ÄΑWê×Π
ANALYSIS:
Þ«Α êÄÚÞæÄ«Ä£Α «ÞΑ ÄËê£¨ΑæËΑ ÞË½õΑæ¨«ÞΑ ÙêÞæ«ËÄΠΑ +¢Α û×ÄÞ«ËÄÚüΑ ÃËÄæÚüΑ ×Ë½«üΑ «ÞΑ¢Ë½½ËöΑæ¨æΑ
ÃÄÞΑ×Ë½«üΑÚæÞΑö«½½Α¨õΑæËΑΑº×æΑ½ËöΑö¨«¨Αö«½½ΑÄËæΑÚ×½ΑÄΑÄËæΑææÚæΑ¢ËÚ«£ÄΑ«ÄõÞæËÚÞΑæ¨êÞΑÚêα
«Ä£Αæ¨ΑÃÄΑË¢Α+Ä«ÄΑêÚÚÄüΑ¢êÚæ¨ÚΑæ¨êÞΑ«Ä£ΑæËΑ«æÞΑ×Ú«æ«ËÄΠ

25
Year 2020 EXPANSIONIST MONETARY POLICY
Q3. If the RBI decides to adopt an expansionist monetary policy, which of the following would it
not do?
͊ΠΑêæΑÄΑË×æ«Ã«ÞΑæ¨Α[ææêæËÚüΑ;«Ùê««æüΑWæ«ËΑ
͋ΠΑ+ÄÚÞΑæ¨ΑAÚ£«Ä½Α[æÄ«Ä£Α"«½«æüΑWæΑ
͌ΠΑêæΑæ¨Α ÄºΑWæΑÄΑW×ËΑWæΑ
[½æΑæ¨ΑËÚÚæΑÄÞöÚΑêÞ«Ä£Αæ¨ΑËΑ£«õÄΑ½Ëö΢Α
(a) 1 and 2 only
(b) 2 only
(c) 1 and 3 only
(d) 1, 2 and 3
ANSWERS B
EXPLANATION
û×ÄÞ«ËÄ«Þæέû×ÄÞ«ËÄÚüΑÃËÄæÚüΑ×Ë½«üΑ«ÞΑö¨ÄΑæ¨ΑÄæÚ½ΑÄºΑË¢ΑΑËêÄæÚüΑ«ÄÚÞÞΑÃËÄüΑÞê××½üΑ
æËΑÞæ«Ãê½æΑæ¨ΑËÄËÃüΠΑb¨ΑæËË½ÞΑêÞΑüΑæ¨ΑW +ΑæËΑËÄæÚË½ΑÃËÄüΑÞê××½üΑ«ÄΑæ¨ΑËÄËÃüΑÄΑΑÙêÄæ«α
ææ«õΑËÚΑÙê½«ææ«õΠΑVêÄæ«ææ«õΑæËË½ÞΑËÄæÚË½Αæ¨ΑûæÄæΑË¢ΑÃËÄüΑÞê××½üΑüΑ¨Ä£«Ä£Αæ¨ΑÞ¨ΑWÞÚõΑ
Wæ«ËΑ λWWμΡΑ ËÚΑ [ææêæËÚüΑ ;«Ùê««æüΑ Wæ«ËΑ λ[;WμΡΑ ËÚΑ ÄºΑ ÚæΑ ËÚΑ ;«Ùê««æüΑ ¶êÞæÃÄæΑ "«½«æüΑ λ;"μΑ æ¨æΑ
«Ä½êÞΑ AÚ£«Ä½Α [æÄ«Ä£Α "«½«æüΑ λA["μΠΑ +¢Α W +Α ¨Ä£ÞΑ ÚÞÚõΑ Úæ«ËÞΡΑ æ¨«ÞΑ öËê½Α ½Α æËΑ ¨Ä£ÞΑ «ÄΑ
½Ä«Ä£ΑüΑæ¨ΑÄºÞΑö¨«¨ΡΑ«ÄΑæêÚÄΡΑöËê½Α«Ã×æΑæ¨Α×ËÞ«æÞΑÄΑ¨ÄΡΑæ¨ΑÃËÄüΑÞê××½üΠΑ
SLR is the ratio of liquid assets to the demand and time liabilities (NDTL). W +Α«ÄÚÞÞΑ[;WΑæËΑÚêΑ
ÄºΑÚ«æΑêÚ«Ä£Αæ¨Αæ«ÃΑË¢Α«Äĉæ«ËÄΠΑ[«Ã«½Ú½üΡΑ«æΑÚêÞΑ[;WΑêÚ«Ä£Αæ¨Αæ«ÃΑË¢ΑÚÞÞ«ËÄΑæËΑ«ÄÚÞΑ
ÄºΑÚ«æΠΑb¨Ú¢ËÚΡΑêææ«Ä£ΑÄΑË×æ«Ã«Þ«Ä£Α[;WΑ«ÞΑÞËÃæ¨«Ä£Αæ¨ΑW +ΑöËê½ΑËΑêÄÚΑ«æÞΑû×ÄÞ«ËÄ«ÞæΑ
ÃËÄæÚüΑ×Ë½«üΠ Hence option 1 is not correct.
MSF is an emergency window available to scheduled banks to borrow from RBIΑËÄΑÄΑËõÚÄ«£¨æΑÞ«ÞΑ
üΑ×½£«Ä£Α£ËõÚÄÃÄæΑÞêÚ«æ«ÞΠΑ+ÄÚÞΑæ¨ΑA["ΑÚæΑË¢Α«ÄæÚÞæΑö«½½ΑÃºΑËÚÚËö«Ä£ΑËÞæ½üΡΑÄΑæ¨êÞΑ
«ÞΑ ÞËÃæ¨«Ä£Αæ¨æΑæ¨Α W +ΑöËê½Α ÄËæΑ ËΑ ÞΑ ×ÚæΑ Ë¢Α «æÞΑ û×ÄÞ«ËÄ«ÞæΑ ÃËÄæÚüΑ ×Ë½«üΠΑ Hence option 2 is
correct.
The rate of interest charged by RBI on loans extended to commercial banks is called Bank Rate.ΑW×ËΑ
ÚæΑ«ÞΑæ¨ΑÚæΑæΑö¨«¨Αæ¨ΑW +Α½ÄÞΑæËΑËÃÃÚ«½ΑÄºÞΑüΑ×êÚ¨Þ«Ä£ΑÞêÚ«æ«ÞΠΑ;ËöÚΑÄºΑÚæÞΑÄΑ
Ú×ËΑÚæÞΑöËê½ΑÚêΑæ¨ΑËÞæΑË¢ΑËÚÚËö«Ä£ΡΑÄΑæ¨êÞΑö«½½Α«ÄÚÞΑ½«Ùê««æüΑ«ÄΑæ¨ΑËÄËÃüΠΑêææ«Ä£Α
ÄºΑ ÚæΑ ÄΑ Ú×ËΑ ÚæΑ «ÞΑ ÞËÃæ¨«Ä£Αæ¨Α W +ΑöËê½Α ËΑ êÄÚΑ «æÞΑ û×ÄÞ«ËÄ«ÞæΑ ÃËÄæÚüΑ ×Ë½«üΠ Hence
option 3 is not correct.
ANALYSIS:
b¨Α¢êÄæ«ËÄÞΑË¢Αæ¨ΑÄæÚ½Α ÄºΑ«ÞΑÄΑ«Ã×ËÚæÄæΑæË×«Α«ÄΑæ¨ΑÞü½½êÞΠΑ(ÄΡΑΑÞæêÄæΑÃêÞæΑ¨õΑ×Α
ºÄËö½£ΑËêæΑõÚ«ËêÞΑ¢êÄæ«ËÄÞΑË¢Αæ¨ΑÄæÚ½Α ÄºΠΑ

+¢ΑöΑÚÃËõΑÞææÃÄæΑ͊ΡΑöΑö«½½ΑΑ½¢æΑËÄ½üΑö«æ¨Αæ¨ΑËÚÚæΑÄÞöÚΡΑæ¨æΑ«ÞΑË×æ«ËÄΑλμΠΑ
26
Please Note:
The NCERT book does not directly discuss such a situation, but it does discuss the various
monetary tools.
Year 2022 MONETARY TOOLS
V͍ΠΑr«æ¨ΑÚ¢ÚÄΑæËΑæ¨Α+Ä«ÄΑËÄËÃüΡΑËÄÞ«ÚΑæ¨Α¢Ë½½Ëö«Ä£ΑÞææÃÄæÞ΢
1. If the inflation is too high, Reserve Bank of India (RBI) is likely to buy government securities.
2. If the rupee is rapidly depreciating, RBI is likely to sell dollars in the market.
3. If interest rates in the USA or European Union were to fall, that is likely to induce RBI to buy dollars.
r¨«¨ΑË¢Αæ¨ΑÞææÃÄæÞΑ£«õÄΑËõΑÚΑËÚÚæΧ
(a) 1 and 2 only
(b) 2 and 3 only
(c) 1 and 3 only
(d) 1, 2 and 3
ANSWERS B
EXPLANATION
ΑÄæÚ½ΑÄºΑÞê¨ΑÞΑWÞÚõΑ ÄºΑË¢Α+Ä«ΑλW +μΡΑ×Ú«Ë«½½üΑ«ÄæÚõÄÞΑ«ÄΑæ¨ΑæΑÃÚºæΑæËΑ«ÄĉêÄΑ

æ¨Α«ÄæÚÞæΑÚæÞΑÄΑÚæΑË¢Α«Äĉæ«ËÄΑ«ÄΑæ¨ΑËÄËÃüΠΑ+¢ΑW +Α¢½ÞΑ«Äĉæ«ËÄΑ«ÞΑæËËΑ¨«£¨ΡΑ«æΑö«½½ΑÞ½½Α£ËõÚÄα
ÃÄæΑÞêÚ«æ«ÞΡΑÄΑÞêºΑÃËÄüΑËêæΑË¢Αæ¨ΑÞüÞæÃΠΑb¨«ÞΑæΑö«½½Α×êÞ¨Αê×Α«ÄæÚÞæΑÚæÞΑ«ÄΑæ¨ΑËÄËÃüΡΑÄΑ
êÞ«ÄÞÞΑö«½½ΑêæΑºΑËÄΑ×«æ½Αû×Ä«æêÚΑĈÄΑüΑ½ËÄÞΡΑÚê«Ä£Αæ¨ΑÃÄΑ¢ËÚΑÃËÄüΠΑHence
ÄæÚ½ΑÄºÞΑ½ÞËΑ«ÄæÚõÄΑ×Ú«Ë«½½üΑ«ÄΑ¢ËÚ«£ÄΑû¨Ä£ΑÃÚºæÞΠΑ+¢Αæ¨ΑÚê×Α«ÞΑÚ×«½üΑ×Ú«æ«Ä£ΡΑ
W +Αö«½½ΑÞ½½ΑË½½ÚÞΑ«ÄΑæ¨ΑÃÚºæΠΑb¨«ÞΑö«½½Α«ÄÚÞΑæ¨ΑÞê××½üΑË¢ΑË½½ÚÞΑÄΑæ¨ΑÃÄΑ¢ËÚΑÚê×ÞΡΑêÞα
«Ä£Αæ¨ΑÚê×Α×Ú«ΑË¢Αæ¨ΑË½½ÚΑæËΑËÃΑËöÄΠΑHÄΑæ¨ΑËÄæÚÚüΡΑ«¢Αæ¨ΑÚê×Α«ÞΑÚ×«½üΑ××Ú«æ«Ä£ΡΑW +Αö«½½Α
êüΑË½½ÚÞΑÄΑ«Ä¶æΑÚê×ÞΑ«ÄæËΑæ¨ΑËÄËÃüΠΑb¨«ÞΑö«½½Α«ÄÚÞΑæ¨ΑÃÄΑ¢ËÚΑË½½ÚÞΑÄΑæ¨ΑÞê××½üΑË¢Α
Úê×ÞΡΑæ¨ÚüΑ½«Ä£ΑæËΑÄΑ«ÄÚÞΑ«ÄΑæ¨ΑÚê×Α×Ú«ΑË¢Αæ¨ΑË½½ÚΠΑHence statement 2 is correct.
27
+ÄæÚÞæΑÚæΑÃËõÃÄæÞΑ«ÄΑΑ¢ËÚ«£ÄΑËÄËÃüΑÄΑÞæ«Ãê½æΑæ«ËÄΑËÄΑæ¨Α×ÚæΑË¢ΑW +ΠΑ+¢Α«ÄæÚÞæΑÚæÞΑ«ÄΑ
æ¨Αf[ΑËÚΑæ¨ΑfΑöÚΑæËΑ¢½½ΡΑ"++ÞΑλ"ËÚ«£ÄΑ+ÄÞæ«æêæ«ËÄ½Α«ÄõÞæËÚÞμΑö«½½ΑÚÃ×Αê×Α«ÄõÞæÃÄæÞΑ«ÄΑ+Ä«ΠΑb¨Α
ÚÞê½æÄæΑÃÄΑ¢ËÚΑÚê×ÞΑö«½½ΑêÞΑæ¨ΑÚê×ΑæËΑ××Ú«æΠΑ+ÄΑÚÞ×ËÄÞΡΑW +Αö«½½ΑêüΑË½½ÚÞΑÄΑ«Ä¶æΑ
Úê×ÞΑ«ÄΑæËΑæ¨ΑÞüÞæÃΠΑHence statement 3 is correct.
ANALYSIS:
Motivation
b¨ΑÙêÞæ«ËÄΑöÞΑ«ÄÞ×«ÚΑêΑæËΑ¢½½έ×Ú««æ«ËÄΑ«ÄΑÚê×Αõ«Þααõ«ÞΑË½½ÚΑÄΑÚ«Þ«Ä£Α«Äĉæ«ËÄΑ«ÄΑf[ΑÄΑ«ÄΑ
+Ä«Α ö«æ¨Α ÚÄæΑ «ÄæÚÞæΑ ÚæÞΑ ¨«ºΑ «ÄΑ ÃüΑ ͉͋͋͋Α Ãæ«Ä£Α Ë¢Α W +Α ÃËÄæÚüΑ ×Ë½«üΑ ËÃÃ«æΑ æËΑ êÚΑ
«Äĉæ«ËÄΠ

+¢ΑW +Αö«½½ΑêüΑ£ËõæΑÞêÚ«æ«ÞΡΑ«æΑö«½½Α«ÄÚÞΑÃËÄüΑĉËöΑ«ÄΑÃÚºæΑö¨«¨Αö«½½Α«ÄÚÞΑ×êÚ¨Þ«Ä£Α×ËöÚΡΑ
ö¨«¨Αö«½½Α«ÄÚÞΑÃÄΑÄΑö«½½ΑÚÞê½æΑ«ÄΑ«ÄÚÞΑ«ÄΑ«Äĉæ«ËÄΡΑ¨ÄΑ͊ΑÞææÃÄæΑÄΑΑ½«Ã«ÄæΑÄΑ
æ¨ΑÄÞöÚΑ«ÞΑË×æ«ËÄΑλμ
SOURCE : ¨ææ×Þ΢έέöööΠĈÄÄ«½û×ÚÞÞΠËÃέÃËÄüέüËêÚαÃËÄüαÄα
æÚ½αÄºÞαÚË½α«ÄαÄα«ÄæÚËÄÄæαöËÚ½έ͍͉͋͋͑͋͋έ
https://www.livemint.com/opinion/online-views/the-curi-
ËêÞαÞαË¢α«Ä«αÞαÚ«Þ«Ä£α¢ËÚûαÚÞÚõÞαÄα¢½½«Ä£αÚê×α͊͊͏͍͉͍͌͒͌͋͑͐͑͊Π¨æÃ½
https://www.moneycontrol.com/news/business/r-
«αÃüα¨õαæËαæË½Úæα¨«£¨αü«½Þα×Ú«ËÚ«æ«Þα«Äĉæ«ËÄαû×ÚæÞαÞüα͎͉͑͋͒͋͊Π¨æÃ½
Year 2023 STERILIZATION / OPEN MARKET OPERATIONS
V͎ΠΑΑr¨«¨ΑËÄΑË¢Αæ¨Α¢Ë½½Ëö«Ä£Αæ«õ«æ«ÞΑË¢Αæ¨ΑWÞÚõΑ ÄºΑË¢Α+Ä«Α«ÞΑËÄÞ«ÚΑæËΑΑ×ÚæΑË¢ΑΑΑΑΑΑ
'sterilization' ?
(a) Conducting 'Open Market Operations'
(b) Oversight of settlement and payment systems
(c) Debt and cash management for the Central and State Governments
(d) Regulating the functions of Non-banking Financial Institutions
ANSWERS A
EXPLANATION
bËΑÞΑæ¨Αæ¨ÚæΑË¢ΑêÚÚÄüΑ××Ú«æ«ËÄΑËÚΑ«Äĉæ«ËÄΡΑÄæÚ½ΑÄºÞΑË¢æÄΑææÃ×æΑö¨æΑ«ÞΑºÄËöÄΑÞΑæ¨Α
ϕÞæÚ«½«āæ«ËÄϕΑË¢Α×«æ½ΑĉËöÞΠΑ+ÄΑΑÞêÞÞ¢ê½ΑÞæÚ«½«āæ«ËÄΑË×Úæ«ËÄΡΑæ¨ΑËÃÞæ«ΑËÃ×ËÄÄæΑË¢Αæ¨ΑÃËÄα
æÚüΑ ÞΑ λÄºΑ ÚÞÚõÞΑ ×½êÞΑ êÚÚÄüμΑ «ÞΑ ÚêΑæËΑ ËąÞæΑæ¨Α ÚÞÚõΑ «ÄĉËöΡΑ æΑ ½ÞæΑæÃ×ËÚÚ«½üΠΑ +ÄΑ
æ¨ËÚüΡΑæ¨«ÞΑÄΑΑ¨«õΑ«ÄΑÞõÚ½ΑöüÞΡΑÞê¨ΑÞΑüΑÄËêÚ£«Ä£Α×Ú«õæΑ«ÄõÞæÃÄæΑËõÚÞÞΡΑËÚΑ½½Ëöα
«Ä£Α ¢ËÚ«£ÄÚÞΑ æËΑ ËÚÚËöΑ ¢ÚËÃΑ æ¨Α ½Ë½Α ÃÚºæΠΑ b¨Α ½ÞÞ«½Α ¢ËÚÃΑ Ë¢Α ÞæÚ«½«āæ«ËÄΡΑ ¨ËöõÚΡΑ ¨ÞΑ ÄΑ
æ¨ÚËê£¨Αæ¨ΑêÞΑË¢ΑË×ÄΑÃÚºæΑË×Úæ«ËÄÞΡΑæ¨æΑ«ÞΡΑÞ½½«Ä£ΑbÚÞêÚüΑ«½½ÞΑÄΑËæ¨ÚΑ«ÄÞæÚêÃÄæÞΑæËΑÚêΑ
æ¨ΑËÃÞæ«ΑËÃ×ËÄÄæΑË¢Αæ¨ΑÃËÄæÚüΑÞΠ Hence option (a) is the correct answer.
28
SOURCE : Sterlisation is well-explained in the Chapter 3 of the Introductory Macroeconomics book.

T½ÞΑĈÄΑ½ËöΑæ¨ΑÞÚÄÞ¨ËæΠ
Year 2023 CENTRAL BANKS
Q6. Correct the following statements:

Statement-I: In the post-pandemic recent past, many Central Banks worldwide had carried out interest rate hikes.
Statement-II: Central Banks generally assume that they have the ability to counteract the rising consumer prices
via monetary policy means.
Which one of the following is correct in respect of the above statements?
(a) Both Statement-I and Statement-II are correct and Statement-II is the correct explanation for Statement-I
(b) Both Statement-I and Statement-II are correct and Statement-II is not the correct explanation for Statement-I
(c) Statement-I is correct but Statement-II is incorrect
(d) Statement-I is incorrect but Statement-II is correct
ANSWERS A
29
EXPLANATION
ΑÄöΑÞæêüΑüΑæ¨ΑrËÚ½Α ÄºΑ¨ÞΑÚõ½Αæ¨æΑö«æ¨Αæ¨ΑÄæÚ½ΑÄºÞΑÚËÞÞΑæ¨ΑöËÚ½ΑÞ«Ãê½æÄËêÞ½üΑ
¨«º«Ä£Α«ÄæÚÞæΑÚæÞΑ«ÄΑÚÞ×ËÄÞΑæËΑ«Äĉæ«ËÄΡΑæ¨ΑöËÚ½ΑÃüΑΑ£«Ä£ΑæËöÚΑΑ£½Ë½ΑÚÞÞ«ËÄΑ«ÄΑ͉͋͋͌Α
ÄΑΑÞæÚ«Ä£ΑË¢ΑĈÄÄ«½ΑÚ«ÞÞΑ«ÄΑÃÚ£«Ä£ΑÃÚºæÞΑÄΑõ½Ë×«Ä£ΑËÄËÃ«ÞΑæ¨æΑöËê½ΑËΑæ¨ÃΑ½Þæ«Ä£Α
¨ÚÃΠΑ Central banks around the world have been raising interest rates this year with a degree of
ÞüÄ¨ÚËÄ««æüΑÄËæΑÞÄΑËõÚΑæ¨Α×ÞæΑĈõΑÞδΑæÚÄΑæ¨æΑ«ÞΑ½«º½üΑæËΑËÄæ«ÄêΑö½½Α«ÄæËΑÄûæΑ
year.
ΑÄæÚ½ΑÄºΑö«æ¨ΑΑ¨«£¨Α£ÚΑË¢ΑÚ««½«æüΑĈÚÃ½üΑÄ¨ËÚÞΑû×ææ«ËÄÞΑË¢Α×Ú«ΑÞæ«½«æüΠΑb¨ΑÃËÄæÚüΑ
×Ë½«üΑ æÚÄÞÃ«ÞÞ«ËÄΑ Ã¨Ä«ÞÃΑ «ÞΑ ¨ÚæÚ«ÞΑ üΑ ½ËÄ£ΡΑ õÚ«½Α ÄΑ êÄÚæ«ÄΑ æ«ÃΑ ½£ÞΠΑ b¨êÞΑ «æΑ «ÞΑ
«Ćê½æΑæËΑ×Ú«æΑæ¨Α×Ú«ÞΑąæΑË¢ΑÃËÄæÚüΑ×Ë½«üΑæ«ËÄÞΑËÄΑæ¨ΑËÄËÃüΑÄΑ×Ú«Α½õ½ΠΑHence
Central Banks generally assume that they have the ability to counteract the rising consumer prices
via increasing interest rates. Hence both statements are correct and statement II is the correct
explanation of statement I.
ANALYSIS:
Motivation/Why asked?
êÞΑæ¨Αæ«ËÄÞΑË¢Αæ¨ΑÄæÚ½ΑÄºÞΑ¨õΑÄΑö«½üΑËõÚΑλËæ¨ΑüΑæ¨ΑW +ΑÄΑæ¨Α"Ú½Α
WÞÚõμ
ÄΑÞæÄÚΑÄöÞ××ÚÞΑλ¨ææ×Þ΢έέöööΠæ¨¨«ÄêΠËÃέêÞ«ÄÞÞέËÄËÃüέÚα
«αÞæα¢ËÚα¢ËêÚæ¨αÞæÚ«£¨æαÚæα¨«ºαæËαÙê½½α«Äĉæ«ËÄαÞüαû×ÚæÞέÚæ«½͏͎͍͍͍͒͌͑Πμ
SOURCE : macroeconomics (NCERT Class 12; Chapter 3: Money and Banking; the role of the RBI)
30
BANKING AND BANKING REGULATIONS

(13 Questions)
Year 2017 RESTRUCTURING OF ASSETS
Q1. Which of the following statements best describes the term ‘Scheme for Sustainable
[æÚêæêÚ«Ä£ΑË¢Α[æÚÞÞΑÞÞæÞΑλ[͍μϐΡΑÚÄæ½üΑÞÄΑ«ÄΑæ¨ΑÄöÞΧΑ
(a) It is a procedure for considering ecological costs of developmental schemes formulated by the Government.
(b) It is a scheme of RBI for reworking the financial structure of big corporate entities facing genuine difficulties.
(c) It is a disinvestment plan of the Government regarding Central Public Sector Undertakings.
(d) It is an important provision in ‘The Insolvency and Bankruptcy Code’ recently implemented by the Government.
ANSWERS B
EXPLANATION
The Reserve Bank of India introduced the Scheme for Sustainable Structuring of Stressed Assets (S4A
Scheme) on June 13, 2016.
b¨Α[͍ΑüΑW +ΑÄõ«Þ£ÞΑæÚÃ«Äæ«ËÄΑË¢Αæ¨ΑÞêÞæ«Ä½ΑæΑ½õ½Α¢ËÚΑΑÞæÚÞÞΑËÚÚËöÚΡΑÄΑ«¢êÚα
æ«ËÄΑË¢Αæ¨ΑËêæÞæÄ«Ä£ΑæΑ«ÄæËΑÞêÞæ«Ä½ΑæΑÄΑÙê«æüέÙêÞ«αÙê«æüΑ«ÄÞæÚêÃÄæÞΑö¨«¨ΑÚΑû×æΑ
æËΑ×ÚËõ«Αê×Þ«ΑæËΑæ¨Α½ÄÚÞΑö¨ÄΑæ¨ΑËÚÚËöÚΑæêÚÄÞΑÚËêÄΠ
Hence option (b) is the correct answer.
ANALYSIS:
Motivation
[æÚÞÞΑÞÞæÞΑÄΑBTÞΑ¨ΑËÄÞæÄæ½üΑÚÃ«ÄΑ«ÄΑæ¨ΑÄöÞΑ«ÄΑ͉͋͊͐ΠΑW +ΑÃΑê×Αö«æ¨ΑÃÄüΑÞ¨ÃÞΑ
æËΑÚÞÞΑæ¨ÞΑ«ÞÞêÞΠΑûΑαΑ[͍ΡΑ͎΢͎͋ΑæΠΑBTΑÚ«Þ«ÞΑöÞΑËÄΑË¢Αæ¨Α¨ËæΑæË×«ÞΑ«ÄΑ͉͋͊͐ΑÞΑW +Α¨ΑæºÄΑ
ÞõÚ½ΑÞæ×ÞΡΑËÄËÃ«Α[êÚõüΑ¨Α«ÞêÞÞΑ«æΑ«ÄΑæ«½ΑÄΑÄº«Ä£Α¨½æ¨ΑöÞΑæ¨ËÚËê£¨½üΑ«ÞêÞÞΑ«ÄΑ
ÄöÞ××ÚΠΑ

HÄΑÞ¨Ëê½Α×üΑ½ËÞΑææÄæ«ËÄΑæËΑæ¨ΑæÚÃΑϏÞæÚÞÞΑÞÞæÞϐΠΑb¨ΑÞÞæÞΑ¨ÚΑÚ¢ÚÞΑæËΑæ¨æΑË¢ΑÄºÞΑÄΑ
W +Α«ÞΑæ¨ΑÚ£ê½æËÚΑË¢Α½½ΑÄºÞΠΑ"ÚËÃΑæ¨ΑæÚÃΑϏÞæÚÞÞΑÞÞæÞϐΡΑÞæêÄæΑÄΑ«×¨ÚΑæ¨æΑæ¨ΑÞ¨ÃΑ«ÞΑ
ËÄÄæΑæËΑÄº«Ä£ΑÄΑæΑÚÞæÚêæêÚ«Ä£ΠΑThus, options (a) and option (c) get automatically elimi-
nated. Applying that logic, one can reach the correct answer.
31
¨ææ×΢έέöööΠæ¨¨«ÄêΠËÃέêÞ«ÄÞÞέ+ÄêÞæÚüέ"«ÚÞæα[͍αæαÚα
SOURCE :
Þæα£æÞα××ÚËõ½έÚæ«½͊͏͍͌͐͏͉͎Π
¨ææ×΢έέ«Ä«Äû×ÚÞÞΠËÃέÚæ«½έêÞ«ÄÞÞέÄº«Ä£αÄαĈα
ÄÄέÚ«αêÄõ«½ÞαÄöαÞ¨ÃαæËαæº½αα½ËÄÞαË¢α«£αĈÚÃÞα͎͋͑͊͊͑͏έ
¨ææ×Þ΢έέöööΠæ¨¨«ÄêΠËÃέêÞ«ÄÞÞέ+ÄêÞæÚüέ"«ÚÞæα[͍αæαÚα
Þæα£æÞα××ÚËõ½έÚæ«½͊͏͍͌͐͏͉͎Π
ÄΑΑËõÚΑÞΑ×ÚæΑË¢Αæ¨ΑËÄËÃ«Α[êÚõüΑ[êÃÃÚüΠ
ΑBËÄΑTÚ¢ËÚÃ«Ä£ΑÞÞæΑλBTμΑ«ÞΑΑ½ËÄΑËÚΑõÄΑ¢ËÚΑö¨«¨Αæ¨Α×Ú«Ä«×½ΑËÚΑ«ÄæÚÞæΑ×üÃÄæΑÚÃ«ÄΑ
ËõÚêΑ¢ËÚΑΑ×Ú«ËΑË¢Α͉͒ΑüÞΠΑ
ÄºÞΑÚΑ¢êÚæ¨ÚΑÚÙê«ÚΑæËΑ½ÞÞ«¢üΑBTÞΑ¢êÚæ¨ÚΑ«ÄæËΑ
[êÞæÄÚΡΑ
Ëêæ¢ê½ΑÄΑ
;ËÞÞΑÞÞæÞΠΑ
Substandard assets:ΑÞÞæÞΑö¨«¨Α¨ÞΑÚÃ«ÄΑBTΑ¢ËÚΑΑ×Ú«ËΑ½ÞÞΑæ¨ÄΑËÚΑÙê½ΑæËΑ͊͋ΑÃËÄæ¨ÞΠΑ
Doubtful assets: ÄΑÞÞæΑöËê½ΑΑ½ÞÞ«ĈΑÞΑËêæ¢ê½Α«¢Α«æΑ¨ÞΑÚÃ«ÄΑ«ÄΑæ¨ΑÞêÞæÄÚΑæ£ËÚüΑ
¢ËÚΑΑ×Ú«ËΑË¢Α͊͋ΑÃËÄæ¨ÞΠΑ
Loss assets:ΑÞΑ×ÚΑW +ΡΑύ;ËÞÞΑÞÞæΑ«ÞΑËÄÞ«ÚΑêÄË½½æ«½ΑÄΑË¢ΑÞê¨Α½«ææ½Αõ½êΑæ¨æΑ«æÞΑËÄæ«Äêα
ÄΑÞΑΑÄº½ΑÞÞæΑ«ÞΑÄËæΑöÚÚÄæΡΑ½æ¨Ëê£¨Αæ¨ÚΑÃüΑΑÞËÃΑÞ½õ£ΑËÚΑÚËõÚüΑõ½êΠώΑ
+æΑ«ÞΑÃÄæËÚüΑ¢ËÚΑΑ½ËÄΑËêÄæΑæêÚÄÞΑ«ÄæËΑΑBTΑæ¨æΑÄºÞΑÚΑÚÙê«ÚΑæËΑ«Äæ«¢üΑ«Ä«×«ÄæΑÞæÚÞÞΑ
«ÄΑæ¨ΑËêÄæΑüΑÚæ«Ä£Αæ¨ÚΑÞêαæ£ËÚ«ÞΑêÄÚΑæ¨Α[pecial Mention Account category as given
in the below:
[Aα͉΢ΑTÚ«Ä«×½ΑËÚΑ«ÄæÚÞæΑ×üÃÄæΑÄËæΑËõÚêΑ¢ËÚΑÃËÚΑæ¨ÄΑ͉͌ΑüÞΑêæΑËêÄæΑÞ¨Ëö«Ä£ΑÞ«£ÄÞΑË¢Α
«Ä«×«ÄæΑÞæÚÞÞΑ
[Aα͊΢ΑTÚ«Ä«×½ΑËÚΑ«ÄæÚÞæΑ×üÃÄæΑËõÚêΑæöÄΑ͌͊α͏͉ΑüÞΑ
[Aα͋΢ΑTÚ«Ä«×½ΑËÚΑ«ÄæÚÞæΑ×üÃÄæΑËõÚêΑæöÄΑ͏͊α͉͒ΑüÞΑ
The parameters for identifying both NPA and Special Mention Accounts are decided by Reserve Bank
of India.
32
Year 2017 SMALL FINANCE BANKS
Q2. What is the purpose of setting up of Small Finance Banks (SFBs) in India?
1. To supply credit to small business units
2. To supply credit to small and marginal farmers
3. To encourage young entrepreneurs to set up business particularly in rural areas.
(a) 1 and 2 only
(b) 2 and 3 only
(c) 1 and 3 only
(d) 1, 2 and 3
ANSWERS A
ANSWERS
EXPLANATION
b¨ΑË¶æ«õÞΑË¢ΑÞææ«Ä£Αê×ΑË¢ΑÞÃ½½ΑĈÄÄΑÄºÞΑö«½½ΑΑæËΑ¢êÚæ¨ÚΑĈÄÄ«½Α«Ä½êÞ«ËÄΑü
×ÚËõ«Þ«ËÄΑË¢ΑÞõ«Ä£ÞΑõ¨«½ÞΡΑÄΑ
[ê××½üΑ Ë¢Α Ú«æΑæËΑ ÞÃ½½Α êÞ«ÄÞÞΑ êÄ«æÞΣΑ ÞÃ½½Α ÄΑ ÃÚ£«Ä½Α¢ÚÃÚÞΣΑ Ã«ÚËΑ ÄΑ ÞÃ½½Α «ÄêÞæÚ«ÞΣΑ ÄΑ
Ëæ¨ÚΑêÄËÚ£Ä«ÞΑÞæËÚΑÄæ«æ«ÞΡΑæ¨ÚËê£¨Α¨«£¨Αæ¨ÄË½Ë£üα½ËöΑËÞæΑË×Úæ«ËÄÞΠ
About Small Finance Banks
[Ã½½Α"«ÄÄΑ ÄºÞΑλ[" μΑÚ£«ÞæÚΑÞΑ×ê½«Α½«Ã«æΑËÃ×Ä«ÞΑêÄÚΑæ¨ΑËÃ×Ä«ÞΑæΡΑ͉͋͊͌Α«ÄæÄΑæËΑ
×ÚËõ«ΑĈÄÄ«½ΑÞÚõ«ÞΑæËΑæ¨ΑêÄÞÚõΑÄΑêÄÄºΑÚ£«ËÄΑË¢Αæ¨ΑËêÄæÚüΠΑ
b¨ΑW +Α«ÞÞêΑ£ê«½«ÄÞΑ¢ËÚΑæ¨ΑÞææ«Ä£Αê×ΑË¢ΑËæ¨ΑTüÃÄæÞΑ ÄºÞΑλT ÞμΑÄΑ[Ã½½Α"«ÄÄΑ ÄºÞΑλ[" ÞμΡΑ
«ÄΑ͉͍͋͊ΑÚÞ×æ«õ½üΠΑ
[" ÞΑ×Ú«ÃÚ«½üΑêÄÚæºΑÞ«ΑÄº«Ä£Αæ«õ«æ«ÞΑË¢Α×æÄΑË¢Α×ËÞ«æÞΑλËæ¨ΑÃÄΑÄΑæ«ÃΑ×ËÞα
«æÞμΑÄΑ½Ä«Ä£Αλö«æ¨Α½«Ã«æÞμΑæËΑêÄαÞÚõΑÄΑêÄÚÞÚõΑÞæ«ËÄÞΑ«Ä½ê«Ä£ΑÞÃ½½ΑêÞ«ÄÞÞΑêÄ«æÞΡΑÞÃ½½Α
ÄΑÃÚ£«Ä½Α¢ÚÃÚÞΡΑÃ«ÚËΑÄΑÞÃ½½Α«ÄêÞæÚ«ÞΡΑÄΑêÄËÚ£Ä«āΑÞæËÚΑÄæ«æ«ÞΡΑêæΑö«æ¨ËêæΑÄüΑÚÞæÚ«α
æ«ËÄΑ«ÄΑæ¨ΑÚΑË¢ΑË×Úæ«ËÄÞΡΑêÄ½«ºΑW£«ËÄ½ΑWêÚ½Α ÄºÞΑËÚΑ;Ë½ΑÚΑ ÄºÞΠΑ
b¨üΑÚΑÞê¶æΑæËΑ½½Α×ÚêÄæ«½ΑÄËÚÃÞΑÄΑÚ£ê½æ«ËÄÞΑË¢ΑW +ΑÞΑ××½«½ΑæËΑû«Þæ«Ä£ΑËÃÃÚ«½ΑÄºÞΑ
½«ºΑÃ«ÄæÄÄΑË¢ΑÞ¨ΑWÞÚõΑWæ«ËΑλWWμΑÄΑ[ææêæËÚüΑ;«Ùê««æüΑWæ«ËΑλ[;WμΠΑ
b¨üΑÄΑ«ÞÞêΑ«æΑÚÞΠΑÄΑæ¨ΑÃ«Ä«ÃêÃΑ×«αê×Α×«æ½ΑÚÙê«ÚΑ¢ËÚΑÞÃ½½ΑĈÄÄΑÄºÞΑ«ÞΑWÞΑ
200 crores. Hence option (a) is the correct answer.
ANALYSIS:
SOURCE : ¨ææ×Þ΢έέÚ«ΠËÚ£Π«ÄέÞÚ«×æÞέ [εTÚÞÞW½Þ«Þ×½üΠÞ×ûΧ×Ú«Ͻ͌͋͏͍͊Α
[Ã½½Α"«ÄÄΑ ÄºÞΑλ[" ÞμΑ¨õΑÄΑ«ÄΑÄöÞΠ

BËæΑ ËõÚΑ «ÄΑ ÄüΑ Ë¢Α æ¨Α ÞÞÄæ«½Α AæÚ«½ΡΑ êæΑ Þê¨Α æË×«ÞΑ Ë¢æÄΑ ××ÚΑ «ÄΑ æ¨Α ÄöÞ××ÚÞΑ ÄΑ ÃÄüΑΑ
ÞÞË«æΑÚ£ê½æ«ËÄÞΑ¢ËÚΑæ¨ΑÞÃΑ¨ΑËÃΑλÚΠΑB¨«ºæΑAËÚΑËÃÃ«ææΑÚËÃÃÄæ«ËÄÞμ
33
Year 2018 CAPITAL ADEQUACY RATIO
Q3. Consider the following statements:

1. Capital Adequacy Ratio (CAR) is the amount that banks have to maintain in the form of their own funds to offset
any loss that banks incur if the account-holders fail to repay dues.
2. CAR is decided by each individual bank.
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
ANSWERS A
EXPLANATION
ANSWERS
Statement 1 is correct:Α×«æ½ΑÙêüΑWæ«ËΑλWμΡΑö¨«¨Α«ÞΑ½ÞËΑºÄËöÄΑÞΑCapital to Risk (Weighted)
Assets RatioΑ«ÞΑæ¨ΑÚæ«ËΑË¢ΑΑÄºϖÞΑ×«æ½Α«ÄΑÚ½æ«ËÄΑæËΑ«æÞΑÚ«ÞºΑö«£¨æΑÞÞæÞΑÄΑêÚÚÄæΑ½««½«æ«ÞΠΑ+æΑ
«ÞΑ«ΑüΑÄæÚ½ΑÄºÞΑÄΑÄºΑÚ£ê½æËÚÞΑæËΑ×ÚõÄæΑËÃÃÚ«½ΑÄºÞΑ¢ÚËÃΑæº«Ä£ΑûÞÞΑ½õÚ£Α
ÄΑ ËÃ«Ä£Α «ÄÞË½õÄæΑ «ÄΑæ¨Α ×ÚËÞÞΠΑ Simply put, it is the amount of money that a bank has in its
reserve to cover any losses in its loans.Α+æΑ«ÞΑ½ê½æΑüΑ«õ««Ä£ΑΑÄºϖÞΑ×«æ½ΑüΑ«æÞΑÚ«Þºαö«£¨æΑ
ÞÞæÞΠ
Statement 2 is not correct:Α+æΑ«ÞΑæ¨ΑWÞÚõΑ ÄºΑË¢Α+Ä«ΑλW +μΑæ¨æΑÞæÞΑæ¨ΑÄËÚÃÞΑ¢ËÚΑæ¨ΑÄºÞΑæËΑÃ«Äα
æ«ÄΑWΠΑÞΑË¢ΑHæËÚΑ͉͋͋͌ΡΑæ¨ΑW +Α¨ÞΑÞ«Αæ¨æΑ½½Αæ¨ΑÞ¨ê½ΑËÃÃÚ«½ΑÄºÞΑÚΑÚÙê«ÚΑæËΑ
Ã«Äæ«ÄΑΑWΑË¢Α͒АΑö¨«½Αæ¨Α+Ä«ÄΑ×ê½«ΑÞæËÚΑÄºÞΑÚΑÚÙê«ÚΑæËΑÃ«Äæ«ÄΑΑWΑË¢Α͊͋АΠ
ANALYSIS:
+æΑΑÞ«ΑËÄ×æΑ«ÄΑÃÚËËÄËÃ«ÞΡΑÄΑ¨ÞΑ½öüÞΑÄΑ«ÄΑæ¨ΑÄöÞΑËö«Ä£ΑæËΑ [;ΑBHWA[Αæ¨æΑ£ê«Α
æ¨ΑÄæÚ½ΑÄºÞΑÚËÞÞΑæ¨ΑöËÚ½ΑæËΑÃ«Äæ«ÄΑæ¨ΑĈÄÄ«½ΑÞæ«½«æüΑË¢Αæ¨ΑÄºÞΑÄΑËÄËÃ«ÞΠΑWΑÄΑ
Α Α ÚêÚÚ«Ä£Α æ¨ÃΑ ÞΑ «æÞΑ «Ã×ËÚæÄΑ ÚÃ«ÄÞΑ æ¨Α ÞÃΑ Þ×«½½üΑ êÞΑ ÃÄüΑ £½Ë½½üΑ «Ã×ËÚæÄΑ
ÄºÞΑ¨õΑ¢«½Α«ÄΑæ¨ΑÚÄæΑ×ÞæΠ

ÞΑ«æΑ«ÞΑΑ͋αÞææÃÄæΑÙêÞæ«ËÄΡΑæ¨ÚΑ«ÞΑ½öüÞΑ½ÞÞΑÞË×Α¢ËÚΑ½«Ã«Äæ«ËÄΡΑêæΑÞææÃÄæΑ͋ΑÄΑΑË¢ΑÞËÃΑ
¨½×Α«ÄΑ½«Ã«Äæ«Ä£ΑæöËΑË¢Αæ¨Α¢ËêÚΑË×æ«ËÄÞΠ If we assume that statement 1 is correct, then logically state-
ment 2 should not be correctΑÞΑÃ«Äæ«Ä«Ä£ΑĈÞ½ΑÞæ«½«æüΑÄÄËæΑΑ«ÄΑæ¨Α¨ÄÞΑË¢Αæ¨ΑÄºÞΑö«æ¨ËêæΑ
æ¨ΑW +Α×½ü«Ä£ΑÄüΑÚË½Π
How to cover? b¨ÞΑæÚÃÞΑÚΑË¢æÄΑÃÄæ«ËÄΑλÄΑÞËÃæ«ÃÞΑû×½«ÄμΑ«ÄΑæ¨ΑÞæÄÚΑÄöÞ××ÚÞΑ
«ÄΑæ¨ΑËÄæûæΑË¢ΑÚ£ê½æËÚüΑ¨Ä£ÞΑÃΑüΑæ¨ΑW +ΑÚ£Ú«Ä£ΑÄºΑÞ¢æüΠΑ(ÄΑæ¨ΑϏËÄËÃüέêÞ«α
ÄÞÞϐΑ×£ÞΑË¢Αæ¨ΑÞæÄÚΑÄöÞ××ÚÞΑÃêÞæΑΑÚ£ê½Ú½üΑÚΠ
b¨Α¢Ë½½Ëö«Ä£Α½«ÄºΑö«½½Α½ΑüËêΑæËΑÚæ«½ΑËÄΑb¨Α(«ÄêΑ×ê½«Þ¨Α«ÄΑê£êÞæΡΑ͉͋͊͐
«æ«ËÄ½Α+Ä¢ËÚÃæ«ËÄ
Provisioning Coverage Ratio (PCR) ÃÞêÚÞΑΑÄºϖÞΑ«½«æüΑæËΑËõÚΑ«æÞΑΑ½ËÄÞΑËÚΑÄËÄα×Ú¢ËÚÃ«Ä£Α
ÞÞæÞΑλBTÞμΑö«æ¨Αæ¨ΑÃËÄüΑ«æΑ¨ÞΑÞæΑÞ«Α¢ËÚΑæ¨æΑõÚüΑ×êÚ×ËÞΠΑ+æΑ«ÞΑ½ê½æΑüΑ«õ««Ä£Αæ¨ΑæËæ½Α
õ½êΑË¢Αæ¨ΑÄºϖÞΑ×ÚËõ«Þ«ËÄÞΑ¢ËÚΑΑ½ËÄÞΑüΑæ¨ΑæËæ½Αõ½êΑË¢Α«æÞΑÄËÄα×Ú¢ËÚÃ«Ä£ΑÞÞæÞΠ
34
Loans to Deposits ratio (LDR) ÃÞêÚÞΑΑÄºϖÞΑ½«Ùê««æüΑÄΑ«æÞΑ«½«æüΑæËΑ¢êÄΑ«æÞΑ½ËÄΑ×ËÚæ¢Ë½«ËΑÄΑ«ÞΑ

½ê½æΑüΑ«õ««Ä£ΑΑÄºϖÞΑæËæ½Α½ËÄÞΑüΑ«æÞΑæËæ½Α×ËÞ«æÞΠΑ
Cost to Income ratio (CIR)ΑÃÞêÚÞΑ¨ËöΑĆ«ÄæΑΑÄºΑ«ÞΑ«ÄΑÃÄ£«Ä£Α«æÞΑËÞæÞΑÚ½æ«õΑæËΑ«æÞΑ«ÄËÃΠΑ
b¨ΑÚæ«ËΑ«ÞΑ½ê½æΑüΑ«õ««Ä£ΑΑÄºϖÞΑË×Úæ«Ä£Αû×ÄÞÞΑüΑ«æÞΑË×Úæ«Ä£Α«ÄËÃΠΑ
SOURCE : ¨ææ×Þ΢έέöööΠæ¨¨«ÄêΠËÃέË×«Ä«ËÄέË×αέö¨æα«Þα×«æ½αÙêΑüαÚæ«Ëα«ÄαĈÄÄέÚæ«α
½͍͊͒͌͒͒͐͑Π
Year 2018 CAPITAL INFUSION IN BANKS
V͍ΠΑr«æ¨ΑÚ¢ÚÄΑæËΑæ¨Α£ËõÚÄÄΑË¢Α×ê½«ΑÞæËÚΑÄº«Ä£Α«ÄΑ+Ä«ΡΑËÄÞ«ÚΑæ¨Α¢Ë½½Ëö«Ä£Α
statements:
1. Capital infusion into public sector banks by the Government of India has steadily increased in the last decade.
2. To put the public sector banks in order, the merger of associate banks with the parent State Bank of India has
been affected.
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
ANSWERS B
EXPLANATION
Statement 1 is not correct asΑ×«æ½Α«Ä¢êÞ«ËÄΑ«ÄæËΑ×ê½«ΑÞæËÚΑÄºÞΑüΑæ¨Α#ËõÚÄÃÄæΑË¢Α+Ä«Α¨ÞΑ

ÄËæΑÞæ«½üΑ«ÄÚÞΑ«ÄΑæ¨Α½ÞæΑΠΑ
Statement 2 is correct:Αb¨ΑÃÚ£ÚΑË¢Α[ +ΑÞÞË«æΑÄºÞΑêÄÚΑ[æ«ËÄΑ͎͌ΑË¢Αæ¨Α[ææΑ ÄºΑË¢Α+Ä«Α

æΡΑ ͎͎͊͒Α ö«½½Α ÚÞê½æΑ «ÄΑ æ¨Α Úæ«ËÄΑ Ë¢Α Α ÞæÚËÄ£ÚΑ ÃÚ£Α Äæ«æüΠΑb¨«ÞΑ ö«½½Α Ã«Ä«Ã«āΑõê½ÄÚ«½«æüΑ æËΑ ÄüΑ
£Ë£Ú×¨«ΑËÄÄæÚæ«ËÄΑÚ«ÞºÞΑ¢ΑüΑÞêÞ««ÚüΑÄºÞΠΑ+æΑö«½½ΑÚæΑ«Ã×ÚËõΑË×Úæ«ËÄ½ΑĆ«ÄüΑ
ÄΑËÄËÃ«ÞΑË¢ΑÞ½ΠΑ+æΑö«½½Α½ÞËΑÚÞê½æΑ«ÄΑ«Ã×ÚËõΑÚ«ÞºΑÃÄ£ÃÄæΑÄΑêÄ«ĈΑæÚÞêÚüΑË×Úæ«ËÄÞΠΑ
ANALYSIS:
ÞΑæ¨«ÞΑÙêÞæ«ËÄΑ¢æêÚΑ«ÄΑ͉͋͊͑ΡΑϏ½ÞæΑ͉͊ΑüÚÞϐΑÃÄÞΑæöÄΑ͉͉͋͑ΑæËΑ͉͋͊͑ΠΑ+ÄΑ͉͋͊͑ΡΑÞõÚ½ΑÄöÞ××ÚΑ
Úæ«½ÞΑ«ÞêÞÞΑæ¨ΑÄÄËêÄÃÄæΑÃΑ«ÄΑæ¨Α ê£æΑ͉͋͊͑α͊͒Α¢æÚΑæ¨ΑËÄËÃ«Α[êÚõüΑ͉͎͋͊α͊͏ΑΑ
Ã×¨Þ«āΑæ¨æΑÚÞÞ«Ä£Αæ¨ΑÞæÚÞÞΑÞÞæÞΑ×ÚË½ÃΑöËê½ΑÚÙê«ÚΑ͍ΑWϐÞ΢ΑW¢ËÚÃΡΑWË£Ä«æ«ËÄΡΑW×«α
æ½«āæ«ËÄΡΑÄΑWÞË½êæ«ËÄΠ
35
FINANCIAL WOES
¨ææ×Þ΢έέöööΠ½«õÃ«ÄæΠËÃέ+ÄêÞæÚüέæ;Þ½Äα 90,000
¶ê½͌͒ q £º6ê9fα Public sector banks have 80,000

£9έb¨αÞæËÚüαË¢αÄÞα×«æ½α«Ä¢êÞ«ËÄ
80,000 been posting heavy losses
in recent years
Π¨æÃ½ 70,000 65,000
¨ææ×Þ΢έέæ«ÃÞËĈÄ«Π«Ä«æ«ÃÞΠËÃέ«Äα 50,582 37,540
60,000
«έÄα
æÚα¨Þα×êÃ×αÚÞα͋α͏α½º¨αÚËÚα«ÄæËα£Ëõ 49,514 37,019
50,000
æαÚêÄαÄºÞαËõÚα͊͊αüÚÞέÚæ«½Þ¨Ëöέ͏͋͒͐
͍͑͌͏ΠÃÞ 40,000 44,901
25,000
[¨ÚΑËÄΑæ¨ΑÚ«£¨æΑ«ÞΑÄΑ«Ã£Α¢ÚËÃΑΑb«ÃÞΑ 30,000 14,000 24,997
Ë¢Α+Ä«ΑÚæ«½
20,000 18,617 12,517
12,000
10,000 6,990
0
-10,000
Capital From Govt
1HW3URǓW
-20,000 -17,993
-30,000 -21,395 NA NA
2010- 2011- 2012- 2013- 2014- 2015- 2016- 2017- 2018-
2011 2012 2013 2014 2015 2016 2017 2018 2019
Source: Budget documents & RBI
Year 2019 RESTRUCTURING OF ASSETS
V͎ΠΑr¨æΑöÞΑæ¨Α×êÚ×ËÞΑË¢Α+ÄæÚαÚ«æËÚΑ£ÚÃÄæΑÞ«£ÄΑüΑ+Ä«ÄΑÄºÞΑÄΑĈÄÄ«½Α«ÄÞæ«α
tutions recently?
(a) The lessen the Government of India’s perennial burden of fiscal deficit and current account deficit.
(b) To support the infrastructure projects of Central and State Governments
(c) To act as independent regulator in case of application for loans of Rs. 50 core or more
(d) To aim at faster resolution of stressed assets of Rs. 50 crore or more which are under consortium lending
ANSWERS D
EXPLANATION
b¨Α +ÄæÚαÚ«æËÚΑ£ÚÃÄæΑ ËÚΑ +Α «ÞΑ ÄΑ £ÚÃÄæΑ ÃËÄ£Α ÄºÞΑæ¨æΑ ¨õΑ êÞΑ¢ÚËÃΑ Α ËÚÚËöÚΑ «ÄΑ
ÞæÚÞÞΠΑb¨Α ×æΑ ÃÄæÞΑæ¨Α ½Α ÄºΑæËΑ¢ËÚÃê½æΑ Α ÚÞË½êæ«ËÄΑ ×½ÄΑæ¨æΑö«½½Α Α ûêæΑ «ÄΑ Αæ«ÃΑ
ËêÄΑÃÄÄÚΠ
+ÄΑ Α «ΑæËΑ ÄÞêÚΑ Þö«¢æΑ ÚÞË½êæ«ËÄΑ Ë¢Α ÄËÄα×Ú¢ËÚÃ«Ä£Α ÞÞæÞΡΑ ÚËêÄΑ ͋͋Α ×ê½«Α ÞæËÚΑ ÄºÞΑ λ«Ä½ê«Ä£Α
+Ä«ΑTËÞæΑTüÃÄæÞΑ ÄºμΡΑ͊͒Α×Ú«õæΑ½ÄÚÞΑÄΑ͌͋Α¢ËÚ«£ÄΑÄºÞΑËÄΑAËÄüΑÞ«£ÄΑæ¨Α«ÄæÚαÚ«æËÚΑ
£ÚÃÄæΑλ+μΑæËΑ¢ÞæΑæÚºΑæ¨ΑÚÞË½êæ«ËÄΑË¢ΑÞæÚÞÞΑÞÞæÞΠΑb¨«ÞΑ¨××ÄΑ«ÄΑ͉͋͊͑ΠΑb¨Αæ¨ÄΑ"«ÄÄΑ
A«Ä«ÞæÚΑÞÚ«Αæ¨ΑÃËõΑÞΑΑϖ¨ê£ΑÞæ×Α¢ËÚöÚϖΑ«ÄΑÚÞÞ«Ä£Αæ¨ΑÄº«Ä£ΑÞæËÚϖÞΑΑ½ËÄÞΠΑb¨Α
£ÚÃÄæΑöÞΑ½ÞËΑÞ«£ÄΑüΑ͊͋ΑÃ¶ËÚΑĈÄÄ«½Α«ÄÞæ«æêæ«ËÄÞΑ½«ºΑ;+ΡΑ(fHΡΑÃËÄ£ΑËæ¨ÚÞΠΑ
36
ÞΑ×ÚΑæ¨Α+ΡΑϕb¨Α½Α½ÄÚΡΑæ¨æΑ«ÞΑæ¨Α½ÄÚΑö«æ¨Αæ¨Α¨«£¨ÞæΑû×ËÞêÚΡΑÞ¨½½ΑΑêæ¨ËÚ«ÞΑæËΑ¢ËÚÃêα
½æΑæ¨ΑÚÞË½êæ«ËÄΑ×½ÄΡΑö¨«¨ΑÞ¨½½ΑΑ×ÚÞÄæΑæËΑæ¨Α½ÄÚÞΑ¢ËÚΑæ¨«ÚΑ××ÚËõ½ΠϕΑb¨Α«Þ«ËÄαÃº«Ä£Α
ö«½½ΑΑüΑöüΑË¢Α××ÚËõ½ΑË¢ΑϖÃ¶ËÚ«æüΑ½ÄÚÞϖΡΑæ¨ËÞΑö«æ¨Α͏͏Α×ÚΑÄæΑÞ¨ÚΑ«ÄΑæ¨Α££Ú£æΑû×ËÞêÚΠΑThe
ICA agreement covers cases of stressed assets worth at least Rs 50 crore under consortium lending.
Hence option (d) is the correct answer.
ANALYSIS:
(ΑÄΑ«ÄΑÄöÞΑ¢ÚÙêÄæ½üΑÞ«ÄΑ͉͋͊͑ΠΑÄΑΑËõÚΑö«æ¨Αæ¨ΑBTΑ×ÚË½ÃΡΑö¨«¨Α¨ÞΑÄΑö«½üΑ×Úõα
½ÄæΑ¢ËÚΑ½ÃËÞæΑ͏α͐ΑüÚÞΠΑ
SOURCE : ¨ææ×Þ΢έέËÄËÃ«æ«ÃÞΠ«Ä«æ«ÃÞΠËÃέ«ÄêÞæÚüέÄº«Ä£έĈα
nance/banking/guidelines-on-inter-creditor-agreement-next-week/articles
¨Ëöέ͏͎͍͉͒͒͏͋ΠÃÞ
BËæΑËõÚΑ«ÄΑÄüΑË¢Αæ¨ΑÞÞÄæ«½ΑAæÚ«½ΡΑêæΑæË×«ÞΑöÚΑ«ÄΑÄöÞΑ«ÄΑæ¨ΑËÄæûæΑË¢ΑÚÞæÚêæêÚ«Ä£ΑąËÚæÞΠΑ
Year 2019 BANK BOARD BUREAU
Q6. The Chairman of public sector banks are selected by the

(a) Banks Board Bureau
(b) Reserve Bank of India
(c) Union Ministry of Finance
(d) Management of the concerned bank
ANSWERS A
EXPLANATION
ÄºÞΑ ËÚΑ êÚêΑ λËÚΑ μΑ ÚËÃÃÄÞΑ¢ËÚΑ Þ½æ«ËÄΑ Ë¢Α ¨ÞΑ Ë¢Α ×ê½«Α [æËÚΑ ÄºÞΑ ÄΑ "«ÄÄ«½Α
+ÄÞæ«æêæ«ËÄÞΑÄΑ¨½×ÞΑÄºÞΑ«ÄΑõ½Ë×«Ä£ΑÞæÚæ£«ÞΑÄΑ×«æ½ΑÚ«Þ«Ä£Α×½ÄÞΠΑ+æΑöÞΑ«ÄæÚËêΑêÄÚΑæ¨Α
Mission IndradhanushΑ¢ËÚΑÄº«Ä£ΑÞæËÚΑ½êÄ¨ΑüΑæ¨Α#ËõÚÄÃÄæΑË¢Α+Ä«Α«ÄΑ͉͎͋͊ΠΑHence option (a)
is the correct answer.
ANALYSIS:

«æ¨ÚΑüËêΑºÄËöΑæ¨ΑÄÞöÚΑËÚΑüËêΑËÄϐæΑºÄËöΠΑBËΑÞË×ΑêæΑ ΑΑ¨ÞΑ½öüÞΑÄΑ«ÄΑæ¨ΑÄöÞΠ
b¨Α ÄºÞΑ ËÚΑ êÚêΑλ μΑrecently (in 2019)Α«Äæ«ĈΑ͎͐ΑÞÄ«ËÚΑÃÄ£ÃÄæΑ×ÚÞËÄÄ½ΑË¢Α×ê½«Α
ÞæËÚΑ½ÄÚÞΑæËΑæºΑËõÚΑ½ÚÞ¨«×ΑÚË½ÞΑ«ÄΑæ¨Α¢êæêÚΠ
37
SOURCE : Standard newspapers

Link: https://www.thehindubusinessline.com/money-and-bank-
«Ä£έα«Äæ«ĈÞα͎͐αÞÄ«ËÚαËĆÚÞα¢ËÚα½ÚÞ¨«×αÚË½Þα«Äα×ÞÞέÚæ«½͋͏͍͑͑͒͏͒Π
Please Note:
b¨Α#ËõÚÄÃÄæΑ¨ÞΑÚÞæΑæ¨Α ÄºΑ ËÚΑ êÚêΑλ μΑ«ÄæËΑ"«ÄÄ«½Α[Úõ«ÞΑ+ÄÞæ«æêæ«ËÄÞΑ
êÚêΑλ"[+ μΠΑ+æΑ¨××ÄΑ«ÄΑ͉͋͋͋ΑÞΑæ¨Αąæ«õÄÞΑË¢ΑΑ ΑöÞΑ«ÄΑÙêÞæ«ËÄΠΑ9«Ä½üΑÚ¢ÚΑæËΑ
æ¨Α½«ÄºΑæËΑºÄËöΑÃËÚΑËêæΑæ¨ΑÞÃΠ
https://www.thehindu.com/business/government-re-
ÞæÞαÄºÞαËÚαêÚêα«ÄæËα¢Þ«έÚæ«½͏͎͎͑͒͑͏͉Π
Year 2019 SERVICE AREA APPROACH
V͐ΠΑb¨Α[Úõ«ΑÚΑ××ÚË¨ΑöÞΑ«Ã×½ÃÄæΑêÄÚΑæ¨Α×êÚõ«öΑË¢
(a) the Integrated Rural Development Programme
(b) Lead Bank Scheme
(c) Mahatma Gandhi National Rural Employment Guarantee Scheme
(d) National Skill Development Mission
ANSWERS B
EXPLANATION
b¨Α [Úõ«ΑÚΑ××ÚË¨Α λ[μΑ «ÄæÚËêΑ «ÄΑ×Ú«½Α ͊͒͑͒ΡΑ «ÄΑ ËÚÚΑæËΑ Ú«Ä£Α ËêæΑ ËÚÚ½üΑ ÄΑ ×½ÄÄΑ
õ½Ë×ÃÄæΑË¢ΑÚêÚ½ΑÄΑÞÃ«αêÚÄΑÚÞΑË¢Αæ¨ΑËêÄæÚüΡΑöÞΑûæÄΑæËΑ½½Α+Ä«ÄΑÞ¨ê½ΑËÃÃÚα
«½ΑÄºÞΑ«Ä½ê«Ä£ΑW£«ËÄ½ΑWêÚ½Α ÄºÞΑλWW ÞμΠ
b¨ΑÞÚõ«ΑÚΑ××ÚË¨Α«ÞΑÄΑ½æÚÄæ«õΑÄΑ«Ã×ÚËõΑÃæ¨ËΑÄΑêÄÚΑæ¨Αæ¨Α;Α ÄºΑ[¨ÃΑ
¢ËÚΑæ¨Α×½ËüÃÄæΑË¢ΑÄºΑÚ«æΑ¢ËÚΑÚêÚ½Αõ½Ë×ÃÄæΠΑfÄÚΑ[ΡΑ¨ΑÄºΑÚÄ¨Α«ÄΑÚêÚ½ΑÄΑÞÃ«αêÚα
ÄΑÚÞΑöÞΑÞ«£ÄæΑæËΑÞÚõΑÄΑÚΑË¢Α͎͊ΑæËΑ͎͋Αõ«½½£ÞΑÄΑæ¨ΑÚÄ¨ΑöÞΑÚÞ×ËÄÞ«½Α¢ËÚΑÃæ«Ä£Α
æ¨ΑÄÞΑË¢ΑÄºΑÚ«æΑË¢Α«æÞΑÞÚõ«ΑÚΠ Hence option (b) is the correct answer.
b¨Α ×Ú«ÃÚüΑ Ë¶æ«õΑ Ë¢Α [ΑöÞΑæËΑ «ÄÚÞΑ ×ÚËêæ«õΑ ½Ä«Ä£Α ÄΑ¢ËÚ£Α ąæ«õΑ ½«Äº£ÞΑ æöÄΑ
ÄºΑÚ«æΡΑ×ÚËêæ«ËÄΡΑ×ÚËêæ«õ«æüΑÄΑ«ÄÚÞΑ«ÄΑ«ÄËÃΑ½õ½Þ
38
ANALYSIS:
Motivation
fT[Α º×ÞΑ Þº«Ä£Α ÙêÞæ«ËÄÞΑ Ú½æΑ æËΑ Ë½Α êæΑ «Ã×ËÚæÄæΑ Þ¨ÃÞΠΑ b¨ÃΑ Ú×æ«æ«ËÄΑ λ͉͋͊͋Α ÙêÞæ«ËÄΑ
ÞºΑËÄΑ½ΑÄºμ
Source/ How to cover? -Α¨ææ×Þ΢έέÚ«ΠËÚ£Π«ÄέÞÚ«×æÞέ [εq«öAÞ«Úê½Úæ«½ÞΠÞ×ûΧ«Ͻ͎͒͑͌
Year 2019 ASSETS OF A BANK
V͑ΠΑr¨«¨ΑË¢Αæ¨Α¢Ë½½Ëö«Ä£Α«ÞΑÄËæΑ«Ä½êΑ«ÄΑæ¨ΑÞÞæÞΑË¢ΑΑËÃÃÚ«½ΑÄºΑ«ÄΑ+Ä«Χ
(a) Advances
(b) Deposits
(c) Investments
(d) Money at call and short notice
ANSWERS B
EXPLANATION
+ÄΑÞ«Ã×½ΑöËÚÞΡΑÄºΑÞÞæÞΑÚΑËÄÞ«ÚΑanything that the bank owns,Αö¨ÚÞΑÄºΑ½««½«æ«ÞΑÚΑ

Äüæ¨«Ä£Αæ¨æΑæ¨ΑÄºΑËöÞΑæËΑÞËÃËÄΑ½ÞΠ
ΑÄºΑ×½ÞΑ«æÞΑ¢êÄÞΑ«ÄΑÞÞæÞΑæËΑÚÄΑ×ÚËĈæÞΠΑb¨ΑÞÞæÞΑ«Ä½êΑ«ÄõÞæÃÄæÞΡΑ½ËÄÞΑÄΑõÄÞΡΑ
ÃËÄüΑæΑ½½ΑÄΑÞ¨ËÚæΑÄËæ«ΡΑ«½½ÞΑ«ÞËêÄæΑÄΑ×êÚ¨ÞΠΑ+æΑ½ÞËΑ«Ä½êÞΑæ¨ΑÞ¨Α«ÄΑ¨ÄΑö«æ¨Αæ¨Α
ÄºÞΑ ÄΑ ½ÞËΑæ¨Α Þ¨Α ¨½Αö«æ¨Αæ¨Α W +ΠΑb¨Α ½««½«æ«ÞΑ «Ä½êΑ ×ËÞ«æÞλËæ¨Αæ«ÃΑ ÄΑ ÃÄμΑ ÄΑ
ËÚÚËö«Ä£ÞΠ Hence (b) is the correct answer.
ANALYSIS:
½æ¨Ëê£¨Α«æΑ«ÞΑÄΑ Αæü×ΑÙêÞæ«ËÄΡΑæ¨ΑÄÞöÚΑ
öÞΑÄËæΑ«Ćê½æΑæËΑ£æΠ

39
Year 2022 INTEREST COVERAGE RATIO
V͒ΠΑr¨æΑ«ÞΑæ¨Α«Ã×ËÚæÄΑË¢Αæ¨ΑæÚÃΑϕ+ÄæÚÞæΑËõÚ£ΑWæ«ËϕΑË¢ΑΑĈÚÃΑ«ÄΑ+Ä«ΧΑ
1. It helps in understanding the present risk of a firm that a bank is going to give loan to.
2. It helps in evaluating the emerging risk of a firm that a bank is going to give loan to.
3. The higher a borrowing firm's level of Interest Coverage Ratio, the worse is its ability to service its debt.
[½æΑæ¨ΑËÚÚæΑÄÞöÚΑêÞ«Ä£Αæ¨ΑËΑ£«õÄΑ½ËöΠΑ
(a) 1 and 2 only
(b) 2 only
(c) 1 and 3 only
(d) 1, 2 and 3
ANSWERS A
EXPLANATION
b¨Α«ÄæÚÞæΑËõÚ£ΑÚæ«ËΑ«ÞΑΑæΑÚæ«ËΑÄΑ×ÚËĈæ«½«æüΑÚæ«ËΑêÞΑæËΑæÚÃ«ÄΑ¨ËöΑÞ«½üΑΑËÃ×ÄüΑ
ÄΑ×üΑ«ÄæÚÞæΑËÄΑ«æÞΑËêæÞæÄ«Ä£ΑæΠΑΑ¨«£¨ÚΑËõÚ£ΑÚæ«ËΑ«ÞΑææÚΡΑ½æ¨Ëê£¨Αæ¨Α«½ΑÚæ«ËΑÃüΑ
õÚüΑüΑ«ÄêÞæÚüΠ Hence statement 3 is not correct. b¨Α+ÄæÚÞæΑËõÚ£ΑÚæ«ËΑ«ÞΑ½ÞËΑ½½Αύæ«ÃÞΑ«ÄæÚα
ÞæΑÚÄΠώΑ;ÄÚÞΡΑ«ÄõÞæËÚÞΡΑÄΑÚ«æËÚÞΑË¢æÄΑêÞΑæ¨«ÞΑ¢ËÚÃê½ΑæËΑæÚÃ«ÄΑΑËÃ×ÄüϖÞΑÚ«Þº«ÄÞÞΑ
Ú½æ«õΑæËΑ«æÞΑêÚÚÄæΑæΑËÚΑ¢ËÚΑ¢êæêÚΑËÚÚËö«Ä£ΠΑ
b¨Α«ÄæÚÞæΑËõÚ£ΑÚæ«ËΑ«ÞΑêÞΑæËΑÞΑ¨ËöΑö½½ΑΑĈÚÃΑÄΑ×üΑæ¨Α«ÄæÚÞæΑËÄΑËêæÞæÄ«Ä£ΑæΠΑ½ÞËΑ
½½Αæ¨Αæ«ÃÞΑα«ÄæÚÞæΑαΑÚÄΑÚæ«ËΡΑæ¨«ÞΑÚæ«ËΑ«ÞΑêÞΑüΑÚ«æËÚÞΑÄΑ×ÚËÞ×æ«õΑ½ÄÚÞΑæËΑÞÞÞÞΑ
æ¨ΑÚ«ÞºΑË¢Α½Ä«Ä£Α×«æ½ΑæËΑΑĈÚÃΠΑHence statements 1 and 2 are correct.
ANALYSIS:
Motivation
+æΑ«ÞΑËÄΑË¢Αæ¨ΑÚ«ÞºΑÞÞÞÞÃÄæΑ×ÚÃæÚΑË¢ΑΑËÃ×ÄüΠΑêÚ«Ä£Αæ¨«ÞΑæ«ÃΡΑBTΑÞ«æêæ«ËÄΑ«ÄΑÃÄüΑÄºÞΑ
öÞΑ×Úõ½ÄæΠΑ½ÞËΡΑËÃ×Ä«ÞΑ½ÚΑÄºÚê×æüΑÄΑ+ ΑËΑöÞΑ«Ä£ΑêÞΠΑb¨«ÞΑÞ«æêæ«ËÄΑÞæüΑ
«ÄΑÄöÞΑ¢ËÚΑΑ£ËËΑ͌α͍ΑüÚÞΑÄΑ¨ÄΑ«æΑÃΑ«Ã×ËÚæÄæΠΑ
Statement 3 can be eliminated as higher interest coverage ratio (as the term suggests) mean higher
interest (to be paid)ΑÄΑΑËõÚΑüΑæ¨ΑĈÚÃΑÄΑæ¨Ú¢ËÚΡΑ«æÞΑ«½«æüΑæËΑÞÚõ«Α«æÞΑæΑ«ÞΑææÚΠΑb¨Α
êÚÚÄæΑÚ«ÞºΑ×ÚËĈ½ΑË¢ΑΑËÃ×ÄüΑö«½½Α½ÞËΑ¨½×Α«ÄΑõ½êæ«Ä£Α¢êæêÚΑÚ«ÞºΑ×ÚËĈ½ΑË¢Αæ¨ΑÞÃΑËÃ×ÄüΠΑ½ÞËΡΑ
ÄËæΑæ¨æΑ«ÄΑËæ¨Αæ¨ΑÞææÃÄæÞΡΑ£ÄÚ½ΑöËÚÞΑ½«ºΑ¨½×ÞΑ«ÄΑêÄÚÞæÄ«Ä£ΑÄΑ¨½×ÞΑ«ÄΑõ½êæ«Ä£ΑÚΑ
êÞΠΑ(ÄΡΑÄËΑÞ×«ĈΑºüöËÚΑ«ÞΑêÞΡΑæ¨Ú¢ËÚΡΑÞææÃÄæΑ͊ΑÄΑ͋ΑÚΑÃËÞæ½üΑËÚÚæ
SOURCE : This concept is not covered in the Macroeconomics (NCERT Class 12), while it can be found in
the NCERT Business Studies book
https://ncert.nic.in/ncerts/l/lebs209.pdf
40
Year 2021 THE FUNCTIONING OF THE RBI

1. The Governor of the Reserve bank of India (RBI) is a appointed by the Central Government.
2. Certain provisions in the Constitution of India give the Central Government the right to issue directions to the
RBI in public interest.
3. The Governor of the RBI draws his power from the RBI Act.
r¨«¨ΑË¢Αæ¨ΑËõΑÞææÃÄæÞΑÚΑËÚÚæΧΑ
(a) 1 and 2 only
(b) 2 and 3 only
(c) 1 and 3 only
(d) 1, 2 and 3
ANSWERS C
EXPLANATION
ËÚ«Ä£ΑæËΑ[æ«ËÄΑ͑ΑË¢ΑW +ΑbΑ͍͊͒͌αΑΑ#ËõÚÄËÚΑÄΑλÄËæΑÃËÚΑæ¨ÄΑ¢ËêÚμΑ×êæüΑ#ËõÚÄËÚÞΑæËΑΑ××Ë«Äæα
ΑüΑæ¨ΑÄæÚ½Α#ËõÚÄÃÄæΠΑHence statement 1 is correct.
ËÚ«Ä£ΑæËΑ[æ«ËÄΑ͐ΑË¢ΑW +ΑbΑ͍͊͒͌αΑb¨ΑÄæÚ½Α#ËõÚÄÃÄæΑÃüΑ¢ÚËÃΑæ«ÃΑæËΑæ«ÃΑ£«õΑÞê¨Α«Úæ«ËÄÞΑ
æËΑæ¨Α ÄºΑÞΑ«æΑÃüΡΑ¢æÚΑËÄÞê½ææ«ËÄΑö«æ¨Αæ¨Α#ËõÚÄËÚΑË¢Αæ¨Α ÄºΡΑËÄÞ«ÚΑÄÞÞÚüΑ«ÄΑæ¨Α×ê½«Α«ÄæÚα
ÞæΠΑb¨ÚΑ«ÞΑÄËΑÞê¨Α×ÚËõ«Þ«ËÄΑ«ÄΑæ¨ΑËÄÞæ«æêæ«ËÄΑË¢Α+Ä«ΠΑHence statement 2 is not correct.
ËÚ«Ä£ΑæËΑ[æ«ËÄΑ͐ΑË¢ΑW +ΑæΑ͍͊͒͌αΑb¨Α#ËõÚÄËÚΑÄΑ«ÄΑ¨«ÞΑÞÄΑæ¨Α×êæüΑ#ËõÚÄËÚΑÄËÃ«ÄæΑüΑ
¨«ÃΑ«ÄΑæ¨«ÞΑ¨½¢ΡΑÞ¨½½Α½ÞËΑ¨õΑ×ËöÚÞΑË¢Α£ÄÚ½ΑÞê×Ú«ÄæÄÄΑÄΑ«Úæ«ËÄΑË¢Αæ¨Αą«ÚÞΑÄΑæ¨Α
êÞ«ÄÞÞΑË¢Αæ¨Α ÄºΡΑÄΑÃüΑûÚ«ÞΑ½½Α×ËöÚÞΑÄΑËΑ½½ΑæÞΑÄΑæ¨«Ä£ÞΑö¨«¨ΑÃüΑΑûÚ«ÞΑËÚΑËÄΑ
üΑæ¨Α ÄºΠΑHence statement 3 is correct.
ANALYSIS:
Motivation
Þ«Α«Ä¢ËÚÃæ«ËÄΑËêæΑæ¨ΑW +ΣΑ¶êÞæΑ½«ºΑΑÙêÞæ«ËÄΑËÄΑæ¨ΑAËÄæÚüΑTË½«üΑËÃÃ«ææΑ¢æêÚΠ
b¨«ÞΑ«ÞΑΑõÚüΑÞüΑÙêÞæ«ËÄΑêÞΑæ¨ΑËÄÞæ«æêæ«ËÄΑË¢Α+Ä«ΑËÞΑÄËæΑ£«õΑ×ËöÚΑæËΑæ¨ΑWÞÚõΑ ÄºΑË¢Α
+Ä«ΠΑ(ÄΑêÞ«Ä£Αæ¨æΡΑöΑÄΑ½«Ã«ÄæΑË×æ«ËÄÞΑλμΡΑλμΑÄΑλμΠ
SOURCE : ¨ææ×Þ΢έέÚ«ËÞΠÚ«ΠËÚ£Π«ÄέÚËÞέTê½«æ«ËÄÞέT"ÞέW +Aε͉͋͌͏͉͒Π×¢Α
SOURCE : Arthapedia
41
Smart and Effective

UPSC Prelims
Preparation Strategy
b¨ΑfT[ΑTÚ½«ÃÞΑ«ÞΑæ¨ΑĈÚÞæΑÄΑ¨«£¨½üΑËÃ×æ«æ«õΑÞæ£ΑË¢Αæ¨Α«õ«½Α[Úõ«ÞΑûÃ«Äæ«ËÄΠΑ+æΑËÃ×Ú«ÞÞΑæöËΑ
Ë¶æ«õαæü×Α××ÚÞΑλ#ÄÚ½Α[æê«ÞΑÄΑ[bμΑÞ«£ÄΑæËΑæÞæΑΑÄ«æϖÞΑºÄËö½£ΡΑêÄÚÞæÄ«Ä£ΡΑÄΑ
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û½Α«ÄΑæ«ÃΑÃÄ£ÃÄæΡΑ«Ä¢ËÚÃæ«ËÄΑÚæÄæ«ËÄΡΑÄΑÄõ«£æ«Ä£Αæ¨ΑTÚ½«ÃÞΑêÄ×Ú«æ«½«æüΠΑ
¨«õ«Ä£Α ÞêÞÞΑ «ÄΑæ¨«ÞΑ ûÃΑæÚÄÞÄÞΑ ÃÚΑ ¨ÚΑöËÚºΣΑ «æΑ ÄÞÞ«ææÞΑ Α ¨Ë½«Þæ«Α ÄΑ
×æ«õΑ××ÚË¨ΑæËΑ×Ú×Úæ«ËÄΠ
[ÄΑVWΑËΑ¢ËÚ
Key Strategies for Prelims Preparation

Instant Personalized
Mentoring
Strategized Preparation Plan: ½½ËæΑ [üÞæÃæ«Α êÚÚÄæΑ ą«ÚÞΑ TÚ×Úæ«ËÄ΢Α

üËêÚΑ ÞæêüΑ æ«ÃΑ ö«Þ½üΑ ÚËÞÞΑ Þê¶æÞΡΑΑ 9×Α ÚÞæΑ ö«æ¨Α êÚÚÄæΑ ą«ÚÞΑ æ¨ÚËê£¨Α
ÄÞêÚ«Ä£ΑüËêΑ ¨õΑ ÄËê£¨Αæ«ÃΑ¢ËÚΑ Úõ«Þ«ËÄΑ ÄöÞ××ÚÞΡΑ Ã£ā«ÄÞΑ ÄΑ «Äæ£Úæ«Ä£Α æ¨«ÞΑ
ÄΑ ×Úæ«Α ÃËºÞΠΑ TüΑ ææÄæ«ËÄΑ æËΑ üËêÚΑ ºÄËö½£Α ö«æ¨Α Þææ«Α Þê¶æÞΑ æËΑ «Ã×ÚËõΑ
öºΑÚÞΠ êÄÚÞæÄ«Ä£ΑÄΑÚæÄæ«ËÄΠΑ
Resource Optimization: ¨ËËÞΑ ÞæêüΑ Smart Learning: "ËêÞΑ ËÄΑ Α êÄÚÞæÄ«Ä£Α
ÃæÚ«½ÞΑæ¨æΑÚΑËæ¨Αæ¨ËÚËê£¨ΑÄΑæËΑæ¨Α ËÄ×æÞΑ Úæ¨ÚΑ æ¨ÄΑ ÚËæΑ ½ÚÄ«Ä£ΡΑ êÞΑ
×Ë«ÄæΠΑ "ËêÞΑ ËÄΑ Ùê½«æüΑ ËõÚΑ ÙêÄæ«æüΑ æËΑ ÃÄÃËÄ«ÞΡΑ«Ä¢Ë£Ú×¨«ÞΡΑÄΑËæ¨ÚΑąæ«õΑ
×ÚõÄæΑ£ææ«Ä£ΑËõÚö¨½ÃΠ ½ÚÄ«Ä£ΑæËË½ÞΑ¢ËÚΑææÚΑÚæÄæ«ËÄΠ
Strategic Use of PYQs and Mock Tests: Seeking Personalized Guidance:Α Ä££Α
fÞΑ ×ÞæΑ üÚΑ ××ÚÞΑ æËΑ êÄÚÞæÄΑ æ¨Α ö«æ¨ΑÃÄæËÚÞΑ¢ËÚΑêÞæËÃ«āΑÞæÚæ£«ÞΡΑÚÞΑ
ûÃΑ×ææÚÄΡΑ«Ã×ËÚæÄæΑæË×«ÞΡΑÄΑÙêÞæ«ËÄΑ æËΑ «Ã×ÚËõΡΑ ÄΑ ÃËæ«õæ«ËÄΠΑ b¨«ÞΑ ÃÄæËÚÞ¨«×Α
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Ãê¨α½ÚæΑAll India GS Prelims Test Series and Mentoring ProgramΑö¨«¨Α
ÄËÃ×ÞÞΑæ¨ΑÄæ«ÚΑfT[ΑÞü½½êÞΑÞΑËÄΑæ¨Α½æÞæΑæÚÄÞΠ
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Its key Features include:
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"½û«½ΑæÞæΑÞÚ«ÞΑÞ¨ê½ +ÄÄËõæ«õΑÞÞÞÞÃÄæΑ[üÞæÃΑÄΑTÚ¢ËÚÃÄΑ
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[ÄΑQR code to register and download
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£ê«ÄΑ«ÞΑºüΑæËΑÄõ«£æ«Ä£Αæ¨ΑfT[ΑTÚ½«ÃÞΑÞêÞÞ¢ê½½üΠ Series and Mentoring Program”
42
Year 2021 URBAN COOPERATIVE BANKS
Q11. With reference to 'Urban Cooperative Banks' in India consider the following statements:
1. They are supervised and regulated by local boards set up by the State Governments.
2. They can issue equity shares and preference shares.
3. They were brought under the purview of the Banking Regulation Act, 1949 through an Amendment in 1966.
(a) 1 only
(b) 2 and 3 only
(c) 1 and 3 only
(d) 1, 2 and 3
ANSWERS B
EXPLANATION
Large cooperative banks with paid-up share capital and reserves of Rs.1 lakh were brought under the
×Úõ«öΑË¢Αæ¨Α Äº«Ä£ΑW£ê½æ«ËÄΑæΑ͍͊͒͒Αö«æ¨ΑąæΑ¢ÚËÃΑ͊ÞæΑAÚ¨ΡΑ͊͒͏͏ΑÄΑö«æ¨«ÄΑæ¨ΑÃ«æΑË¢Αæ¨Α
WÞÚõΑ ÄºϐÞΑÞê×Úõ«Þ«ËÄΠΑb¨«ÞΑÃÚºΑæ¨Α£«ÄÄ«Ä£ΑË¢ΑÄΑÚΑË¢Αê½«æüΑË¢ΑËÄæÚË½ΑËõÚΑæ¨ÞΑÄºÞΠΑ
Äº«Ä£ΑÚ½æΑ¢êÄæ«ËÄÞΑλõ«āΠΑ½«ÄÞ«Ä£ΡΑÚΑË¢ΑË×Úæ«ËÄÞΡΑ«ÄæÚÞæΑÚæÞΑæΠμΑöÚΑæËΑΑ£ËõÚÄΑüΑ
W +ΑÄΑÚ£«ÞæÚæ«ËÄΡΑÃÄ£ÃÄæΡΑê«æΑÄΑ½«Ùê«æ«ËÄΡΑæΠΑ£ËõÚÄΑüΑ[ææΑ#ËõÚÄÃÄæÞΑÞΑ×ÚΑæ¨Α
×ÚËõ«Þ«ËÄÞΑË¢ΑÚÞ×æ«õΑ[ææΑæÞΠΑ[ËΑæ¨ΑËÄæÚË½ΑË¢Αæ¨ΑW +ΑöÞΑ×Úæ«½ΑÄΑ«æΑÞ¨ÚΑæ¨ΑËÄæÚË½Αö«æ¨Αæ¨Α
Ú£«ÞæÚÚΑË¢ΑËË×Úæ«õΑÞË«æ«ÞΑË¢Α[ææÞΡΑ£«õ«Ä£ΑÚ«ÞΑæËΑæ¨ΑÃê¨α«ÞêÞÞΑê½ΑËÄæÚË½ΑÄΑæ¨Α«Ćê½α
ties it posed to the central bank. Hence statement 3 is correct.
b¨ΑÚÄæΑ Äº«Ä£ΑW£ê½æ«ËÄΑλÃÄÃÄæμΑæΑ͉͉͋͋ΑÄ½ÞΑæ¨ΑW +ΑæËΑ£æΑ½½Αæ¨Α×ËöÚÞΡΑ«Ä½ê«Ä£Α
æ¨ËÞΑ¨«æ¨ÚæËΑû½êÞ«õ½üΑö«æ¨Αæ¨ΑÚ£«ÞæÚÚΑË¢ΑËË×Úæ«õΑÞË«æ«ÞΠΑ(ËöõÚΡΑ×ËöÚÞΑË¢ΑÚ£«ÞæÚÚΑËÄæ«Äα
êΑæËΑΑö«æ¨Α¨«ÃΑêæΑæ¨Α×ËöÚÞΑË¢ΑW +ΑËõÚÚ«Αæ¨ËÞΑË¢ΑÚ£«ÞæÚÚΠΑHence statement 1 is not correct.
r¨«½Αæ¨ΑÃÄÃÄæΑ£«õÞΑæ¨ΑÚÙê«ÚΑ×ËöÚÞΑæËΑæ¨ΑW +ΑæËΑæºΑæ«Ã½üΑæ«ËÄΑÄΑÞæ×ÞΑæËΑ×ÚõÄæΑf ÞΑ
¢ÚËÃΑ¢«½«Ä£ΑÞËΑæ¨æΑ×ËÞ«æËÚÞϐΑÃËÄ«ÞΑÚΑ×ÚËææΡΑö¨«¨ΑöÞΑæ¨ΑÃ«ÄΑ×êÚ×ËÞΑË¢Αæ¨ΑÃÄÃÄæΡΑ«æΑ
½ÞËΑÄ¶Ë«ÄÞΑê×ËÄΑæ¨ΑÄæÚ½ΑÄºΑæËΑÃºΑÚ£ê½æ«ËÄÞΑêÄÚΑ WΑæΑö«æ¨ËêæΑËÃ×ÚËÃ«Þ«Ä£ΑËÄΑæ¨ΑËË×Úα
ative nature and cooperative principles of the banks. The Reserve Bank has given new guidelines allowing
×Ú«ÃÚüΑêÚÄΑËË×Úæ«õΑÄºÞΑλf ÞμΑæËΑê£ÃÄæΑ×«æ½Αæ¨ÚËê£¨Α«ÞÞêÄΑË¢ΑÙê«æüΑÞ¨ÚÞΡΑ×Ú¢Úα
ÄΑÞ¨ÚÞΑÄΑæΑ«ÄÞæÚêÃÄæÞΠΑb¨Αf ÞΡΑ«æΑÞ«ΡΑËê½ΑÚ«ÞΑÞ¨ÚΑ×«æ½ΑüΑ«ÞÞêΑË¢ΑÙê«æüΑæËΑ×ÚÞËÄÞΑ
ö«æ¨«ÄΑæ¨«ÚΑÚΑË¢ΑË×Úæ«ËÄΑÄÚË½½ΑÞΑÃÃÚÞΑÄΑ½ÞËΑæ¨ÚËê£¨Α«æ«ËÄ½ΑÙê«æüΑÞ¨ÚÞΑæËΑæ¨Αû«Þæα
«Ä£ΑÃÃÚÞΠΑHence statement 2 is correct.
ANALYSIS:
Motivation
fÚÄΑËË×Úæ«õΑÄºÞΑ¨õΑÄΑ«ÄΑÄöÞΑêΑæËΑ¢«½êÚÞΑË¢ΑõÚ«ËêÞΑÄºÞΑ½«ºΑTêÄ¶ΑÄΑA¨ÚÞ¨æÚΑ
ËË×Úæ«õΑ ÄºΠΑb¨ΑÚ£ê½æ«ËÄΑ¨Ä£ÞΑöÚΑÃΑÚÄæ½üΑ«ÄΑæ¨«ÞΑËÄæûæΠ
SOURCE : https://www.business-standard.com/article/pti-stories/rbi-is-
sues-draft-circular-on-allowing-ucbs-to-augment-capital-121071400994_1.html
43
Year 2021 ROLE OF THE RBI
Q12. In India, the central bank's function as the 'lender of last resort' usually refers to which of the
following?
1. Lending to trade and industry bodies when they fail to borrow from other sources
2. Providing liquidity to the banks having a temporary crisis
3. Lending to governments to finance budgetary deficits
Select the correct answer using the code given below.
(a) 1 and 2
(b) 2 only
(c) 2 and 3
(d) 3 only
ANSWERS B
EXPLANATION
b¨Α WÞÚõΑ ÄºΑ Ë¢Α +Ä«Α öÞΑ Þæ½«Þ¨Α ËÄΑ ×Ú«½Α ͊ΡΑ ͎͊͒͌Α «ÄΑ ËÚÄΑ ö«æ¨Α æ¨Α ×ÚËõ«Þ«ËÄÞΑ Ë¢Α æ¨Α
WÞÚõΑ ÄºΑ Ë¢Α +Ä«Α æΡΑ ͍͊͒͌ΠΑ b¨Ëê£¨Α ËÚ«£«Ä½½üΑ ×Ú«õæ½üΑ ËöÄΡΑ Þ«ÄΑ Äæ«ËÄ½«Þæ«ËÄΑ «ÄΑ ͍͊͒͒ΡΑ æ¨Α
WÞÚõΑ ÄºΑ«ÞΑ¢ê½½üΑËöÄΑüΑæ¨Α#ËõÚÄÃÄæΑË¢Α+Ä«ΠΑb¨Α¢êÄæ«ËÄÞΑË¢Αæ¨ΑWÞÚõΑ ÄºΑÄΑΑæ£Ëα
rised as follows:
AËÄæÚüΑ×Ë½«üΑ
W£ê½æ«ËÄΑ ÄΑ Þê×Úõ«Þ«ËÄΑ Ë¢Α æ¨Α Äº«Ä£Α ÄΑ ÄËÄαÄº«Ä£Α ĈÄÄ«½Α «ÄÞæ«æêæ«ËÄÞΡΑ «Ä½ê«Ä£Α Ú«æΑΑ
«Ä¢ËÚÃæ«ËÄΑËÃ×Ä«ÞΑ
W£ê½æ«ËÄΑË¢ΑÃËÄüΡΑ¢ËÚûΑÄΑ£ËõÚÄÃÄæΑÞêÚ«æ«ÞΑÃÚºæÞΑÞΑ½ÞËΑÚæ«ÄΑĈÄÄ«½ΑÚ«õæ«õÞΑ
æΑÄΑÞ¨ΑÃÄ£ÃÄæΑ¢ËÚΑÄæÚ½ΑÄΑ[ææΑ#ËõÚÄÃÄæÞΑ
AÄ£ÃÄæΑË¢Α¢ËÚ«£ÄΑû¨Ä£ΑÚÞÚõÞΑ
"ËÚ«£ÄΑû¨Ä£ΑÃÄ£ÃÄæΑδΑêÚÚÄæΑÄΑ×«æ½ΑËêÄæΑÃÄ£ÃÄæΑ
Banker to banks
ÄºÚΑæËΑæ¨ΑÄæÚ½ΑÄΑ[ææΑ#ËõÚÄÃÄæÞΑ
HõÚÞ«£¨æΑË¢Αæ¨Α×üÃÄæΑÄΑÞææ½ÃÄæΑÞüÞæÃÞΑ
êÚÚÄüΑÃÄ£ÃÄæΑ
õ½Ë×ÃÄæ½ΑÚË½Α
Research and statistics
ÞΑΑ ÄºÚΑæËΑ ÄºÞΡΑæ¨ΑWÞÚõΑ ÄºΑ½ÞËΑacts as the ‘lender of the last resort’. It can come to the
rescue of a bank that is solvent but faces temporary liquidity problems üΑ Þê××½ü«Ä£Α «æΑ ö«æ¨Α Ãê¨Α
ÄΑ½«Ùê««æüΑö¨ÄΑÄËΑËÄΑ½ÞΑ«ÞΑö«½½«Ä£ΑæËΑûæÄΑÚ«æΑæËΑæ¨æΑÄºΠΑb¨ΑWÞÚõΑ ÄºΑûæÄÞΑæ¨«ÞΑ
¢«½«æüΑæËΑ×ÚËææΑæ¨Α«ÄæÚÞæΑË¢Αæ¨Α×ËÞ«æËÚÞΑË¢Αæ¨ΑÄºΑÄΑæËΑ×ÚõÄæΑ×ËÞÞ«½Α¢«½êÚΑË¢Αæ¨ΑÄºΡΑ
ö¨«¨Α«ÄΑæêÚÄΑÃüΑ½ÞËΑąæΑËæ¨ÚΑÄºÞΑÄΑ«ÄÞæ«æêæ«ËÄÞΑÄΑÄΑ¨õΑÄΑõÚÞΑ«Ã×æΑËÄΑĈÄÄ«½Α
Þæ«½«æüΑÄΑæ¨êÞΑËÄΑæ¨ΑËÄËÃüΠΑHence option (b) is the correct answer.
44
ANALYSIS:
Þ«Α«Ä¢ËÚÃæ«ËÄΑËêæΑæ¨ΑWÞÚõΑ ÄºΑË¢Α+Ä«ΡΑæºÄΑ«Úæ½üΑ¢ÚËÃΑæ¨ΑÞü½½êÞ

Year 2022 BANK BOARD BUREAU
Q13. With reference to the 'Banks Board Bureau (BBB)', which of the following statements are
correct?
1. The Governor of RBI is the Chairman of BBB.
2. BBB recommends for the selection of heads of Public Sector Banks.
3. BBB helps the Public Sector Banks in developing strategies and capital raising plans.
(a) 1 and 2 only
(b) 2 and 3 only
(c) 1 and 3 only
(d) 1, 2 and 3
ANSWERS B
EXPLANATION
ÄæÚ½Α#ËõÚÄÃÄæΑÄËæ«ĈΑæ¨ΑÃÄÃÄæΑæËΑæ¨ΑBæ«ËÄ½«ÞΑ ÄºÞΑλAÄ£ÃÄæΑÄΑA«Þ½½ÄËêÞΑ
TÚËõ«Þ«ËÄÞμΑ[¨ÃΡΑ͉͊͒͑Α×ÚËõ««Ä£Αæ¨Α½£½Α¢ÚÃöËÚºΑ¢ËÚΑËÃ×ËÞ«æ«ËÄΑÄΑ¢êÄæ«ËÄÞΑË¢Αæ¨Α ÄºÞΑ ËÚΑ
êÚêΑËÄΑAÚ¨Α͋͌ΡΑ͉͋͊͏ΠΑb¨Α êÚêΑËÚ«Ä£½üΑÞæÚæΑ¢êÄæ«ËÄ«Ä£Α¢ÚËÃΑ×Ú«½Α͉͊ΡΑ͉͋͊͏ΑÞΑÄΑêæËÄËα
ÃËêÞΑÚËÃÃÄæËÚüΑËüΠ
b¨ΑËÚΑËÃ×Ú«ÞÞΑæ¨Α¨«ÚÃÄΡΑæ¨ÚΑûαËĆ«ËΑÃÃÚÞΑ«ΠΑ[ÚæÚüΡΑ×ÚæÃÄæΑË¢ΑTê½«ΑÄæÚ×Ú«Þα
ÞΡΑ[ÚæÚüΑË¢Αæ¨Α×ÚæÃÄæΑË¢Α"«ÄÄ«½Α[Úõ«ÞΑÄΑ×êæüΑ#ËõÚÄËÚΑË¢Αæ¨ΑWÞÚõΑ ÄºΑË¢Α+Ä«Α
ÄΑæ¨ÚΑû×ÚæΑÃÃÚÞΠΑb¨Α#ËõÚÄËÚΑË¢ΑW +Α«ÞΑÄËæΑ«æÞΑ¨«ÚÃÄΠ Hence statement 1 is not correct.
45
b¨Α ÄºÞΑ ËÚΑ êÚêΑ «ÞΑ ÃÄæΑ æËΑ Þ½æΑ ÄΑ ××Ë«ÄæÃÄæΑ ËÚΑ ÃÃÚÞΑ ¢ËÚΑ õÚ«ËêÞΑ ĈÄÄ«½Α
«ÄÞæ«æêæ«ËÄÞΑ«ÄΑ×ê½«ΑÞæËÚΑ½«ºΑTê½«ΑÞæËÚΑÄºÞΡΑ«ÄÞêÚÄΑËÃ×Ä«ÞΠΑ+æΑ«ÞΑ½ÞËΑÚÙê«ÚΑæËΑêÄÚæºΑ
activities in the sphere of governance in these institutions. The functions of the Bureau outlined in the
[æ«ËÄΑ͐λμΑË¢Αæ¨Α[¨ÃΑÄΑ«ÄΑÞêÞÙêÄæΑÃÄÃÄæÞΑÞΑ×ÚΑËÚÚÞΑË¢Α××Ë«ÄæÃÄæΑËÃÃ«ææΑË¢Α
æ¨Α«ÄæΑÚ΢
bËΑÚËÃÃÄΑæ¨ΑÞ½æ«ËÄΑÄΑ××Ë«ÄæÃÄæΑË¢Α ËÚΑË¢Α«ÚæËÚÞΑ«ÄΑAÄæΑ+ÄÞæ«æêæ«ËÄÞΑλr¨Ë½Α
b«ÃΑ«ÚæËÚÞΑÄΑ¨«ÚÃÄμΠΑHence statement 2 is correct.
bËΑõ«ÞΑæ¨ΑÄæÚ½Α#ËõÚÄÃÄæΑËÄΑÃææÚÞΑÚ½æ«Ä£ΑæËΑ××Ë«ÄæÃÄæÞΡΑËÄĈÚÃæ«ËÄΑËÚΑûæÄÞ«ËÄΑË¢Α
æÄêÚΑÄΑæÚÃ«Äæ«ËÄΑË¢ΑÞÚõ«ÞΑË¢Αæ¨Α«ÚæËÚÞΑË¢ΑÃÄæΑ«ÄÞæ«æêæ«ËÄÞΠ
bËΑõ«ÞΑæ¨ΑÄæÚ½Α#ËõÚÄÃÄæΑËÄΑæ¨ΑÞ«ÚΑÃÄ£ÃÄæΑÞæÚêæêÚΑË¢ΑÃÄæΑ«ÄÞæ«æêæ«ËÄÞΡΑæΑ
æ¨Α½õ½ΑË¢Α ËÚΑË¢Α«ÚæËÚÞΑÄΑÞÄ«ËÚΑÃÄ£ÃÄæΠ
bËΑõ«ÞΑæ¨ΑÄæÚ½Α#ËõÚÄÃÄæΑËÄΑΑÞê«æ½Α×Ú¢ËÚÃÄΑ××Ú«Þ½ΑÞüÞæÃΑ¢ËÚΑÃÄæΑ«ÄÞæ«æêα
tions.
bËΑ ê«½Α Α æΑ ÄºΑ ËÄæ«Ä«Ä£Α æΑ Ú½æ«Ä£Α æËΑ æ¨Α ×Ú¢ËÚÃÄΑ Ë¢Α ÃÄæΑ «ÄÞæ«æêæ«ËÄÞΑ ÄΑ «æÞΑ
ËĆÚÞΠ
bËΑõ«ÞΑæ¨ΑÄæÚ½Α#ËõÚÄÃÄæΑËÄΑæ¨Α¢ËÚÃê½æ«ËÄΑÄΑÄ¢ËÚÃÄæΑË¢ΑΑËΑË¢ΑËÄêæΑÄΑæ¨«ÞΑ
¢ËÚΑÃÄ£Ú«½Α×ÚÞËÄÄ½Α«ÄΑÃÄæΑ«ÄÞæ«æêæ«ËÄÞΠ
bËΑõ«ÞΑæ¨ΑÄæÚ½Α#ËõÚÄÃÄæΑËÄΑõË½õ«Ä£ΑÞê«æ½ΑæÚ«Ä«Ä£ΑÄΑõ½Ë×ÃÄæΑ×ÚË£ÚÃÞΑ¢ËÚΑÃÄ£α
Ú«½Α×ÚÞËÄÄ½Α«ÄΑÃÄæΑ«ÄÞæ«æêæ«ËÄÞΠ
bËΑ¨½×Αæ¨ΑÄºÞΑ«ÄΑæÚÃÞΑË¢Αõ½Ë×«Ä£ΑêÞ«ÄÞÞΑÞæÚæ£«ÞΑÄΑ×«æ½ΑÚ«Þ«Ä£Α×½ÄΠ Hence statement
3 is correct.
ÄüΑËæ¨ÚΑöËÚºΑÞÞ«£ÄΑüΑæ¨Α#ËõÚÄÃÄæΑ«ÄΑËÄÞê½ææ«ËÄΑö«æ¨ΑWÞÚõΑ ÄºΑË¢Α+Ä«Π
ANALYSIS:
WÞæÚêæêÚ«Ä£ΑË¢Α ÄºÞΑ ËÚΑ êÚêΑöÞΑ«ÄΑÄöÞΑÞΑ«æÞΑÃÃÚÞΑûæÄΑæöËαüÚΑæÚÃΑËÄ½êΑËÄΑ

×Ú«½Α͉͊ΠΑλW×æΑæ¨ÃΑαΑ͉͋͊͒μ

Scope for elimination:Α+¢Αæ¨ΑÞæêÄæΑºÄËöÞΑæ¨æΑW +Α£ËõÚÄËÚΑ«ÞΑÄËæΑ¨«ÚÃÄΑË¢Α Αæ¨ÄΑË×æ«ËÄΑΡΑΑÄΑ
ΑÄΑΑÞ«½üΑ½«Ã«ÄæΠ
SOURCE : ¨ææ×Þ΢έέÄºÞËÚêÚêΠËÚ£Π«ÄέêÚêα×ÚËĈ½έ
https://economictimes.indiatimes.com/news/economy/policy/gov-
ernment-to-soon-approve-recast-of-banks-board-bureau/articleshow/91574167.cms
https://economictimes.indiatimes.com/news/company/corpo-
rate-trends/banks-board-bureau-recommends-names-for-chiefs-of-psu-banks/articleshow
/90275752.cms
Please Note:
In the explanation to the 2019 question, it has been mentioned that the BBB has been
replaced by Financial Services Institutions Bureau (FSIB)
46
PAYMENT ECOSYSTEM
(06 Questions)
Year 2017 NPCI

1. National Payment Corporation of India (NPCI) helps in promoting the financial inclusion in the country.
2. NPCI has launched RuPay, a card payment scheme.
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
ANSWERS C
EXPLANATION
λBT+μΑ«ÞΑÄΑêÃÚ½½ΑËÚ£Ä«āæ«ËÄΑ¢ËÚΑ½½ΑÚæ«½Α×üÃÄæÞΑÞüÞæÃΑ«ÄΑ+Ä«ΠΑ+æΑöÞΑÞæΑê×Αö«æ¨Αæ¨Α£ê«ÄΑ
ÄΑÞê××ËÚæΑË¢Αæ¨ΑWÞÚõΑ ÄºΑË¢Α+Ä«ΑλW +μΑÄΑ+Ä«ÄΑ ÄºÞϐΑÞÞË«æ«ËÄΑλ+ μΠ
b¨ΑËÚΑË¶æ«õΑöÞΑæËΑËÄÞË½«æΑÄΑ«Äæ£ÚæΑæ¨ΑÃê½æ«×½ΑÞüÞæÃÞΑö«æ¨ΑõÚü«Ä£ΑÞÚõ«Α½õ½ÞΑ«ÄæËΑ
Äæ«ËÄαö«ΑêÄ«¢ËÚÃΑÄΑÞæÄÚΑêÞ«ÄÞÞΑ×ÚËÞÞΑ¢ËÚΑ½½ΑÚæ«½Α×üÃÄæΑÞüÞæÃÞΠΑb¨ΑËæ¨ÚΑË¶æ«õΑ
öÞΑæËΑ¢«½«ææΑÄΑąËÚ½Α×üÃÄæΑÃ¨Ä«ÞÃΑæËΑÄĈæΑæ¨ΑËÃÃËÄΑÃÄΑÚËÞÞΑæ¨ΑËêÄæÚüΑÄΑ
¨½×ΑĈÄÄ«½Α«Ä½êÞ«ËÄΠΑHence statement 1 is correct.
+æΑ ËąÚÞΑ ÃÄüΑ ×ÚËêæÞΑ ÄΑ ÞÚõ«ÞΑ ö¨«¨Α «Ä½êΑ WêTüΑ ÚΡΑ (+AΑ ××ΡΑ fÄ«ĈΑ ×üÃÄæΑ «ÄæÚ¢Α
ÃËÄ£ΑËæ¨ÚÞΠΑHence statement 2 is correct.
ANALYSIS:
BËæΑËõÚΑ«ÄΑÄüΑË¢Αæ¨ΑÞÞÄæ«½ΑAæÚ«½ΡΑêæΑÞê¨ΑæË×«ÞΑË¢æÄΑ××ÚΑ«ÄΑæ¨ΑÄöÞ××ÚÞΠΑËõÚΑ«æΑÞΑ
×ÚæΑË¢ΑBöÞ××ÚΑÄΑêÚÚÄæΑą«ÚÞΑÞΑBT+Α«ÞΑÚ£ê½Ú½üΑ«ÄΑÄöÞΑ¢ËÚΑÞËÃΑËÚΑæ¨ΑËæ¨ÚΑ«Ä«æ«æ«õΠΑb¨Α
«£«æ½Α×üÃÄæΑ¨ÞΑËÄæ«ÄêËêÞ½üΑÚÃ«ÄΑ«ÄΑÄöÞΑÄΑBT+Α«ÞΑËÄΑË¢Αæ¨ΑÃËÞæΑ«Ã×ËÚæÄæΑ«ÄÞæ«æêæ«ËÄÞΑ
associated with it.
47
SOURCE : http://pib.nic.in/news- NPCI operated payment platforms

ite/PrintRelease.aspx-
?relid=160339 WêTüΑÚÞ
fÄ«ĈΑTüÃÄæÞΑ+ÄæÚ¢
http://www.thehin- ¨ÚæΑ «½½ΑTüÃÄæÞ
du.com/business/Econo-
¨ÚΑÄ½ΑTüÃÄæÞ
my/smoothen-bhim-re-
"[b£ΑËÚΑBæ«ËÄ½Α½æÚËÄ«ΑbË½½ΑË½½æ«ËÄ
fund-process-it-minister-t
Bæ«ËÄ½ΑêæËÃæΑ½Ú«Ä£Α(ËêÞ
o-npci/article18185655.ece
+ÃÃ«æΑTüÃÄæΑ[üÞæÃ
Ϋ͒͒ά΢ΑΑf[[αÞΑ×üÃÄæÞΑÞüÞæÃ
Bæ«ËÄ½Α"«ÄÄ«½Α[ö«æ¨
¨ÙêΑbÚêÄæ«ËÄΑ[üÞæÃ
Year 2017 8QLɩHG3D\PHQW,QWHUIDFH
V͋ΠΑr¨«¨ΑË¢Αæ¨Α¢Ë½½Ëö«Ä£Α«ÞΑΑÃËÞæΑ½«º½üΑËÄÞÙêÄΑË¢Α«Ã×½ÃÄæ«Ä£Αæ¨ΑϏfÄ«ĈΑTüÃÄæÞΑΑΑΑΑΑΑΑΑΑΑΑΑΑΑΑΑ
Interface (UPI)?
(a) Mobile wallets with not be necessary for online payments.
(b) Digital currency will totally replace the physical currency in about two decades.
(c) FDI inflows will drastically increase.
(d) Direct transfer of subsidies to poor people will become very effective.
ANSWERS A
EXPLANATION
fT+Α«ÞΑΑ×üÃÄæΑÞüÞæÃΑæ¨æΑ½½ËöÞΑÃËÄüΑæÚÄÞ¢ÚΑæöÄΑÄüΑæöËΑÄºΑËêÄæÞΑüΑêÞ«Ä£ΑΑÞÃÚæα
×¨ËÄΠΑfT+Α½½ËöÞΑΑêÞæËÃÚΑæËΑ×üΑ«Úæ½üΑ¢ÚËÃΑΑÄºΑËêÄæΑæËΑ«ąÚÄæΑÃÚ¨ÄæÞΡΑËæ¨ΑËÄ½«ÄΑÄΑ
Ëć«ÄΡΑ ö«æ¨ËêæΑ æ¨Α ¨ÞÞ½Α Ë¢Α æü×«Ä£Α Ú«æΑ ÚΑ æ«½ÞΡΑ +"[Α ËΡΑ ËÚΑ ÄæΑ Äº«Ä£έö½½æΑ ×ÞÞöËÚÞΠΑ
Hence option (a) is the correct answer.
ANALYSIS:
Þ×«½½üΡΑ Þ«ÄΑ æ¨Α æ«ÃΑ Ë¢Α ÃËÄæ«āæ«ËÄΑ ÄΑ õÚΑ Þ«ÄΑ æ¨Α #ËõÚÄÃÄæϐÞΑ ąËÚæÞΑ æËΑ æºΑ Þæ×ÞΑ
æËöÚÞΑΑϏÞ¨½ÞÞΑËÄËÃüϐΡΑTüÃÄæΑËÞüÞæÃΑ¨ÞΑÄΑΑÚêÚÚ«Ä£Αæ¨ÃΠ
SOURCE : ¨ææ×΢έέöööΠæ¨¨«ÄêΠËÃέêÞ«ÄÞÞέËÄËÃüέr¨æα«ÞαfÄ«ĈαTüα
ment-Interface/article14593189.ece
48
Year 2018 MERCHANT DISCOUNT RATE
Q3. Which one of the following best describes the term "Merchant Discount Rate" sometimes seen
in news?
(a) The incentive given by a bank to a merchant for accepting payments through debit cards pertaining to that
bank.
(b) The amount paid back by banks to their customers when they use debit cards for financial transactions for
purchaing goods or services.
(c) The charge to a merchant by a bank for accepting payments from his customers through the bank's debit cards.
(d) The incentive given by the Government to merchants for promoting digital payments by their customers
through Point of Sale (PoS) machines and debit cards.
ANSWERS C
EXPLANATION
AÚ¨ÄæΑ«ÞËêÄæΑWæΑ«ÞΑΑ¢Α¨Ú£Α¢ÚËÃΑΑÃÚ¨ÄæΑüΑΑÄºΑ¢ËÚΑ×æ«Ä£Α×üÃÄæÞΑ¢ÚËÃΑêÞæËÃα
ÚÞΑ æ¨ÚËê£¨Α Ú«æΑ ÄΑ «æΑ ÚÞΑ «ÄΑ æ¨«ÚΑ Þæ½«Þ¨ÃÄæÞΠΑ +æΑ ËÃ×ÄÞæÞΑ æ¨Α ÚΑ «ÞÞê«Ä£Α ÄºΡΑ æ¨Α
½ÄÚΑö¨«¨Α×êæÞΑæ¨ΑTË[ΑæÚÃ«Ä½ΑÄΑ×üÃÄæΑ£æöüÞΑÞê¨ΑÞΑAÞæÚÚΑËÚΑq«ÞΑ¢ËÚΑæ¨«ÚΑÞÚõ«ÞΠΑ
AWΑ ¨Ú£ÞΑ ÚΑ êÞê½½üΑ Þ¨ÚΑ «ÄΑ ×Úα£ÚΑ ×ÚË×ËÚæ«ËÄΑ æöÄΑ æ¨Α ÄºΑ ÄΑ Α ÃÚ¨ÄæΑ ÄΑ «ÞΑ
û×ÚÞÞΑ«ÄΑ×ÚÄæ£ΑË¢ΑæÚÄÞæ«ËÄΑÃËêÄæΠΑHence option (c) is the correct answer.
ANALYSIS:
¢æÚΑÃËÄæ«āæ«ËÄΑ«ÄΑBËõÃÚΑ͉͋͊͏ΡΑæ¨ΑêÞΑË¢ΑÞ¨½ÞÞΑÃËΑË¢Α×üÃÄæÞΑ«ÄÚÞΑÄΑAÚ¨ÄæΑ
«ÞËêÄæΑWæΑ¨ÞΑ½öüÞΑÄΑ«ÄΑæ¨ΑÄöÞΠ
SOURCE : https://www.thehindu.com/business/Economy/rbi-reduces-mer-
chant-discount-rates-for-debit-cards/article21284463.ece
Please Note:
*Although the theme seems easy now (in 2023), it was not as prevalent a concept in 2018 as
it is today.
49
Year 2018 ATMs
Q4. Which one of the following links all the ATMs in India
(a) Indian Banks' Association
(b) National Securities Depository Limited
(c) National Payments Corporation of India
(d) Reserve Bank of India
ANSWERS C
EXPLANATION
Bæ«ËÄ½Α"«ÄÄ«½Α[ö«æ¨ΑλB"[μΑbAΑÄæöËÚºΑ¨õ«Ä£Α͌͐ΑÃÃÚÞΑÄΑËÄÄæ«Ä£ΑËêæΑ͎͉Ρ͉͉͉ΑbAÞΑöÞΑ
æºÄΑËõÚΑüΑBT+Α¢ÚËÃΑ+ÄÞæ«æêæΑ¢ËÚΑõ½Ë×ÃÄæΑÄΑWÞÚ¨Α«ÄΑ Äº«Ä£Αb¨ÄË½Ë£üΑλ+W bμΑËÄΑÃα
ÚΑ͍͊ΡΑ͉͉͋͒ΠΑb¨êÞΑB"[Α«ÞΑÚêÄΑüΑæ¨ΑBæ«ËÄ½ΑTüÃÄæÞΑËÚ×ËÚæ«ËÄΑË¢Α+Ä«ΑλBT+μΠΑHence option (c) is
the correct answer.
HõÚΑæ¨ΑÞ×ÄΑË¢Α¢öΑüÚÞΡΑB"[ΑbAΑÄæöËÚºΑ¨ÞΑ£ÚËöÄΑÃÄüΑ¢Ë½ÞΑÄΑ«ÞΑÄËöΑæ¨Α½«Ä£ΑÃê½æ«½æÚ½Α
bAΑÄæöËÚºΑ«ÄΑæ¨ΑËêÄæÚüΠΑÞΑËÄΑ͌͊ÞæΑê£êÞæϐΑ͊͐ΡΑæ¨ÚΑöÚΑ͍͒͊ΑÃÃÚÞΑæ¨æΑ«Ä½êÞΑ͉͊͊Α«ÚæΡΑ͐͐͏Α
[êΑÃÃÚÞΡΑ͎͏ΑWW ÞΑÄΑ͑Αr;HÞΑêÞ«Ä£ΑB"[ΑÄæöËÚºΑËÄÄæΑæËΑÃËÚΑæ¨ÄΑ͋Π͌͐Α;ΑbAΠΑB"[Α¨ÞΑ
Þæ½«Þ¨Α Α ÞæÚËÄ£Α ÄΑ ÞêÞæ«Ä½Α Ë×Úæ«ËÄ½Α ÃË½Α ö«æ¨Α «Äα¨ËêÞΑ ×«½«æ«ÞΑ ÄΑ æËüΑ ÄΑ Α
ËÃ×ÚΑæΑ×ÚΑö«æ¨ΑËæ¨ÚΑÃ¶ËÚΑÄΑö½½αÞæ½«Þ¨ΑÞö«æ¨ΑÄæöËÚºÞΠΑb¨ΑË×Úæ«ËÄ½Α¢êÄæ«ËÄÞΑÄΑ
ÞÚõ«ÞΑÚΑæΑ×ÚΑö«æ¨ΑÃËÞæΑË¢Αæ¨Α£½Ë½ΑbAΑÄæöËÚºÞΠ
ANALYSIS:
Not much scope but still if the functions and roles of the other bodies are known to some extent, one
can easily eliminate options A, B and D.
SOURCE : https://www.thehindu.com/business/NPCI-tightens-securi-
ty-as-criminals-target-ATMs-e-banking/article60481538.ece
ÄΑûÚ×æΑ¢ÚËÃΑæ¨ΑËõΑÚæ«½
Other links: https://www.live-

mint.com/Money/Gg9Z4hQBxS-
GKIjnY9qRP7N/Every-
thing-to-know-about-your-ATM.
html
50
Year 2018 BHIM
Q5. With reference to digital payments, consider the following statements:

1. BHIM app allows the user to tranfer money to anyone with a UPI-enabled bank account.
2. While a chip-pin debit card has four factors authentication, BHIM app has only two factors of authentication.
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
ANSWERS A
EXPLANATION
Statement 1 is correct: ¨ÚæΑ+ÄæÚ¢Α¢ËÚΑAËÄüΑλ (+AμΑ«ÞΑΑ×üÃÄæΑ××Αæ¨æΑ½æÞΑüËêΑÃºΑÞ«Ã×½ΡΑ

ÞüΑÄΑÙê«ºΑæÚÄÞæ«ËÄÞΑêÞ«Ä£ΑfÄ«ĈΑTüÃÄæÞΑ+ÄæÚ¢ΑλfT+μΠΑxËêΑÄΑÃºΑ«ÚæΑÄºΑ×üÃÄæÞΑ
æËΑÄüËÄΑËÄΑfT+ΑêÞ«Ä£Αæ¨«ÚΑfT+Α+ΑËÚΑÞÄÄ«Ä£Αæ¨«ÚΑVWΑö«æ¨Αæ¨Α (+AΑ××ΠΑxËêΑÄΑ½ÞËΑÚÙêÞæΑÃËÄüΑ
æ¨ÚËê£¨Αæ¨Α××Α¢ÚËÃΑΑfT+Α+Π
Statement 2 is not correct:Α"ÚËÃΑΑËÄÞêÃÚΑ×Ë«ÄæΑË¢Αõ«öΡΑæ¨ÚΑÚΑæ¨ÚΑ½õ½ÞΑË¢Αêæ¨Äæ«æ«ËÄΑæ¨æΑ

ÚΑÚÙê«ÚΑ«ÄΑæ¨«ÞΑ××ΠΑHÄΑ«ÞΑæ¨Αõ«Α+ΑÄΑÃË«½ΑÄêÃÚΡΑæ¨ÄΑæ¨ΑÄºΑËêÄæΑö¨«¨ΑüËêΑÚΑ
½«Äº«Ä£ΑæËΑæ¨«ÞΑ××ΡΑÄΑæ¨ΑĈÄ½½üΑæ¨ΑfT+ΑT«ÄΑö¨«¨Α«ÞΑÄΑæËΑËÃ×½æΑæ¨ΑæÚÄÞæ«ËÄΠΑb¨ÚΑÚΑæ¨ÚΑ
¢æËÚÞΑË¢Αêæ¨Äæ«æ«ËÄΑõÚÞêÞΑΑÄËÚÃ½ΑÄæΑÄº«Ä£Α××ΑËÚΑΑ¨«×α×«ÄΑ«æΑÚΑö¨«¨Αö«½½ΑËÄ½üΑ¨õΑ
two factors of authentication
ANALYSIS:
As since the demonetisation, the dependence on UPI-based payment system especially BHIM had
tremendously increased, æ¨«ÞΑ «ÞΑ ÃËÚΑ ÄΑ ××½«æ«ËÄαæü×Α Ë¢Α ÙêÞæ«ËÄΠΑ (ÄΑ «æΑ æÞæΑ æ¨Α ×Úæ«½Α
ºÄËö½£ΑË¢Αæ¨ΑÞ×«ÚÄæΠΑ[ææÃÄæΑ͋Α«ÞΑËõ«ËêÞ½üΑ«ÄËÚÚæΑõÄΑ«¢ΑöΑ¶êÞæΑºÄËöΑæ¨æΑΑ«æΑÚΑ¨ÞΑΑ
͋α½õ½ΑÞêÚ«æüΑÄΑÞææÃÄæΑ͊Α«ÞΑËÚÚæΠ
Motivation
êΑ æËΑ æ¨Α ×Úõ½ÄΑ Ë¢Α Þ¨½ÞÞΑ ÃËÞΑ Ë¢Α ×üÃÄæΑ ÄΑ ½ÞËΑ æ¨Α ąËÚæÞΑ Ë¢Α æ¨Α £ËõÚÄÃÄæΑ æËΑ
lessen the use of hard cash.
How to cover? Reliance on practical knowledge. UPSC has repeatedly tested this.
51
Year 2019 STORAGE OF PAYMENT SYSTEM DATA

The Reserve Bank of India’s recent directives relating to ‘Storage of Payment System Data’, popularly known as data
diktat, command the payment system providers that
1. they shall ensure that entire data relating to payment systems operated by them are store in a system only in
India.
2. they shall ensure that the systems are owned and operated by public sector enterprises.
3. they shall submit the consolidated system audit report to the Comptroller and Auditor General of India by the
end of the calendar year
(a) 1 only
(b) 1 and 2 only
(c) 3 only
(d) 1, 2 and 3
ANSWERS A
EXPLANATION
b¨ΑWÞÚõΑ ÄºÞΑ«Úæ«õΑÚ½æΑæËΑ[æËÚ£ΑË¢ΑTüÃÄæΑ[üÞæÃΑæΑ×ÚËõ«ÞΑæ¨æ΢Α
All system providers shall ensure that the entire data relating to payment systems operated by them
are stored in a system only in India.Αb¨«ÞΑæΑÞ¨Ëê½Α«Ä½êΑæ¨Α¢ê½½ΑÄαæËαÄΑæÚÄÞæ«ËÄΑæ«½ÞΑέΑ
«Ä¢ËÚÃæ«ËÄΑË½½æΑέΑÚÚ«ΑέΑ×ÚËÞÞΑÞΑ×ÚæΑË¢Αæ¨ΑÃÞÞ£ΑέΑ×üÃÄæΑ«ÄÞæÚêæ«ËÄΠΑ"ËÚΑæ¨Α¢ËÚ«£ÄΑ
½£ΑË¢Αæ¨ΑæÚÄÞæ«ËÄΡΑ«¢ΑÄüΡΑæ¨ΑæΑÄΑ½ÞËΑΑÞæËÚΑ«ÄΑæ¨Α¢ËÚ«£ÄΑËêÄæÚüΡΑ«¢ΑÚÙê«ÚΠ
[üÞæÃΑ×ÚËõ«ÚÞΑÞ¨½½ΑÄÞêÚΑËÃ×½«ÄΑË¢Αλ«μΑËõΑö«æ¨«ÄΑΑ×Ú«ËΑË¢ΑÞ«ûΑÃËÄæ¨ÞΑÄΑÚ×ËÚæΑËÃ×½«ÄΑ
Ë¢Αæ¨ΑÞÃΑæËΑæ¨ΑWÞÚõΑ ÄºΑ½æÞæΑüΑHæËÚΑ͎͊ΡΑ͉͋͊͑Π
[üÞæÃΑ ×ÚËõ«ÚÞΑ Þ¨½½Α ÞêÃ«æΑ æ¨Α [üÞæÃΑ ê«æΑ W×ËÚæΑ λ[WμΑ ËÄΑ ËÃ×½æ«ËÄΑ Ë¢Α æ¨Α ÚÙê«ÚÃÄæΑ æΑ λ«μΑ
above. The audit should be conducted by CERT-IN empaneled auditors certifying completion of activi-
ty atΑλ«μΑËõΠΑ
b¨Α[WΑê½üΑ××ÚËõΑüΑæ¨Α ËÚΑË¢Αæ¨ΑÞüÞæÃΑ×ÚËõ«ÚÞΑÞ¨Ëê½ΑΑÞêÃ«ææΑæËΑæ¨ΑWÞÚõΑ ÄºΑÄËæΑ

½æÚΑæ¨ÄΑÃÚΑ͌͊ΡΑ͉͋͊͑ΠΑHence, only statement 1 is correct.
ANALYSIS:
It was widely covered in æ¨ΑÄöÞΑ«ÄΑ͉͋͊͑α͊͒ΠΑBËæΑËõÚΑ«ÄΑÄüΑË¢Αæ¨ΑÞÞÄæ«½ΑAæÚ«½ΡΑêæΑÞê¨ΑæË×«ÞΑ

Ë¢æÄΑ××ÚΑ«ÄΑæ¨ΑÄöÞ××ÚÞΠΑÄΑËõÚΑ«æΑÞΑ×ÚæΑË¢ΑêÚÚÄæΑą«ÚÞΠ
SOURCE : ¨ææ×Þ΢έέöööΠÚ«ΠËÚ£Π«ÄέÞÚ«×æÞέBËæ«Ĉæ«ËÄfÞÚΠÞ×ûΧ+Ͻ͍͍͊͊͋
52
INFLATION AND RECESSION

(04 Questions)
Year 202o CPI/WPI

1. The weightage of food in Consumer Price Index (CPI) is higher than that in Wholesale Price Index (WPI).
2. The WPI does not capture changes in the prices of services, which CPI does.
3. Reserve Bank of India has now adopted WPI as its key measure of inflation and to decide on changing the key
policy rates.
(a) 1 and 2 only
(b) 2 only
(c) 3 only
(d) 1, 2 and 3
ANSWERS A
EXPLANATION
+Äĉæ«ËÄΑÄΑΑÞÚ«ΑÞΑæ¨Α£ÄÚ½ΑÚ«ÞΑ«ÄΑæ¨Α×Ú«ΑË¢Α£ËËÞΑÄΑÞÚõ«ÞΑ«ÄΑÄΑËÄËÃüΑËõÚΑæ«ÃΠΑ
+æΑ«ÞΑ½ê½æΑüΑæÚº«Ä£Αæ¨Α«ÄÚÞΑ«ÄΑ×Ú«ÞΑË¢ΑÞÞÄæ«½ÞΠΑ
b¨ΑAæ¨ËÞΑbËΑ½ê½æΑ+Äĉæ«ËÄΑ
CPI:Αb¨Α×Ú«ÃÚüΑ«ÄûΑæ¨æΑæÚºÞΑæ¨Α¨Ä£Α«ÄΑÚæ«½Α×Ú«ÞΑË¢ΑÞÞÄæ«½Α£ËËÞΑÄΑÞÚõ«ÞΑËÄÞêÃΑ
üΑ+Ä«ÄΑ¨ËêÞ¨Ë½ÞΑ«ÞΑæ¨ΑËÄÞêÃÚΑTÚ«Α+ÄûΑËÚΑT+ΠΑ+æΑÞ¨ËöÞΑæ¨Α«Ã×æΑË¢Α«Äĉæ«ËÄΑËÄΑ×Ë×½ΠΑ+æΑ«ÞΑ
½öüÞΑêÞΑ¢ËÚΑÚÄÞÞΑ½½ËöÄΠΑBËöΡΑ«æΑ«ÞΑ½ÞËΑ«Ä£ΑêÞΑ¢ËÚΑÃËÄæÚüΑ×Ë½«üΑ¢ËÚÃê½æ«ËÄΠΑ
[«ÄΑ͉͉͋͊ΡΑÞΑËÄΑæ¨ΑWÄ£Ú¶ÄΑËÃÃ«ææΣÞΑÚ×ËÚæΡΑT+ΑλfW BμΡΑT+ΑλWfW;μΡΑT+ΑλHA +BμΑ

ÄΑ"T+αΑ¢ËËΑ«Ä«ΑÚΑ½ê½æΑæ¨Ú«ÄΠΑ+æΑËõÚÞΑËæ¨Α£ËËÞΑÄΑÞÚõ«ÞΠ
͉͉͋Α#ËËÞΑÄΑÞÚõ«ÞΑÚΑæºÄαΑ+æΑ«ÞΑΑÞ½æΑÞºæΑË¢Α£ËËÞΑÄΑÞÚõ«ÞΠΑb¨Αö«£¨æ£ΑË¢Α¢ËËΑ
«ÄΑæ¨ΑT+Α«ÞΑ½ËÞΑæËΑ͎͉АΑλb¨Αö«£¨æ£Α¢ËÚΑ¢ËËΑ«ÞΑ½ËöÚΑ«ÄΑrT+μΠΑHence statement 1 is correct.
WPI:Αr¨«½ΑÚæ«½Α«Äĉæ«ËÄΑ½ËËºÞΑæΑæ¨Α×Ú«ΑæΑö¨«¨Αæ¨ΑËÄÞêÃÚΑêüÞΑæ¨Α×ÚËêæΡΑrT+Α«ÞΑÃÞêÚΑ
ÞΑËÄΑ×Ú«ÞΑæΑæ¨Αö¨Ë½Þ½Α½õ½ΠΑrT+ΑÃÞêÚÞΑæ¨Α¨Ä£ÞΑ«ÄΑæ¨Α×Ú«ÞΑË¢Α£ËËÞΑÞË½ΑÄΑæÚΑ
«ÄΑê½ºΑüΑö¨Ë½Þ½ΑêÞ«ÄÞÞÞΑæËΑËæ¨ÚΑêÞ«ÄÞÞÞΠΑ+æΑÚĉæÞΑæ¨Α«Äĉæ«ËÄΑ«ÄΑæ¨ΑËÄËÃüΑ«ÄΑ£ÄÚ½έΑ
£ÄÚ½Α½õ½ΑË¢Α«Äĉæ«ËÄΑËÚΑ×Ú«Α½õ½Α«ÄΑæ¨ΑËÄËÃüΠΑ
ÄËæ¨ÚΑ«ąÚÄΑæöÄΑæ¨ΑæöËΑ«Ä«ÞΑ«ÞΑæ¨æΑæ¨Αö¨Ë½Þ½ΑÃÚºæΑ«ÞΑËÄ½üΑ¢ËÚΑ£ËËÞΡΑüËêΑÄÄËæΑ
êüΑÞÚõ«ÞΑËÄΑΑö¨Ë½Þ½ΑÞ«ÞΠΑ[ËΑrT+ΑËÞΑÄËæΑ«Ä½êΑÞÚõ«ÞΡΑö¨ÚÞΑæ¨ΑÚæ«½Α×Ú«Α«ÄûΑËÞΠΑ
rT+ΡΑêÄ½«ºΑæ¨ΑËÄÞêÃÚΑTÚ«Α+ÄûΑλT+μΡΑËÄ½üΑæÚºÞΑæ¨Α×Ú«ÞΑË¢Α£ËËÞΑ×êÚ¨ÞΑüΑËÄÞêÃÚÞΠ
Hence statement 2 is correct.
53
͏͒͐Α£ËËÞΑÚΑæºÄ΢ΑTÚ«ÃÚüΑ£ËËÞΡΑ"ê½ΑÄΑ×ËöÚΑÄΑAÄê¢æêÚ«Ä£Α£ËËÞΡΑæ¨Α½ææÚΑ«Ä£Α£«õÄΑæ¨Α
Ãû«ÃêÃΑö«£¨æ£Αλ͏͍Π͋͌АμΠΑ
r¨Ë½Þ½Α×Ú«ÞΑÚΑËÄÞ«ÚΠΑ ÞΑüÚϽΑ͉͋͊͋Α ÞΑËÄΑæ¨ΑÞê££Þæ«ËÄÞΑË¢Αæ¨ΑfÚ¶«æΑTæ½ΑËÃÃ«ææΡΑ

ÃËÄæÚüΑ×Ë½«üΑλATμΑ«ÄΑ+Ä«Α«ÞΑæËΑΑ¢ËÚÃê½æΑ«ÄΑÚ¢ÚÄΑæËΑæ¨ΑT+Αλ«ÄÞæΑË¢ΑrT+μΑÞΑ«Äĉæ«ËÄΠΑ
λb¨ΑÞê££Þæ«ËÄΑöÞΑ×æΑ«ÄΑ͉͍͋͊Α«æÞ½¢ΠμΑb¨ΑÚÞËÄΑ«ÞΑæ¨æ΢Α«μΑT+ΑÞ¨ËöÞΑæ¨Α«Ã×æΑËÄΑæ¨Α×Ë×½ΑαΑ
rT+Α«Ä«æÞΑæ¨Αö¨Ë½Þ½Α×Ú«ΡΑö¨ÚÞΑT+ΑÞ¨ËöÞΑæ¨ΑÚæ«½Α×Ú«Α«ΠΠΑæ¨Α×Ú«ΑæΑö¨«¨Α×Ë×½ΑÃºΑ
×êÚ¨ÞÞΑ¢ÚËÃΑÚæ«½ΑÃÚºæΠΑ
rT+ΑËÞΑÄËæΑÞ¨ËöΑæ¨Α«Ã×æΑË¢Α«Äĉæ«ËÄΑËÄΑæ¨Α×Ë×½ΠΑÄüΑ×Ë½«üΑÞ¨Ëê½ΑËÄÞ«ÚΑæ¨Α«Ã×æΑËÄΑæ¨Α
×Ë×½Α««μΑrT+ΑËÞΑÄËæΑËêÄæΑ¢ËÚΑæ¨Α×Ú«Α«ÄΑÞÚõ«ÞΑ«««μΑ+æΑ«ÞΑÄΑ«ÄæÚÄæ«ËÄ½ΑÞæΑ×Úæ«ΑαΑÃËÞæΑË¢Α
æ¨ΑËêÄæÚ«ÞΑ¨õΑÞ¨«¢æΑæËΑT+Π Hence statement 3 is not correct.
ANALYSIS:
+æΑ«ÞΑΑÞæÄÚΑÙêÞæ«ËÄΑÚ½æΑæËΑ«Äĉæ«ËÄ

[ææÃÄæΑ͌Α«ÞΑÞüΑæËΑ½«Ã«ÄæΠΑÞΑæ¨ΑW +ΑêÞÞΑT+ΑÞΑæ¨Α«ÄûΑÄΑÄËæΑrT+ΡΑêæΑ£«ÄΡΑ«æΑÚÙê«ÚÞΑÞËÃΑ
ÃËêÄæΑË¢ΑÞ«ΑºÄËö½£ΑæËΑ½«Ã«ÄæΑæ¨ΑË×æ«ËÄΠ
SOURCE : Not covered in the NCERT Macroeconomics book, but can be covered from
http://arthapedia.in/index.php/Consumer_Price_Index
Year 2017 RECESSION
Q2. Which among the following steps is most likely to be taken at the time of an economic
recession?
(a) Cut in tax rates accompanied by increase in interest rate
(b) Increase in expenditure on public projects
(c) Increase in tax rates accompanied by reduction of interest rate
(d) Reduction of expenditure on public projects
ANSWERS B
EXPLANATION
WÞÞ«ËÄ΢Αb¨Ä«½ΑÚÞÞ«ËÄΑ«ÞΑΑÞ«æêæ«ËÄΑö¨«¨Α«ÞΑ¨ÚæÚ«āΑüΑÄ£æ«õΑ£ÚËöæ¨ΑÚæΑË¢Α#TΑ«ÄΑæöËΑ
ÞêÞÞ«õΑÙêÚæÚÞΠΑ[ËÃΑË¢Αæ¨Α«Ä«æËÚÞΑË¢ΑΑÚÞÞ«ËÄΑ«Ä½êΑÞ½ËöËöÄΑ«ÄΑæ¨ΑËÄËÃüΡΑ¢½½Α«ÄΑ«ÄõÞæα
ÃÄæÞΡΑ¢½½Α «ÄΑæ¨Α Ëêæ×êæΑ Ë¢Αæ¨Α ËÄËÃüΑ æΠΑ +¢Α ÄΑ ËÄËÃüΑ û×Ú«ÄÞΑ Α ÚÞÞ«ËÄΑ ÄΑ #TΑ¢½½ÞΡΑæûΑ
ÚõÄêÞΑ¢½½ΑêÞΑĈÚÃÞΑÄΑ¨ËêÞ¨Ë½ÞΑ×üΑ½ËöÚΑæûÞΑö¨ÄΑæ¨üΑÚÄΑ½ÞÞΠΑ+æΑ«ÞΑ×ÚêÄæΑ¢ËÚΑ£ËõÚÄα
ÃÄæΑÞΑö½½ΑÞΑÄæÚ½ΑÄºΑæËΑ¢Ë½½ËöΑû×ÄÞ«ËÄÚüΑĈÞ½ΑÄΑÃËÄæÚüΑ×Ë½«üΑÚÞ×æ«õ½üΑæËΑÞæ«Ãê½æΑæ¨Α
ËÄËÃüΡΑêæΑº×«Ä£Α«ÄΑÃ«ÄΑæ¨Α«Äĉæ«ËÄÚüΑ×ÚÞÞêÚΠΑ
54
In all the given options- Cut in tax rates accompanied by increase in interest rate- Increase in interest
ÚæΑÚÞê½æÞΑ«ÄæËΑÚ«æΑÚêÄ¨Α«ÄΑæ¨ΑËÄËÃüΑö¨«¨Α«ÞΑÄËæΑÞ«Ú½ΑæΑæ¨Αæ«ÃΑË¢ΑÚÞÞ«ËÄΠΑIncrease in
expenditure on public projects-Α+æΑ«ÞΑËÄΑË¢Αæ¨ΑæËË½ΑæËΑÞæ«Ãê½æΑæ¨ΑËÄËÃüΑæΑæ¨Αæ«ÃΑË¢ΑÚÞÞ«ËÄΡΑÞΑ
«æΑ æÚ«££ÚÞΑ æ¨Α õ«ÚæêËêÞΑ ü½Α Ë¢Α «ÄõÞæÃÄæΡΑ ö¨«¨Α ½ÞΑ æËΑ «ÄÚÞΑ «ÄΑ #TΑ λ×ÚËêæ«ËÄΑ Ë¢Α £ËËÞΑ ϞΑ
ÞÚõ«ÞμΑÄΑ«ÄËÃΑ«ÄΑæ¨ΑËÄËÃüΑÄΑ«ÄΑæêÚÄΑ«ÄÚÞΑ«ÄΑÃÄΡΑÄΑæ¨êÞΑËÃ×½æÞΑæ¨Αõ«ÚæêËêÞΑ
ü½ΠΑIncrease in tax rates accompanied by reduction of interest rate- Increase in tax rate is not desir-
½ΑæΑæ¨Αæ«ÃΑË¢ΑÚÞÞ«ËÄΑÞΑ«ÄËÃΑ«ÞΑ¢½½«Ä£Α«ÄΑæ¨ΑËÄËÃüΠΑReduction of expenditure on public
projects-Α+æΑ«ÞΑÄËæΑÞ«Ú½ΑæΑæ¨Αæ«ÃΑË¢ΑÚÞÞ«ËÄΑÞΑ«æΑö«½½Α½ΑæËΑ½ÞÞΑ£ËõÚÄÃÄæΑû×Ä«æêÚΑæ¨ÚüΑ
ÄËæΑËÄæÚ«êæ«Ä£ΑÃê¨ΑæËΑËêæ×êæΠΑHence (b) is the correct answer.
ANALYSIS:
Please Note:
AËÞæΑË¢Αæ¨ΑÃÞêÚÞΑæËΑËÄæÚË½Α«Äĉæ«ËÄΑËÃΑêÄÚΑ"«Þ½ΑTË½«üΑËÚΑAËÄæÚüΑTË½«üΡΑæ¨æΑ«ÞΑ
ö¨üΑæËΑõË«ΑËÄ¢êÞ«ËÄΑÚ£Ú«Ä£Α«æÞΑ½ÞÞĈ«æ«ËÄΡΑÞËÃΑÙêÞæ«ËÄÞΑ¨õΑÄΑ×êæΑÞ×Úæ½üΑ
under a topic called ‘INFLATION’
Year 2021 DEMAND-PULL INFLATION
V͌ΠΑr«æ¨ΑÚ¢ÚÄΑæËΑ+Ä«ÄΑËÄËÃüΡΑÃÄα×ê½½Α«Äĉæ«ËÄΑÄΑΑêÞέ«ÄÚÞΑüΑö¨«¨ΑË¢Α
the following?
1. Expansionary policies
2. Fiscal stimulus
3. Inflation-indexing wages
4. Higher purchasing power
5. Rising interest rates
(a) 1, 2 and 4 only
(b) 3, 4 and 5 only
(c) 1, 2, 3 and 5 only
(d)1, 2, 3, 4 and 5
ANSWERS A
55
EXPLANATION
ÃÄΑTê½½Α+Äĉæ«ËÄ΢Αb¨«ÞΑæü×ΑË¢Α«Äĉæ«ËÄΑ«ÞΑêÞΑüΑ«ÄÚÞΑ«ÄΑÃÄΑÄΑö¨ÄΑæ¨ΑÃÄΑ«ÄΑæ¨Α
ËÄËÃüΑËêæ£ÚËöÞΑæ¨ΑÞê××½üΑ«ÄΑæ¨ΑËÄËÃüΠΑb¨«ÞΑº«ÄΑË¢Α«Äĉæ«ËÄΑÄΑΑÞÚ«ΑüΑύæËËΑÃê¨ΑÃËÄüΑ
¨Þ«Ä£ΑæËËΑ¢öΑ£ËËÞώΠΑHÄΑË¢Αæ¨ΑÚÞËÄÞΑ¢ËÚΑÃÄΑ×ê½½Α«Äĉæ«ËÄΑÄΑΑæ¨Α«ÄÚÞΑ«ÄΑÃËÄüΑÞê××½üΡΑ
üΑöüΑË¢Α«ÄÚÞΑÞ½ÚüΡΑ«ÄÚÞΑ£ËõÚÄÃÄæΑû×Ä«æêÚΑæΠΑ
û×ÄÞ«ËÄÚüΑ ĈÞ½Α ×Ë½«üΑ «ÞΑ ĈÄΑ ÞΑ ÄΑ «ÄÚÞΑ «ÄΑ £ËõÚÄÃÄæΑ û×Ä«æêÚÞΑ ÄέËÚΑ Α ÚÞΑ «ÄΑ
æûÞΠΑ û×ÄÞ«ËÄÚüΑ ÃËÄæÚüΑ ×Ë½«üΑ «ÄÚÞÞΑ æ¨Α Þê××½üΑ Ë¢Α ÃËÄüΑ «ÄΑ ÄΑ ËÄËÃüΑ üΑ Ãº«Ä£Α Ú«æΑ
Þê××½üΑÞ«½üΑõ«½½ΠΑÞËΑû×ÄÞ«ËÄÚüΑ×Ë½«üΑÄΑêÞΑÃÄΑ×ê½½Α«Äĉæ«ËÄΑ«ÄΑæ¨ΑËÄËÃüΠΑHence
option 1 is correct.
"«Þ½ΑÞæ«Ãê½êÞαΑ«æΑ«ÞΑæ¨Α×ÚæΑË¢Αû×ÄÞ«ËÄÚüΑ×Ë½««ÞΑË¢Αæ¨Α£ËõÚÄÃÄæΠΑ+æΑ«ÞΑêÞΑüΑæ¨Α£ËõÚÄÃÄæΑæËΑ
Þæ«Ãê½æΑæ¨ΑËÄËÃüΑüΑöüΑË¢ΑæûΑÚæÞΡΑõÚ«ËêÞΑ«ÄÄæ«õÞΡΑÞæ«Ãê½æΑ×Ú«õæΑÞæËÚΑËÄËÃ«Αæ«õ«α
æ«ÞΑæ¨êÞΑ¶ËΑÚæ«ËÄΡΑæΠΑ[ËΑ«æΑÄΑ½ÞËΑ½ΑæËΑÃÄΑTê½½Α+Äĉæ«ËÄΑ«ÄΑæ¨ΑËÄËÃüΠΑHence option 2 is
correct.
+Äĉæ«ËÄα«Äû«Ä£Αö£ÞΡΑö£ÞΑ«ÄΑæ¨ΑËÄËÃüΑ«ÞΑ½«ÄºΑæËΑæ¨Α«Äĉæ«ËÄΑö¨«¨ΑÃÄÞΑö£ΑÃËõÞΑÞΑ
«Äĉæ«ËÄΑ¨Ä£ÞΑ«ÄΑæ¨ΑËÄËÃüΠΑ[ê¨Α«Äû«Ä£Α«ÞΑ×ÚËõ«ΑæËΑÚêΑæ¨ΑąæΑË¢Α«Äĉæ«ËÄΑËÄΑö£ÞΠΑ"ËÚΑ
ûÃ×½αΑΑöËÚºÚΑ«ÞΑ£ææ«Ä£Α͉͉͊ΑÚÞΑÞΑΑö£ΑÄΑ«Äĉæ«ËÄΑ«ÄΑæ¨ΑËÄËÃüΑ«ÄÚÞÞΑæËΑ͎АΡΑÞËΑö£ΑË¢Αæ¨Α
öËÚºÚΑ«ÄÚÞÞΑüΑ͎АΑ«ΠΠΑ͉͎͊ΠΑ[ËΑąæ«õΑ¨Ä£Α«ÄΑæ¨Αö£ÞΑ«ÞΑāÚËΑÄΑ«æΑËÞΑÄËæΑ«ÄÚÞέÚÞΑ
×êÚ¨Þ«Ä£Α ×ËöÚΠΑ [ËΡΑ «æΑ ÄÄËæΑ ½Α æËΑ ÃÄΑ ×ê½½Α «Äĉæ«ËÄΑ «ÄΑ æ¨Α ËÄËÃüΠΑ Hence option 3 is not
correct.
+¢Α×êÚ¨Þ«Ä£Α×ËöÚΑ«ÄÚÞÞΑ«ÄΑæ¨ΑËÄËÃüΑλ¢ËÚΑûÃ×½Α×Úõ«ËêÞ½üΑΑ¨ËêÞ¨Ë½Α¨ÞΑÄΑ«ÄËÃΑË¢Α͉͉͊Α
ÚÞΑÄΑËêæΑË¢Αæ¨æΑ͎͉ΑÚÞΑ«ÞΑÞ×Ä«Ä£ΡΑ«¢Αæ¨ΑÞ×Ä«Ä£Α×«æüΑË¢Αæ¨«ÞΑ¨ËêÞ¨Ë½Α«ÄÚÞÞΑæËΑ͏͉ΑÚÞΑæ¨ÄΑ«æΑ
ÄΑÃÄΑÃËÚΑ£ËËÞέÞÚõ«ÞΑ«ÄΑæ¨ΑËÄËÃüΠμΑÄΑ«æΑÄΑ½ΑæËΑÃÄΑ×ê½½Α«Äĉæ«ËÄΑ«ÄΑæ¨ΑËÄËα
ÃüΠΑHence option 4 is correct.
W«Þ«Ä£Α«ÄæÚÞæΑÚæÞ΢Α+æΑÚÞÞΑæ¨ΑÃËÄüΑÞê××½üΑ«ÄΑæ¨ΑËÄËÃüΠΑb¨«ÞΑÃüΑÚÞê½æΑ«ÄΑÚ«æΑÚêÄ¨Α«ÄΑæ¨Α
ËÄËÃüΠΑ+æΑ«ÞΑËÞæ½«ÚΑæËΑËÚÚËöΑÃËÄüΑ«ÄΑæ¨ΑËÄËÃüΑÄΑ«æΑ½ÞΑæËΑÚÞΑÃËÄüΑÞê××½üΠΑ[ËΡΑ«æΑ
ÄÄËæΑêÞΑÃÄΑ×ê½½Α«Äĉæ«ËÄΑ«ÄΑæ¨ΑËÄËÃüΠ Hence option 5 is not correct.
ANALYSIS:

H×æ«ËÄΑ͎Α«ÞΑÞüΑæËΑ½«Ã«ÄæΑÞΑϏÚ«Þ«Ä£Α«ÄæÚÞæΑÚæÞϐ«ÞΑêÞΑÞΑΑÃÞêÚΑæËΑæº½Α«Äĉæ«ËÄΑÄΑÄÄËæΑΑ
ΑêÞΑË¢Α«Äĉæ«ËÄΠ
SOURCE : This concept has not been dealth with in the NCERT Macroeconomics book. One can refer to
Britannica, Investopedia or Wikipedia.
56
Year 2022 TACKLING INFLATION
Q4. In India, which one of the following is responsible for maintaining price stability by controlling
«Äĉæ«ËÄΧ
(a) Department of Consumer Affairs
(b) Expenditure Management Commission
(c) Financial Stability and Development Council
(d) Reserve Bank of India
ANSWERS D
EXPLANATION
b¨Α WÞÚõΑ ÄºΑ Ë¢Α +Ä«Α λW +μΑ «ÞΑ õÞæΑ ö«æ¨Α æ¨Α ÚÞ×ËÄÞ««½«æüΑ Ë¢Α ËÄêæ«Ä£Α ÃËÄæÚüΑ ×Ë½«üΠΑ b¨«ÞΑ
ÚÞ×ËÄÞ««½«æüΑ«ÞΑû×½««æ½üΑÃÄæΑêÄÚΑæ¨ΑWÞÚõΑ ÄºΑË¢Α+Ä«ΑæΡΑ͍͊͒͌ΠΑb¨Α×Ú«ÃÚüΑË¶æ«õΑË¢Α
ÃËÄæÚüΑ×Ë½«üΑ«ÞΑæËΑÃ«Äæ«ÄΑ×Ú«ΑÞæ«½«æüΑö¨«½Αº×«Ä£Α«ÄΑÃ«ÄΑæ¨ΑË¶æ«õΑË¢Α£ÚËöæ¨ΠΑTÚ«ΑÞæ«½«æüΑ
«ÞΑΑÄÞÞÚüΑ×ÚËÄ«æ«ËÄΑæËΑÞêÞæ«Ä½Α£ÚËöæ¨Π
b¨ΑATΑλAËÄæÚüΑTË½«üΑËÃÃ«ææμΑæÚÃ«ÄÞΑæ¨Α×Ë½«üΑ«ÄæÚÞæΑÚæΑÚÙê«ÚΑæËΑ¨«õΑæ¨Α«Äĉæ«ËÄΑ
æÚ£æΠΑb¨ΑWÞÚõΑ ÄºϐÞΑAËÄæÚüΑTË½«üΑ×ÚæÃÄæΑλATμΑÞÞ«ÞæÞΑæ¨ΑATΑ«ÄΑ¢ËÚÃê½æ«Ä£Αæ¨ΑÃËÄα
æÚüΑ×Ë½«üΠΑq«öÞΑË¢ΑºüΑÞæº¨Ë½ÚÞΑ«ÄΑæ¨ΑËÄËÃüΡΑÄΑÄ½üæ«½ΑöËÚºΑË¢Αæ¨ΑWÞÚõΑ ÄºΑËÄæÚ«êæΑ
æËΑæ¨Α×ÚËÞÞΑ¢ËÚΑÚÚ«õ«Ä£ΑæΑæ¨Α«Þ«ËÄΑËÄΑæ¨Α×Ë½«üΑÚ×ËΑÚæΠΑb¨Α"«ÄÄ«½ΑAÚºæÞΑH×Úæ«ËÄÞΑ×Úæα
ÃÄæΑλ"AHμΑË¢ΑW +ΑË×Úæ«ËÄ½«ÞÞΑæ¨ΑÃËÄæÚüΑ×Ë½«üΡΑÃ«Ä½üΑæ¨ÚËê£¨ΑüαæËαüΑ½«Ùê««æüΑÃÄ£ÃÄæΑ
Ë×Úæ«ËÄÞΠΑb¨Α"«ÄÄ«½ΑAÚºæÞΑËÃÃ«ææΑλ"AμΑÃæÞΑ«½üΑæËΑÚõ«öΑæ¨Α½«Ùê««æüΑËÄ«æ«ËÄÞΑÞËΑÞΑæËΑ
ÄÞêÚΑæ¨æΑæ¨ΑË×Úæ«Ä£ΑæÚ£æΑË¢Αæ¨Αö«£¨æΑõÚ£Α½½ΑÃËÄüΑÚæΑλrWμΑ«ÞΑ½«£ÄΑö«æ¨Αæ¨ΑÚ×ËΑ
rate.
b¨ÚΑÚΑÞõÚ½Α«ÚæΑÄΑ«Ä«ÚæΑ«ÄÞæÚêÃÄæÞΑæ¨æΑÚΑêÞΑüΑW +Α¢ËÚΑ«Ã×½ÃÄæ«Ä£ΑÃËÄæÚüΑ×Ë½«üΑ
¢ËÚΑ×Ú«ΑÞæ«½«æüΑüΑº×«Ä£Α¨ºΑËÄΑ«Äĉæ«ËÄΑÞê¨ΑÞΑW×ËΑÚæΡΑWõÚÞΑÚ×ËΡΑH×ÄΑÃÚºæΑË×Úæ«ËÄÞΡΑ
;«Ùê««æüΑ¶êÞæÃÄæΑ¢«½«æüΡΑæΠΑ"ËÚΑûÃ×½ΡΑW +ΑËÞΑ«æΑüΑ«ÄÚÞ«Ä£Αæ¨ΑÚ×ËΑÚæΑ«ÄΑæ¨ΑËÄËÃüΡΑ«¢Α
«Äĉæ«ËÄΑ«ÞΑ¨«£¨ΠΑ+ÄÚÞΑ«ÄΑ«ÄæÚÞæΑÚæΑ«ÞΑ½«õΑæËΑÚ«Ä£ΑËöÄΑæ¨Α«Äĉæ«ËÄΑ½õ½Α«ÄΑæ¨ΑËÄËÃüΑüΑ
êÚæ«½«Ä£Αæ¨ΑÃËêÄæΑË¢ΑËÄËÃ«Αæ«õ«æüΑö¨ÚÞΑÚÞ«Ä£Αæ¨Α«ÄæÚÞæΑÚæΑ«ÄÚÞÞΑæ¨Α«Äĉæ«ËÄΑ
½õ½ΑË¢Αæ¨ΑËÄËÃüΑüΑ«ÄÚÞ«Ä£Αæ¨ΑËÄËÃ«Αæ«õ«æüΠ Hence option (d) is the correct answer.
ANALYSIS:
Factual question. No scope for elimination.
SOURCE : https://www.rbi.org.in/scripts/FS_Overview.aspx?fn=2752
57
wwww.visionias.in
͍͑͏͉͉͑͋͋͋͋ΡΑ͉͉͒͊͒͏͏͉͏͏
phases - Prelims, Mains, and the Interview.

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58
FISCAL POLICY AND GOVERNMENT BUDGETING

(13 Questions)
Year 2017 GST
Q1. What is/are the most likely the advantages of implementing ‘Goods and Services Tax (GST)’?
1. It will replace multiple taxes collected by multiple authorities and will thus create a single market in India.
2. It will drastically reduce the ‘Current Account Deficit’ of India and will enable it to increase its foreign exchange
reserves.
3. It will enormously increase the growth and size of economy of India and will enable it to overtake China in the
near future.
(a) 1 only
(b) 2 and 3 only
(c) 1 and 3 only
(d) 1, 2 and 3
ANSWERS A
EXPLANATION
#[bΑ«ÞΑËÄΑ«Ä«ÚæΑæûΑ¢ËÚΑæ¨Αö¨Ë½ΑÄæ«ËÄΡΑö¨«¨Αö«½½ΑÃºΑ+Ä«ΑËÄΑêÄ«ĈΑËÃÃËÄΑÃÚºæΠ Hence,
statement 1 is correct.
b¨ÚΑ«ÞΑÄËΑ«Ä¢ËÚÃæ«ËÄΑö¨«¨ΑÞüÞΑ#[bΑö«½½ΑÚÞæ«½½üΑÚêΑæ¨ΑΑË¢Α+Ä«ΠΑB«æ¨ÚΑ«æΑ«ÞΑæÚêΑæ¨æΑ«æΑö«½½Α
Ä½Α+Ä«ΑæËΑæºΑËõÚΑ¨«ÄΠΑ(ÄΡΑstatements 2 and 3 are not correct.
59
Goods and Services Tax (GST)

What is it?
GST is a comprehensive, multi-stage, destination based single domestic tax
on the consumption of goods and services.
More about GST
First discussed Introduced Levied at Components of GST-

by the Kelkar through every value Central GST (CGST),
Task Force Constitution addition point. State GST (SGST),
in 2003 (101 Amendment) Union Territory GST
Act, 2016 (UTGST), and Integrated
GST (IGST)*
Concerning Law GST

Article 246A- Parliament and
Legislature of every State has State Taxes Central Taxes
power to make laws with respect
to goods and services tax VAT/Sales Tax Central Excise
imposed by the Union or by such Duty
State.
Entertainment Additional Excise
Tax Duty
Some key taxes out of Luxury Tax Additional
GST's ambit Customs duty
Tax on Lottery/ Special Additional

Excise Duty Stamp Duty and Betting/ duty of of Customs
on Alcohol Property Tax Gambling
Octroi Service Tax

Electricity Basic Custom
Purchase Tax Excise duty levied
Duty Duty
under Medicinal &
Petroleum crude, Diesel, Petrol, Toiletries
Aviation Turbine Fuel and preparations
Natural Gas
60
ANALYSIS:
Motivation
ÞΑæ¨Α͉͊͊ÞæΑËÄÞæ«æêæ«ËÄ½ΑÃÄÃÄæΑöÞΑ«ÄΑæ¨ΑÄöÞΑÄΑ#[bΑöÞΑö«½üΑËõÚΑ«ÄΑæ¨ΑÄöÞ××ÚÞΑ
«ÄΑ͉͋͊͐ΠΑ

b¨Α͌ÚΑÞææÃÄæΑÞüÞΑæ¨æΑ«æΑö«½½Α¨½×Α+Ä«ΑËõÚæºΑ¨«ÄΑ«ÄΑÄÚΑ¢êæêÚΠΑ"«ÚÞæ½üΡΑËÄËÃüΑË¢Α¨«ÄΑ«ÞΑ
Þ«£Ä«ĈÄæ½üΑ½Ú£ÚΑλ«ΠΠΡΑ½ÃËÞæΑ͏Αæ«ÃÞΑË¢Α+Ä«ϐÞμΑæ¨ÄΑ+Ä«ΠΑ[ËÄ½üΡΑËÄΑÞ«Ä£½ΑÚ¢ËÚÃΑÞüÞæÃΑÄΑÄõÚΑ
«ÄÚÞΑæ¨Α£ÚËöæ¨ΑË¢ΑÄΑËÄËÃüΑÄËÚÃËêÞ½üΡΑæ¨æΑæËËΑ«ÄΑæ¨ΑÄÚΑ¢êæêÚΠ Therefore, 3rd statement
must be wrong. +ÄΑæ¨æΑÞΡΑæ¨ΑËÄ½üΑ×ËÞÞ«½ΑË×æ«ËÄΑ½¢æΑ«ÞΑË×æ«ËÄΑλμΠΑ
ÞΑæ¨ΑBWbΑËËºÞΑ×ÚæΑæ¨Α#[bΑÚ¢ËÚÃÞΡΑ¨ÄΑæ¨ΑËÄ×æÞΑöÞΑÄËæΑËõÚΑ«ÄΑÄüΑË¢Αæ¨ΑÞÞÄæ«½Α
AæÚ«½Π
SOURCE : http://www.gstindia.com/about/
Year 2017 REVENUE AND EXPENDITURE

1. Tax revenue as a percent of GDP of India has steadily increased in the last decade.
2. Fiscal deficit as a percent of GDP of India has steadily increased in the last decade.
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
ANSWERS D
EXPLANATION
[Úõ«Α æûΡΑ ×ÚÞËÄ½Α «ÄËÃΑ æûΑ ÄΑ ËÚ×ËÚæ«ËÄΑ æûΑ ¨õΑ ÄΑ ÚêΑ «ÄΑ æ¨Α ÚÄæΑ ×ÞæΑ æËΑ ËËÞæΑΑ
££Ú£æΑÃÄΡΑÞËΑÞΑæËΑ×ÚËææΑæ¨ΑËÄËÃüΑ¢ÚËÃΑ£½Ë½ΑÚÞÞ«ËÄΠΑ
û«ÞΑêæüΑÚæÞΑ¨õΑÄΑÚêΑ«ÄΑæ¨ΑÚÄæΑ×ÞæΑæËΑËËÞæΑ££Ú£æΑÃÄΡΑÞËΑÞΑæËΑ×ÚËææΑæ¨Α
ËÄËÃüΑ¢ÚËÃΑ£½Ë½ΑÚÞÞ«ËÄΑ¨ÄΑæûΑÚõÄêΑÞΑΑ×ÚÄæΑË¢Α#TΑË¢Α+Ä«Α¨ÞΑÞæ«½üΑÄËæΑ«ÄÚÞΑ
in the last decade . Hence statement 1 is not correct.
"«Þ½ΑĈ«æΑÞΑΑ×ÚÄæΑË¢Α#TΑË¢Α+Ä«Α¨ÞΑÄËæΑÞæ«½üΑ«ÄÚÞΑ«ÄΑæ¨Α½ÞæΑΠΑHence statement
2 is not correct.
61
ANALYSIS:
#ËõÚÄÃÄæϐÞΑĈÞ½Α×Ú¢ËÚÃÄΑ«ÞΑ½öüÞΑËõÚΑ«ÄΑæ«½Α«ÄΑæ¨ΑËÄËÃ«Α[êÚõüÞΠΑ(ÄΑ£Ë«Ä£Α
through the survey of that year as thoroughly as possible is very important.

b¨ΑöËÚΑϏÞæ«½üϐΑÄΑæ¨æΑæËËΑ¢ËÚΑΑ×Ú«ËΑË¢Α͉͊ΑüÚÞΑ«ÞΑæ¨Α«££ÞæΑ½êΠΑBËΑÃÞêÚΑË¢ΑĈÞ½Α×Ë½«üΑÄΑ
×Ú¢ËÚÃΑæ¨æΑÞæ«½üΑËõÚΑΑ×Ú«ËΑË¢Α͉͊ΑüÚÞΠ
SOURCE : http://www.gstindia.com/about/
Year 2018 EQUALIZATION TAX
Q3. With reference to India's decision to levy an equalization tax of 6% on online advertisement
ÞÚõ«ÞΑËąÚΑüΑÄËÄαÚÞ«ÄæΑÄæ«æ«ÞΡΑö¨«¨ΑË¢Αæ¨Α¢Ë½½Ëö«Ä£ΑÞææÃÄæÞΑ«ÞέÚΑËÚÚæΧΑ
1. It is introduced as a part of the Income Tax Act.
2. Non-resident entities that offer advertisement services in India can claim a tax credit in their home country
under the "Double Taxation Avoidance Agreements".
Select the correct answer using teh code given below:
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
ANSWERS D
EXPLANATION
Statements 1 and 2 are not correct: Ùê½«Þæ«ËÄΑ;õüΑöÞΑ«ÄæÚËêΑ«ÄΑ+Ä«Α«ÄΑ͉͋͊͏ΡΑö«æ¨Αæ¨Α«ÄæÄæ«ËÄΑ

Ë¢Αæû«Ä£Αæ¨Α«£«æ½ΑæÚÄÞæ«ËÄÞΑ«ΠΠΑæ¨Α«ÄËÃΑÚê«Ä£ΑæËΑ¢ËÚ«£ÄΑαËÃÃÚΑËÃ×Ä«ÞΑ¢ÚËÃΑ+Ä«ΠΑ+t
is aimed at taxing business-to-business transactions.
As the levy was not introduced as part of the Income Tax Act but as a separate legislation under the
"«ÄÄΑ «½½ΡΑ£½Ë½ΑĈÚÃÞΑæ¨æΑËąÚΑÞê¨ΑÞÚõ«ÞΑ«ÄΑ+Ä«ΑÄÄËæΑ½«ÃΑΑæûΑÚ«æΑ«ÄΑæ¨«ÚΑ¨ËÃΑËêÄæÚüΑ
êÄÚΑæ¨ΑËê½Αæûæ«ËÄΑõË«ÄΑ£ÚÃÄæÞΑ
62
ANALYSIS:
Motivation
b¨Α ÙêÞæ«ËÄΑ «ÞΑ ¢æê½Α «ÄΑ ÄæêÚΑ ÄΑ ½ÞËΑ Α ͋αÞææÃÄæΑ ÙêÞæ«ËÄΡΑ ¨ÄΑ ËÄΑ «ÞΑ Þê××ËÞΑ æËΑ ¨õΑ
ÙêæΑºÄËö½£ΑæËΑ£æΑæ¨ΑËÚÚæΑÄÞöÚΠ
Ùê½«Þæ«ËÄΑ;õüΑΑËÚΑ#"ΑæûΑλ#ËË£½ΡΑ××½ΡΑ"ËËºΑÄΑÃāËÄμΑΑÄΑ«ÄΑæ¨ΑÄöÞΑÞ«ÄΑ«æΑöÞΑ«ÄæÚËα
êΑ«ÄΑ͉͋͊͏ΠΑ½ÞËΑ«æΑöÞΑÚ×ËÚæΑæ¨æΑæ¨ΑÄæÚϐÞΑÚõÄêΑ¢ÚËÃΑÙê½«Þæ«ËÄΑ½õüΑ«ÄΑ͉͋͊͐α͊͑ΑöÞΑËõÚΑ
WÞΑ͉͉͐ΑÚËÚΡΑÃê¨Α¨«£¨ÚΑæ¨ÄΑæ¨ΑWÞΑ͎͌͊ΑÚËÚΑ«æΑ£ÚÄÚΑ¢ÚËÃΑæ¨ΑæûΑ«ÄΑæ¨Α×Úõ«ËêÞΑ͉͊αÃËÄæ¨Α×Ú«ËΠ
SOURCE : From the standard newspapers

https://www.thehindu.com/business/Economy/tax-pan-
el-wants-68-levy-on-most-digital-services/article8381870.ece
¨ææ×Þ΢έέöööΠĈÄÄ«½û×ÚÞÞΠËÃέË×«Ä«ËÄέÙê½«Þæ«ËÄα½õüαÄËæαÞËαÙê½έ͎͉͍͎͋͐έ
https://economictimes.indiatimes.com/tech/internet/goo-
gle-and-other-digital-service-providers-generate-over-rs-560-cr-in-equalisation-levy/articl
eshow/63933584.cms
Year 2018 FRBM

1. The Fiscal Responsibility and Budget Management (FRBM) Review Committee Report has recommended a debt
to GDP ratio of 60% for the general (combined) government by 2023, comprising 40% for the Central Government
and 20% for the State Governments.
2. The Central Government has domestic liabilities of 21% of GDP as compared to that of 49% of GDP of the State
Governments.
3. As per the Constitution of India, it is mandatory for a State to take the Central Government's consent for raising
any loan if the former owes any outstanding liabilities to the latter. Which of the statements given above is/are
correct?
(a) 1 only
(b) 2 and 3 only
(c) 1 and 3 only
(d) 1, 2 and 3
ANSWERS C
63
EXPLANATION
b¨Α "W AΑ Wõ«öΑ ËÃÃ«ææΑ λ¨«Ú×ÚÞËÄ΢Α AÚΠΑ BΠ9ΠΑ [«Ä£¨μΑ ÞêÃ«ææΑ «æÞΑ Ú×ËÚæΑ «ÄΑ 6ÄêÚüΑ ͉͋͊͐ΠΑ b¨Α
W×ËÚæΑöÞΑÃΑ×ê½«Α«ÄΑ×Ú«½Α͉͋͊͐ΠΑb¨ΑËÃÃ«ææΑÞê££ÞæΑêÞ«Ä£ΑæΑÞΑæ¨Α×Ú«ÃÚüΑæÚ£æΑ¢ËÚΑĈÞ½Α
×Ë½«üΠΑΑæΑæËΑ#TΑÚæ«ËΑË¢Α͏͉АΑÞ¨Ëê½ΑΑæÚ£æΑö«æ¨ΑΑ͍͉АΑ½«Ã«æΑ¢ËÚΑæ¨ΑÄæÚΑÄΑ͉͋АΑ½«Ã«æΑ¢ËÚΑæ¨Α
ÞææÞΠΑb¨ΑæÚ£æΑæΑæËΑ#TΑÚæ«ËΑÞ¨Ëê½ΑΑ¨«õΑüΑ͉͋͋͌ΠΑHence, statement 1 is correct.
b¨ΑÄæÚ½Α#ËõÚÄÃÄæΑ¨ÞΑËÃÞæ«Α½««½«æ«ÞΑË¢Α͍͏Π͊АΑË¢Α#TΑλ͉͋͊͏α͊͐μΑÄΑÞΑΑ×ÚΑÄæΑË¢Α#TΡΑ[ææÞϐΑ
½««½«æ«ÞΑ«ÄÚÞΑæËΑ͋͌Π͋Α×ÚΑÄæΑæΑÄαAÚ¨Α͉͋͊͏ΠΑHence, statemenent 2 is not correct.
b¨Α ËÄÞæ«æêæ«ËÄΑ Ë¢Α +Ä«Α Ã×ËöÚÞΑ [ææΑ #ËõÚÄÃÄæÞΑæËΑ ËÚÚËöΑ ËÄ½üΑ¢ÚËÃΑ ËÃÞæ«Α ÞËêÚÞΑ λÚæ«½Α
͋͒͌λ͊μμΠΑ"êÚæ¨ÚΡΑÞΑ½ËÄ£ΑÞΑΑ[ææΑ¨ÞΑËêæÞæÄ«Ä£ΑËÚÚËö«Ä£ÞΑ¢ÚËÃΑæ¨ΑÄæÚ½Α#ËõÚÄÃÄæΡΑ«æΑ«ÞΑÚÙê«ÚΑ
æËΑËæ«ÄΑÄæÚ½Α#ËõÚÄÃÄæϖÞΑ×Ú«ËÚΑ××ÚËõ½Α¢ËÚΑ«ÄêÚÚ«Ä£ΑæΑλÚæ«½Α͋͒͌Αλ͌μμΠΑHence, statement 3
is correct.
ANALYSIS:
½æ¨Ëê£¨Αæ¨ΑÙêÞæ«ËÄΑ«ÞΑ¢æê½Α«ÄΑÄæêÚΡΑÞææÃÄæΑ͋Α«ÞΑÞüΑæËΑ½«Ã«ÄæΑÞΑæ¨ΑÄæÚΑ«ÞΑ½öüÞΑæΑæ¨Α
¨½ÃΑË¢Α+Ä«ϐÞΑËÄËÃüΡΑ«æÞΑËÃÞæ«Α½««½«æ«ÞΑ¨õΑæËΑΑ£ÚæÚΠΑ
Motivation
b¨Α#ËõÚÄÃÄæΑ¨Α«ΑæËΑÄËΑ½ËÄ£ÚΑæÚ£æΑÚõÄêΑĈ«æΑö¨«¨ΑÚËê£¨æΑ¨ΑB9Α[«Ä£¨ΑTÄ½ΑÚËÃα
ÃÄæ«ËÄÞΑ«ÄΑæËΑ¢ËêÞΠ
SOURCE : Almost all the standard newspapers covered the NK Singh report submission in 2017.
https://www.thehindu.com/business/Economy/the-hindu-ex-
plains-disciplining-government-debt/article18195556.ece
¨ææ×Þ΢έέΠ£ËõΠ«ÄέÞ«æÞέ¢ê½æέĈ½Þέ[ææêÞА͉͋T×ÚА͉͋ĈÄ½А͉͋͋͑Π͌Π͊͑Π×¢Αλb¨ΑÃ«ÄΑ
report)
64
Year 2018 GST
Q5. Consider the following items:

1. Cereals grains hulled
2. Chicken eggs cooked
3. Fish processed and canned
4. Newspapers containing advertising material
Which of the above items is/are exempted under GST (Goods and Services Tax)?
(a) 1 only
(b) 2 and 3 only
(c) 1, 2 and 4 only
(d) 1, 2, 3 and 4
ANSWERS C
EXPLANATION
The Goods and Services Tax (GST) in India was implemented on July 1, 2017.Αr¨«½ΑÚ½ÞΡΑ££ÞΡΑæΑÚΑ
ûÃ×æΑ¢ÚËÃΑ#[bΡΑæ¨ΑÙêÞæ«ËÄΑÃÄæ«ËÄÞ 'cooked' and 'processed and canned.'Α(ÄΑêΑæËΑææÄæ«ËÄΑ
ÄÞΑ æËΑ Α ×«ΠΑ ÞΑ ÄΑ «æÃΑ «ÞΑ ÄÄΡΑ «æΑ «ÞΑ ÞêÚ½üΑ õ«½½Α ÞΑ Α ×ÚËêæΑ «ÄΑ ÃÚºæΑ Ä thus surely
attracts GST. Thus using the elimination technique, we can get rid of option B and D. At the time of
æ¨ΑûÃΡΑæ¨ÚΑöÞΑΑ½ËæΑË¢ΑËÄ¢êÞ«ËÄΑæöÄΑΑÄΑΠΑ êæΑ«ÄΑ«æÞΑËĆ«½ΑºüΑfT[ΑËÄĈÚÃΑϏϐΑÞΑ
the answer.
½æ¨Ëê£¨Αö«æ¨ΑÚ¢ÚÄΑæËΑÄöÞ××ÚÞΑËÄæ«Ä«Ä£ΑõÚæ«Þ«ÃÄæÞΡΑ£ËõÚÄÃÄæΑ¨ΑÚÄæ½üΑ×ê½«Þ¨ΑΑ
½Ú«Ĉæ«ËÄΑæ¨æΑæ¨ÞΑö«½½ΑΑæûΑêÄÚΑ#[bΡΑêæΑæ¨ΑÄÞöÚΑ£«õÄΑöÞΑΠΑb¨Α£ËõÚÄÃÄæΑ¨Α½Ú«ĈΑ
æ¨æΑæ¨ΑÄöÞ××ÚÞΑöËê½Α¨õΑæËΑ×üΑ͎Α×ÚΑÄæΑ#[bΑËÄΑæ¨ΑÚõÄêΑÚÄΑ¢ÚËÃΑÞ×ΑÞ½½«Ä£ΑêæΑÄΑ
õ«½ΑË¢Α«Ä×êæΑæûΑÚ«æΑ¢ËÚΑæ¨ΑæûΑ×«ΑüΑæ¨ΑõÚæ«ÞÃÄæΑ£ÄüΑËÄΑËÃÃ«ÞÞ«ËÄΑÚ«õΠ
ANALYSIS:
This question was askedΑêÞΑæ¨Α#[bΑöÞΑ×Úõ½Äæ½üΑ«ÄΑæ¨ΑÄöÞΑËö«Ä£ΑæËΑ«æÞΑËÃ«Ä£Α«ÄæËΑ¢ËÚΑ
¢ÚËÃΑ6ê½üΑ͊ΡΑ͉͋͊͐Π

BËΑÞË×ΠΑ+æΑöÞΑ«Ćê½æΑæËΑÃÃËÚ«ÞΑæ¨Α½«ÞæΑË¢Α#[bαûÃ×æΑ«æÃΑ½ÞËΑæ¨Α½«Ã«Äæ«ËÄΑæ¨Ä«ÙêΑËê½Α
½«Ã«ÄæΑËÄ½üΑæöËΑË×æ«ËÄÞΠ
SOURCE : Although one cannot memorize the list of items, just for the reference, the following link can be
used
http://www.msmedinewdelhi.gov.in-
/PDF2017-18/GST/List%20of%20Exempted%20Goods%20under%20GST%20with%20HSN%20
Code.pdf
65
Year 2018 EXTERNAL DEBT

1. Most of India’s external debt is owed by governmental entities.
2. All of India’s external debt is denominated in US dollars.
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
ANSWERS D
EXPLANATION
ÞΑ×ÚΑæ¨Α#ËõÚÄÃÄæΑÚ×ËÚæΑËÄΑûæÚÄ½ΑæΑüΑÃÚΑ͉͋͊͑αËÃÃÚ«½ΑËÚÚËö«Ä£ÞΑÚΑæ¨Α½Ú£ÞæΑ
ËÃ×ËÄÄæΑË¢ΑûæÚÄ½ΑæΑö«æ¨ΑΑÞ¨ÚΑË¢Α͌͐Π͊Α×ÚÄæΡΑ¢Ë½½ËöΑüΑBW+Α×ËÞ«æÞΑλ͋͌Π͒Α×ÚÄæμΑÄΑÞ¨ËÚæΑ
æÚÃΑæÚΑÚ«æΑλ͊͒Π͒Α×ÚÄæμΠ Hence statement 1 is not correct.
f[ΑË½½ÚΑÄËÃ«ÄæΑæΑËÄæ«ÄêΑæËΑΑæ¨Α½Ú£ÞæΑËÃ×ËÄÄæΑË¢Α+Ä«ϐÞΑûæÚÄ½ΑæΑö«æ¨ΑΑÞ¨ÚΑ
Ë¢Α͍͎Π͒Α×ÚÄæΑæΑÄΑÃÚΑ͉͋͊͑ΡΑ¢Ë½½ËöΑüΑæ¨Α+Ä«ÄΑÚê×Αλ͍͋Π͑Α×ÚÄæμΡΑ[WΑλ͎Π͊Α×ÚÄæμΡΑüÄΑ
λ͍Π͒Α×ÚÄæμΑÄΑêÚËλ͌Π͊Α×ÚÄæμΠΑHence, Statement 2 is not correct.
ANALYSIS:
½öüÞΑ«ÄΑæ¨ΑÄöÞΡΑÞËÃæ«ÃÞΑËõÚΑ«ÄΑ£ÚæΑæ«½Α«ÄΑæ¨ΑËÄËÃ«Α[êÚõüÞΠ

"ÚËÃΑËêÚΑ½«Ã«æΑêÄÚÞæÄ«Ä£ΑöΑÄΑ«Ä¢ÚΑæ¨æΑ½½ΑË¢Α+Ä«ϐÞΑæΑö«½½ΑÄËæΑΑÄËÃ«ÄæΑ«ÄΑËÄΑêÚÚÄα
üΠΑ"ÚËÃΑæ¨æΑöΑÄΑ½«Ã«ÄæΑÞææÃÄæΑ͋Π
SOURCE : ¨ææ×Þ΢έέΠ£ËõΠ«ÄέÞ«æÞέ¢ê½æέĈ½Þέ+Ä«А͋͐ÞА͉͋ûæÚα
nal%20Debt%20as%20at%20the%20end%20December%202018.pdf
66
Economic Survey 2022-23 Statistical Appendix

67
Year 2020 NON-FINANCIAL DEBT
V͐ΠΑ+ÄΑæ¨ΑËÄæûæΑË¢Αæ¨Α+Ä«ÄΑËÄËÃüΡΑÄËÄαĈÄÄ«½ΑæΑ«Ä½êÞΑö¨«¨ΑË¢Αæ¨Α¢Ë½½Ëö«Ä£ΧΑ
1. Housing loans owed by households
2. Amounts outstanding on credit cards
3. Treasury bills
(a) 1 only
(b) 1 and 2 only
(c) 3 only
(d) 1, 2 and 3
ANSWERS D
EXPLANATION
BËÄαĈÄÄ«½Α æΑ ËÄÞ«ÞæÞΑ Ë¢Α Ú«æΑ «ÄÞæÚêÃÄæÞΑ «ÞÞêΑ üΑ £ËõÚÄÃÄæ½Α Äæ«æ«ÞΡΑ ¨ËêÞ¨Ë½ÞΑ ÄΑΑ
êÞ«ÄÞÞÞΑæ¨æΑÚΑÄËæΑ«Ä½êΑ«ÄΑæ¨ΑĈÄÄ«½ΑÞæËÚΠΑλb¨ΑĈÄÄ«½ΑÞæËÚΑËÃ×Ú«ÞÞΑËÃÃÚ«½ΑÄºÞΡΑ
«ÄÞêÚÄΑ ËÃ×Ä«ÞΡΑ ÄËÄÄº«Ä£ΑĈÄÄ«½Α ËÃ×Ä«ÞΡΑ ËË×Úæ«õÞΡΑ ×ÄÞ«ËÄΑ¢êÄÞΡΑ Ãêæê½Α¢êÄÞΑ ÄΑ
Ëæ¨ÚΑÞÃ½½ÚΑĈÄÄ«½ΑÄæ«æ«ÞμΠΑBËÄαĈÄÄ«½ΑæΑ«Ä½êÞΑ¨ËêÞ¨Ë½ΑËÚΑËÃÃÚ«½Α½ËÄÞΡΑbÚÞêÚüΑ«½½ÞΑ
ÄΑ Ú«æΑ ÚΑ ½ÄÞΠΑ b¨üΑ Þ¨ÚΑ ÃËÞæΑ Ë¢Α æ¨Α ÞÃΑ ¨ÚæÚ«Þæ«ÞΑ ö«æ¨Α ĈÄÄ«½Α æΡΑ û×æΑ æ¨Α
«ÞÞêÚÞΑÚΑÄËÄαĈÄÄ«½ΠΑΑHence option (d) is the correct answer
ANALYSIS:
Source/How to Cover? – ¨ææ×Þ΢έέöööΠÞ×½«Ä£ΠËÃέ͏͏͎͌͐͌͋έÄËÄĈÄÄ«½αæΑ

68
Year 2021 EFFECTS OF DEFICIT
V͑ΠΑr¨«¨ΑËÄΑË¢Αæ¨Α¢Ë½½Ëö«Ä£Α«ÞΑ½«º½üΑæËΑΑæ¨ΑÃËÞæΑ«Äĉæ«ËÄÚüΑ«ÄΑ«æÞΑąæÞΧΑ
(a) Repayment of public debt
(b) Borrowing from the public to finance a budget deficit
(c) Borrowing from the banks to finance a budget deficit
(d) Creation of new money to finance a budget deficit
ANSWERS D
EXPLANATION
ËÚÚËö«Ä£Α¢ÚËÃΑ ×ê½«Α ÄΑ ÄºÞΑö«½½Α ½ΑæËΑ Α ÚÞΑ «ÄΑæ¨Α ÃËÄüΑ Þê××½üΑ «ÄΑ ÃÚºæΑ ÞΑ «ÄΑ Ëæ¨Αæ¨Α
Ë×æ«ËÄÞΑ ÃËÄüΑ «ÄΑ ¨ÄΑ «ÞΑ ÚêΑ¢ËÚΑ ×ê½«Α ÄΑ ÃËÄüΑæËΑ ½ÄΑ «ÞΑ ÚêΑ¢ËÚΑ ÄºÞΠΑ Úæ«ËÄΑ Ë¢Α ÄöΑ
ÃËÄüΑæËΑĈÄÄΑΑê£æΑĈ«æΑö«½½Α¨õΑÃËÚΑ«Äĉæ«ËÄÚüΑąæΑæ¨ÄΑÚ×üÃÄæΑË¢ΑæΡΑÞΑ«æΑö«½½Α½Α
æËΑÄΑ«ÄÚÞΑ«ÄΑæËæ½ΑÃËÄüΑÞê××½üΑ«ÄΑæ¨ΑÃÚºæΠλÞΑÄöΑÃËÄüΑ«ÞΑ«Ä£ΑÚæμΠΑHence option (d) is
the correct answer.
êÚ«Ä£Α½ÞæΑĈÞ½ΑüÚΡΑË×æ«ËÄΑË¢ΑÃËÄæ«āæ«ËÄΑË¢ΑĈ«æΑöÞΑû×½ËÚΑêæΑ«ΑöÞΑÚË××ΑêΑæËΑ½«º½üΑ
«Äĉæ«ËÄÚüΑ×ÚÞÞêÚΠ
ANALYSIS:
The question featured in the CSE that year asΑÃËÄæ«Þæ«ËÄΑË¢ΑĈ«æΑ¨ÞΑÄΑÚêÚÚ«Ä£Α«ÄΑÄöÞΑ«ÄΑæ¨Α

ËÄæûæΑË¢ΑËõ«͊͒Π
Source: Standard newspapers
Year 2021 DEBTS AND SAVINGS
Q9. With reference to the Indian economy, consider the following statements :
1. A share of the household financial savings goes towards government borrowings.
2. Dated securities issued at market-related rates in auctions form a large component of internal debt.
Which of the above statements is/are correct ?
(a) 1 only
(b) 2 only
(c) Both l and 2
(d) Neither 1 nor 2
ANSWERS C
69
EXPLANATION
(ËêÞ¨Ë½ΑĈÄÄ«½ΑÞõ«Ä£ÞΑÚ¢ÚΑæËΑêÚÚÄüΡΑÄºΑ×ËÞ«æÞΡΑæΑÞêÚ«æ«ÞΡΑÃêæê½Α¢êÄÞΡΑ×ÄÞ«ËÄΑ¢êÄÞΡΑ
«ÄÞêÚÄΡΑÄΑ«ÄõÞæÃÄæÞΑ«ÄΑÞÃ½½ΑÞõ«Ä£ÞΑÞ¨ÃÞΑüΑ¨ËêÞ¨Ë½ÞΠΑb¨ΑÄæΑ¨ËêÞ¨Ë½ΑĈÄÄ«½ΑÞõ«Ä£ÞΑ
öÞΑ͊͊Π͎Α×ÚÄæΑË¢Α#B+λΑ£ÚËÞÞΑÄæ«ËÄ½Α«Þ×ËÞ½Α«ÄËÃμΑ«ÄΑ͉͉͋͋α͋͊ΠΑΑ×ÚæΑË¢Αæ¨«ÞΑĈÄÄ«½ΑÞõ«Ä£Α£ËÞΑ
æËöÚΑ£ËõÚÄÃÄæΑËÚÚËö«Ä£ΠÞΑ£ËõÚÄÃÄæΑËÚÚËöÞΑæ¨ÚËê£¨Αæ¨Α«ÞÞêΑË¢Α£ËõÚÄÃÄæΑÞêÚ«æ«ÞΑ½½Α
#αÞÞΑÄΑbÚÞêÚüΑ «½½ÞΠ+æΑËÚÚËöÞΑ¢ÚËÃΑæ¨ΑÃÚºæΡΑÞÃ½½ΑÞõ«Ä£ÞΑ¢êÄÞΡΑÞææΑ×ÚËõ«ÄæΑ¢êÄÞΡΑûæÚÄ½Α
ÞÞ«ÞæÄΑÄΑÞ¨ËÚæαæÚÃΑËÚÚËö«Ä£ÞΠΑÄüΑõÚÞΑÃËõÃÄæΑ«ÄΑæ¨Α¨ËêÞ¨Ë½ΑÞõ«Ä£ÞΑö«½½Α¨õΑΑÞ«£Ä«Ĉα
ÄæΑÚ«Ä£ΑËÄΑÄºÞΡΑ«ÄÞêÚÄΑËÃ×Ä«ÞΑÄΑÃêæê½έ×ÚËõ«ÄæΑ¢êÄÞΡΑö¨ËΡΑ«ÄΑæêÚÄΡΑÚΑºüΑ«ÄõÞæËÚÞΑ
«ÄΑ£ËõÚÄÃÄæΑÞêÚ«æ«ÞΠΑHence statement 1 is correct.
b¨ΑÄæÚ½Α#ËõÚÄÃÄæΑæΑ«Ä½êÞΑ½½Α½««½«æ«ÞΑË¢ΑÄæÚ½Α#ËõÚÄÃÄæΑËÄæÚæΑ£«ÄÞæΑæ¨ΑËÄÞË½«α
æΑ "êÄΑ Ë¢Α +Ä«Α λĈÄΑ ÞΑ Tê½«Α æμΠΑ Tê½«Α æΑ «ÞΑ¢êÚæ¨ÚΑ ½ÞÞ«ĈΑ «ÄæËΑ «ÄæÚÄ½Α ÄΑ ûæÚÄ½Α
æΠΑ+ÄæÚÄ½ΑæΑËÄÞ«ÞæÞΑË¢ΑÃÚºæ½ΑæΑÄΑÄËÄαÃÚºæ½ΑæΠΑAÚºæ½ΑæΑËÃ×Ú«ÞÞΑË¢Α
#ËõÚÄÃÄæΑæΑÞêÚ«æ«ÞΑÄΑbÚÞêÚüΑ «½½ÞΡΑ«ÞÞêΑæ¨ÚËê£¨Αêæ«ËÄÞΠΑBËÄαÃÚºæ½ΑæΑËÃ×Ú«ÞÞΑ
Ë¢Α«ÄæÚÃ«æ
bÚÞêÚüΑ «½½ÞΑλ͍͊ΑüÞΑ+b ÞμΑ«ÞÞêΑæËΑ[ææΑ#ËõÚÄÃÄæÞέfbÞΑÞΑö½½ΑÞΑÞ½æΑÄæÚ½Α ÄºÞΡΑÞ×«½ΑÞêα

Ú«æ«ÞΑ«ÞÞêΑ£«ÄÞæΑÞÃ½½ΑÞõ«Ä£ÞΡΑÞ×«½ΑÞêÚ«æ«ÞΑ«ÞÞêΑæËΑ×ê½«ΑÞæËÚΑÄºÞέw+AΑ ÄºΡΑÞêÚ«æ«ÞΑ
«ÞÞêΑæËΑ«ÄæÚÄæ«ËÄ½ΑĈÄÄ«½Α«ÄÞæ«æêæ«ËÄÞΡΑÄΑËÃ×ÄÞæ«ËÄΑÄΑËæ¨ÚΑËÄÞΠ
½½Α ÃÚºæ½Α ÞêÚ«æ«ÞΑ «ΠΑ æΑ ÞêÚ«æ«ÞΑ ÄΑbÚÞêÚüΑ «½½ÞΑ ÚΑ «ÞÞêΑ æ¨ÚËê£¨Α êæ«ËÄÞΑ ÞΑ ×ÚΑ æ¨Α
Þ¨ê½Α ÄËæ«ĈΑ æ¨ÚËê£¨Α ¨½¢üÚ½üέÙêÚæÚ½üΑ êæ«ËÄΑ ½ÄÚÞΠΑ ÞΑ æΑ ÄαAÚ¨Α ͉͋͋͊ΡΑ ËêæÞæÄ«Ä£Α
ÃËêÄæÞΑêÄÚΑæΑÞêÚ«æ«ÞΑÞæËËΑæΑ͐͊Π͐Α½º¨ΑÚËÚΑλ͌͏Π͌Α×ÚΑÄæΑË¢Α#TμΑÄΑËêÄæΑ¢ËÚΑ͏͑Π͊Α×ÚΑ
ÄæΑË¢Αæ¨ΑæËæ½ΑTê½«ΑæΠΑHence statement 2 is correct.
ANALYSIS:
+ÄæÚÄ½ΑæΑϞΑ(ËêÞ¨Ë½ΑĈÄÄ«½ΑÞõ«Ä£ÞΑÚΑ«Ã×ËÚæÄæΑæË×«ÞΑÄΑË¢æÄΑÚΑ«ÄΑæ¨ΑÄöÞΠ

Not much scope is there, especially because it is a 2-statement question
SOURCE : ¨ææ×Þ΢έέΠ£ËõΠ«ÄέÞ«æÞέ¢ê½æέĈ½Þέ"«Ä½А͉͋[ææêÞА͉͋××ÚА͉͉͉͋͋͋α͋͊Π×¢
Page 8
¨ææ×Þ΢έέöööΠĈÄÄ«½û×ÚÞÞΠËÃέË×«Ä«ËÄέ¨ËöαÚ«æ«α
cal-are-household-savings-for-government-borrowing/1542170/
https://rbidocs.rbi.org.in/rdocs/AnnualReport/PDFs/0RBI-
AR2021226AD1119FF6674A13865C988DF70B4E1A.PDF
70
Year 2021 CAPITAL EXPENDITURE
Q10. With reference to the expenditure made by an organisation or a company, which of the
following statements is/are correct?
1. Acquiring new technology is capital expenditure.
2. Debt financing is considered capital expenditure, while equity financing is considered revenue expenditure.
Select the correct answer using the code given below :
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
ANSWERS A
EXPLANATION
×«æ½Αû×Ä«æêÚÞΑλ×ûμΑÚΑ¢êÄÞΑêÞΑüΑΑËÃ×ÄüΑæËΑÙê«ÚΡΑê×£ÚΡΑÄΑÃ«Äæ«ÄΑ×¨üÞ«½Α
ÞÞæÞΑÞê¨ΑÞΑ×ÚË×ÚæüΡΑ×½ÄæÞΡΑê«½«Ä£ÞΡΑæ¨ÄË½Ë£üΡΑËÚΑÙê«×ÃÄæΠΑ×ûΑ«ÞΑË¢æÄΑêÞΑæËΑêÄÚæºΑ
ÄöΑ×ÚË¶æÞΑËÚΑ«ÄõÞæÃÄæÞΑüΑΑËÃ×ÄüΠΑËÞæÞΑæËΑê×£ÚΑËÚΑ×êÚ¨ÞΑÞË¢æöÚΡΑ«ÄõÞæ«Ä£Α«ÄΑÄöΑæ¨α
ÄË½Ë£üΑÄΑËÃ×êæÚΑÙê«×ÃÄæΡΑÚΑËÄÞ«ÚΑ×ÚæΑË¢Α×«æ½Αû×Ä«æêÚΠΑÞΑæ¨üΑÚΑË¢æÄΑÃ×½ËüΑ
æËΑ«Ã×ÚËõΑË×Úæ«ËÄ½ΑĆ«ÄüΡΑ«ÄÚÞΑÚõÄêΑ«ÄΑæ¨Α½ËÄ£ΑæÚÃΡΑËÚΑÃºΑ«Ã×ÚËõÃÄæÞΑæËΑæ¨Αû«Þæ«Ä£Α
ÞÞæÞΑË¢ΑΑËÃ×ÄüΠΑHence statement 1 is correct.
r¨ÄΑΑËÃ×ÄüΑËÚÚËöÞΑÃËÄüΑæËΑΑ×«ΑºΑæΑΑ¢êæêÚΑæΑö«æ¨Α«ÄæÚÞæΑ«æΑ«ÞΑºÄËöÄΑÞΑæΑĈÄÄα
«Ä£ΠΑ+æΑËêÚÞΑö¨ÄΑΑĈÚÃΑÞ½½ÞΑĈûΑ«ÄËÃΑ×ÚËêæÞΡΑÞê¨ΑÞΑËÄÞΡΑ«½½ÞΡΑËÚΑÄËæÞΠΑ+æΑËê½ΑΑ«ÄΑæ¨Α¢ËÚÃΑ
Ë¢ΑΑÞêÚΑÞΑö½½ΑÞΑÄΑêÄÞêÚΑ½ËÄΠΑæΑĈÄÄ«Ä£Α«ÞΑæ¨ΑË××ËÞ«æΑË¢ΑÙê«æüΑĈÄÄ«Ä£ΡΑö¨«¨ΑÄæ«½ÞΑ
«ÞÞê«Ä£ΑÞæËºΑæËΑÚ«ÞΑÃËÄüΠΑ"ËÚΑûÃ×½ΡΑÚ½«ÄΑÄΑ¨ËËÞΑæΑĈÄÄ«Ä£ΡΑö¨«¨ΑÄæ«½ÞΑÞ½½«Ä£ΑĈûΑ
«ÄËÃΑ ×ÚËêæÞΡΑ Þê¨Α ÞΑ ËÄÞΡΑ «½½ÞΡΑ ËÚΑ ÄËæÞΡΑæËΑ «ÄõÞæËÚÞΑæËΑ Ëæ«ÄΑæ¨Α ×«æ½Α ÄΑæËΑ £ÚËöΑ ÄΑ
û×ÄΑ«æÞΑË×Úæ«ËÄÞΠΑ Ëæ¨ΑæΑĈÄÄ«Ä£ΑÄΑÙê«æüΑĈÄÄ«Ä£ΑÚΑËÄÞ«ÚΑÞΑ×ÚæΑË¢Α×«æ½ΑÚ«×æÞΑ
¢ËÚΑæ¨ΑËÃ×ÄüΡΑÞΑ×«æ½ΑÚ«×æÞΑÚΑÚ«×æÞΑæ¨æΑÚæΑ½««½«æ«ÞΑËÚΑÚêΑĈÄÄ«½ΑÞÞæÞΠΑ"êÄÞΑ
¢ÚËÃΑæ¨ÞΑöËê½ΑΑêÞΑüΑËÃ×ÄüΑ¢ËÚΑ×«æ½Αû×Ä«æêÚΑÞê¨ΑÞΑæËΑ£ÚËöΑËÚΑû×ÄΑ«æÞΑË×Úæ«ËÄÞΠΑ
Hence statement 2 is not correct.
ANALYSIS:
Please Note:
Capital & revenue expenditure fundamental topic. Although we study that from the
£ËõÚÄÃÄæΑ ê£æ«Ä£Α ×Ë«ÄæΑ Ë¢Αõ«öΡΑæ¨«ÞΑ ÙêÞæ«ËÄΑöÞΑ¢ÚËÃΑæ¨Α ×ÚÞ×æ«õΑ Ë¢Α ΑĈÚÃΠΑ
This question is normally covered in the Accountancy.
71
SOURCE : ¨ææ×Þ΢έέöööΠ«ÄõÞæË×«ΠËÃέæÚÃÞέέæĈÄÄ«Ä£ΠÞ×ά΢Ѕ΢æûα
æϽæА͉͋ĈÄÄ«Ä£А͉͋ËêÚÞА͉͋ö¨ÄА͉͋А͉͋ËÃ×ÄüА͉͋Ú«ÞÞА͉͋ÃËÄüА͉͋üА͉͋Þ
lling,bonds%2C%20bills%2C%20or%20notes.
https://www.business-standard.com/about/what-is-capital-re-
«×æÞά΢Ѕ΢æûæϽ×«æ½А͉͋Ú«×æÞА͉͋ÚА͉͋Ú«×æÞА͉͋æ¨æΡÚê«½А͉͋×ÚæА͉͋Ë¢А͉͋×«
tal%20receipts.
https://www.investopedia.com/ask/an-
swers/112814/what-are-some-examples-main-types-capital-expenditures-capex.asp
Year 2022 INDIRECT TRANSFER

V͊͊ΠΑr¨«¨ΑËÄΑË¢Αæ¨Α¢Ë½½Ëö«Ä£ΑÞ«æêæ«ËÄÞΑÞæΑÚĉæÞΑϕ+Ä«ÚæΑbÚÄÞ¢ÚÞϕΑË¢æÄΑæ½ºΑËêæΑ«ÄΑ
media recently with reference to India ?
(a) An Indian company investing in a foreign enterprise and paying taxes to the foreign country on the profits
arising out of its investment
(b) A foreign company investing in India and paying taxes to the country of its base on the profits arising out of its
investment
(c) An Indian company purchases tangible assets in a foreign country and sells such assets after their value increas-
es and transfers the proceeds to India
(d) A foreign company transfers shares and such shares derive their substantial value from assets located in India
ANSWERS D
EXPLANATION
+Ä«ÚæΑæÚÄÞ¢ÚÞΑÚ¢ÚΑæËΑÞ«æêæ«ËÄÞΑö¨ÚΑö¨ÄΑ¢ËÚ«£ÄΑÄæ«æ«ÞΑËöÄΑÞ¨ÚÞΑËÚΑÞÞæÞΑ«ÄΑ+Ä«ΡΑæ¨ΑÞ¨ÚÞΑ
Ë¢ΑÞê¨Α¢ËÚ«£ÄΑÄæ«æ«ÞΑÚΑæÚÄÞ¢ÚÚΑ«ÄÞæΑË¢ΑΑ«ÚæΑæÚÄÞ¢ÚΑË¢Αæ¨ΑêÄÚ½ü«Ä£ΑÞÞæÞΑ«ÄΑ+Ä«ΠΑHence
option (d) is the corerct answer.
b¨ΑËÚ«£«ÄΑË¢ΑÚæÚËÞ×æ«õΑæûæ«ËÄΑÄΑΑæÚΑºΑæËΑ͉͋͊͋ΡΑr¨ÄΑqË¢ËÄΑ;æΠΑöÞΑÚæÚËÞ×æ«õ½üΑ
æûΑüΑæ¨Α+Ä«ÄΑæûΑêæ¨ËÚ«æ«ÞΑ¢ËÚΑΑ͉͉͋͐Α½ΠΑb¨Α͉͋͊͋ΑæΑ¨ΑÃÄΑæ¨Α+bΑæΑæËΑ«Ã×ËÞΑæûΑ½««½α
«æüΑËÄΑæ¨Α«ÄËÃΑÚÄΑ¢ÚËÃΑæ¨ΑÞ½ΑË¢ΑÞ¨ÚÞΑË¢ΑΑ¢ËÚ«£ÄΑËÃ×ÄüΑËÄΑΑÚæÚËÞ×æ«õΑÞ«ÞΑλ«ΠΠΡΑ½ÞËΑ
××½«½ΑæËΑæ¨ΑæÚÄÞæ«ËÄÞΑËÄΑ¢ËÚΑAüΑ͋͑ΡΑ͉͋͊͋μΠΑ
b¨ΑÃÄÃÄæÞΑÃΑüΑæ¨Α͉͋͊͋ΑæΑ½Ú«ĈΑæ¨æΑ«¢ΑΑËÃ×ÄüΑ«ÞΑÚ£«ÞæÚΑËÚΑ«ÄËÚ×ËÚæΑËêæÞ«Α
+Ä«ΡΑ «æÞΑ Þ¨ÚÞΑ ö«½½Α Α ÃΑ æËΑ Α ËÚΑ ¨õΑ ½öüÞΑ ÄΑ Þ«æêæΑ «ÄΑ +Ä«Α «¢Α æ¨üΑ Ú«õΑ æ¨«ÚΑ õ½êΑ
ÞêÞæÄæ«½½üΑ¢ÚËÃΑæ¨ΑÞÞæÞΑ½ËæΑ«ÄΑ+Ä«ΠΑÞΑΑÚÞê½æΡΑæ¨Α×ÚÞËÄÞΑö¨ËΑÞË½ΑÞê¨ΑÞ¨ÚÞΑË¢Α¢ËÚ«£ÄΑ
ËÃ×Ä«ÞΑ¢ËÚΑæ¨ΑÄæÃÄæΑË¢Αæ¨ΑæΑλ«ΠΠΡΑAüΑ͋͑ΡΑ͉͋͊͋μΑ½ÞËΑÃΑ½«½ΑæËΑ×üΑæûΑËÄΑæ¨Α«ÄËÃΑ
ÚÄΑ¢ÚËÃΑÞê¨ΑÞ½Π
b¨Αbûæ«ËÄΑ;öÞΑλÃÄÃÄæμΑæΡΑ͉͋͋͊ΑÄê½½«ĈÞΑæ¨ΑϏÚæÚËÞ×æ«õΑæûæ«ËÄϐΑæ¨æΑöÞΑ«ÄæÚËêΑö«æ¨Α
æ¨Α"«ÄÄΑæΑË¢Α͉͋͊͋ΠΑ+æΑÄê½½«ĈÞΑæ¨«ÞΑæûΑ½««½«æüΑ«Ã×ËÞΑËÄΑÞê¨Α×ÚÞËÄÞΑ×ÚËõ«Αæ¨üΑ¢ê½Ĉ½ΑÚæ«ÄΑΑ
conditions.
72
These conditions are:
+¢Αæ¨Α ×ÚÞËÄΑ ¨ÞΑĈ½Α ÄΑ ××½Α ËÚΑ ×æ«æ«ËÄΑ «ÄΑæ¨«ÞΑ Ú£ÚΡΑ «æΑ ÃêÞæΑ Αö«æ¨ÚöÄΑ ËÚΑæ¨Α ×ÚÞËÄΑ ÃêÞæΑ
ÞêÃ«æΑÄΑêÄÚæº«Ä£ΑæËΑö«æ¨ÚöΑ«æΡ
«¢Αæ¨Α×ÚÞËÄΑ¨ÞΑ«Ä«æ«æΑËÚΑ£«õÄΑÄËæ«Α¢ËÚΑÄüΑÚ«æÚæ«ËÄΡΑËÄ«½«æ«ËÄΡΑËÚΑÃ«æ«ËÄΑ×ÚË«Ä£ÞΑ«ÄΑ
æ¨«ÞΑ Ú£ÚΡΑ æ¨Α ÄËæ«ÞΑ ËÚΑ ½«ÃÞΑ êÄÚΑ Þê¨Α ×ÚË«Ä£ÞΑ ÃêÞæΑ Α ö«æ¨ÚöÄΑ ËÚΑ æ¨Α ×ÚÞËÄΑ ÃêÞæΑ
ÞêÃ«æΑÄΑêÄÚæº«Ä£ΑæËΑö«æ¨ÚöΑæ¨ÃΡ
æ¨Α×ÚÞËÄΑÃêÞæΑÞêÃ«æΑÄΑêÄÚæº«Ä£ΑæËΑö«õΑæ¨ΑÚ«£¨æΑæËΑÞºΑËÚΑ×êÚÞêΑÄüΑÚÃüΑËÚΑ½«ÃΑ«ÄΑæ¨«ÞΑ
Ú£ÚΡΑö¨«¨ΑÃüΑËæ¨Úö«ÞΑΑõ«½½ΑêÄÚΑÄüΑ½öΑ«ÄΑ¢ËÚΑËÚΑÄüΑ«½æÚ½Α£ÚÃÄæΡΑÄ
Ëæ¨ÚΑËÄ«æ«ËÄÞΡΑÞΑÃüΑΑ×ÚÞÚ«Π
b¨ΑæΑÄÞêÚÞΑæ¨æΑæ¨ÚΑÄÄËæΑû«ÞæΑÄüΑ¢êæêÚΑÃÄΑüΑæ¨Α£ËõÚÄÃÄæΑ¢ËÚΑæ¨ΑË½½æ«ËÄΑË¢ΑæûÞΑ
ËÄΑ æ¨Α Þ«ÞΑ Ë¢Α ÄΑ ÃÄÃÄæΑ ö«æ¨Α ÚæÚËÞ×æ«õΑ ąæΠΑb¨«ÞΑæΑ ÃºÞΑ æ¨Α æûΑ Ú£«ÃΑ Ë¢Α +Ä«Α ÃËÚΑ
×Ú«æ½ΡΑ«ÄÚÞ«Ä£Αæ¨ΑÞË×ΑË¢Α¢ËÚ«£ÄΑ«ÄõÞæÃÄæΑ«ÄæËΑæ¨ΑËêÄæÚüΑÞΑ«æΑ½Ú«ĈÞΑæ¨ΑÞæÄΑË¢Α+Ä«ÄΑ
#ËõÚÄÃÄæΑËÄΑ«Ã×ËÞ«æ«ËÄΑË¢ΑÚæÚËÞ×æ«õΑæûæ«ËÄΠ
ANALYSIS:
+æΑöÞΑ«ÄΑæ¨ΑÄöÞΑêÞΑË¢Αæ¨Αbûæ«ËÄΑ;öÞΑλÃÄÃÄæμΑæΡΑ͉͋͋͊Αö¨«¨ΑÄê½½«ĈΑæ¨ΑÚæÚËÞ×æ«õΑ
æûæ«ËÄΑÚ½æΑæËΑ«Ä««ÚæΑæÚÄÞ¢ÚÞΑæ¨æΑöÞΑ«ÄæÚËêΑö«æ¨Αæ¨Α"«ÄÄΑæΑË¢Α͉͋͊͋Π
SOURCE : https://prsindia.org/billtrack/the-taxation-laws-amendment-bill-2021
https://economictimes.indiatimes.com/indus-
try/indl-goods/svs/cement/adani-holcim-deal-and-the-legacy-vodafone-tax-issue/articlesh
ow/91619826.cms?from=mdr
https://www2.deloitte.com/content/dam/Deloitte/in/Docu-
ments/tax/Global%20Business%20Tax%20Alert/in-tax-gbt-alert-indirect-transfer-provisions
-to-apply-prospectively-from-28-may-2012-noexp.pdf
https://www.nishithdesai.com/Content/document/pdf/Arti-
cles/171023_A_Indirect-Transfer-Taxation-in-India.pdf
73
Year 2023 FINANCE COMMISSION
Q12. Consider the following:

1. Demographic performance
2. Forest and ecology
3. Governance reforms
4. Stable government
5. Tax and fiscal efforts
For the horizontal tax devolution, the Fifteenth Finance Commission used how many of the above as criteria other
than population area and income distance?
(a) Only two
(b) Only three
(c) Only four
(d) All five
ANSWERS B
EXPLANATION
ÞΑËÄΑ×Ú«Ä«×½ÞΑË¢ΑÄΡΑÙê«æüΑÄΑ×Ú¢ËÚÃÄΡΑËõÚ½½ΑõË½êæ«ËÄΑ¢ËÚÃê½Α«ÞΑÞΑ¢Ë½½ËöÞΠ
Criteria Weight(%)
TË×ê½æ«ËÄΑαΑ͎͊Π͉Α
ÚΑαΑ͎͊Π͉
Forest & ecology - 10
+ÄËÃΑ«ÞæÄΑαΑ͍͎Α
bûΑϞΑĈÞ½ΑąËÚæÞΑαΑ͋Π͎Α
Demographic performance - 12.5
HÄΑ¨ËÚ«āËÄæ½ΑõË½êæ«ËÄΡΑö¨«½Αwq"Α£ÚΑæ¨æΑæ¨ΑÄÞêÞΑ͉͋͊͊Α×Ë×ê½æ«ËÄΑæΑææÚΑÚ×ÚÞÄæÞΑæ¨Α
×ÚÞÄæΑÄΑË¢Α[ææÞΡΑæËΑΑ¢«ÚΑæËΡΑÞΑö½½ΑÞΑÚöÚΡΑæ¨Α[ææÞΑö¨«¨Α¨õΑËÄΑææÚΑËÄΑæ¨ΑÃËα
£Ú×¨«Α¢ÚËÄæΡΑwq"Α¨ÞΑÞÞ«£ÄΑΑ͊͋Π͎Α×ÚΑÄæΑö«£¨æΑæËΑæ¨ΑÃË£Ú×¨«Α×Ú¢ËÚÃÄΑÚ«æÚ«ËÄΠΑwq"Α
¨ÞΑ Ú«ÄæÚËêΑ æûΑ ąËÚæΑ Ú«æÚ«ËÄΑ æËΑ ÚöÚΑ ĈÞ½Α ×Ú¢ËÚÃÄΠΑ Hence option (b) is the correct
answer.
ANALYSIS:
b¨ΑĈ¢æÄæ¨ΑĈÄÄΑËÃÃ«ÞÞ«ËÄΑÞêÃ«ææΑ«æÞΑÚ×ËÚæΑ«ÄΑBËõÃÚΑ͉͉͋͋ΠΑ(ÄΑ«æΑ«ÞΑ«Ã×ËÚæÄæΑ¢ËÚΑæ¨Α
Þ×«ÚÄæÞΑæËΑ£ËΑæ¨ÚËê£¨Αæ¨Α«Ã×ËÚæÄæΑÚËÃÃÄæ«ËÄÞΑÄΑæ¨ΑÚ«æÚ«Αæ¨æΑ«æΑÞæÞΑ¢ËÚΑ¢êÄΑõË½êæ«ËÄΑ
between the states.
74
SOURCE : PIB (instead of reading the entire report)

https://pib.gov.in/PressReleasePage.aspx?PRID=1693868
Year 2023 INTANGIBLE INVESTMENTS
Q13. Consider the investments in the following assets:

1. Brand recognition
2. Inventory
3. Intellectual property
4. Mailing list of clients
How many of the above are considered intangible investments?
(a) Only one
(b) Only two
(c) Only three
(d) All four
ANSWERS C
EXPLANATION
ÄΑ«ÄæÄ£«½ΑÞÞæΑ«ÞΑÄΑ«Äæ«Ĉ½ΑÄËÄαÃËÄæÚüΑÞÞæΡΑö«æ¨ËêæΑ×¨üÞ«½ΑÞêÞæÄΡΑ¨½Α¢ËÚΑêÞΑ«ÄΑæ¨Α
×ÚËêæ«ËÄΑËÚΑÞê××½üΑË¢Α£ËËÞΑËÚΑÞÚõ«ÞΡΑ¢ËÚΑÚÄæ½ΑæËΑËæ¨ÚÞΡΑËÚΑ¢ËÚΑÃ«Ä«ÞæÚæ«õΑ×êÚ×ËÞÞΠΑ
ÄæÚ×Ú«ÞÞΑ ¢ÚÙêÄæ½üΑ û×ÄΑ ÚÞËêÚÞΡΑ ËÚΑ «ÄêÚΑ ½««½«æ«ÞΡΑ ËÄΑ æ¨Α Ùê«Þ«æ«ËÄΡΑ õ½Ë×ÃÄæΡΑΑ
Ã«ÄæÄÄΑËÚΑÄ¨ÄÃÄæΑË¢Α«ÄæÄ£«½ΑÚÞËêÚÞΑÞê¨ΑÞΑÞ«Äæ«ĈΑËÚΑæ¨Ä«½ΑºÄËö½£ΡΑÞ«£ÄΑ
ÄΑ«Ã×½ÃÄææ«ËÄΑË¢ΑÄöΑ×ÚËÞÞÞΑËÚΑÞüÞæÃÞΡΑ½«ÄÞΡΑ«Äæ½½æê½Α×ÚË×ÚæüΡΑmarket knowledge and
trademarks (including brand names and publishing titles).
ËÃÃËÄΑ ûÃ×½ÞΑ Ë¢Α «æÃÞΑ ÄËÃ×ÞÞΑ üΑ æ¨ÞΑ ÚËΑ ¨«Ä£ÞΑ ÚΑ ËÃ×êæÚΑ ÞË¢æöÚΡΑ patents,
copyrights,Α ÃËæ«ËÄΑ ×«æêÚΑ Ĉ½ÃÞΡΑ customer lists,Α ÃËÚæ££Α ÞÚõ««Ä£Α Ú«£¨æÞΡΑ ĈÞ¨«Ä£Α ½«ÄÞΡΑ «Ã×ËÚæΑ
ÙêËæÞΡΑ ¢ÚÄ¨«ÞÞΡΑ êÞæËÃÚΑ ËÚΑ Þê××½«ÚΑ Ú½æ«ËÄÞ¨«×ÞΡΑ êÞæËÃÚΑ ½Ëü½æüΡΑ ÃÚºæΑ Þ¨ÚΑ ÄΑ ÃÚºæ«Ä£Α
rights.
#ËËö«½½Α«ÞΑÄËæ¨ÚΑûÃ×½ΑË¢ΑÄΑ«æÃΑË¢Α«ÄæÄ£«½ΑÄæêÚΑö¨«¨Α«æ¨ÚΑÚ«ÞÞΑËÄΑÙê«Þ«æ«ËÄΑËÚΑ«ÞΑ«ÄæÚÄ½α
½üΑ£ÄÚæΠΑbÄ£«½ΑÞÞæÞΑÚΑæü×«½½üΑ×¨üÞ«½ΑÞÞæÞΑËÚΑ×ÚË×ÚæüΑËöÄΑüΑΑËÃ×ÄüΡΑÞê¨ΑÞΑÙê«×α
ÃÄæΡΑê«½«Ä£ÞΡΑÄΑ«ÄõÄæËÚüΠΑHence only option 2 is not correct.
75
Please Note:
Normally this topic is covered under ACCOUNTANCY.
This is a question that is covered in Accountancy and not normally studies under economics, but if an
aspirant understands the meaning of the word tangible (things that can be touched and felt), then
ö¨æΑ «ÞΑ «ÄæÄ£«½Α «ÞΑ ÄËæΑ ¨ÚΑ æËΑ £êÞÞΠΑ b¨Α öËÚΑ «ÄõÄæËÚüΑ ¨ÞΑ ÄΑ ĈÄΑ «ÄΑ ¨×æÚΑ ͋Α Ë¢Α æ¨Α
Macroeconomics textbook (meant for Class 12).
The following excerpt (screenshot) is from the same chapter
b¨êÞΡΑ«æΑ«ÞΑÄËæΑΑ¨ÚΑ½Ë£«ΑæËΑ××½üΠΑb¨ΑÙêÞæ«ËÄΑÞ¨Ëê½ΑÄËæΑæ¨êÞΑΑÚ£ÚΑÞΑ«Ćê½æΠ
+æΑ«ÞΑ«Ćê½æΑæËΑ×«Ä×Ë«ÄæΑËÄΑÚÞËÄΑÞΑæËΑö¨üΑæ¨«ÞΑÙêÞæ«ËÄΑÃΑ«ÄΑæ¨Α[Α͉͋͋͌ΡΑêæΑfT[Α¨ÞΑÄΑæÞæ«Ä£Α
ÄΑÃüΑæÞæΑ«ÄΑæ¨Α¢êæêÚΑöÄæΑæËΑæÞæΑæ¨ΑêÚ«ËÞ«æüΑË¢ΑÞ×«ÚÄæΑ«ÄΑºÄËö«Ä£ΑËêæΑæ¨ΑÞ«Α¢êÄæ«ËÄ«Ä£ΑË¢ΑΑ
ĈÚÃΑËÚΑËÃ×ÄüΠ
+Ä½êÞΑËÃ×Ú¨ÄÞ«õΑËõÚ£ΑË¢Α½½ΑæË×«ÞΑ¢ËÚΑ½½Αæ¨Α¢ËêÚΑ××ÚÞΑË¢Α#[ΑA«ÄÞΡΑ#[ΑTÚ½«ÃÞΡΑ[bΑ
“You are as strong ÄΑÞÞü
+Ä½êΑTÚΑ"ËêÄæ«ËÄΑ½ÞÞÞΫΑλ͉͐Α½ÞÞÞμΑ¢ËÚΑêÄÚÞæÄ«Ä£ΑË¢Α9üΑ#[ΑËÄ×æÞΑϞΑ¢êÄÃÄæ½Α
as your Foundation” Ë¢ΑBWbÞΑϞΑ Þ«Α ËËºÞ
+Ä½êΑ½½Α+Ä«Α#[ΑA«ÄÞΡΑTÚ½«ÃÞΡΑ[bΑÄΑÞÞüΑbÞæΑ[Ú«ÞΑ͉͎͋͋
½ÞÞÞΑλAWμΡΑA«ÄÞΑ͌͏͎ΑϞΑTb͌͏͎
TÚÞËÄ½«ÞΑAÄæËÚÞΑ¢ËÚΑÞÞÞÞ«Ä£Α×Ú¢ËÚÃÄΑË¢Αæ¨Α
ÞæêÄæÞΑÚ£ê½Ú½üΑ
ÞÞΑæËΑ;«õΑÞΑö½½ΑÞΑWËÚΑ½ÞÞÞΑËÄΑüËêÚΑ×ÚÞËÄ½Α
ËÄ½«ÄΑ[æêÄæΑT½æ¢ËÚÃΑ
+Ä½êÞΑTÚÞËÄ½«æüΑõ½Ë×ÃÄæΑTÚË£ÚÃÃΑ
|
PRELIMS CUM MAINS
2025, 2026 & 2027

76
In a world facing unprecedented environmental challenges, staying

informed and empowered is more crucial than ever. VisionIAS brings you
‘The Planet Vision’ʟ˔˦˜ˠˣ˟˜Ѓ˘˗ʟ˜ˡ˙ˢ˥ˠ˔˧˜˩˘ʟ˔ˡ˗˜ˡ˧˘˥˔˖˧˜˩˘ˠ˔˚˔˭˜ˡ˘ to
delve into the complexities of the environment.
With the belief, that individual efforts and awareness are the key to a
˦˨˦˧˔˜ˡ˔˕˟˘ ˙˨˧˨˥˘ʟ ˧˛˘ ˠ˔˚˔˭˜ˡ˘ ˦˘˘˞˦ ˧ˢ ˜ˡ˦ˣ˜˥˘ ˔ˡ˗ ˘˗˨˖˔˧˘ ˣ˘ˢˣ˟˘ ˧ˢ
develop a deeper understanding and appreciation for the environment,
nature & planet.
Objectives of ‘The Planet Vision’
Sensitise the young generation: Highlighting pressing environmental issues and their
multifaceted impacts.
Inspire Action and Promote Sustainable Lifestyle: Inspiring stories and case studies to motivate
readers to make environmentally conscious choices.
Bridge Environmental Science and Public Understanding:˃˥˘˦˘ˡ˧˜ˡ˚˖ˢˠˣ˟˘˫˦˖˜˘ˡ˧˜Ѓ˖˖ˢˡ˖˘ˣ˧˦

in a simple and interactive manner.
Showcase Solutions: Spotlight innovative technologies, projects, and initiatives that offer solutions
to environmental challenges.
Highlight Local Efforts: Showcase local conservation efforts, community initiatives, and grassroots
projects that make a positive impact on the environment.
Who is the magazine for?

ˇ˛˘ˀ˔˚˔˭˜ˡ˘˜˦˗˘˦˜˚ˡ˘˗˙ˢ˥˦˧˨˗˘ˡ˧˦ʟ˘˖ˢʠ˖ˢˡ˦˖˜ˢ˨˦˜ˡ˗˜˩˜˗˨˔˟˦ʟ˘˗˨˖˔˧ˢ˥˦ʟ˘ˡ˩˜˥ˢˡˠ˘ˡ˧˔˟˜˦˧˦ʟ˔ˡ˗˔ˡˬˢˡ˘
who cares about the health of our planet.
Key elements of the ‘The Planet Vision’
Cover Stories: ˇ˛ˢ˨˚˛˧ʠˣ˥ˢ˩ˢ˞˜ˡ˚ ˔˥˧˜˖˟˘˦ Environment and You: Illustrating ways to

about a critical ongoing environmental make environmentally conscious choices in
issue, along with the mitigation strategies everyday life.
adopted at the national and international
levels. Green Tech: New and emerging technologies
˜ˡ˧˛˘Ѓ˘˟˗ˢ˙˘ˡ˩˜˥ˢˡˠ˘ˡ˧ʡ
ʵ˥˜˘Ѓˡ˚˔ˡ˗ʷ˘˩˘˟ˢˣˠ˘ˡ˧˦ʭStay informed
about the latest environmental news, Interactive elements:
trends, and solutions. Snapshot: Telling a story through
capturing images.
Protect and Preserve: Inspirational stories
of local conversation efforts. Quizzes and crosswords: To test your
understanding and knowledge as a
reader.
“ Look deep into nature, and then you

will understand everything better.
“ Scan the QR code,
to download and
read the Magazine:
ʠʴ˟˕˘˥˧ʸ˜ˡ˦˧˘˜ˡ
77
EXTERNAL SECTOR
λ͋͑ΑVêÞæ«ËÄÞμ
Year 2017 GLOBAL INFRASTRUCTURE FACILITY
Q1. The Global Infrastructure Facility is a/an

λμΑ[BΑ«Ä«æ«æ«õΑæËΑê×£ÚΑ«Ä¢ÚÞæÚêæêÚΑ«ÄΑÞ«ΑÄΑĈÄÄΑüΑÚ«æΑ¢ÚËÃΑæ¨ΑÞ«ÄΑõ½Ë×ÃÄæΑ
Bank.
λμΑrËÚ½Α ÄºΑË½½ËÚæ«ËÄΑæ¨æΑ¢«½«æ«ÞΑæ¨Α×Ú×Úæ«ËÄΑÄΑÞæÚêæêÚ«Ä£ΑË¢ΑËÃ×½ûΑ«Ä¢ÚÞæÚêæêÚΑ
Tê½«αTÚ«õæΑTÚæÄÚÞ¨«×ΑλTTTÞμΑæËΑÄ½ΑÃË«½«āæ«ËÄΑË¢Α×Ú«õæΑÞæËÚΑÄΑ«ÄÞæ«æêæ«ËÄ½Α«ÄõÞæËÚΑ
×«æ½Π
λμΑË½½ËÚæ«ËÄΑÃËÄ£Αæ¨ΑÃ¶ËÚΑÄºÞΑË¢Αæ¨ΑöËÚ½ΑöËÚº«Ä£Αö«æ¨Αæ¨ΑHΑÄΑ«Ä¢ÚÞæÚêæêÚΑ×ÚË¶æÞΑ
æ¨æΑ¨õΑæ¨Α×ËæÄæ«½ΑæËΑÃË«½«āΑ×Ú«õæΑ«ÄõÞæÃÄæΠ
λμΑfBbΑ¢êÄΑ«Ä«æ«æ«õΑæ¨æΑÞºÞΑæËΑĈÄÄΑÄΑ¢«½«ææΑ«Ä¢ÚÞæÚêæêÚΑõ½Ë×ÃÄæΑ«ÄΑæ¨Α
rËÚ½Π
ANSWERS B
EXPLANATION
b¨Α #½Ë½Α +Ä¢ÚÞæÚêæêÚΑ "«½«æüΑ λ#+"μΑ Þê××ËÚæÞΑ #ËõÚÄÃÄæÞΑ «ÄΑ Ú«Ä£«Ä£Α ö½½αÞæÚêæêÚΑ ÄΑ Äº½Α
«Ä¢ÚÞæÚêæêÚΑ ×ÚË¶æÞΑ æËΑ ÃÚºæΠΑ #+"ϐÞΑ ×ÚË¶æΑ Þê××ËÚæΑ ÄΑ ËõÚΑ æ¨Α Þ×æÚêÃΑ Ë¢Α Þ«£ÄΡΑ ×Ú×Úæ«ËÄΡΑ
ÞæÚêæêÚ«Ä£Α ÄΑ æÚÄÞæ«ËÄΑ «Ã×½ÃÄææ«ËÄΑ æ«õ«æ«ÞΡΑ Úö«Ä£Α ËÄΑ æ¨Α ËÃ«ÄΑ û×Úæ«ÞΑ Ë¢Α æ¨Α #+"ϐÞΑ
b¨Ä«½ΑÄΑõ«ÞËÚüΑTÚæÄÚÞΑÄΑ¢ËêÞ«Ä£ΑËÄΑÞæÚêæêÚÞΑæ¨æΑÚΑ½ΑæËΑææÚæΑΑö«ΑÚÄ£ΑË¢Α×Ú«õæΑ
investors.
½ËÄ£Αö«æ¨Αæ¨ΑrËÚ½Α ÄºΑ#ÚËê×ΡΑÄΑ«ÞΑËα¨«ÚΑË¢Αæ¨Α#+"ϐÞΑ#ËõÚÄ«Ä£ΑËêÄ«½ΠΑHence option (b) is the
correct answer.
ANALYSIS:
ANALYSIS:
b¨«ÞΑæË×«ΑÄΑÞ«Ã«½ÚΑæË×«ÞΑÚ½æΑæËΑ½ÞÞÚαºÄËöÄΑËÚ£Ä«Þæ«ËÄÞΑÚΑÄËæΑËõÚΑ«ÄΑÄüΑË¢Αæ¨ΑÞÞÄæ«½Α
AæÚ«½ΡΑêæΑË¢æÄΑ××ÚΑ«ÄΑæ¨ΑÄöÞ××ÚÞΠΑ[æêÄæÞΑÄΑ«Äæ«¢üΑºüΑ£½Ë½Αæ¨ÃÞΑ½«ºΑ£½Ë½ΑĈÄÄΡΑ
½«ÃæΑ¨Ä£ΑæΠΑö¨«¨ΑÚΑÚ½õÄæΑ¢ËÚΑfT[ΑÄΑΑËÄÞ«ËêÞΑË¢ΑË«ÞΑÄΑÄöÞΑËÄÄæΑö«æ¨Αæ¨ÃΠΑ
http://www.thehindu.com/business/Economy/gif-launched-to-help-india-bridge-infra-
SOURCE :
Ĉ«æέÚæ«½͏͍͑͏͍͍͉Π
+æΑöÞΑ«ÄΑæ¨ΑÄöΑæ¨ÄΡΑÄΑÄΑ
û×æΑ æ¨ÃΑ ËÄÞ«Ú«Ä£Α
æ¨Α ¢ËêÞΑ ËÄΑ «Ä¢ÚÞæÚêæêÚΑ
ÄΑ«æÞΑĈÄÄ«Ä£Α«ÄΑ+Ä«ΠΑ
78
Year 2017 BTIA
V͋ΠΑ ÚËαÞΑbÚΑÄΑ+ÄõÞæÃÄæΑ£ÚÃÄæΑλ b+μϐΑ«ÞΑÞËÃæ«ÃÞΑÞÄΑ«ÄΑæ¨ΑÄöÞΑ«ÄΑæ¨Α

context of negotiations held between India and
(a) European Union
(b) Gulf Cooperation Council
(c) Organization for Economic Cooperation and Development
(d) Shanghai Cooperation Organization
ANSWERS A
EXPLANATION
b¨Α"bΑæ½ºÞΑö«æ¨ΑfΑ¨õΑÄΑ½ËºΑÞ«ÄΑ͉͋͊͌Α¢æÚΑ͊͏ΑÚËêÄÞΑË¢ΑÄ£Ëæ«æ«ËÄÞΠΑ;ÞæΑüÚΑfΑÚ«ÞΑ
«æÞΑËÄÚÄΑËõÚΑö¨æΑ«æΑ½½Α+Ä«ϐÞΑύêÄ«½æÚ½ΑæÚÃ«Äæ«ËÄώΑË¢Αû«Þæ«Ä£Α «½æÚ½Α+ÄõÞæÃÄæΑbÚæ«ÞΑλ +bÞμΑ
ö«æ¨ΑύΑÞ«£Ä«ĈÄæΑÄêÃÚΑË¢ώΑfαÃÃÚΑËêÄæÚ«ÞΠΑHence option (a) is the correct answer.
ANALYSIS:
SOURCE : The FTA negotiations with EU has remained continuously in news.

¨ææ×΢έέ×«ΠÄ«Π«ÄέÄöÞ«æέTÚ«ÄæW½ÞΠÞ×ûΧÚ½«Ͻ͊͏͉͊͌͊Α
http://www.thehindu.com/business/Industry/India-EU-aim-to-break-Free-Trade-
£ÚÃÄæα«Ã×ÞÞέÚæ«½͍͍͊͌͐͑͌͑Π
Year 2017 WTO
V͌ΠΑËÄÞ«ÚΑæ¨Α¢Ë½½Ëö«Ä£ΑÞææÃÄæÞ΢
1. India has ratified to Trade Facilitation Agreement (TFA) of WTO.
2. TFA is a part of WTO’s Bali Ministerial Package of 2013.
3. TFA came into force in January 2016.
(a) 1 and 2 only
(b) 1 and 3 only
(c) 2 and 3 only
(d) 1, 2 and 3
ANSWERS A
79
EXPLANATION
b¨ΑbÚΑ "«½«ææ«ËÄΑ£ÚÃÄæΑ λb"μΑ «ÞΑæ¨Α rbHϐÞΑ ĈÚÞæαõÚΑ Ãê½æ«½æÚ½Α ËÚΑæ¨æΑ «ÃÞΑæËΑ Þ«Ã×½«¢üΑ
êÞæËÃÞΑ Ú£ê½æ«ËÄÞΑ ¢ËÚΑ æ¨Α ÚËÞÞαËÚÚΑ ÃËõÃÄæΑ Ë¢Α £ËËÞΠΑ +æΑ öÞΑ ËêæËÃΑ Ë¢Α rbHϐÞΑ ͒æ¨Α ½«Α
λ+ÄËÄÞ«μΑÃ«Ä«ÞæÚ«½Α×º£ΑË¢Α͉͋͊͌ΠΑHence statement 2 is correct.
+Ä«ΑÚæ«ĈΑ«æΑ«ÄΑ×Ú«½Α͉͋͊͏ΠΑb¨Αb"Α«ÃÞΑæËΑû×«æΑæ¨ΑÃËõÃÄæΑÄΑ½ÚÄΑË¢Α£ËËÞΠΑb¨Αb"ΑöÞΑ
¨ÄΑ ËõÚΑ æËΑ æ¨Α rbHΑ «ÚæËÚα#ÄÚ½Α üΑ +Ä«ΠΑ b¨Α b"Α öÞΑ Þê××ËÞΑ æËΑ ÄæÚΑ «ÄæËΑ ¢ËÚΑ ËÄΑ
æöËαæ¨«ÚÞΑË¢Αæ¨ΑrbHΑÃÃÚÞΑ¨ΑËÃ×½«Αö«æ¨Αæ¨ΑËÃÞæ«ΑÚæ«Ĉæ«ËÄΑ×ÚËÞÞΠΑHence statement
1 is correct.
+æΑÃΑ«ÄæËΑ¢ËÚΑ«ÄΑ"ÚêÚüΑ͉͋͊͐ΠΑHence statement 3 is not correct. Hence option (a) is the correct
answer.
ANALYSIS:
ANALYSIS:
India and WTO has always have been the favourite topic of the UPSC. Time and again, UPSC has asked
questions from this area.
SOURCE : http://pib.nic.in/newsite/PrintRelease.aspx?relid=159992
http://www.thehindu.com/business/Economy/india-tables-legally-vetted-proposal
αËÄα£½Ë½αÞÚõ«Þα×æαæαöæËέÚæ«½͎͎͍͊͐͌͐͌Π
Motivation
TFA has remained regularly in news for last 3 years.
Year 2017 DOMESTIC CONTENT REQUIREMENT
V͍ΠΑb¨ΑæÚÃΑϏËÃÞæ«ΑËÄæÄæΑWÙê«ÚÃÄæϐΑ«ÞΑÞËÃæ«ÃÞΑÞÄΑ«ÄΑæ¨ΑÄöÞΑö«æ¨ΑÚ¢ÚÄΑæË
(a) Developing solar power production in our country
(b) Granting licenses to foreign T.V. channels in our country
(c) Exporting our food products to other countries
(d) Permitting foreign educational institutions to set up their campuses in our country
ANSWERS A
EXPLANATION
ϏËÃÞæ«ΑËÄæÄæΑWÙê«ÚÃÄæϐΑλWμΡΑ¨ÞΑË¢æÄΑÄΑ«ÄΑæ¨ΑÄöÞΡΑÄΑ«ÞΑÚ½æΑæËΑõ½Ë×ÃÄæΑË¢ΑÞË½ÚΑ
×ËöÚΑ×ÚËêæ«ËÄΠ
ËÃÞæ«Α ËÄæÄæΑ WÙê«ÚÃÄæÞΑ λWμΑ ÚΑ £ÄÚ½½üΑ ×ÚËÃê½£æΑ ¢ËÚΑ ×ÚËææ«Ä£Α «Ä¢ÄæΑ «ÄêÞæÚ«ÞΡΑ
Þ×«½½üΑ«ÄΑõ½Ë×«Ä£ΑËêÄæÚ«ÞΡΑêÄæ«½Αæ¨üΑÄΑËÃ×æΑËÄΑæ¨Α«ÄæÚÄæ«ËÄ½ΑÃÚºæΠΑ+æΑËÞΑÄËæΑ½ΑæËΑ
½ËöÚ«Ä£ΑË¢Α×Ú«ÞΑË¢Αæ¨ÞΑËÃÃË«æ«ÞΠ
b¨ΑWorld Trade Organization (WTO) ¨ΑÚê½Α£«ÄÞæΑ+Ä«ϖÞΑËÃÞæ«ΑËÄæÄæΑ×Ë½«üΑ¢ËÚΑÞË½ÚΑ½½ÞΑÄΑ
ÃËê½ÞΣΑ+Ä«Α××½Αæ¨ΑÚê½«Ä£Α«ÄΑΑ«ΑæËΑº×ΑWΑÚê½ÞΑ«ÄΑ×½Α¢ËÚΑ£ËõÚÄÃÄæΑ×ÚËêÚÃÄæΠΑb¨Α
ÞΑ £«ÄÞæΑ +Ä«ΑöÞΑ ËÚ«£«Ä½½üΑĈ½Α «ÄΑ ͉͋͊͌ΡΑ¢Ë½½Ëö«Ä£Αæ¨Α ÄÄËêÄÃÄæΑ Ë¢Α WΑ «ÄΑ 6BB[AΑ T¨ÞΑ ++Α
×Ë½«üΑÄΑ¢æÚΑ+Ä«Α«ΑæËΑĈ½ΑÄΑÄæ«αêÃ×«Ä£ΑÞΑ£«ÄÞæΑæ¨ΑfΠ[ΠΡΑ¨«ÄΡΑA½üÞ«ΑÄΑb«öÄΠ
80
ANALYSIS:
ANALYSIS:
The WTO ruling against India was in the news then
SOURCE : http://economictimes.indiatimes.com/industry/energy/power/removal-of-domestic-content
αÚÙê«ÚÃÄæα«ÄαÞË½ÚαÄËæαα«£α½ËöέÚæ«½Þ¨Ëöέ͎͍͍͎͊͋͒͊ΠÃÞ
Year 2017 INTELLECTUAL PROPERTY RIGHTS
V͎ΠΑr«æ¨ΑÚ¢ÚÄΑæËΑæ¨ΑϏBæ«ËÄ½Α+Äæ½½æê½ΑTÚË×ÚæüΑW«£¨æÞΑTË½«üϐΡΑËÄÞ«ÚΑæ¨Α¢Ë½½Ëö«Ä£ΑÞææα
ments:
1. It reiterates India’s commitment to the Doha Development Agenda and the TRIPS Agreement.
2. Department of Industrial Policy and Promotion is the nodal agency for regulating intellectual property rights in
India.
Which of the above statements is/are correct?
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
ANSWERS C
EXPLANATION
b¨ΑfÄ«ËÄΑ«ÄæΑ××ÚËõΑæ¨ΑBæ«ËÄ½Α+Äæ½½æê½ΑTÚË×ÚæüΑW«£¨æÞΑλ+TWμΑTË½«üΑ«ÄΑ͉͋͊͏Αæ¨æΑö«½½Α½üΑæ¨Α
¢êæêÚΑ ÚËÃ×Α ¢ËÚΑ «Äæ½½æê½Α ×ÚË×ÚæüΑ «ÄΑ +Ä«ΠΑ b¨«ÞΑ ×Ë½«üΑ Þ¨½½Α öõΑ «ÄΑ æ¨Α ÞæÚÄ£æ¨ÞΑ Ë¢Α æ¨Α
#ËõÚÄÃÄæΡΑ ÚÞÚ¨Α ÄΑ õ½Ë×ÃÄæΑ ËÚ£Ä«āæ«ËÄÞΡΑ êæ«ËÄ½Α «ÄÞæ«æêæ«ËÄÞΡΑ ËÚ×ËÚæΑ Äæ«æ«ÞΑ
«Ä½ê«Ä£Α A[AÞΡΑ ÞæÚæαê×ÞΑ ÄΑ Ëæ¨ÚΑ Þæº¨Ë½ÚÞΑ «ÄΑ æ¨Α Úæ«ËÄΑ Ë¢Α ÄΑ «ÄÄËõæ«ËÄαËÄê«õΑ
Äõ«ÚËÄÃÄæΡΑ ö¨«¨Α Þæ«Ãê½æÞΑ Úæ«õ«æüΑ ÄΑ «ÄÄËõæ«ËÄΑ ÚËÞÞΑ ÞæËÚÞΡΑ ÞΑ ½ÞËΑ ¢«½«ææÞΑ Α Þæ½ΡΑ
æÚÄÞ×ÚÄæΑÄΑÞÚõ«αËÚ«ÄæΑ+TWΑÃ«Ä«ÞæÚæ«ËÄΑ«ÄΑæ¨ΑËêÄæÚüΠΑ
b¨ΑTË½«üΑÚË£Ä«āÞΑæ¨æΑ+Ä«Α¨ÞΑΑö½½αÞæ½«Þ¨ΑbW+T[αËÃ×½«ÄæΑ½£«Þ½æ«õΡΑÃ«Ä«ÞæÚæ«õΑÄΑ
¶ê««½Α ¢ÚÃöËÚºΑ æËΑ Þ¢£êÚΑ +TWÞΡΑ ö¨«¨Α ÃæÞΑ «æÞΑ «ÄæÚÄæ«ËÄ½Α Ë½«£æ«ËÄÞΑ ö¨«½Α êæ«½«ā«Ä£Α æ¨Α
ĉû««½«æ«ÞΑ×ÚËõ«Α«ÄΑæ¨Α«ÄæÚÄæ«ËÄ½ΑÚ£«ÃΑæËΑÚÞÞΑ«æÞΑõ½Ë×ÃÄæ½ΑËÄÚÄÞΠΑ+æΑÚ«æÚæÞΑ+Ä«ϐÞΑ
ËÃÃ«æÃÄæΑæËΑæ¨ΑË¨Αõ½Ë×ÃÄæΑ£ÄΑÄΑæ¨ΑbW+T[Α£ÚÃÄæΠΑHence statement 1 is correct.
b¨ÞΑ Ë¶æ«õÞΑ ÚΑ ÞËê£¨æΑ æËΑ Α ¨«õΑ æ¨ÚËê£¨Α æ«½Α æ«ËÄΑ ×Ë«ÄæÞΠΑ b¨Α æ«ËÄΑ üΑ «ąÚÄæΑ
A«Ä«ÞæÚ«ÞέΑ×ÚæÃÄæÞΑÞ¨½½ΑΑÃËÄ«æËÚΑüΑ+TTΑö¨«¨ΑÞ¨½½ΑΑæ¨ΑÄË½Α×ÚæÃÄæΑæËΑËËÚ«ÄæΡΑ
£ê«Α ÄΑ ËõÚÞΑ «Ã×½ÃÄææ«ËÄΑ ÄΑ ¢êæêÚΑ õ½Ë×ÃÄæΑ Ë¢Α +TWÞΑ «ÄΑ +Ä«ΠΑ Hence statement 2 is
correct.
ANALYSIS:
ANALYSIS:
SOURCE : ¨ææ×΢έέ×«ΠÄ«Π«ÄέÄöÞ«æέTÚ«ÄæW½ÞΠÞ×ûΧÚ½«Ͻ͊͌͑͑͒͊
81
Year 2017 ASIA-PACIFIC MINISTERIAL CONFERENCE
V͏ΠΑ r«æ¨Α Ú¢ÚÄΑ æËΑ ϏÞ«Α T«ĈΑ A«Ä«ÞæÚ«½Α ËÄ¢ÚÄΑ ËÄΑ (ËêÞ«Ä£Α ÄΑ fÚÄΑ õ½Ë×ÃÄæΑ
λTA(fμϐΡΑËÄÞ«ÚΑæ¨Α¢Ë½½Ëö«Ä£ΑÞææÃÄæÞ΢
1. The first APMCHUD was held in India in 2006 on the theme ‘Emerging Urban Forms – Policy Responses and
Governance Structure’.
2. India hosts all the Annual Ministerial Conferences in partnership with ADB, APEC and ASEAN.
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
ANSWERS D
EXPLANATION
b¨Α͊ÞæΑTA(fΑöÞΑ¨½Α«ÄΑBöΑ½¨«ΡΑ+Ä«Α¢ÚËÃΑ͊͌æ¨α͊͏æ¨ΑÃÚΡΑ͉͉͋͏ΑËÄΑæ¨Αæ¨ÃΑË¢ΑϏΑq«Þ«ËÄΑ
¢ËÚΑ[êÞæ«Ä½ΑfÚÄ«āæ«ËÄΑ«ÄΑæ¨ΑÞ«αT«ĈΑüΑ͉͉͋͋ϐΠΑϏÃÚ£«Ä£ΑfÚÄΑ"ËÚÃÞΑγΑTË½«üΑWÞ×ËÄÞÞΑÄΑ
#ËõÚÄÄΑ [æÚêæêÚϐΑ öÞΑ æ¨Α æ¨ÃΑ Ë¢Α æ¨Α ͏æ¨Α Þ«Α T«ĈΑ ËÄ¢ÚÄΑ ËÄΑ (ËêÞ«Ä£Α ÄΑ fÚÄΑ
õ½Ë×ÃÄæΑ¨½Α«ÄΑÃÚΑ͉͋͊͏ΠΑHence statement 1 is not correct.
͋ÄΑ TA(fΑ öÞΑ ¨½Α «ÄΑ b¨ÚÄΡΑ +Þ½Ã«Α W×ê½«Α Ë¢Α +ÚÄΡΑ ͌ÚΑ «ÄΑ [Ë½ËΡΑ W×ê½«Α Ë¢Α +ÄËÄÞ«ΡΑ ͍æ¨Α «ÄΑ
ÃÃÄΡΑ(Þ¨Ã«æΑ9«Ä£ËÃΑË¢Α6ËÚÄΑÄΑ͎æ¨Α«ÄΑ[Ëê½ΡΑW×ê½«ΑË¢Α9ËÚΠΑHence statement 2 is not
correct.
"êÚæ¨ÚΡΑTA(fΑ«ÞΑΑËÄÞê½ææ«õΑÃ¨Ä«ÞÃΑËÄΑæ¨Α×ÚËÃËæ«ËÄΑË¢ΑÞêÞæ«Ä½Αõ½Ë×ÃÄæΑË¢Α(ËêÞ«Ä£Α
ÄΑ fÚÄΑ õ½Ë×ÃÄæΑ «ÄΑ æ¨Α Þ«αT«ĈΑ W£«ËÄΑ Þæ½«Þ¨Α êÄÚΑ æ¨Α £«ÞΑ ÄΑ Þê××ËÚæΑ Ë¢Α
fBα(«ææΠ
ANALYSIS:
b¨ÚΑ«ÞΑÄËΑÞË×Α¢ËÚΑ½«Ã«Äæ«ËÄΑæ¨Ëê£¨ΑÞææÃÄæΑ͋ΑÞËêÄÞΑÞ½«£¨æ½üΑêÄ½«õ½ΑÞΑËÄΑËêÄæÚüΑÄÄËæΑ
¨ËÞæΑ½½Αæ¨ΑÄÄê½ΑËÄ¢ÚÄÞΡΑêæΑ«æΑÞæ«½½ΑÚÚ«ÞΑÚæ«ÄΑÃËêÄæΑË¢ΑÚ«ÞºΠΑ[ê¨ΑÙêÞæ«ËÄÞΑÄΑΑÞ«½üΑ½¢æΑ
êÄÄÞöÚΑ«¢ΑËÄΑ¨ÞΑÄËΑ½êΠ
SOURCE : ¨ææ×΢έέÃ¨ê×Π£ËõΠ«ÄέöÚ«æÚæέ͏æ¨[«εT«Ĉεq«£üÄε¨öÄΠ×¢
V͐ΠΑr¨«¨ΑË¢Αæ¨Α¢Ë½½Ëö«Ä£Α£«õÞΑϏ#½Ë½Α#ÄÚΑ#×Α+ÄûϐΑÚÄº«Ä£ΑæËΑæ¨ΑËêÄæÚ«ÞΑË¢Αæ¨ΑöËÚ½Χ
(a) World Economic Forum
(b) UN Human Rights Council
(c) UN Women
(d) World Health Organization
ANSWERS A
82
EXPLANATION
#½Ë½Α#ÄÚΑ#×Α+ÄûΑ«ÞΑÚ½ÞΑüΑrËÚ½ΑËÄËÃ«Α"ËÚêÃΠΑÞΑ×ÚΑæ¨Α#½Ë½Α#ÄÚΑ#×ΑW×ËÚæΑ͉͋͊͏ΡΑ
+Ä«ΑÚÄºÞΑæΑ͑͐æ¨Α«ÄΑÚÞ×æΑË¢Α#½Ë½Α#ÄÚΑ#×Α+ÄûΑλ##+μΑÃËÄ£Α͍͍͊ΑËêÄæÚ«ÞΑË¢Αæ¨ΑrËÚ½ΠΑÞΑ×ÚΑ
æ¨Α##WΡΑ+Ä«Α½«ÃΑ͋͊ΑÞ×ËæÞΑæËΑÚÄºΑ͑͐æ¨Α«ÄΑ͉͋͊͏ΡΑö¨«¨Α«ÞΑÄΑ«Ã×ÚËõÃÄæΑ¢ÚËÃΑ«Ä£ΑÚÄºΑæΑ͉͊͑æ¨Α
«ÄΑ͉͎͋͊Π
ANALYSIS:
ANALYSIS:
SOURCE : ¨ææ×΢έέ×«ΠÄ«Π«ÄέÄöÞ«æέTÚ«ÄæW½ÞΠÞ×ûΧÚ½«Ͻ͎͎͉͊͊͌
Motivation
India's performance in Global Gender Gap Report has always been discussed and also it was one of the important
global indicators alongside HDI, MPI Index, Ease of doing business (EoDB) etc.
ORGANISATION REPORT
WEF (World Economic Forum) 1. Global Competitiveness Report (GCR)
2. Global Gender Gap Report
3. Travel and Tourism Competitiveness Report
4. Global Information Technology Report
UNCTAD (United Nations Conference on Trade 1. World Investment Report

and Development)
IMF (International Monetary Fund) 1. World Economic Outlook

2. Global Financial Stability Report
3. Fiscal Monitor
Financial Action Task Force 1. Global Money Laundering Report
WIPO (World Intellectual Property Organization) 1. World Intellectual Property Report (WIPR)
World Bank 1. Ease of Doing Business

2. World Development Report
International Labour Organisation (ILO) 1. World Social Protection Report Global

2. Wage Report
3. World Employment and Social Outlook
4. World of Work Report
United Nations Development Programme 1. Human Development Report

(UNDP)
83
Year 2017 WTO (GOODS ACT)
V͑ΠΑΑ+Ä«ΑÄæΑæ¨Α#Ë£Ú×¨«½Α+Ä«æ«ËÄÞΑË¢Α#ËËÞΑλW£«ÞæÚæ«ËÄΑÄΑTÚËææ«ËÄμΑæΡΑ͊͒͒͒Α«ÄΑ
order to comply with the obligations to
(a) ILO
(b) IMF
(c) UNCTAD
(d) WTO
ANSWERS D
EXPLANATION
#Ë£Ú×¨«½Α +Ä«æ«ËÄÞΑ Ë¢Α #ËËÞΑ ÚΑ ĈÄΑ ÞΑ æ¨æΑ Þ×æΑ Ë¢Α «ÄêÞæÚ«½Α ×ÚË×ÚæüΑ ö¨«¨Α Ú¢ÚΑ æËΑ æ¨Α
£Ë£Ú×¨«½Α«Ä«æ«ËÄΑÚ¢ÚÚ«Ä£ΑæËΑΑËêÄæÚüΑËÚΑæËΑΑ×½ΑÞ«æêæΑæ¨Ú«ÄΑÞΑ«Ä£Αæ¨ΑËêÄæÚüΑËÚΑ×½Α
Ë¢ΑËÚ«£«ÄΑË¢Αæ¨æΑ×ÚËêæΠ Typically, such a name conveys an assurance of quality and distinctiveness
ö¨«¨Α«ÞΑÞÞÄæ«½½üΑææÚ«êæ½ΑæËΑæ¨Α¢æΑË¢Α«æÞΑËÚ«£«ÄΑ«ÄΑæ¨æΑĈÄΑ£Ë£Ú×¨«½Α½Ë½«æüΡΑÚ£«ËÄΑËÚΑ
country. fÄÚΑ Úæ«½ÞΑ ͊Α λ͋μΑ ÄΑ ͉͊Α Ë¢Α æ¨Α TÚ«ÞΑ ËÄõÄæ«ËÄΑ ¢ËÚΑ æ¨Α TÚËææ«ËÄΑ Ë¢Α +ÄêÞæÚ«½Α TÚË×ÚæüΡΑ
£Ë£Ú×¨«½Α«Ä«æ«ËÄÞΑÚΑËõÚΑÞΑÄΑ½ÃÄæΑË¢Α+TWÞΠΑb¨üΑÚΑ½ÞËΑËõÚΑêÄÚΑÚæ«½ÞΑ͋͋ΑæËΑ͍͋Α
Ë¢Αæ¨ΑbÚΑ W½æΑÞ×æÞΑ Ë¢Α +Äæ½½æê½Α TÚË×ÚæüΑ W«£¨æÞΑ λbW+T[μΑ£ÚÃÄæΡΑö¨«¨ΑöÞΑ ×ÚæΑ Ë¢Αæ¨Α
£ÚÃÄæÞΑËÄ½ê«Ä£Αæ¨ΑfÚê£êüΑWËêÄΑË¢Α#bbΑÄ£Ëæ«æ«ËÄÞΠΑ+Ä«ΡΑÞΑΑÃÃÚΑË¢Αæ¨ΑrËÚ½ΑbÚΑ
HÚ£Ä«āæ«ËÄΑλrbHμΡΑÄæΑæ¨Α#Ë£Ú×¨«½Α+Ä«æ«ËÄÞΑË¢Α#ËËÞΑλW£«ÞæÚæ«ËÄΑϞΑTÚËææ«ËÄμæΡΑ͊͒͒͒Α
¨ÞΑËÃΑ«ÄæËΑ¢ËÚΑö«æ¨ΑąæΑ¢ÚËÃΑ͎͊æ¨Α[×æÃÚΑ͉͉͋͌ΠΑHence option (d) is the correct answer.
ANALYSIS:
#+Αæ££«Ä£ΑË¢Α+Ä«ÄΑ£ËËÞΑ¨ÞΑ½öüÞΑÄΑ«ÄΑæ¨ΑÄöÞΠΑb¨Ëê£¨Α#+Αæ££Α×ÚËêæÞΑÚΑËõÚΑêÄÚΑ
+Ä«ÄΑ ÚæΑ ÄΑ ê½æêÚΡΑ +TWΑ ËÃÞΑ êÄÚΑ ËÄËÃ«ÞΠΑ b¨«ÞΑ ÙêÞæ«ËÄΑ «ÞΑ õÚüΑ Þ«Α «ÄΑ ÄæêÚΑ ÄΑ «æΑ «ÞΑ Α
ÚêÚÚ«Ä£Αæ¨ÃΑ«ÄΑæ¨ΑÄöÞ××ÚÞΠ
T½ÞΑĈÄΑ½ËöΑÄΑûÚ×æΑ¢ÚËÃΑb¨Α(«Äê
84
Year 2019 AIIB
V͒ΠΑr«æ¨ΑÚ¢ÚÄΑæËΑÞ«ÄΑ+Ä¢ÚÞæÚêæêÚΑ+ÄõÞæÃÄæΑ ÄºΑλ++ μΡΑËÄÞ«ÚΑæ¨Α¢Ë½½Ëö«Ä£ΑÞææÃÄæÞ΢Α

1. AIIB has more than 80 member nations.
2. India is the largest shareholder in AIIB.
3. AIIB does not have any members from outside Asia.
(a) 1 only
(b) 2 and 3 only
(c) 1 and 3 only
(d) 1, 2 and 3
ANSWERS A
EXPLANATION
Statement 1 is correct and statement 3 is not correct:Α +æΑ «ÞΑ Α Ãê½æ«½æÚ½Α õ½Ë×ÃÄæΑ ÄºΑ ö«æ¨Α Α
Ã«ÞÞ«ËÄΑ æËΑ «Ã×ÚËõΑ ÞË«½Α ÄΑ ËÄËÃ«Α ËêæËÃÞΑ «ÄΑ Þ«Α ÄΑ üËÄΠΑ êÚÚÄæ½üΑ «æΑ ¨ÞΑ ͒͐Α ××ÚËõΑ
ÃÃÚÞΑö«æ¨Α+Ä«ΑÞΑΑ¢ËêÄ«Ä£ΑÃÃÚΠ
Statement 2 is not correct: +Ä«Α«ÞΑæ¨ΑÞËÄΑ½Ú£ÞæΑÞ¨Ú¨Ë½ÚΑ«ÄΑ++ Αö«æ¨Α͐Π͎АΑõËæ«Ä£ΑÞ¨ÚÞΑö¨«½Α
¨«ÄΑ¨Ë½ÞΑ͋͏Π͉͏АΑõËæ«Ä£ΑÞ¨ÚÞΑ«Ä£Αæ¨Α½Ú£ÞæΠ
ANALYSIS:
b¨ΑÚÞËÄΑö¨üΑæ¨«ÞΑÙêÞæ«ËÄΑöÞΑÞºΑöÞΑÚÄæ½üΡΑæ¨«ÚΑÄÄê½ΑÃæ«Ä£ΑË¢Α++ ΑöÞΑ¨½Α«ÄΑAêÃ«Α
ö¨ÚΑÞ«ÄΑ+Ä¢ÚÞæÚêæêÚΑ"ËÚêÃΑöÞΑ½êÄ¨ΠΑ
½ÞËΡΑ «æΑ «ÞΑ «Ã×ËÚæÄæΑ æËΑ £ËΑ æ¨ÚËê£¨Α æ¨Α Þ«Α «Ä¢ËÚÃæ«ËÄΑ Ú½æΑ æËΑ £½Ë½½üΑ «Ã×ËÚæÄæΑ ĈÄÄ«½Α
ËÚ£Ä«āæ«ËÄÞΑ ½«ºΑ æ¨Α rËÚ½Α ÄºΡΑ æ¨Α +A"ΡΑ æ¨Α rbHΡΑ æ¨Α Α λÞ«ÄΑ õ½Ë×ÃÄæΑ ÄºμΡΑ æ¨Α BöΑ
õ½Ë×ÃÄæΑ ÄºΑλºΑüΑ W+[μΡΑæ¨Α++ ΡΑÞ×«½½üΑæ¨ËÞΑËÚ£Ä«āæ«ËÄÞΑË¢Αö¨«¨Α+Ä«Α«ÞΑΑÃÃÚΠ
Scope for elimination: b¨ΑĈÚÞæΑÞææÃÄæΑÄΑæ¨Αæ¨«ÚΑÞææÃÄæΑËÄæÚ«æΑ¨ΑËæ¨ÚΑÞΑ«¢Α++ Α¨ÞΑ͉͑Α
ÃÃÚÞΑæ¨ÄΑæ¨üΑ½½ΑÄÄËæΑΑ¢ÚËÃΑËêæÞ«ΑÞ«Αλb¨ÚΑÚΑËÄ½üΑ͍͑ΑËêÄæÚ«ÞΑ«ÄΑÞ«μΠΑb¨êÞΡΑ͊ΑÄΑ͌Α
ÄÄËæΑΑËæ¨ΑËÚÚæΠΑ;Ë£«½½üΡΑË×æ«ËÄΑλμΑÄΑË×æ«ËÄΑλμΑÄΑΑ½«Ã«ÄæΠΑÄËæ¨ÚΑ½Ë£«ΑÄΑΑ××½«Α
λêæΑ«æΑ¨ÞΑ½ÃÄæΑË¢ΑÚ«ÞºμΑö¨«¨Α«ÞΑæ¨ÚΑÚΑæöËΑÞ«ÄΑ×ËöÚÞΑ«££ÚΑæ¨ÄΑ+Ä«Αö¨«¨ΑÚΑ¨«ÄΑÄΑ
6×ÄΠΑb¨êÞΡΑ+Ä«ΑÄÄËæΑΑ½«õΑæËΑΑæ¨Α½Ú£ÞæΑÞ¨Ú¨Ë½ÚΠΑ(ÄΑË×æ«ËÄΑλ μΑÄΑΑ½«Ã«ÄæΠΑ
rΑÚΑ½¢æΑö«æ¨ΑËÄ½üΑËÄΑË×æ«ËÄΑæ¨æΑ«ÞΑË×æ«ËÄΑλμΑÄΑ«æΑ«ÞΑæ¨ΑËÚÚæΑÄÞöÚΠΑ
SOURCE : https://www.aiib.org/en/about-aiib/index.html
85
Year 2019 REPORTS
V͉͊ΠΑr¨«¨ΑËÄΑË¢Αæ¨Α¢Ë½½Ëö«Ä£Α«ÞΑÄËæΑΑÞêα«ÄûΑË¢Αæ¨ΑrËÚ½Α ÄºϐÞΑϏÞΑË¢ΑË«Ä£Α êÞ«ÄÞÞΑ+ÄûϐΧ

(a) Maintenance of law and order
(b) Paying taxes
(c) Registering property
(d) Dealing with construction permits
ANSWERS A
EXPLANATION
Ë«Ä£Α êÞ«ÄÞÞΑ ÃÞêÚÞΑ Ú£ê½æ«ËÄÞΑ
ąæ«Ä£Α͊͊ΑÚÞΑË¢Αæ¨Α½«¢ΑË¢ΑΑêÞ«ÄÞÞΠΑ
bÄΑ Ë¢Α æ¨ÞΑ ÚÞΑ ÚΑ «Ä½êΑ «ÄΑ æ¨«ÞΑ
Ë«Ä£Α êÞ«ÄÞÞΑ͉͋͊͒ΑÚÄº«Ä£ΑËÄΑæ¨ΑÞΑË¢Α
Ë«Ä£Α êÞ«ÄÞÞ΢Α ÞæÚæ«Ä£Α Α êÞ«ÄÞÞΡΑ
½«Ä£Αö«æ¨ΑËÄÞæÚêæ«ËÄΑ×ÚÃ«æÞΡΑ£ææ«Ä£Α
½æÚ««æüΡΑ Ú£«ÞæÚ«Ä£Α ×ÚË×ÚæüΡΑ £ææ«Ä£Α
Ú«æΡΑ ×ÚËææ«Ä£Α Ã«ÄËÚ«æüΑ «ÄõÞæËÚÞΡΑ
×ü«Ä£Α æûÞΡΑ æÚ«Ä£Α ÚËÞÞΑ ËÚÚÞΡΑ
Ä¢ËÚ«Ä£Α ËÄæÚæÞΑ ÄΑ ÚÞË½õ«Ä£Α
«ÄÞË½õÄüΠΑ Ë«Ä£Α êÞ«ÄÞÞΑ ½ÞËΑ ÃÞêÚÞΑ
½ËêÚΑ ÃÚºæΑ Ú£ê½æ«ËÄΡΑ ö¨«¨Α «ÞΑ ÄËæΑ
«Ä½êΑ «ÄΑ æ¨«ÞΑ üÚϐÞΑ ÚÄº«Ä£ΠΑ Hence
option (a) is the correct answer.
ANALYSIS:
ANALYSIS:
b¨ΑË«Ä£Α êÞ«ÄÞÞΑW×ËÚæΑ͉͋͊͒ΑöÞΑÚ½ÞΑÚÄæ½üΠ
SOURCE : ¨ææ×΢έέöööΠË«Ä£êÞ«ÄÞÞΠËÚ£έÄέÚ×ËÚæÞέ£½Ë½αÚ×ËÚæÞέË«Ä£αêÞ«ÄÞÞα͉͋͊͒
Year 2019 REPORTS
Q11. The Global Competitiveness Report is published by the

(a) International Monetary Fund
(b) United Nations Conference on Trade and Development
(c) World Economic Forum
(d) World Bank
ANSWERS C
86
EXPLANATION
b¨Α#½Ë½ΑËÃ×æ«æ«õÄÞÞΑW×ËÚæΑλ#WμΑ«ÞΑΑüÚ½üΑÚ×ËÚæΑ×ê½«Þ¨ΑüΑæ¨ΑrËÚ½ΑËÄËÃ«Α"ËÚêÃΠΑ
ANALYSIS:
[æêÄæÞΑÞ¨Ëê½ΑËõÚΑæ¨«ÞΑÞΑ×ÚæΑË¢ΑA¶ËÚΑ#½Ë½Α+Ä«ÞΑ«ÄΑÄöÞΑÄΑËÄÄæΑæËΑ+Ä«Π
(ÄΑË×æ«ËÄΑλμΑ«ÞΑæ¨ΑËÚÚæΑÄÞöÚΠ
SOURCE : ¨ææ×Þ΢έέöööΠæ¨¨«ÄêêÞ«ÄÞÞ½«ÄΠËÃέËÄËÃüέ«Ä«αÚÄºÞα͎͑æ¨αÃËÞæαËÃ×æ«æ«õαΑËÄËα
Ãüα«Äαö¢α«ÄûέÚæ«½͎͍͍͋͋͏͍͉Π
Year 2019 CURRENCY CRISIS
V͊͋ΠΑ+ÄΑæ¨ΑËÄæûæΑË¢Α+Ä«ΡΑö¨«¨ΑË¢Αæ¨Α¢Ë½½Ëö«Ä£Α¢æËÚÞΑ«ÞέÚΑËÄæÚ«êæËÚÞέËÄæÚ«êæËÚÞΑæËΑ
reducing the risk of a currency crisis?
1. The foreign currency earnings of India’s IT sector
2. Increasing the government expenditure
3. Remittances from Indians abroad
(a) 1 only
(b) 1 and 3 only
(c) 2 only
(d) 1, 2 and 3
ANSWERS B
Α êÚÚÄüΑ Ú«Þ«ÞΑ «ÞΑ ÚËê£¨æΑ ËÄΑ üΑ Α ½«ÄΑ «ÄΑ æ¨Α õ½êΑ Ë¢Α Α ËêÄæÚüϖÞΑ êÚÚÄüΠΑ b¨«ÞΑ ½«ÄΑ «ÄΑ õ½êΑ
Ä£æ«õ½üΑ ąæÞΑ ÄΑ ËÄËÃüΑ üΑ Úæ«Ä£Α «ÄÞæ«½«æ«ÞΑ «ÄΑ û¨Ä£Α ÚæÞΡΑ ÃÄ«Ä£Α æ¨æΑ ËÄΑ êÄ«æΑ Ë¢Α Α
Úæ«ÄΑêÚÚÄüΑÄËΑ½ËÄ£ÚΑêüÞΑÞΑÃê¨ΑÞΑ«æΑêÞΑæËΑ«ÄΑÄËæ¨ÚΑêÚÚÄü
Α ÞêÞæÄæ«½Α ÃËêÄæΑ Ë¢Α ¢ËÚ«£ÄΑ û¨Ä£Α ÚÞÚõÞΑ ÄΑ ¨½×Α æËΑ êÞ¨«ËÄΑ £«ÄÞæΑ ÄüΑ Ú«ÞºÞΑ Ë¢Α êÚÚÄüΑ
crisis.
b¨Α¢ËÚ«£ÄΑêÚÚÄüΑÚÄ«Ä£ÞΑË¢Α+Ä«ϖÞΑ+bΑÞæËÚΑÄΑÚÃ«ææÄÞΑ¢ÚËÃΑÚËΑöËê½Α½ΑæËΑÃËÚΑ«ÄĉËöΑ
Ë¢Α¢ËÚ«£ÄΑêÚÚÄ«ÞΑ«ÄΑæ¨ΑËÄËÃüΑÄΑËËÞæΑæ¨Α¢ËÚ«£ÄΑû¨Ä£ΑÚÞÚõÞΠ Hence statements 1 and
3 are correct.
Statement 2 is not correct ÞΑ«ÄÚÞ«Ä£Αæ¨Α£ËõÚÄÃÄæΑû×Ä«æêÚΑ«ÞΑÄËæΑÚ½æΑæËΑ¨Ä£ÞΑ«ÄΑ¢ËÚ«£ÄΑ
û¨Ä£ΑÚÞÚõÞΑËÚΑÄüΑêÚÚÄüΑĉêæêæ«ËÄÞΠ
ANALYSIS:
ANALYSIS:

r«æ¨Α ËêÚΑ £ÄÚ½Α êÄÚÞæÄ«Ä£Α öΑ ÄΑ «Ä¢ÚΑ æ¨æΑ «¢Α £ËõæΑ «ÄÚÞÞΑ æ¨Α û×Ä«æêÚΑ æ¨ÄΑ æ¨Α õ½êΑ Ë¢Α
ÃËÄüΑö«½½ΑÚÞΑÞΑÞê××½üΑ«ÞΑÃËÚΡΑÞËΑ¨ÚΑæ¨Α͋ÄΑÞææÃÄæΑ«ÞΑËÄæÚ«æ«Ä£Αö«æ¨Αæ¨ΑÞË½êæ«ËÄΑæ¨Α
ÙêÞæ«ËÄΑ«ÞΑÞº«Ä£ΠΑΑ[ËΑæ¨ΑÞËÄΑÞææÃÄæΑÄΑΑ½«Ã«ÄæΠ
SOURCE : AÚËËÄËÃ«ÞΑλBWbΑ½ÞÞΑ͊͋μ
87
Year 2019 PPP

1. Purchasing Power Parity (PPP) exchange rates are calculated by comparing the prices of the same basket of goods
and services in different countries.
2. In terms of PPP dollars, India is the sixth-largest economy in the world.
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
ANSWERS A
EXPLANATION
In purchasing power parity (PPP) exchange rate — the rate at which the currency of one country would
have to be converted into that of another country to buy the same amount of goods and services in each
country. For example-If a burger is selling in India for Rs100 and in New York for $2, this would imply a PPP
exchange rate of 1 dollar to Rs50. Hence statement 1 is correct.
On the PPP basis, China is world's largest economy in 2018. Total wealth of china is estimated at 25.3
æÚ«½½«ËÄΑ «ÄæÚÄæ«ËÄ½Α Ë½½ÚΠΑ ¨«ÄΑ «ÞΑ ¢Ë½½ËöΑ üΑ fÄ«æΑ [ææÞΑ ö«æ¨Α Ĉ£êÚΑ ͊͒Π͍Α æÚ«½½«ËÄΠΑ +Ä«Α «ÞΑ æ¨Α æ¨«ÚΑ
largest economy , in terms of PPP dollars. Hence, Statement 2 is not correct.
ANALYSIS:
PPP should be covered under basic of economics, it is a very important topic and theme is also repetitive.
Scope for elimination: If one knows the simple fact that in terms of PPP, India’s rank is number 3, then 2
Ë×æ«ËÄÞΑÄΑΑ½«Ã«ÄæΠΑ½ÞËΡΑæ¨ΑĈÄ«æ«ËÄΑË¢ΑTTTΑ«ÞΑΑÞ«Α¢æΠ
SOURCE : https://www.businesstoday.in/current/economy-politics/india-pips-japan-in-gdp-based
-on-purchasing-power-parity/story/282226.html
88
Year 2020 FINANCIAL CRISIS
V͍͊ΠΑΑ+¢ΑÄËæ¨ÚΑ£½Ë½ΑĈÄÄ«½ΑÚ«Þ«ÞΑ¨××ÄÞΑ«ÄΑæ¨ΑÄÚΑ¢êæêÚΡΑö¨«¨ΑË¢Αæ¨Α¢Ë½½Ëö«Ä£Α
action/policies are most likely to give some immunity to India?
1. Not depending on short-term foreign borrowings
2. Opening up to more foreign banks
3. Maintaining full capital account convertibility
(a) 1 only
(b) 1 and 2 only
(c) 3 only
(d) 1, 2 and 3
ANSWERS A
EXPLANATION
+¢ΑΑ£½Ë½ΑĈÄÄ«½ΑÚ«Þ«ÞΑ¨××ÄÞΑ«ÄΑæ¨Α¢êæêÚΡΑ½ÞÞÚΑû×ËÞêÚΑæËΑæ¨Α¢ËÚ«£ÄΑĈÄÄ«½ΑÃÚºæÞΑ«ÞΑ½«º½üΑæËΑ
give some immunity to India. Hence option 1 is correct:
Short-term borrowings would lead to the burden of paying back the debt, and could result in stressful
conditions for the borrowing economy/ India. Hence option 2 is not correct.
Opening up to more foreign banks would lead to an enhanced exposure to the global economy, and hence
an increased risk. Hence option 3 is not correct.
Currency convertibility refers to a situation in which a currency can be converted into a foreign currency,
and vice-versa at the prevailing exchange rate without any government intervention. In India, we cannot
completely convert rupees to dollars as there are restrictions to the same.
Now, capital account convertibility is the freedom to convert domestic currency into a foreign currency,
and vice -versa wrt capital account transactions of the Balance of Payments accounts. It could also be the
¢ÚËÃΑæËΑËÄõÚæΑËÃÞæ«ΑĈÄÄ«½ΑÞÞæÞΑλ½«ºΑÚê×ÞμΑέΑ½««½«æ«ÞΑ«ÄæËΑ¢ËÚ«£ÄΑÞÞæÞΑέΑ½««½«æ«ÞΑÄΑ
vice -versa. It is more risky, as the foreign investors can withdraw all their money at once which called
×«æ½Αĉ«£¨æΠΑ
Risks associated with full capital account convertibility:
It increases the vulnerability of the domestic economy to external economic shocks. Hence the economy
becomes unstable. For example, during the American recession - countries that were more connected
öÚΑąæΑÃËÚΠΑ
Flight of capital: i.e. the withdrawal of huge foreign exchange within a short period of time. If full
ËÄõÚæ««½«æüΑ «ÞΑ ÄËæΑ æ¨ÚΡΑ æ¨Α W +Α ÄΑ ¨ºΑ æ¨Α ËÃ×½æΑ ö«æ¨Úö½Α Ë¢Α ¢êÄÞΠΑ λb¨«ÞΑ ĉ«£¨æΑ Ë¢Α ×«æ½Α
¨××ÄΑ«ÄΑæ¨Α[Ëêæ¨ΑÞæΑÞ«ÄΑÚ«Þ«ÞΑË¢Α͊͒͒͐ΠΑ"ËÚΑæ¨ÞΑÞ«ÄΑæ«£ÚÞΑαΑæ¨Α¢ÞæÞæΑ£ÚËö«Ä£ΑËÄËÃ«ÞΑË¢Α
æ¨ΑöËÚ½ΑαΑæ¨ΑêÚÚÄæΑËêÄæΑöÞΑ«ÄΑΑĈ«æΡΑêæΑæ¨ÚΑöÞΑÞ«£Ä«ĈÄæΑ«ÄĉËöΑ«ÄΑæ¨«ÚΑ×«æ½ΑËêÄæÞΠΑ
However, as interest rates in America increased, people withdrew their money and foreign exchange
began to deplete. The people began to fear that they would not be able to take their money out. Out of this
fear, everybody started to withdraw their investments- FDI was also withdrawn and the recession set in-
they collapsed in one go!)
+æΑ«ÄÚÞÞΑõË½æ«½«æüΑ«ÄΑæ¨ΑËÃÞæ«ΑĈÄÄ«½ΑÃÚºæÞΑ
The capital Account is potentially more volatile than the current account- People cannot start
consuming double/ triple/ four times the previous amount. But investment in shares accumulates, and
the entire money.
89
ANALYSIS:
b¨Α#½Ë½Α"«ÄÄ«½ΑÚ«Þ«ÞΑÄΑæ¨ΑÚ«××½ΑąæΑöÚΑËÄÞ«ÚΑæËΑΑΑÄ£æ«õΑ½ÄÃÚºΑ«ÄΑæ¨ΑöËÚ½Α
-politico - economic history. Scope for Elimination: In this question, we need to understand that less
û×ËÞêÚΑæËΑ£½Ë½ΑĈÄÄ«½ΑÃÚºæÞΑö«½½ΑÄÞêÚΑÞËÃΑ«ÃÃêÄ«æüΑæËΑ+Ä«ΑγΑ+ÄΑæ¨«ÞΑÞΡΑË×æ«ËÄÞΑ͋ΑÄΑ͌Α(refer
to more exposure) are opposite to option 1 (as it highlights less exposure), therefore, statement 1 cannot
come together with statement 2 and 3, hence we can easily eliminate options (b) and (c), and option (a) will
be the answer.
SOURCE : Macroeconomics (NCERT Class 12) can be referred to for some help
Year 2020 IMF (GOLD TRANCHE)
Q15. "Gold Tranche" (Reserve Tranche) refers to

(a) a loan system of the World Bank
(b) one of the operations of a Central Bank
(c) a credit system granted by WTO to its members
(d) a credit system granted by IMF to its members
ANSWERS D
EXPLANATION
A reserve tranche is a portion of the required quota of currency each member country must provide to
the International Monetary Fund (IMF) that can be utilized for its own purposes without a service fee
or economic reform conditions.
The IMF is funded through its members and their quota contributions. The reserve tranche is basically an
emergency account that IMF members can access at any time without agreeing to conditions or paying a
service fee.
b¨ΑÚÞÚõΑæÚÄ¨ÞΑæ¨æΑËêÄæÚ«ÞΑ¨Ë½Αö«æ¨Αæ¨Α+A"ΑÚΑËÄÞ«ÚΑæ¨«ÚΑ¢«½«æ«ÞΑË¢ΑĈÚÞæΑÚÞËÚæΡΑÃÄ«Ä£Α
they will tap into the reserve tranche at a short notice before seeking a formal credit tranche. The reserve
tranche represents the member’s unconditional drawing right on the IMF, created by the foreign exchange
portion of the quota subscription, plus increase (decrease) through the IMF’s sale (repurchase) of the
member’s currency to meet the demand for use of IMF resources by other members in need of balance of
×üÃÄæÞΑĈÄÄ«Ä£Π
ANALYSIS:
This topic remains has always remained in the news. Hence, with respect to international bodies, this
question should have been prepared.

No scope for elimination as it is a direct question and in such question, we either know the answer or don’t
know the answer.
SOURCE : ¨ææ×Þ΢έέöööΠ«Ã¢ΠËÚ£έûæÚÄ½έ×êÞέ¢æέË×έ͉͋͊͑έ×¢έ½Ú«Ĉæ«ËÄ͉͋͊͑Π×¢
90
Year 2020 BILATERAL TRADE

1. The value of Indo-Sri Lanka trade has consistently increased in the last decade.
2. "Textile and textile articles" constitute an important item of trade between India and Bangladesh.
3. In the last five years, Nepal has been the largest trading partner of India in South Asia.
(a) 1 and 2 only
(b) 2 only
(c) 3 only
(d) 1, 2 and 3
ANSWERS B
EXPLANATION
«½æÚ½Α æÚΑ æöÄΑ +Ä«Α ÄΑ [Ú«Α ;ÄºΑ ¨ÞΑ «ÄÚÞΑ üΑ ÚËêÄΑ ͒Α æ«ÃÞΑ æöÄΑ ͉͉͉͋α͉͊Α ÄΑ
͉͋͊͑α͊͒ΠΑbËæ½ΑæÚΑæöÄΑæ¨ΑæöËΑËêÄæÚ«ÞΑöÞΑf[ϮΑ͏Π͋Α«½½«ËÄΑ«ÄΑ͉͋͊͑α͊͒ΡΑËêæΑË¢Αö¨«¨Α+Ä«ϐÞΑû×ËÚæÞΑ
æËΑ[Ú«Α;ÄºΑöÚΑf[ϮΑ͍Π͐Α«½½«ËÄΑÄΑ«Ã×ËÚæÞΑöÚΑf[ϮΑ͊Π͎Α«½½«ËÄΠΑ½æ¨Ëê£¨Α+Ä«Α¨ÞΑ½öüÞΑ¨ΑΑæÚΑ
ÞêÚ×½êÞΑö«æ¨Α[Ú«Α;ÄºΡΑæ¨Α£ÞΑ¨ÞΑö«ÄΑÞ«ÄΑ͉͉͋͑α͉͒ΠΑ+ÄΑ͉͋͊͋α͊͌ΑÄΑ͉͋͊͏α͊͐Αæ¨ΑæÚΑÞ½êÃ×ΡΑ
thus disturbing the steady increase in the graph. Hence statement 1 is not correct.
Bangladesh is India’s biggest trade partner in South Asia. Bilateral trade between India and Bangladesh
¨ÞΑ£ÚËöÄΑÞæ«½üΑËõÚΑæ¨Α½ÞæΑΠΑ+Ä«ϐÞΑû×ËÚæÞΑæËΑ Ä£½Þ¨Α«ÄΑ"xΑ͉͋͊͑α͊͒ΑÞæËËΑæΑϮ͒Π͋͊Α«½½«ËÄΑ
ÄΑ«Ã×ËÚæÞΑêÚ«Ä£Αæ¨ΑÞÃΑ×Ú«ËΑöÞΑæΑϮ͊Π͉͍Α«½½«ËÄΠ Hence statement 3 is not correct.
According to the World Bank, India exports $2.25 billion-worth textile and clothing products to
Ä£½Þ¨ΠΑ +ÄΑ æêÚÄΡΑ «æΑ «Ã×ËÚæÞΑ Ϯ͌͌͏Α Ã«½½«ËÄαöËÚæ¨Α æûæ«½Α ÄΑ ½Ëæ¨«Ä£Α ×ÚËêæÞΑ ¢ÚËÃΑ ¨ºΠΑ Hence
ANALYSIS:
ANALYSIS:
One could have applied a simple logic to eliminate ‘statement 1’. It is rare for two countries like India and
Sri Lanka (although neighbours but Sri Lanka’s inclination towards China is well-known and the maritime
issues) to have a bilateral trade relationship that grew every year.Thus the word ‘consistently’ can be used
as a hint to infer that the statement is not correct. Thus options (a) and (d) are eliminated. Statement 2
seems more believable as one must have seen the ‘Made in Bangladesh’ tag in many textile items (again
there is some amount of risk involved). Hence option (b) is the correct answer. But one could be more
sure about the error in statement 3 as India and Nepal relations got embittered during the Nepali
Constitutional Crisis.
SOURCE : https://diplomatist.com/2020/03/03/india-sri-lanka-trade-relations/
https://economictimes.indiatimes.com/news/economy/foreign-trade/india-plans-to-
enhance-trade-with-bangladesh/articleshow/76881534.cms
91
Year 2020 FDI
V͊͐ΠΑr«æ¨ΑÚ¢ÚÄΑæËΑ"ËÚ«£ÄΑ«ÚæΑ+ÄõÞæÃÄæΑ«ÄΑ+Ä«ΡΑö¨«¨ΑËÄΑË¢Αæ¨Α¢Ë½½Ëö«Ä£Α«ÞΑËÄÞ«ÚΑ«æÞΑ
major characteristic?
(a) It is the investment through capital instruments essentially in a listed company.
(b) It is a largely non-debt creating capital flow.
(c) It is the investment which involves debt-servicing.
(d) It is the investment made by foreign institutional investors in the Government Securities.
ANSWERS B
EXPLANATION
Foreign Direct Investment (FDI) is the investment by a non-resident entity/person resident outside India
in the capital of an Indian company under Foreign Exchange Management (Transfer or Issue of Security by
ΑTÚÞËÄΑWÞ«ÄæΑHêæÞ«Α+Ä«μΑW£ê½æ«ËÄÞΡΑ͉͋͊͐ΠΑb¨Α«ÄõÞæÃÄæΑ«ÞΑËÄΑæ¨ÚËê£¨Α×«æ½Α«ÄÞæÚêÃÄæÞΑ«ÄΑ
(1) an unlisted Indian company; or (2) 10% or more of the post issue paid-up equity capital on a fully diluted
basis of a listed Indian company. Hence, option a is incorrect.
The investment can be made in equities or equity linked instruments or debt instruments issued by the
company. Thus, FDI isn’t directly associated with government securities, and hence option (d) is
incorrect.
Generally, FDI takes place when an investor establishes foreign business operations or acquires foreign
business assets, including establishing ownership or controlling interest in a foreign company
(investments linked with equities), transfer of technology. This means they aren’t just bringing money with
them, but also knowledge, skills and technology. Debt servicing is the regular repayment of interest and
principal on a debt for a particular period. Hence option (c) is incorrect.
ΑÄËÄαæΑÚæ«Ä£Α×«æ½ΑĉËöΑ«ÞΑæ¨ΑËÄΑö¨ÚΑæ¨ÚΑ«ÞΑÄËΑ«ÚæΑÚ×üÃÄæΑË½«£æ«ËÄΑ¢ËÚΑæ¨ΑÚÞ«ÄæÞΠΑ
"+Α«ÞΑ½Ú£½üΑΑÄËÄαæΑÚæ«Ä£Α×«æ½ΑĉËöΡΑÄΑtherefore option (b) is correct.
ANALYSIS:
ANALYSIS:
It is again a basic term which is used in common day to day discussions on Economy. Hence, it is one of the
most simple terms that any student must know.
SOURCE : https://www.investopedia.com/terms/f/fdi.asp
92
Year 2020 TRIMS
V͊͑ΠΑr«æ¨Α Ú¢ÚÄΑæËΑbÚαW½æΑ +ÄõÞæÃÄæΑ AÞêÚÞΑ λbW+A[μΡΑö¨«¨Α Ë¢Αæ¨Α¢Ë½½Ëö«Ä£Α Þææα

ments is/are correct?
1. Quantitative restrictions on imports by foreign investors are prohibited.
2. They apply to investment measures related to trade in both goods and services.
3. They are not concerned with the regulation of foreign investment.
(a) 1 and 2 only
(b) 2 only
(c) 1 and 3 only
(d) 1, 2 and 3
ANSWERS C
EXPLANATION
Under the Agreement on Trade - Related Investment Measures of the World Trade Organization (WTO),
(TRIMs Agreement), WTO members have agreed not to apply certain investment measures related to trade
in goods that restrict or distort trade. (TRIMs Agreement is a multilateral agreement on trade in goods, and
not services). Hence statement 2 is not correct.
The TRIMs Agreement prohibits certain measures that violate the national treatment (Article III) and
ÙêÄæ«ææ«õΑÚÞæÚ«æ«ËÄÞΑÚÙê«ÚÃÄæÞΑλÚæ«½Αw+μΑË¢Αæ¨Α#ÄÚ½Α£ÚÃÄæΑËÄΑbÚ«ąÞΑÄΑbÚΑλ#bbμΑ
͍͊͒͒ΠΑb¨Α½«ÞæΑË¢ΑbW+AÞΑ£ÚΑæËΑΑ«ÄËÄÞ«ÞæÄæΑö«æ¨Αæ¨ÞΑÚæ«½ÞΑ«Ä½êÞΑÃÞêÚÞΑö¨«¨ΑÚÙê«Ú΢ΑαΑ
particular levels of local procurement by an enterprise (“local content requirements”), - restrict the
volume or value of imports such an enterprise can purchase, - use to an amount related to the level of
products it exports (“trade balancing requirements”). Hence statement 1 is correct.
TRIMs Agreement stipulates that certain measures adopted by Governments to regulate FDI can cause
æÚαÚÞæÚ«æ«õΑÄΑ«ÞæËÚæ«Ä£ΑąæÞΠΑ(ËöõÚΡΑæ¨Α£ÚÃÄæΑ«ÞΑËÄ½üΑËÄÚÄΑö«æ¨Αæ¨ΑæÚΑąæÞΑ
of investment measures. It is not intended to deal with the regulation of investment as such and does not
impact directly on WTO members’ ability to regulate and place conditions upon the entry and
establishment of foreign investment. Hence statement 3 is correct
ANALYSIS:
SOURCE : https://www.wto.org/english/tratop_e/invest_e/trims_e.htm
93
Year 2020 WEST TEXAS INTERMEDIATE
V͊͒ΠΑb¨ΑæÚÃΑϖrÞæΑbûÞΑ+ÄæÚÃ«æϖΡΑÞËÃæ«ÃÞΑ¢ËêÄΑ«ÄΑÄöÞΡΑÚ¢ÚÞΑæËΑΑ£ÚΑË¢Α
(a) Crude oil
(b) Bullion
(c) Rare earth elements
(d) Uranium
ANSWERS A
EXPLANATION
rÞæΑ bûÞΑ +ÄæÚÃ«æΑ λrb+μΑ ÚêΑ Ë«½Α «ÞΑ Α Þ×«ĈΑ £ÚΑ Ë¢Α ÚêΑ Ë«½Α ÄΑ ËÄΑ Ë¢Α æ¨Α Ã«ÄΑ æ¨ÚΑ
benchmarks in oil pricing, along with Brent and Dubai Crude. WTI is known as a light sweet oil because it
ËÄæ«ÄÞΑ͉Π͍͋АΑÞê½¢êÚΑÄΑ¨ÞΑΑ½ËöΑÄÞ«æüΡΑÃº«Ä£Α«æΑϕ½«£¨æΠϕΑHence option (a) is the correct answer.
ANALYSIS:
SOURCE : https://www.investopedia.com/terms/w/wti.asp
Year 2021 FDI

1. Foreign currency convertible bonds
2. Foreign institutional investment with certain conditions
3. Global depository receipts
4. Non-resident external deposits
Which of the above can be included in Foreign Direct Investments?
(a) 1, 2 and 3
(b) 3 only
(c) 2 and 4
(d) 1 and 4
ANSWERS A
94
EXPLANATION
In Capital Account of Balance of Payment, we can classify into Investment, Borrowings and External
ÞÞ«ÞæÄΠΑ+ÄõÞæÃÄæΑ«Ä½êÞΑÙê«æüΑĉËöΑ«ÄΑæ¨ΑËÄËÃüΠΑ"ËÚ«£ÄΑêÚÚÄüΑËÄõÚæ«½Α ËÄÞΑλ" μΡΑ
"ËÚ«£ÄΑ+ÄÞæ«æêæ«ËÄ½Α+ÄõÞæÃÄæΑö«æ¨ΑÚæ«ÄΑËÄ«æ«ËÄÞΑλÞê¶æΑæËΑæ¨ΑËõÚ½½Α½«Ã«æΑË¢Α͍͋АμΡΑÄΑ#½Ë½Α
Depository Receipts (GDR) are the instruments for the foreign investment in India. Hence options 1, 2, and
3 are correct.
BËÄαWÞ«ÄæΑ ûæÚÄ½Α ×ËÞ«æÞΑ ÚΑ Α ϏæΑ Úæ«Ä£ϖΑ ĉËöΑ «ÄΑ ½ÄΑ Ë¢Α ×üÃÄæÞΑ ËêÄæÞ and
therefore, not part of Foreign Direct investments. Hence statement 4 is not correct.
ANALYSIS:
ANALYSIS:
Conceptual question to check the basic understanding of terms in Economics.
SOURCE : The question is based on the conceptual understanding of FDI. Hence, it can be covered from
multiple sources including.
Excerpt from NCERT
95
Year 2021 CURRENCY DEVALUATION

The effect of devaluation of a currency is that it necessarily
1. improves the competitiveness of the domestic exports in the foreign markets.
2. increases the foreign value of domestic currency.
3. improves the trade balance.
(a) 1 only
(b) 1 and 2 only
(c) 3 only
(d) 2 and 3 only
ANSWERS A
EXPLANATION
õ½êæ«ËÄΑ ÃÄÞΑ ËĆ«½Α ½ËöÚ«Ä£Α Ë¢Α æ¨Α õ½êΑ Ë¢Α Α ËêÄæÚüϖÞΑ êÚÚÄüΑ ö«æ¨«ÄΑ Α ĈûΑ û¨Ä£Α ÚæΑ
ÞüÞæÃΠΑ õ½êæ«ËÄΑ Ë¢Α Α êÚÚÄüΑ ¨××ÄÞΑ «ÄΑ ËêÄæÚ«ÞΑö«æ¨Α ΑĈûΑ û¨Ä£Α ÚæΑ λËÚΑ ½ÞËΑö¨ÚΑ «æΑ «ÞΑ
ÃÄ£ΑĉËæ«Ä£ΑÚæμΠΑûÃ×½αΑ;æΑêÞΑÞÞêÃΑæ¨æΑ×Úõ«½«Ä£Αû¨Ä£ΑÚæΑË¢ΑϮ͊Α«ÞΑ͉͊ΑÚÞΠΑ[ËΑêÚÚÄæ½üΑ
1 rs is worth of $0.1. If devaluation of currency is done and now echange rate of $1 is 20 rs, this means 1 rs
is worth of $0.05. So the vaule of domestic currency (rs) is decreased in terms of value of foregin currency
($). Hence, statement 2 is not correct.
;æΑêÞΑæºΑÄËæ¨ÚΑûÃ×½ΑæËΑêÄÚÞæÄΑÞææÃÄæΑ͊αΑ+¢ΑΑÞ¨«ÚæΑËÞæÞΑϮ͑Α«ÄΑæ¨Αf[ΑÄΑWÞΑ͍͉͉Α«ÄΑ+Ä«ΡΑ
æ¨ΑÚê×αË½½ÚΑû¨Ä£ΑÚæΑÞ¨Ëê½ΑΑWÞΑ͎͉ΠΑbËΑÞΑö¨üΡΑæΑÄüΑÚæΑ¨«£¨ÚΑæ¨ÄΑWÞΑ͎͉ΡΑÞüΑWÞΑ͏͉ΡΑ«æΑ
ËÞæÞΑWÞΑ͍͉͑Α×ÚΑÞ¨«ÚæΑ«ÄΑæ¨Αf[ΑêæΑËÄ½üΑWÞΑ͍͉͉Α«ÄΑ+Ä«ΠΑ+ÄΑæ¨æΑÞΡΑ½½Α¢ËÚ«£ÄΑêÞæËÃÚÞΑöËê½ΑêüΑ
shirts from India. So devaluation of currency improves the competitveness of the domestic exports (India)
in the foreign markets. Hence, statement 1 is correct.
½ÄΑË¢ΑbÚΑλ HbμΑ«ÞΑæ¨Α«ąÚÄΑæöÄΑæ¨Αõ½êΑË¢Αû×ËÚæÞΑÄΑõ½êΑË¢Α«Ã×ËÚæÞΑË¢Α£ËËÞΑË¢ΑΑ
country in a given period of time. Regarding third statement, with the devaluation of currency
competitveness of the export improves, but trade balance depends upon both export as well as imports
and it is not necessarily true that devaluation of currency improves trade balance. (Let us take a possibility
in Indian economy, our economy is haveily dendent upon the import of crude oil, and at the time of
devaluation of currency, export increases but for the same period, demand for crude oil also increases due
to increased growth in the economy, and the value of this increase in import is more than the value of
«ÄÚÞΑ«ÄΑû×ËÚæΠΑ[ËΡΑ«ÄΑæ¨«ÞΑÞÄÚ«ËΑ£«ÄΑöΑ¨õΑĈ«æΑæÚΑ½ÄμΠΑHence statement 3 is not
correct.
ANALYSIS:
Exchange rate has always been in the news. Dollar-rupee comparison is a one of the important indicator
of the working of Indian economy.

96
Excerpt from NCERT
Year 2021 WATER CREDIT
V͋͋ΠΑr«æ¨ΑÚ¢ÚÄΑæËΑϖræÚΑÚ«æϖΡΑËÄÞ«ÚΑæ¨Α¢Ë½½Ëö«Ä£ΑÞææÃÄæÞ΢Α
1. It puts microfinance tools to work in the water and sanitation sector.
2. It is a global initiative launched under the aegis of the World Health Organization and the World Bank.
3. It aims to enable the poor people to meet their water need without depending on subsidies.
Which of the statements given above are correct?
(a) 1 and 2 only
(b) 2 and 3 only
(c) 1 and 3 only
(d) 1, 2 and 3
ANSWERS C
EXPLANATION
ræÚΠËÚ£Α«ÞΑΑ£½Ë½ΑÄËÄα×ÚËĈæΑËÚ£Ä«āæ«ËÄΑöËÚº«Ä£ΑæËΑÚ«Ä£ΑöæÚΑÄΑÞÄ«ææ«ËÄΑæËΑæ¨ΑöËÚ½ΠΑ+æΑÞæÚæΑ
æ¨Α«Ä«æ«æ«õΑË¢ΑræÚΑÚ«æΑ½ËÄΑ×ÚË£ÚÃΑæËΑÚÞÞΑæ¨ΑÚÚ«ÚΑË¢ΑąËÚ½ΑĈÄÄ«Ä£Α¢ËÚΑÞ¢ΑöæÚΑÄΑ
sanitation. Hence, statement 2 is not correct.
ræÚΑÚ«æΑ«ÞΑΑ×ËöÚ¢ê½ΑÞË½êæ«ËÄΑÄΑæ¨ΑĈÚÞæΑæËΑ×êæΑÃ«ÚËĈÄÄΑæËË½ÞΑæËΑöËÚºΑ«ÄΑæ¨ΑöæÚΑÄΑ
sanitation sector.ΑræÚΑÚ«æΑ¨½×ÞΑÚ«Ä£ΑÞÃ½½Α½ËÄÞΑæËΑæ¨ËÞΑö¨ËΑÄΑÞÞΑæËΑąËÚ½ΑĈÄÄ«Ä£Α
and expert resources to make household water and toilet solutions a reality.
97
EXPLANATION
How it works
+æΑ «Äæ«ĈÞΑ Α Ú£«ËÄΑ ö¨ÚΑ ×Ë×½Α ÄΑ ÞÞΑ æËΑ öæÚΑ ÄΑ ÞÄ«ææ«ËÄΑ ÄΑ æ¨æΑ «ÞΑ ÚüΑ ¢ËÚΑ Α
Ã«ÚËĈÄÄΑÞË½êæ«ËÄΠΑ
+æΑ×ÚæÄÚÞΑö«æ¨ΑÚ¢ê½½üΑÞ½æΑ«ÄÞæ«æêæ«ËÄÞΑæËΑ×ÚËõ«ΑąËÚ½ΑĈÄÄ«Ä£Α¢ËÚΑöæÚΑÄΑÞÄ«ææ«ËÄΑæËΑ
families in need.
b¨ÞΑ Ã«ÚËĈÄÄΑ ×ÚæÄÚÞΑ Þæ½«Þ¨Α öæÚΑ ÄΑ ÞÄ«ææ«ËÄΑ ½ËÄÞΑ «ÄΑ æ¨«ÚΑ ×ËÚæ¢Ë½«ËΑ Ë¢Α ËąÚ«Ä£ÞΠΑ +æΑ
supports them by providing technical assistance, connections and resources to get them started.
TË×½Α«ÄΑÄΑêÞΑæ¨ÞΑÞÃ½½ΡΑąËÚ½Α½ËÄÞΑæËΑ×êæΑΑæ×ΑËÚΑæË«½æΑ«ÄΑæ¨«ÚΑ¨ËÃÞΑÄΑÞÞΑ½Ë½Α
resources to do the work. It enables poor households to meet their water and sanitation needs without
depending on subsidies.
Every repaid loan can be lent to another family in need of safe water or sanitation.
Thus statements 1 and 3 are correct. Hence option (c) is the correct answer.
ANALYSIS:
b¨«ÞΑæ¨ÃΑöÞΑÞ½«£¨æ½üΑËąæΑÞΑ«æΑ«ÞΑÄËæΑΑõÚüΑ×Ë×ê½ÚΑËÚ£Ä«Þæ«ËÄΑ½«ºΑæ¨ΑrbHΑËÚΑæ¨Α+A"ΠΑ;Ë£«½½üΡΑ
these kind of topics can be prepared. One can only apply his intelligence on the spot.
SOURCE : https://water.org/solutions/watercredit/
Please Note:
If one goes by the theme of this question, it is slightly dilemmatic to classify it. It could
Α Þ¢½üΑ ½ÞÞ«ĈΑ êÄÚΑ Α ¨Α ϏA«Þ½½ÄËêÞϐΡΑ êæΑ ÞΑ æ¨Α «Ä«æ«æ«õΑ «ÞΑ æ¨æΑ Ë¢Α ÄΑ
international organisation, we have put it under ‘External Sector: International
Organisations’
Year 2022 IMF
Q23. "Rapid Financing Instrument" and "Rapid Credit Facility" are related to the provisions of lend-
ing by which one of the following?
(a) Asian Development Bank
(b) International Monetary Fund
(c) United Nations Environment Programme Finance Initiative
(d) World Bank
ANSWERS B
98
EXPLANATION
Recent context: The Finance minister of Sri Lanka has started bailout talks with the lender of last resort
λ+A"μΑ ÄΑ Þº«Ä£Α æ¨Α +A"ϐÞΑ Ú×«Α ĈÄÄ«½Α ÞÞ«ÞæÄΑ æËΑ æº½Α £ÚËö«Ä£Α Þ¨ËÚæ£ÞΑ Ë¢Α ¢ËËΡΑ ¢ê½Α ÄΑ
medicines.
The Rapid Financing Instrument (RFI)Α ×ÚËõ«ÞΑ Ú×«Α ĈÄÄ«½Α ÞÞ«ÞæÄΡΑ ö¨«¨Α «ÞΑ õ«½½Α æËΑ ½½Α
member countries facing an urgent balance of payments need. The RFI was created as part of a broader
Ú¢ËÚÃΑ æËΑ ÃºΑ æ¨Α +A"ϐÞΑ ĈÄÄ«½Α Þê××ËÚæΑ ÃËÚΑ ĉû«½Α æËΑ ÚÞÞΑ æ¨Α «õÚÞΑ ÄÞΑ Ë¢Α ÃÃÚΑ
countries. The RFI replaced the IMF’s previous emergency assistance policy and can be used in a wide
range of circumstances. Financial assistance under the RFI is provided in the form of outright purchases
ö«æ¨ËêæΑæ¨ΑÄΑ¢ËÚΑΑ¢ê½½αĉ£Α×ÚË£ÚÃΑËÚΑÚõ«öÞΠΑΑÃÃÚΑËêÄæÚüΑÚÙêÞæ«Ä£ΑW"+ΑÞÞ«ÞæÄΑ«ÞΑ
ÚÙê«ÚΑæËΑ ËË×ÚæΑö«æ¨Αæ¨Α +A"ΑæËΑ ÃºΑ ąËÚæÞΑæËΑ ÞË½õΑ «æÞΑ ½ÄΑ Ë¢Α ×üÃÄæÞΑ «Ćê½æ«ÞΑ ÄΑæËΑ
describe the general economic policies that it proposes to follow. Prior actions may be required where
warranted.
The Rapid Credit Facility (RCF) of IMF ×ÚËõ«ÞΑ Ú×«Α ËÄÞÞ«ËÄ½Α ĈÄÄ«½Α ÞÞ«ÞæÄΑæËΑ ½Ëöα«ÄËÃΑ
countries (LICs) facing an urgent balance of payments (BoP) need with no ex post conditionality where a
¢ê½½αĉ£ΑËÄËÃ«Α×ÚË£ÚÃΑ«ÞΑÄ«æ¨ÚΑÄÞÞÚüΑÄËÚΑ¢Þ«½ΠΑb¨ΑW"ΑöÞΑÚæΑêÄÚΑæ¨ΑTËõÚæüΑ
Wêæ«ËÄΑÄΑ#ÚËöæ¨ΑbÚêÞæΑλTW#bμΑÞΑ×ÚæΑË¢ΑΑÚËÚΑÚ¢ËÚÃΑæËΑÃºΑæ¨Α"êÄϐÞΑĈÄÄ«½ΑÞê××ËÚæΑÃËÚΑ
ĉû«½ΑÄΑææÚΑæ«½ËÚΑæËΑæ¨Α«õÚÞΑÄÞΑË¢Α;+ÞΡΑ«Ä½ê«Ä£Α«ÄΑæ«ÃÞΑË¢ΑÚ«Þ«ÞΠ
Hence option (b) is the current answer.
ANALYSIS:
Recently these provisions of lending were in news, due to Sri Lankan economic crisis.
SOURCE : https://www.imf.org/en/About/Fact-
sheets/Sheets/2016/08/02/19/55/Rapid-Financing-Instrument#:~:text=The%20Rapid%20
"«ÄÄ«Ä£А͉͋+ÄÞæÚêÃÄæА͉͋λW"+Ρ«õÚÞА͉͋ÄÞА͉͋Ë¢А͉͋ÃÃÚА͉͋ËêÄæÚ«ÞΠ
https://www.imf.org/en/About/Fact-
sheets/Sheets/2016/08/02/21/08/Rapid-Credit-Facility
https://economictimes.indiatimes.com/news/internation-
al/world-news/technical-level-discussions-with-sri-lanka-will-continue-imf/articleshow/9
1487174.cms?from=mdr
Year 2022 REER/NEER
V͍͋ΠΑr«æ¨ΑÚ¢ÚÄΑæËΑæ¨Α+Ä«ÄΑËÄËÃüΡΑËÄÞ«ÚΑæ¨Α¢Ë½½Ëö«Ä£ΑÞææÃÄæÞΑ΢
1. An increase in Nominal Effective Exchange Rate (NEER) indicates the appreciation of rupee.
2. An increase in the Real Effective Exchange Rate (REER) indicates an improvement in trade competitiveness.
3. An increasing trend in domestic inflation relative to inflation in other countries is likely to cause an increasing diver-
gence between NEER and REER.
Which of the above statements are correct?
(a) 1 and 2 only
(b) 2 and 3 only
(c) 1 and 3 only
(d) 1, 2 and 3
ANSWERS C
99
BËÃ«Ä½Α ąæ«õΑ û¨Ä£Α WæΑ λBWμ is a measure of the value of a currency against a weighted
average of several foreign currencies. The nominal exchange rate is the amount of domestic currency
needed to purchase foreign currency. If a domestic currency increases against a basket of other
êÚÚÄ«ÞΑ«ÄÞ«ΑΑĉËæ«Ä£Αû¨Ä£ΑÚæΑÚ£«ÃΡΑBWΑ«ÞΑÞ«ΑæËΑ××Ú«æΠΑ+¢Αæ¨ΑËÃÞæ«ΑêÚÚÄüΑ
falls against the basket, the NEER depreciates. An increase in NEER indicates an appreciation of the local
currency against the weighted basket of currencies of its trading partners. Hence statement 1 is correct.
b¨ΑW½Αąæ«õΑû¨Ä£ΑWæΑλWWμΑ«ÞΑæ¨ΑÚ½Αąæ«õΑû¨Ä£ΑÚæΑλΑÃÞêÚΑË¢Αæ¨Αõ½êΑË¢ΑΑ
êÚÚÄüΑ£«ÄÞæΑΑö«£¨æΑõÚ£ΑË¢ΑÞõÚ½Α¢ËÚ«£ÄΑêÚÚÄ«ÞμΑ«õ«ΑüΑΑ×Ú«ΑĉæËÚΑËÚΑ«ÄûΑË¢Α
ËÞæÞΠΑ +ÄΑ Þ«Ã×½ΑöËÚÞΡΑ Α Äæ«ËÄϖÞΑ ÄËÃ«Ä½Α ąæ«õΑ û¨Ä£Α ÚæΑ λBWμΡΑ ¶êÞæΑ¢ËÚΑ «Äĉæ«ËÄΑ «ÄΑæ¨Α
¨ËÃΑËêÄæÚüΡΑÙê½ÞΑ«æÞΑÚ½Αąæ«õΑû¨Ä£ΑÚæΑλWWμΠΑÄΑ«ÄÚÞΑ«ÄΑWWΑ«Ã×½«ÞΑæ¨æΑû×ËÚæÞΑ
become more expensive and imports become cheaper; therefore, an increase indicates a loss in trade
competitiveness. Hence statement 2 is not correct.
WWΑ«ÞΑæ¨ΑBWΑ¢æÚΑ¢æËÚ«Ä£Α«ÄΑÚ½æ«õΑ«Äĉæ«ËÄΑλËÄÞêÃÚΑ×Ú«αÞΑ«ÄûμΑêÞ«Ä£ΑÞËÃΑÃÞêÚΑË¢Α
relative prices or costs; changes in the REER thus take into account both nominal exchange rate changes
ÄΑæ¨Α«Äĉæ«ËÄΑ«ąÚÄæ«½Αõ«Þααõ«ÞΑæÚ«Ä£Α×ÚæÄÚÞΠΑ[ËÚ«Ä£Α«Äĉæ«ËÄΑö«½½Α«Ã×æΑWWΡΑö¨«¨ΡΑ«ÄΑæêÚÄΡΑ
öËê½Α«Äõ«æ½üΑ×êÞ¨Αê×Αæ¨ΑËÞæΑË¢ΑÃÚ¨Ä«ÞΑÄΑąæΑæ¨ΑËÃ×æ«æ«õÄÞÞΑË¢Α+Ä«ÄΑû×ËÚæÞΠΑb¨êÞΡΑ
«¢Α«Äĉæ«ËÄΑ«ÞΑ«ÄΑÄΑ«ÄÚÞ«Ä£ΑæÚÄΑ«ÄΑæ¨ΑËÃÞæ«ΑÄæ«ËÄÞΑÚ½æ«õΑæËΑ«Äĉæ«ËÄΑ«ÄΑËæ¨ÚΑËêÄæÚ«ÞΡΑ«æΑ«ÞΑ½«º½üΑ
to be an increasing divergence between NEER and REER. For instance, considering NEER and REER values
æöÄΑ×Ú«½Α͉͋͊͒ΑÄΑAüΑ͉͋͋͊Α«ÄΑ+Ä«ΡΑæ¨ΑBWΑ¨ÞΑÄΑÃËÞæ½üΑ½«Ä«Ä£ΡΑö¨ÚÞΡΑWWΑÚÃ«ÄÞΑ«ÄΑ
ÞüÄΑö«æ¨Αæ¨Α«Äĉæ«ËÄÚüΑæÚÄÞδæ¨Αê×öÚΑ«ÞÞΑ«ÄΑWWΑêΑæËΑ«Äĉæ«ËÄΑöÚΑ½ÚüΑ«Ä£Α¢½æΑ«ÄΑAüΑ
͉͋͋͊ΠΑb¨Α«ÄÚÞ«Ä£Α«ąÚÄΑæöÄΑæÚÄÞΑË¢ΑBWΑÄΑWWΑ«ÄΑæ¨Α½ÞæΑ͋͏ΑÃËÄæ¨ÞΑöÞΑêΑæËΑ+Ä«ϐÞΑ
ËÃÞæ«Α «Äĉæ«ËÄΑ «Ä£Α ¨«£¨ÚΑ Ú½æ«õΑ æËΑ æ¨Α Þ«ûΑ Ã¶ËÚΑ êÚÚÄ«ÞΑ ËÄÞ«ÚΠΑ Hence statement 3 is
correct.
ANALYSIS:
SOURCE : ¨ææ×Þ΢έέæ¨½×Π«Ã¢ΠËÚ£έºÄËö½£ÞέÚæ«½Þέ͎͍͌͐͏͒αö¨æα«ÞαÄËÃ«Ä½αąæ«õαû¨
nge-rate-neer
¨ææ×Þ΢έέæ¨½×Π«Ã¢ΠËÚ£έºÄËö½£ÞέÚæ«½Þέ͎͍͌͐͐͋αö¨æα«ÞαÚ½αąæ«õαû¨Ä£
-rate-reer
Please Note:
Certain concepts have been well explained in websites like Investopedia or one can
Ú¢ÚΑæËΑæ¨ΑËĆ«½ΑöÞ«æÞΑË¢Α+A"Α¢ËÚΑËÄ×æÞΑÚ½æΑæËΑû¨Ä£ΑÚæΡΑæΠ
100
Year 2023 UNOPS (GLOBAL ORGANISATIONS)
Q25. Consider the following infrastructure sectors:

1. Affordable housing
2. Mass rapid transport
3. Health care
4. Renewable energy
On how many of the above does UNOPS Sustainable Investments in Infrastructure and Innovation (S3i) initiative focus
for its investments?
(a) Only one
(b) Only two
(c) Only three
(d) All four
ANSWERS C
EXPLANATION
Sustainable Investments in Infrastructure and Innovation (‘S3i’) In March 2020, Sustainable Investments
in Infrastructure and Innovation (S3i) was formally established as a stand-alone business unit in the
fBHT[Α£ËõÚÄÄΑÞæÚêæêÚΡΑÃº«Ä£ΑfBHT[Αæ¨ΑĈÚÞæΑfÄ«æΑBæ«ËÄÞΑËÚ£Ä«āæ«ËÄΑ½ΑæËΑÃºΑ«ÚæΑ
investments from its own balance sheet.
+ÄΑ½«ÄΑö«æ¨Αæ¨ΑfBHT[Α[æÚæ£«ΑT½ÄΡΑ͉͋͋͋α͉͎͋͋ΡΑæ¨Α[͌«ΑËĆΑö«½½ΑÞºΑæËΑÄ¨ÄΑÄΑ½ÚæΑæ¨Α
ąËÚæΑ Ë¢Α Ä££«Ä£Α ×ê½«Α ÄΑ ×Ú«õæΑ ÞæËÚΑ «ÄõÞæËÚÞΑ æËΑ öËÚºΑ Ë½½æ«õ½üΑ æËΑ Þ½Α ê×Α «Ä¢ÚÞæÚêæêÚΑ
«ÄõÞæÃÄæÞΑÄΑËÄÞ«ÚΑËαÚæ«Ä£Α«ÄÄËõæ«õΑĈÄÄ«Ä£ΑË×æ«ËÄÞΠΑb¨ΑfBHT[Α[͌«Αö«½½ΑËÄæ«ÄêΑÚË½½«Ä£Α
ËêæΑæ¨Α«Ä«æ«æ«õΑÚËÞÞΑ«æÞΑæ¨ÚΑ¢ËêÞαÚÞ΢ΑλμΑąËÚ½Α¨ËêÞ«Ä£ΣΑλμΑÚÄö½ΑÄÚ£üΣΑÄΑλμΑ¨½æ¨Α
infrastructure. Hence only three are correct.
ANALYSIS:
ANALYSIS:

If one applies logic and is ready take some risk, then one should see that ‘rapid mass transport’ as a need
or requirement is one step higher than the basic requirements in the form of Hosuing, Health and Energy.
Otherwise, his is a tough theme because it was not widely covered by the standard newspapers.
Under the S3i scheme, a British businessman was in the news as he was the sole businessman dealing
with the S3i related housing sector in Goa and there was a scandal reported in 2022. Although the Indian
Express covered it, but the criteria (in the question) were not mentioned.
SOURCE : https://indianexpress.com/article/india/in-60-million-dollar-un-scandal-a-2-5-million-
dollar-housing-investment-in-goa-and-no-house-to-show-for-it-7919071/
101
Year 2023 TRADE

Statement-I : India accounts for 3.2% of global export of goods.
Statement-II : Many local companies and some foreign companies operating in India have taken advantage of India's
'Production-linked Incentive' scheme.
ANSWERS D
EXPLANATION
Statement I is incorrect: +Ä«ϐÞΑÞ¨ÚΑ«ÄΑ£½Ë½ΑÃÚ¨Ä«ÞΑæÚΑ«ÞΑËÄ½üΑ͊Π͑АΑÄΑ͍АΑ«ÄΑ£½Ë½ΑÞÚõ«ÞΠΑ
+Ä«Α×½ÄÞΑæËΑ«ÄÚÞΑ«æÞΑû×ËÚæΑÞ¨ÚΑ«ÄΑ£½Ë½ΑæÚΑ¢ÚËÃΑ͋Π͊АΑæËΑ͌АΑüΑ͉͋͋͐ΑÄΑ͉͊АΑüΑ͉͍͋͐ΠΑ
Statement II is correct: The PLI scheme is open to both domestic and international manufacturers.
[ÃÞêÄ£ΑÞΑö½½ΑÞΑ+Ä«ÄΑĈÚÃÞΑÞê¨ΑÞΑ«ûËÄΑb¨ÄË½Ë£«ÞΡΑfb;ΡΑBË½üÄÞΡΑ;õΑ+ÄæÚÄæ«ËÄ½ΡΑH×æ«ÃêÞΑ
Electronics and Micromax are also expanding their factories to take advantage of the PLI scheme.
ANALYSIS:
ANALYSIS:
Scope for elimination: On the face of it there is no scope for elimination, but if the aspirants are able to
Ĉ£êÚΑËêæΑæ¨æΑÄüΑË¢Αæ¨ΑæöËΑÞææÃÄæÞΑ«ÞΑ«ÄËÚÚæΡΑæ¨ÄΑæ¨üΑÄΑÞ«½üΑ£æΑæ¨ΑËÚÚæΑÄÞöÚΠΑ+ÄΑæ¨«ÞΑ
question, the second statement has a word, ‘some’ which in general is suggestive of its correctness.
Caution: That assumption also carries an element of risk.
On the reasons why it was asked could be the PLI scheme whichhas always been in the news and India’s
trade with the world is also an important theme. India’s global share in service exports is considerable
λ͍Π͍АμΠΑb¨«ÞΑüÚΑ£ËËϐÞΑû×ËÚæÞΑöÞΑÞºΡΑ«ÄΑæ¨ΑËÃ«Ä£ΑüÚÞϐΑÞÚõ«Αû×ËÚæÞΑÃüΑΑÞºΠ
SOURCE : Standard newspapers

https://www.hindustantimes.com/india-news/indias-merchan-
dise-exports-to-seven-top-trading-partners-contract-101668627916014.html
ʷ˜˙Ѓ˖˨˟˧ˬ˟˘˩˘˟ʭʷ˜˙Ѓ˖˨˟˧ʛ˔˦˙˔˖˧˨˔˟˜ˡˡ˔˧˨˥˘ʜ
102
Year 2023 TRADE

Statement-I: Recently, the United States of America (USA) and the European Union (EU) have launched the 'Trade and
Technology Council'
Statement-II: The USA and the EU claim that through this they are trying to bring technological progress and physical
productivity under their control.
Which one of the following is correct in respect of the above statement?
ANSWERS C
EXPLANATION
Recently the United States of America and the European Union have launched the Trade and Technology
Council, a strategic coordination mechanism to tackle challenges at the nexus of trade, trusted
technology and security. Hence statement 1 is correct. It serves as a forum for the United States and
European Union to coordinate approaches to key global trade, economic, and technology issues and to
deepen transatlantic trade and economic relations based on these shared values.
Through the Council, the EU and the US are working together to: ensure that trade and technology serve
our societies and economies, while upholding our common values strengthen our technological and
industrial leadership expand bilateral trade and investment The aim is not about bringing technological
progress and physical productivity under their control, but rather about coordinating approaches with
respect to same. Hence statement 2 is not correct.
ANALYSIS:
ANALYSIS:
This is not a conventional theme that is covered in Economics but it was asked as recently EU set up a
Trade and Technology Council with India along the lines of the EU-US Trade and Technology Council. The
same was covered in The Hindu (Feb., 2023)
Statement II hints at it being a wrong statement as the two cannot claim to bring technological progress
under control. (It is an extreme statement).
If one can sense the extremeness of the statement and thus its incorrectness, then 3 options can be got
rid of, A, B and D
103
Year 2023 GLOBAL INSTITUTIONS

The 'Stability and Growth Pact' of the European Union is a treaty that
1. limits the levels of the budgetary deficit of the countries of the European Union
2. makes the countries of the European Union to share their infrastructure facilities
3. enables the countries of the European Union to share their technologies
How many of the above statements are correct?
(a) Only one
(b) Only two
(c) All three
(d) None
ANSWERS A
EXPLANATION
The Stability and Growth Pact (SGP) is a set of rules designed to ensure that countries in the European
fÄ«ËÄΑ×êÚÞêΑÞËêÄΑ×ê½«ΑĈÄÄÞΑÄΑËËÚ«ÄæΑæ¨«ÚΑĈÞ½Α×Ë½««ÞΠΑÞÚ«ΑÞΑæ¨ΑêÚËāËÄϖÞΑĈÞ½Α
Úê½ËËºΡΑæ¨Α[#TΑ«ÞΑΑÞæΑË¢ΑĈÞ½ΑÚê½ÞΑÞ«£ÄΑæËΑ×ÚõÄæΑfΑËêÄæÚ«ÞΑ¢ÚËÃΑÞ×Ä«Ä£ΑüËÄΑæ¨«ÚΑ
ÃÄÞΠΑ[«ÄΑ͊͒͒͐ΡΑÃÃÚΑÞææÞΑ¨õΑ£ÚΑæ¨æΑæ¨üΑÞ¨Ëê½Αº×Α#TΑÚæ«ËÞΑË¢ΑĈ«æΑÄΑæΑ½ËöΑ
͌АΑÄΑ͏͉АΑÚÞ×æ«õ½üΠΑb¨ΑêÚË×ÄΑËÃÃ«ÞÞ«ËÄΑÄΑæ¨ΑËêÄ«½ΑĈÄÄΑÃ«Ä«ÞæÚÞΑ¨õΑæ¨ΑÃ«ÄΑêæüΑ
of surveillance. They issue an annual recommendation on policy measures every year and also monitor EU
countries to ensure each nation is compliant with budget regulations. Countries that break the rules for
æ¨ÚΑËÄÞêæ«õΑüÚÞΑÚΑĈÄΑΑÃû«ÃêÃΑË¢Α͉Π͎АΑË¢Αæ¨«ÚΑ#TΠΑb¨Α[#TΑËÞΑÄËæΑÃºΑËêÄæÚ«ÞΑË¢Αæ¨Α
European Union share their infrastructure facilities or technologies. Hence only statement 1 is correct
and option (a) is the correct answer.
ANALYSIS:
ANALYSIS:
The European Union (EU) has been tested by three great external events, the Syrian refugee crisis, the
Coronavirus, and the Russian invasion of Ukraine. Each of these events challenges the EU’s Stability and
#ÚËöæ¨ΑTæΑλ[#TμΑæ¨æΑÞÄæ«ËÄÞΑÃÃÚΑÞææÞΑ«ÄêÚÚ«Ä£ΑûÞÞ«õΑê£æÚüΑĈ«æÞΠΑ(ÄΑæ¨«ÞΑöÞΑ
in the news.
As the standard newspapers did not widely cover the topic, this theme was lesser-know and slightly
«Ćê½æΠ
Scope for elimination: Not applicable
SOURCE : https://www.euronews.com/busi-
ness/2022/01/18/what-is-the-eu-s-stability-and-growth-pact-and-why-is-it-important
104
104
FINANCIAL MARKET
(11 Questions)
Year 2018 T–BILLS

1. The Reserve Bank of India manages and services Government of India Securities but not any State Government Securi-
ties.
2. Treasury bills are issued by the Government of India and there are no treasury bills issued by the statement Govern-
ments.
3. Treasury bills offer are issued at a discount from the par value.
(a) 1 and 2 only
(b) 3 only
(c) 2 and 3 only
(d) 1, 2 and 3
ANSWERS C
EXPLANATION
The Reserve Bank of India (RBI) manages public debt and issues Indian currency denominated loans on behalf of the
central and the state governments under the powers derived from the Reserve Bank of India Act. The RBI is the debt
manager for both the Central Government and the State Governments. The RBI manages the debt of state
governments on the basis of separate agreements. Hence, statement 1 is not correct.
Treasury bills or T-bills, which are money market instruments, are short term debt instruments issued by the
Government of India and are presently issued in three tenors, namely, 91 day, 182 day and 364 day. Treasury bills are
zero coupon securities and pay no interest. They are issued at a discount and redeemed at the face value at maturity.
For example, a 91 day Treasury bill of 100/- (face value) may be issued at say 98.20, that is, at a discount of say, 1.80
and would be redeemed at the face value of 100/-. The return to the investors is the difference between the maturity
value or the face value (that is 100). Hence, statements 2 and 3 are also correct.
ANALYSIS:
ANALYSIS:
Although it is a topic categorised under macroeconomics, it is not covered in the Introductory Macroeconomics book,
but it has comprehensively covered in the chapter Financial Markets of the Business Studies Class 12 book.
Kindly refer to the image shared below.
105
SOURCE : Business Studies (NCERT Class 12)

Excerpt from NCERT
106
Year 2019 PARTICIPATORY NOTES
Q2. Which of the following is issued by registered foreign portfolio investors to overseas investors who
want to be part of the Indian stock market without registering themselves directly?
(a) Certificate of Deposits
(b) Commercial Paper
(c) Promissory Note
(d) Participatory Note
ANSWERS D
EXPLANATION
A Participatory Note (or P-Note) is a derivative instrument issued in foreign jurisdictions, by a

SEBI-registered Foreign Institutional Investor (FII) or its sub-accounts or one of its associates, against
underlying Indian securities. The underlying Indian security instrument may be equity, debt, derivatives or
may even be an index.
A Promissory NoteΑ«ÞΑΑĈÄÄ«½Α«ÄÞæÚêÃÄæΑæ¨æΑËÄæ«ÄÞΑΑöÚ«ææÄΑ×ÚËÃ«ÞΑüΑËÄΑ×ÚæüΑæËΑ×üΑÄËæ¨ÚΑ
×ÚæüΑΑĈÄ«æΑÞêÃΑË¢ΑÃËÄüΡΑ«æ¨ÚΑËÄΑÃÄΑËÚΑæΑΑÞ×«ĈΑ¢êæêÚΑæΠ
Commercial Paper (CP) is an unsecured money market instrument issued in the form of a promissory
note. CPs are short-term instruments and the maturity period varies from seven days to up to one year. It
öÞΑ «ÄæÚËêΑ æËΑ Ä½Α ¨«£¨½üΑ ÚæΑ ËÚ×ËÚæΑ ËÚÚËöÚÞΑ æËΑ «õÚÞ«¢üΑ æ¨«ÚΑ ÞËêÚÞΑ Ë¢Α Þ¨ËÚæαæÚÃΑ
ËÚÚËö«Ä£ÞΑÄΑ½ÞËΑæËΑ×ÚËõ«ΑÄΑ«æ«ËÄ½Α«ÄÞæÚêÃÄæΑæËΑ«ÄõÞæËÚÞΠ
Úæ«ĈæΑ Ë¢Α ×ËÞ«æÞΑ «ÞΑ Α Þõ«Ä£Α Úæ«ĈæΑö«æ¨Α ΑĈûΑ ÃæêÚ«æüΑ æΑ æΑæ¨ΑĈûΑ «ÄæÚÞæΑ ÚæΠΑ +æΑ «ÞΑ
«ÞÞêΑ üΑ ËÃÃÚ«½Α ÄºÞΑ ÄΑ ĈÄÄ«½Α «ÄÞæ«æêæ«ËÄÞΠΑ +æΑ «ÞΑ «ÞÞêΑ «ÄΑ æ¨Α ¢ËÚÃΑ Ë¢Α Α ×ÚËÃ«ÞÞËÚüΑ ÄËæΑ «ÄΑ
û¨Ä£ΑË¢Α¢êÄÞΑ×ËÞ«æΑ«ÄΑÄºÞΑ¢ËÚΑΑÞ×«ĈΑ×Ú«ËΠΑHence option (d) is the correct answer.
ANALYSIS:
ANALYSIS:
TαBËæÞΑ«ÞΑΑÞ«ΑËÄ×æΑ«ÄΑæ¨Α"«ÄÄ«½ΑAÚºæΠΑÞΑĈÄÄ«½ΑÃÚºæΡΑÞΑΑ¨×æÚΡΑ«ÞΑÄËæΑæ¨ÚΑ«ÄΑæ¨Α
Macroeconomics NCERT book, the same can be studied from arthapedia
SOURCE : http://www.arthapedia.in/index.php/Participatory_Notes_(PNs)
107
Year 2020 MISCELLANEOUS (FINANCIAL MARKET)
Q3. With reference to the Indian economy, consider the following statements:
1. 'Commercial Paper' is a short-term unsecured promissory note.
2. 'Certificate of Deposit' is a long-term instrument issued by the Reserve Bank of India to a corporation.
3. 'Call Money' is a short-term finance used for interbank transactions.
4. 'Zero-Coupon Bonds are the interest bearing short-term bond issued by the Scheduled Commercial Banks to
corporations.
(a) 1 and 2 only
(b) 4 only
(c) 1 and 3 only
(d) 2, 3 and 4 only
ANSWERS C
EXPLANATION
Commercial Paper (CP) is an unsecured money market instrument issued in the form of a promissory note. It can be
issued for maturities between a minimum of 7 days and a maximum of up to one year from the date of issue
(short-term). Hence statement 1 is correct.
Certificate of Deposit (CD) is a negotiable money market instrument and is issued in dematerialised form against funds
deposited at a bank or other eligible financial institution for a specified time period. Issued by the Federal Deposit
Insurance Corporation (FDIC) and regulated by the Reserve Bank of India, the CD is a promissory note, the interest on
which is paid by the financial institution. Hence statement 2 is not correct.
Call money rate is the rate at which short term funds are borrowed and lent in the money market among banks on a
day-today basis. Banks resort to this type of loan to fill the asset liability mismatch, comply with the statutory CRR and
SLR requirements and to meet the sudden demand of funds. Hence statement 3 is correct.
Bonds are a type of debt instrument. Zero Coupon Bonds are issued at a discount and redeemed at par. No interest
payment is made on such bonds at periodic intervals before maturity. Hence statement 4 is not correct.
ANALYSIS:

b¨ΑÙêÞæ«ËÄΑ«ÞΑ¨º«Ä£Αæ¨Α¢êÄÃÄæ½ΑºÄËö½£ΑËêæΑæ¨ΑÞ«ΑæÚÃÞΑ«ÄΑΑ£«õÄΑæË×«ΠΑ+æΑ«ÞΑÃËÚΑË¢ΑΑ
¢æê½ΑÙêÞæ«ËÄΑÄΑæ¨Ú¢ËÚΡΑæ¨ÚΑ«ÞΑÄËΑÞË×ΑË¢Α½«Ã«Äæ«ËÄΑêÄæ«½ΑÄΑêÄ½ÞÞΑËÄΑºÄËöÞΑÞËÃΑË¢Αæ¨ÞΑ
terms.
108

Excerpt from NCERT
109
Year 2021 BOND MARKET
V͍ΠΑ+Ä«ÄΑ#ËõÚÄÃÄæΑ ËÄΑx«½ÞΑÚΑ«ÄĉêÄΑüΑö¨«¨ΑË¢Αæ¨Α¢Ë½½Ëö«Ä£ΧΑ
1. Actions of the United States Federal Reserve
2. Actions of the Reserve bank of India
3. Inflation and short-term interest rates
(a) 1 and 2 only
(b) 2 only
(c) 3 only
(d) 1, 2 and 3
ANSWERS D
EXPLANATION
Bond yield is the return an investor gets on that bond or on a particular government security. It
×ÄÞΑËÄΑæ¨Α×Ú«ΑË¢Αæ¨ΑËÄΑö¨«¨Α«ÞΑ«Ã×æΑüΑ«æÞΑÃÄΠΑb¨ΑÃ¶ËÚΑ¢æËÚÞΑąæ«Ä£Αæ¨Αü«½Α«ÞΑ
the monetary policy of the Reserve Bank of India,Α Þ×«½½üΑ æ¨Α ËêÚÞΑ Ë¢Α «ÄæÚÞæΑ ÚæÞΡΑ æ¨Α ĈÞ½Α
×ËÞ«æ«ËÄΑË¢Αæ¨Α£ËõÚÄÃÄæΑÄΑ«æÞΑËÚÚËö«Ä£Α×ÚË£ÚÃÃΡΑ£½Ë½ΑÃÚºæÞΡΑËÄËÃüΡΑÄΑ«Äĉæ«ËÄΠΑ
æ«ËÄÞΑ Ë¢Α æ¨Α fÄ«æΑ [ææÞΑ "Ú½Α WÞÚõΑ ÄΑ «Ã×æΑ æ¨Α «ÄõÞæÃÄæÞΑ ĉËö«Ä£Α «ÄΑ +Ä«ΠΑ b¨Α
«ÄõÞæÃÄæÞΑüΑ¢ËÚ«£ÄΑ×½üÚÞΑ«ÄΑ£ËõÚÄÃÄæΑÞêÚ«æ«ÞΑÄΑΑąæΑüΑæ¨«ÞΠΑb¨«ÞΑö«½½Α½ΑæËΑ¨Ä£Α
in demand of government securities and thereby impacting its yield. Hence option 1 is correct.
Actions of Reserve bank determine the liquidity and also the cost of funds available in the economy
æ¨ÚËê£¨Α «æÞΑ õÚ«ËêÞΑ «Äĉæ«ËÄΑ ÃÄ£ÃÄæΑ æËË½ÞΠΑ b¨Α ËÞæΑ Ë¢Α ¢êÄÞΑ ö«½½Α «Úæ½üΑ «Ã×æΑ æ¨Α ÃÄΑ Ë¢Α
£ËõÚÄÃÄæΑÞêÚ«æ«ÞΑ«ÄΑæ¨ΑÃÚºæΑÄΑæ¨ÚüΑ«ÄĉêÄ«Ä£Α«æÞΑü«½ΠΑHence option 2 is correct.
+Äĉæ«ËÄΑÄΑÞ¨ËÚæΑæÚÃΑÚæÞΑæÚÃ«ÄΑæ¨Α×êÚ¨Þ«Ä£Α×«æüΑË¢Αæ¨Α×Ë×½Α«ÄΑæ¨ΑËÄËÃüΠΑb¨Ú¢ËÚΡΑ
æ¨«ÞΑ½ÞËΑ¨ÞΑ«Ã×æΑËÄΑæ¨ΑÃÄΑÄΑ×Ú«ΑË¢Αæ¨Α£ËõÚÄÃÄæΑαÞêÚ«æ«ÞΑæ¨ÚüΑ«ÄĉêÄ«Ä£Αæ¨Αü«½ΠΑ
Hence option 3 is correct.
ANALYSIS:
ANALYSIS:
SOURCE : https://indianexpress.com/article/explained/explained-what-rise-in-bond-yield-means-for-
investors-and-govt-7205054/ , NCERT – Introductory Macroeconomics, Chapter – Money and
Banking, Page number – 45, 46
Excerpt from NCERT
Please Note:
Yield is a general term that relates to the return on the capital you invest in a bond. Price and
ü«½ΑÚΑ«ÄõÚÞ½üΑÚ½æ΢ΑÞΑæ¨Α×Ú«ΑË¢ΑΑËÄΑ£ËÞΑê×ΡΑ«æÞΑü«½Α£ËÞΑËöÄΡΑÄΑõ«ΑõÚÞΠ
110
Year 2021 G-SECS
Q5. With reference to India, consider the following statements:

1. Retail investors through demat account can invest in 'Treasury Bills' and 'Government of India Debt Bonds' in prima-
ry market.
2. The 'Negotiated Dealing System-Order Matching' is a government securities trading platform of the Reserve Bank
of India.
3. The 'Central Depository Services Ltd' is jointly promoted by the Reserve Bank of India and the Bombay Stock
Exchange.
(a) 1 only
(b) 1 and 2
(c) 3 only
(d) 2 and 3
ANSWERS B
EXPLANATION
+ÄΑ "ÚêÚüΡΑ ͉͋͋͊ΡΑ W +Α ½½ËöΑ Úæ«½Α «ÄõÞæËÚÞΑ æËΑ «Úæ½üΑ ×êÚ¨ÞΑ £ËõÚÄÃÄæΑ ËÄÞΑ üΑ Ë×Ä«Ä£Α £«½æΑ
ËêÄæÞΑ ö«æ¨Α W +ΠΑ W +Α ¨ÞΑ ×ÚËõ«Α Úæ«½Α «ÄõÞæËÚÞΑ ö«æ¨Α ËÄ½«ÄΑ ÞÞΑ æËΑ æ¨Α £ËõÚÄÃÄæΑ ÞêÚ«æ«ÞΑ
market (primary and secondary) through the RBI (Retail Direct). Hence statement 1 is correct.
Previously, retail investors can purchase government bonds by registering themselves on stock exchanges
for non-competitive bids. Other route for retail investors is to buy government bonds is government
ÞêÚ«æ«ÞΑ λ£«½æμΑ Ãêæê½Α ¢êÄÞΠΑ b¨ÞΑ ÚΑ Ãêæê½Α ¢êÄÞΑ ö¨«¨Α «ÄΑ æêÚÄΑ «ÄõÞæΑ «ÄΑ £ËõÚÄÃÄæΑ ÞêÚ«æ«ÞΠΑ
Negotiated Dealing System-Order Matching (NDS-OM) is a screen based electronic anonymous order
Ãæ¨«Ä£ΑÞüÞæÃΑ¢ËÚΑÞËÄÚüΑÃÚºæΑæÚ«Ä£Α«ÄΑ#ËõÚÄÃÄæΑÞêÚ«æ«ÞΑËöÄΑüΑW +ΠΑb¨ΑÃÃÚÞ¨«×ΑË¢Α
the system is open to entities like Banks, Primary Dealers, Insurance Companies, Mutual Funds etc. i.e.
Äæ«æ«ÞΑö¨ËΑÃ«Äæ«ÄΑ[#;ΑËêÄæÞΑö«æ¨ΑW +ΠΑHence, statement 2 is correct.
ÄæÚ½Α×ËÞ«æËÚüΑ[Úõ«ÞΑ;æΑλ[;μΑöÞΑ×ÚËÃËæΑüΑ [Α;æΠΑ¶Ë«Äæ½üΑö«æ¨Α½«Ä£ΑÄºÞΑÞê¨ΑÞΑ[ææΑ
Bank of India, Bank of India, Bank of Baroda, HDFC Bank, Standard Chartered Bank and Union Bank of India.
[;ΑöÞΑÞæΑê×Αö«æ¨Αæ¨ΑË¶æ«õΑË¢Α×ÚËõ««Ä£ΑËÄõÄ«ÄæΡΑ×Ä½ΑÄΑÞêÚΑ×ËÞ«æËÚüΑÞÚõ«ÞΑæΑ
ąËÚ½Α ËÞæΑæËΑ ½½Α ÃÚºæΑ ×Úæ««×ÄæÞΠΑΑ ×ËÞ«æËÚüΑ¢«½«ææÞΑ ¨Ë½«Ä£Α Ë¢Α ÞêÚ«æ«ÞΑ «ÄΑæ¨Α ½æÚËÄ«Α
form and enables securities transactions to be processed by book entry. Hence, statement 3 is not
correct.
ANALYSIS:
ANALYSIS:
TÚæ««×æ«ËÄΑ Ë¢Α Úæ«½Α «ÄõÞæËÚÞΑ «ÄΑ ×Ú«ÃÚüΑ ÃÚºæΑ ¨ÞΑ ÄΑ «ÄΑ ÄöÞΠΑ b¨Α ÄêÃÚÞΑ ÚΑ û×ËÄÄæ«½½üΑ
increasing in 2023 also.
SOURCE : ¨ææ×Þ΢έέöööΠ½«õÃ«ÄæΠËÃέÃËÄüέ×ÚÞËÄ½αĈÄÄέ½½αüËêαÄαæËαºÄËöαËêæαΑ£ËõÚÄα
ment-bonds-purchase-11612514003080.html
https://m.rbi.org.in/scripts/FAQView.aspx?Id=86
111
112
Year 2022 ,QɪDWLRQLQGH[HG%RQGV
V͏ΠΑr«æ¨ΑÚ¢ÚÄΑæËΑæ¨Α+Ä«ÄΑËÄËÃüΡΑö¨æΑÚΑæ¨ΑõÄæ£ÞΑË¢Αϕ+Äĉæ«ËÄα+ÄûΑ ËÄÞΑ
(IIBs)"?
1. Government can reduce the coupon rates on its borrowing by way of IIBs.
2. IIBs provide protection to the investors from uncertainty regarding inflation.
3. The interest received as well as capital gains on IIBs are not taxable.
(a) 1 and 2 only
(b) 2 and 3 only
(c) 1 and 3 only
(d) 1, 2 and 3
ANSWERS A
EXPLANATION
+Äĉæ«ËÄα«ÄûΑ ËÄÞΑ «ÄΑ +Ä«Α öÚΑ «ÞÞêΑ üΑ æ¨Α WÞÚõΑ ÄºΑ Ë¢Α +Ä«Α λW +μΑ «ÄΑ ͉͋͊͌Α ÄΑ öÚΑ
benchmarked to Wholesale Price Index (WPI).
+Äĉæ«ËÄα«ÄûΑËÄÞΑÚΑĈÄÄ«½Α«ÄÞæÚêÃÄæÞΑæ¨æΑææÃ×æΑæËΑ×ÚËææΑæ¨ΑËÄÞϖΑ×êÚ¨Þ«Ä£Α×ËöÚΑüΑ
æü«Ä£Α«ÄæÚÞæΑÄΑ×Ú«Ä«×½Α×üÃÄæÞΑæËΑÄΑ«ÄûΑË¢Α×Ú«Α¨Ä£ÞΠΑ+ÄûΑËÄÞΑ«Ä½êΑæöËΑæü×ÞΑË¢Α
ËÃ×ÄÞæ«ËÄΡΑ Α Ú½Α ÚæΑ Ë¢Α ÚæêÚÄΑ ×½êÞΑ Α ËÃ×ÄÞæ«ËÄΑ¢ËÚΑæ¨Α ÚËÞ«ËÄΑ Ë¢Α ×êÚ¨Þ«Ä£Α ×ËöÚΠΑ +Äĉæ«ËÄΑ
ËÃ×ËÄÄæΑËÄΑ×Ú«Ä«×½Αö«½½ΑÄËæΑΑ×«Αö«æ¨Α«ÄæÚÞæΑêæΑæ¨ΑÞÃΑöËê½ΑΑ¶êÞæΑ«ÄΑæ¨Α×Ú«Ä«×½ΑüΑ
Ãê½æ«×½ü«Ä£Α ×Ú«Ä«×½Α ö«æ¨Α «ÄûΑ Úæ«ËΑ λ+WμΠΑ æΑ æ¨Α æ«ÃΑ Ë¢Α ÚÃ×æ«ËÄΡΑ ¶êÞæΑ ×Ú«Ä«×½Α ËÚΑ æ¨Α ¢ΡΑ
ö¨«¨õÚΑ«ÞΑ¨«£¨ÚΡΑöËê½ΑΑ×«ΠΑ+ÄæÚÞæΑÚæΑö«½½ΑΑ×ÚËõ«Α×ÚËææ«ËÄΑ£«ÄÞæΑ«Äĉæ«ËÄΑüΑ×ü«Ä£Α
ĈûΑËê×ËÄΑÚæΑËÄΑæ¨Α×Ú«Ä«×½Α¶êÞæΑ£«ÄÞæΑ«Äĉæ«ËÄΠΑHence statement 2 is correct.
ËÄËÃ«ÞæÞΑ¨õΑÚ£êΑæ¨æΑ«Äĉæ«ËÄΑ«ÄûΑËÄÞΑËê½ΑÚêΑ£ËõÚÄÃÄæΑËÚÚËö«Ä£ΑËÞæÞΠΑ+¢Αæ¨Α
ÃÚºæΑ ËõÚÞæ«ÃæÞΑ ¢êæêÚΑ «Äĉæ«ËÄΡΑ £ËõÚÄÃÄæΑ ö«½½Α ÚêΑ ËÚÚËö«Ä£Α ËÞæÞΑ üΑ «ÞÞê«Ä£Α «Äĉæ«ËÄΑ
indexed bonds rather than nominal bonds. This may occur because, for example, investors• expectations
ÚΑ ÄËæΑ ËÃ×½æ½üΑ ¢ËÚöÚα½ËËº«Ä£Α ËÚΑ Úæ«ËÄ½ΠΑ ½æÚÄæ«õ½üΡΑ æ¨Α £ËõÚÄÃÄæΡΑ êÞΑ «æΑ «ÞΑ ½Α æËΑ
«ÄĉêÄΑ«Äĉæ«ËÄΑæ¨ÚËê£¨Α«æÞΑ×Ë½««ÞΡΑÃüΑ¨õΑææÚΑ«Ä¢ËÚÃæ«ËÄΑËêæΑæ¨Α¢êæêÚΑËêÚÞΑË¢Α«Äĉæ«ËÄΡΑËÚΑ
perhaps has more faith in its commitment to contain it than the public does. In these cases a treasury can
½ËöÚΑ«æÞΑËÞæÞΑüΑ«ÞÞê«Ä£Α«ÄûΑËÄÞΠΑ"ËÚΑûÃ×½ΡΑ«¢ΑËê×ËÄΑÚæΑË¢Α++ ÞΑ«ÞΑĈûΑ͊Π͎ΑАΑËõΑrT+Αλr¨Ë½Α
Þ½Α×Ú«Α«ÄûμΑÄΑêÚÚÄæΑrT+Α«ÞΑ͍АΡΑÞËΑąæ«õΑÚæΑö«½½ΑΑ͎Π͎АΑλ͍Ϲ͊Π͎μΠΑ+ÄΑ¢êæêÚΡΑö¨ÄΑrT+Α¢½½ÞΑ¢ÚËÃΑ
͍АΑæËΑ͋АΡΑæ¨ÄΑąæ«õΑËê×ËÄΑÚæΑö«½½ΑËÃΑ͌Π͎АΑλ«ΠΑ͋Ϲ͊Π͎μΑÄΑæ¨êÞΑ£ËõÚÄÃÄæΑÄΑÚêΑæ¨Α
Ëê×ËÄΑÚæÞΑËÄΑ«æÞΑËÚÚËö«Ä£ΑüΑöüΑË¢Α++ ÞΑæ¨ÚËê£¨ΑÚê«Ä£Α«Äĉæ«ËÄÚüΑæÚÄÞΠΑHence statement 1 is
correct.
ûæÄæΑæûΑ ×ÚËõ«Þ«ËÄÞΑö«½½Α Α ××½«½Α ËÄΑ «ÄæÚÞæΑ ×üÃÄæΑ ÄΑ ×«æ½Α £«ÄÞΑ ËÄΑ ++ ÞΠΑb¨ÚΑö«½½Α Α ÄËΑ
special tax treatment for these bonds. Hence statement 3 is not correct.
ANALYSIS:
++ ÞΑöÚΑ«ÄΑÄöÞΡΑÞΑW +ΑæÚ«ÞΑæËΑ£ê£ΑÃÄΑ¢ËÚΑæ¨ΑÞÃΑêΑæËΑ«ÄÚÞ«Ä£Α«Äĉæ«ËÄΠ
SOURCE : https://m.rbi.org.in/Scripts/FAQView.aspx?Id=91
113
Year 2022 CREDIT RATING AGENCY

1. In India, credit rating agencies are regulated by Reserve Bank of India.
2. The rating agency popularly known as ICRA is a public limited company.
3. Brickwork Ratings is an Indian credit rating agency.
Which of the statements given above are correct.
(a) 1 and 2 only
(b) 2 and 3 only
(c) 1 and 3 only
(d) 1, 2 and 3
ANSWERS B
EXPLANATION
Credit rating agencies in India are regulated by SEBI. The SEBI (Credit Rating Agencies) Regulations, 1999
govern the credit rating agencies and provide for eligibility criteria for registration of credit rating
£Ä«ÞΡΑÃËÄ«æËÚ«Ä£ΑÄΑÚõ«öΑË¢ΑÚæ«Ä£ÞΡΑÚÙê«ÚÃÄæÞΑ¢ËÚΑΑ×ÚË×ÚΑÚæ«Ä£Α×ÚËÞÞΡΑõË«ÄΑË¢ΑËÄĉ«æΑ
of interest and inspection of rating agencies by SEBI, amongst other things. Hence statement 1 is not
correct.
+WΑ;«Ã«æΑλ¢ËÚÃÚ½üΑ+ÄõÞæÃÄæΑ+Ä¢ËÚÃæ«ËÄΑÄΑÚ«æΑWæ«Ä£Α£ÄüΑË¢Α+Ä«Α;«Ã«æμΑöÞΑÞæΑê×Α«ÄΑ
͊͒͒͊ΑüΑ½«Ä£ΑĈÄÄ«½έ«ÄõÞæÃÄæΑ«ÄÞæ«æêæ«ËÄÞΡΑËÃÃÚ«½ΑÄºÞΑÄΑĈÄÄ«½ΑÞÚõ«ÞΑËÃ×Ä«ÞΑÞΑ
an independent and professional investment Information and Credit Rating Agency. Today, ICRA and its
ÞêÞ««Ú«ÞΑæË£æ¨ÚΑ¢ËÚÃΑæ¨Α+WΑ#ÚËê×ΑË¢ΑËÃ×Ä«ÞΑλ#ÚËê×Α+WμΠΑ+WΑ«ÞΑΑTê½«Α;«Ã«æΑËÃ×ÄüΡΑ
ö«æ¨Α«æÞΑÞ¨ÚÞΑ½«ÞæΑËÄΑæ¨Α ËÃüΑ[æËºΑû¨Ä£ΑÄΑæ¨ΑBæ«ËÄ½Α[æËºΑû¨Ä£ΠΑHence statement
2 is correct.
Ú«ºöËÚºΑ Wæ«Ä£ÞΑ λ rWμΡΑ «ÞΑ Α [ +Α Ú£«ÞæÚΑ +Ä«ÄΑ Ú«æΑ Wæ«Ä£Α £ÄüΑ ¢ËêÄΑ üΑ ÄºÚÞΡΑ Ú«æΑ
Úæ«Ä£Α×ÚË¢ÞÞ«ËÄ½ÞΡΑ¢ËÚÃÚΑÚ£ê½æËÚÞΑÞΑö½½ΑÞΑ×ÚË¢ÞÞËÚÞΡΑ«ÞΑËÃÃ«ææΑæËΑ×ÚËÃËæ«Ä£Α"«ÄÄ«½Α;«æÚüΠΑ
Ú«ºöËÚºΑWæ«Ä£ÞΑ¨ÞΑÄÚΑ ÄºΡΑΑ½«Ä£ΑTê½«Α[æËÚΑ ÄºΡΑÞΑ«æÞΑ×ÚËÃËæÚΑÄΑÞæÚæ£«Α×ÚæÄÚΠΑ
Hence statement 3 is correct.
ANALYSIS:
WÄæ½üΡΑ[bΑÞæÞΑÞ«ΑWÞΑ͊ΑÚËÚΑ×Ä½æüΑ«Ã×ËÞΑËÄΑ Ú«ºöËÚºΑWæ«Ä£ÞΑüΑæ¨Α[ +

+æΑ«ÞΑÄËæΑ«Ćê½æΑæËΑ£êÞÞΑæ¨æΑÚ«æΑÚæ«Ä£Α£Ä«ÞΑ«ÄΑ+Ä«ΑÚΑÚ£ê½æΑêÄÚΑæ¨Α[ +ΑλÞΑ«æΑ«ÞΑÚ½æΑæËΑ
the capital market). Thus, there is evidently a scope of elimination.
SOURCE : ¨ææ×Þ΢έέöööΠÞ«Π£ËõΠ«ÄέÞ«εæέ¢ÙĈ½ÞέËæα͉͋͋͊έ͊͏͍͉͌͒͋͏͏͍͌͐͊Π×¢
https://www.business-standard.com/article/companies/sat-sets-aside-rs-1-cr-penalty-
imposed-on-brickwork-ratings-by-sebi-122032801153_1.html
https://www.brickworkratings.com/Aboutus.aspx
¨ææ×Þ΢έέöööΠ«ÚΠ«Äέ(ËÃέTÚËĈ½ά΢Ѕ΢æûæϽ+WА͉͋«ÞА͉͋А͉͋Tê½«А͉͋;«Ã«æΡÄАΑ
͉͋æ¨А͉͋Bæ«ËÄ½А͉͋[æËºА͉͋û¨Ä£
114
Year 2022 CONVERTIBLE BONDS
Q8. With reference to Convertible Bonds, consider the following statements:

1. As there is an option to exchange the bond for equity, Convertible Bonds pay a lower rate of interest.
2. The option to convert to equity affords the bondholder a degree of indexation to rising consumer prices.
(a) 1only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
ANSWERS C
EXPLANATION
ΑËÄõÚæ«½ΑËÄΑ«ÞΑΑĈûα«ÄËÃΑËÚ×ËÚæΑæΑÞêÚ«æüΑæ¨æΑü«½ÞΑ«ÄæÚÞæΑ×üÃÄæÞΡΑêæΑÄΑΑ
ËÄõÚæΑ«ÄæËΑΑ×ÚæÚÃ«ÄΑÄêÃÚΑË¢ΑËÃÃËÄΑÞæËºΑËÚΑÙê«æüΑÞ¨ÚÞΠΑ+æΑËąÚÞΑ«ÄõÞæËÚÞΑΑæü×ΑË¢Α
¨üÚ«ΑÞêÚ«æüΑæ¨æΑ¨ÞΑ¢æêÚÞΑË¢ΑΑËÄΡΑÞê¨ΑÞΑ«ÄæÚÞæΑ×üÃÄæÞΡΑö¨«½Α½ÞËΑ¨õ«Ä£Αæ¨ΑË×æ«ËÄΑæËΑ
ËöÄΑæ¨ΑêÄÚ½ü«Ä£ΑÞæËºΠ
+ÞÞê«Ä£ΑËÄõÚæ«½ΑËÄÞΑÄΑ¨½×ΑËÃ×Ä«ÞΑÃ«Ä«Ã«āΑÄ£æ«õΑ«ÄõÞæËÚΑÞÄæ«ÃÄæΑæ¨æΑöËê½ΑÞêÚÚËêÄΑ
Ùê«æüΑ«ÞÞêÄΠ"êÚæ¨ÚΡΑ«ÞÞê«Ä£ΑËÄõÚæ«½ΑËÄÞΑÄΑ½ÞËΑ¨½×Α×ÚËõ«Α«ÄõÞæËÚÞΑö«æ¨ΑÞËÃΑÞêÚ«æüΑ«ÄΑ
æ¨ΑõÄæΑË¢Α¢ê½æΠΑΑËÄõÚæ«½ΑËÄΑ×ÚËææÞΑ«ÄõÞæËÚÞϖΑ×Ú«Ä«×½ΑËÄΑæ¨ΑËöÄÞ«ΡΑêæΑ½½ËöÞΑæ¨ÃΑæËΑ
×Úæ««×æΑ«ÄΑæ¨Αê×Þ«ΑÞ¨Ëê½Αæ¨ΑêÄÚ½ü«Ä£ΑËÃ×ÄüΑÞêΠΑ(ËöõÚΡΑËÄõÚæ«½ΑËÄÞΑæÄΑæËΑ
ËąÚΑΑ½ËöÚΑËê×ËÄΑÚæΑËÚΑÚæΑË¢ΑÚæêÚÄΑ«ÄΑû¨Ä£Α¢ËÚΑæ¨Αõ½êΑË¢Αæ¨ΑË×æ«ËÄΑæËΑËÄõÚæΑæ¨ΑËÄΑ«ÄæËΑ
ËÃÃËÄΑÞæËºΠΑËÃ×Ä«ÞΑÄĈæΑÞ«ÄΑæ¨üΑÄΑ«ÞÞêΑæΑæΑ½ËöÚΑ«ÄæÚÞæΑÚæÞΑæ¨ÄΑö«æ¨ΑæÚ«æ«ËÄ½Α
ËÄΑËąÚ«Ä£ÞΠΑ(ËöõÚΡΑÄËæΑ½½ΑËÃ×Ä«ÞΑËąÚΑËÄõÚæ«½ΑËÄÞΠΑHence statement 1 is correct.
b¨ΑË×æ«ËÄΑæËΑËÄõÚæΑæËΑÙê«æüΑąËÚÞΑæ¨ΑËÄ¨Ë½ÚΑΑ£ÚΑË¢Α«Äûæ«ËÄΑæËΑÚ«Þ«Ä£ΑËÄÞêÃÚΑ×Ú«ÞΠΑ
ÞΑ «Äûæ«ËÄΑ ö«½½Α ÄÞêÚΑ æ¨æΑ ×Ú«ÞΑ ÚΑ ¶êÞæΑ ö«æ¨Α «Äĉæ«ËÄΑ ËõÚΑ Α ×Ú«ËΑ Ë¢Α æ«ÃΠr«æ¨Α æ¨Α ¨½×Α Ë¢Α
«Äûæ«ËÄΡΑ ËÄ¨Ë½ÚÞΑö«½½Α Α ½ΑæËΑ ½ËöÚΑæ¨«ÚΑ ½ËÄ£αæÚÃΑ ×«æ½Α £«ÄÞΑ λÞΑæ¨«ÚΑ «ÄõÞæÃÄæΑö«½½Α Α
¶êÞæΑö«æ¨Α«Äĉæ«ËÄμΑõÄΑö¨ÄΑËÄõÚæ«Ä£ΑËÄÞΑ«ÄæËΑÙê«æüΡΑö¨«¨ΑÚ«Ä£ÞΑËöÄΑæ¨«ÚΑæû½Α«ÄËÃΠ
Hence statemnet 2 is correct.
ANALYSIS:
ANALYSIS:
There is no scope for elimination as it is a 2-statement question.
SOURCE : ¨ææ×Þ΢έέöööΠ«ÄõÞæË×«ΠËÃέæÚÃÞέέËÄõÚæ«½ËÄΠÞ×ά΢Ѕ΢α
æûæϽ(ËöõÚА͋А͉͋ËÄõÚæ«½А͉͋ËÄÞА͉͋æÄА͉͋æËΡ½½А͉͋ËÃ×Ä«ÞА͉͋ËąÚА͉͋
ËÄõÚæ«½А͉͋ËÄÞΠ
¨ææ×Þ΢έέöööΠËÄËÃ«ÞæΠËÃέĈÄÄαÄαËÄËÃα
ics/2021/07/10/why-convertible-bonds-are-the-asset-class-for-the-times
115
Year 2023 CAPITAL MARKET
Q9. Consider the following markets:

1. Government Bond Market
2. Call Money Market
3. Treasury Bill Market
4. Stock Market
How many of the above are included in capital markets?
(a) Only one
(b) Only two
(c) Only three
(d) All four
ANSWERS B
EXPLANATION
Α×«æ½ΑÃÚºæΑ«ÞΑΑĈÄÄ«½ΑÃÚºæΑö¨ÚΑ½ËÄ£αæÚÃΑæΑËÚΑÙê«æüαºΑÞêÚ«æ«ÞΑÚΑËê£¨æΑÄΑ
sold. It includes 1. Government Bonds - In India, fall under the broad category of government securities
λ#α[μΑÄΑÚΑ×Ú«ÃÚ«½üΑ½ËÄ£ΑæÚÃΑ«ÄõÞæÃÄæΑæËË½ÞΑ«ÞÞêΑ¢ËÚΑ×Ú«ËÞΑÚÄ£«Ä£Α¢ÚËÃΑ͎ΑæËΑ͍͉ΑüÚÞΠΑ+æΑÄΑ
be issued by both Central and State governments of India. 2. Capital market refers to a broad spectrum of
æÚ½Α ÞÞæÞΑ æ¨æΑ «Ä½êÞΑ æ¨Α ÞæËºΑ ÃÚºæΑ ÞΑ ö½½Α ÞΑ Ëæ¨ÚΑ õÄêÞΑ ¢ËÚΑ æÚ«Ä£Α «ąÚÄæΑ ĈÄÄ«½Α
products. Treasury bills are money market instruments issued by the Government of India and call
money market is an essential part of the Indian Money Market, ö¨ÚΑ æ¨Α üαæËαüΑ ÞêÚ×½êÞΑ ¢êÄÞΑ
(mostly of banks) are traded.
ANALYSIS:
ANALYSIS:

b¨«ÞΑ «ÞΑ Α Þ«Α ½õ½Α ÙêÞæ«ËÄΣΑ ¨ÄΑ æ¨Α æöËΑ ÃËÄüΑ ÃÚºæΑ «ÄÞæÚêÃÄæÞΑ ÄΑ Α Þ«½üΑ ½«Ã«ÄæΠΑ b¨Α
question intends to test the basic understanding of the candidate.

Excerpt from NCERT
116
Year 2023 TERMS USED IN FINANCIAL MARKET
V͉͊ΠΑ+ÄΑæ¨ΑËÄæûæΑË¢ΑĈÄÄΡΑæ¨ΑæÚÃΑϖæϖΑÚ¢ÚÞΑæËΑ
(a) the process of simultaneous buying and selling of an asset from difference platforms.
(b) an investment strategy of a portfolio manager to balance risk versus reward.
(c) a type of systemic risk that arises where perfect hedging is not possible.
(d) a numeric value that measures the fluctuations of a stock to changes in the overall stock market.
ANSWERS D
EXPLANATION
Beta (β) is a measure of the volatility—or systematic risk—of a security or portfolio compared to the market
ÞΑΑö¨Ë½ΠΑÙê«æ«ÞΑ¨õ«Ä£ΑΑæΑõ½êΑ½Ú£ÚΑæ¨ÄΑËÄΡΑËÚΑ¨«£¨ΑæΑÞæËºÞΡΑÚΑË¢æÄΑºÄËöÄΑÞΑõË½æ«½Α
ÞæËºÞΠΑb¨ΑÞ½«£¨æÞæΑ¶êÞæÃÄæÞΑ«ÄΑÞæËºΑÃÚºæΑ«Ä«æËÚÞΑ¨õΑΑ«£Α«ÄĉêÄΑËÄΑæ¨ÃΠΑΑÞêÚ«æüΑæ¨æΑ«ÞΑ
ËÃ×Úæ«õ½üΑÃËÚΑÞæ½Α«ÞΑΑ½ËöΑæΑÞæËºΑ«ΠΠΑ¨ÞΑΑæΑÚæ«Ä£Α½ËöΑ͊ΠΑHence option (d) is the correct
answer.
ANALYSIS:
ANALYSIS:

No scope as it is a factual question.
+æΑ¨ÞΑ½öüÞΑÄΑ«ÄΑæ¨ΑÄöÞΑêæΑÞê¨ΑæÚÃÞΑÄΑËÄ×æÞΑÞ«½üΑÞ×Αæ¨ΑÄËæ«ΑË¢Αæ¨ΑÞ×«ÚÄæÞΑÞΑ
‘stock markets’ is not conventionally studied under UPSC-related economics, but as the craze for stock
ÃÚºæÞΑÄΑÃêæê½Α¢êÄÞΑÚΑ«ÄÚÞ«Ä£ΑÄΑæ¨ΑüËêæ¨Α«ÞΑĈÄ«Ä£Α«æΑÃËÚΑ××½«Ä£ΡΑæ¨êÞΑfT[Α¨ÞΑ£êÄΑ
making foray into that domain.
SOURCE : 7KH+LQGXKDGH[SODLQHGWKHWHUPȏEHWDȐH[WHQVLYHO\EXWORQJDJRLQDUWLFOHLQDQDUWLFOHLQ-XQH
¨ææ×Þ΢έέöööΠæ¨¨«ÄêΠËÃέË×«Ä«ËÄέË×αέö¨æαËÞαæαÃÄÞα«ÄαĈÄÄέÚæ«½Α
19165973.ece?homepage=true
Year 2023 ,QIUDVWUXFWXUH,QYHVWPHQW7UXVWV ,QY,7V

Statement-I: Interest income from the deposits in Infrastructure Investment Trusts (InvITs) distributed to their investors
is exempted from tax, but the dividend is taxable.
Statement-II: InvITs are recognized as borrowers under the 'Securitization and Reconstruction of Financial Assets and
Enforcement of Security Interest Act, 2002'.
ANSWERS D
117
EXPLANATION
Statement I is incorrect: The Finance (No.2) Act, 2014 introduced a special taxation regime for Real Estate
Investment Trust (REIT) and Infrastructure Investment Trust (InVIT) (commonly referred to as business
æÚêÞæÞμΠΑ+Äõ+bÞΑ×ÚËõ«ΑæöËΑ«ąÚÄæΑæü×ÞΑË¢ΑÚæêÚÄÞΑæËΑ«ÄõÞæËÚÞΑγΑ«õ«ÄΑ+ÄËÃΑÄΑ×«æ½Α#«ÄÞΠΑ
¨Αæü×ΑË¢Α«ÄËÃΑ¨ÞΑΑ«ąÚÄæΑæûΑæÚæÃÄæΠ Any dividend or interest income that you get from an
InvIT is completely taxable as per your Income Tax Slab rate. This income has to be declared every year in
your Income Tax Return under the head “Income from Other Sources”.
Statement II is correct: As per the Securitization and Reconstruction of Financial Assets and
Ä¢ËÚÃÄæΑË¢Α[êÚ«æüΑ+ÄæÚÞæΑæΡΑ͉͉͋͋ΡΑύËÚÚËöÚώΑÃÄÞΑοÄüΑ×ÚÞËÄΑö¨ËΡΑËÚΑΑ×ËË½Α«ÄõÞæÃÄæΑ
õ¨«½ΑÞΑĈÄΑ«ÄΑ½êÞΑλμΑË¢ΑÞæ«ËÄΑ͋ΑË¢Αæ¨Α[êÚ«æ«ÞΑËÄæÚæÞΑλW£ê½æ«ËÄμΑæΡΑ͎͊͒͏Αλ͍͋ΑË¢Α͎͊͒͏μΑ
ö¨«¨ΡπΑ¨ÞΑÄΑ£ÚÄæΑĈÄÄ«½ΑÞÞ«ÞæÄΑüΑÄüΑÄºΑËÚΑĈÄÄ«½Α«ÄÞæ«æêæ«ËÄΑËÚΑö¨ËΑ¨ÞΑ£«õÄΑÄüΑ
£êÚÄæΑËÚΑÚæΑÄüΑÃËÚæ££ΑËÚΑ×½£ΑÞΑÞêÚ«æüΑ¢ËÚΑæ¨ΑĈÄÄ«½ΑÞÞ«ÞæÄΑ£ÚÄæΑüΑÄüΑÄºΑ
ËÚΑ ĈÄÄ«½Α «ÄÞæ«æêæ«ËÄΑ οÄΑ «Ä½êÞΑ Α ×ÚÞËÄΑ ö¨ËΡΑ ËÚΑ Α ×ËË½Α «ÄõÞæÃÄæΑ õ¨«½Α ö¨«¨ΡπΑ ËÃÞΑ
ËÚÚËöÚΑË¢ΑΑοÞÞæΑÚËÄÞæÚêæ«ËÄΑËÃ×ÄüπΑËÄÞÙêÄæΑê×ËÄΑÙê«Þ«æ«ËÄΑüΑ«æΑË¢ΑÄüΑÚ«£¨æÞΑËÚΑ«ÄæÚÞæΑ
Ë¢ΑÄüΑÄºΑËÚΑĈÄÄ«½Α«ÄÞæ«æêæ«ËÄΑ«ÄΑÚ½æ«ËÄΑæËΑÞê¨ΑĈÄÄ«½ΑÞÞ«ÞæÄΠ
ANALYSIS:
ANALYSIS:

£«ÄΡΑ½«Ã«Äæ«ËÄΑæ¨Ä«ÙêΑ«ÞΑÃËÚΑ×ÄÄæΑËÄΑºÄËö½£ΡΑ«¢ΑËÄΑºÄËöÞΑæ¨æΑÞææÃÄæΑ+Α«ÞΑöÚËÄ£Αæ¨æΑ
«ÞΑËæ¨ΑϏ«ÄæÚÞæΑ«ÄËÃϐΑÄΑϏ«õ«ÄϐΑÚ«õΑæ¨ΑÞÃΑæûΑæÚæÃÄæΡΑæ¨ÄΑ«æΑ«ÞΑöÚËÄ£ΠΑÄΑ«ÞΑ[ææÃÄæΑ+Α
«ÞΑöÚËÄ£ΡΑË×æ«ËÄΑλμΑ«ÞΑæ¨ΑËÚÚæΑÄÞöÚΠ
How to cover? InVITs and REITS are neither covered in the Introductory Macroeconomics book (NCERT
Class 12) nor in the NCERT Business Studies book. However, standard newspapers cover them from
time to time.
What is interest income and dividend income?
r¨«½Α«ÄæÚÞæΑ«ÄËÃΑ«ÞΑÚÄΑüΑΑ½ÄÚΑ¢ÚËÃΑΑËÚÚËöÚΑλËÃ×ÄüμΑËÄΑæ¨Α
funds given by the lender, dividend is the amount received by the shareholder of
ΑËÃ×ÄüΑ¢ÚËÃΑæ¨Α×ÚËĈæÞΑÃΑüΑΑËÃ×ÄüΠ
«ąÚÄΑæöÄΑ+Äõ+bÞΑÄΑW+bÞ
+ÄΑÞ«Ã×½ΑöËÚÞΡΑËæ¨Α+Äõ+bÞΑÄΑW+bÞΑÚΑÃêæê½Α¢êÄÞΑ½«ºΑ«ÄÞæÚêÃÄæÞΑö¨«¨Α
æºΑ ÃËÄüΑ ¢ÚËÃΑ æ¨Α «ÄõÞæËÚÞΑ ÄΑ «ÄõÞæΑ æ¨ÃΑ «ÄΑ «ąÚÄæΑ ×ÚË¶æÞΠΑ +Äõ+bÞΑ
«ÄõÞæΑæ¨ÃΑ«ÄΑ«Ä¢ÚÞæÚêæêÚΑ×ÚË¶æÞΑ½«ºΑÚËΑËÄÞæÚêæ«ËÄΡΑÚÄö½ΑÄÚ£üΑ
×ÚË¶æÞΑö¨«½ΑW+bÞΑ«ÄõÞæΑæ¨ÃΑ«ÄΑæ¨ΑËÄÞæÚêæ«ËÄΑË¢Αê«½«Ä£ÞΡΑËĆÞΡΑæΠ
118
INDIAN ECONOMY
LAND REFORMS
(1 Questions)
Year 2019 LAND REFORMS AFTER INDEPENDENCE
EXPLANATION
119
ANALYSIS:
AGRICULTURE
(17 Questions)
Year 2017 SOIL HEALTH CARD
Q1. The nation-wide ‘Soil Health Card Scheme’ aims at

1. expanding the cultivable area under irrigation.
2. enabling the banks to assess the quantum of loans to be granted to farmers on the basis of soil quality.
3. checking the overuse of fertilizers in farmlands.
(a) 1 and 2 only
(b) 3 only
(c) 2 and 3 only
(d) 1, 2 and 3
EXPLANATION
Launched by the central government in February 2015, the scheme is tailor-made to issue ‘Soil card’ to
farmers which will carry crop-wise recommendations of nutrients and fertilizers required for the individual
farms. This is aimed to help farmers to improve productivity through judicious use of inputs. Hence only
Under the scheme, the government issues Soil Health Cards (SHC) to farmers. A SHC provide soil nutrient
status of his holding to each farmer and advise him/ her on the dosage of fertilizers and also the needed
soil amendments that should be applied to maintain soil health in the long run.
ANALYSIS:
ANALYSIS:
Soil Health Card was a recent theme
then. And also the phase I of the
scheme ended in 2017. Students are
advised to maintain a list of Flagship
Schemes and Policies of the Govern-
ment. Follow developments associat-
ed with them and thoroughly go
through their features.
120
SOURCE : http://pib.snic.in/newsite/PrintRelease.aspx?relid=159441
https://informatics.nic.in/uploads/pdfs/1a479603_soilhealthcard.pdf
Year 2017 NATIONAL AGRICULTURAL MARKET
Q2. What is/are the advantage/advantages of implementing the ‘National Agriculture Market’
scheme?
1. It is a pan-India electronic trading portal for agricultural commodities.
2. It provides the farmers access to nationwide market, with prices commensurate with the quality of their produce.
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
ANSWERS C
EXPLANATION
National Agriculture Market (NAM) is a pan-India electronic trading portal which networks the existing
TAΑ ÃÄ«ÞΑ æËΑ ÚæΑ Α êÄ«ĈΑ Äæ«ËÄ½Α ÃÚºæΑ ¢ËÚΑ £Ú«ê½æêÚ½Α ËÃÃË«æ«ÞΠΑ Hence, statement 1 is
correct.
BAΑ×ÚËÃËæÞΑêÄ«¢ËÚÃ«æüΡΑÞæÚÃ½«Ä«Ä£ΑË¢Α×ÚËêÚÞΑÚËÞÞΑæ¨Α«Äæ£ÚæΑÃÚºæÞΡΑÚÃËõÞΑ«Ä¢ËÚÃæ«ËÄΑ
ÞüÃÃæÚüΑæöÄΑêüÚÞΑÄΑÞ½½ÚÞΑÄΑ×ÚËÃËæÞΑÚ½Αæ«ÃΑ×Ú«Α«ÞËõÚüΡΑÞΑËÄΑæê½ΑÃÄΑ
ÄΑÞê××½üΡΑ×ÚËÃËæÞΑæÚÄÞ×ÚÄüΑ«ÄΑêæ«ËÄΑ×ÚËÞÞΡΑÄΑÞÞΑæËΑΑÄæ«ËÄö«ΑÃÚºæΑ¢ËÚΑæ¨Α¢ÚÃÚΡΑ
ö«æ¨Α×Ú«ÞΑËÃÃÄÞêÚæΑö«æ¨ΑÙê½«æüΑË¢Α¨«ÞΑ×ÚËêΑÄΑËÄ½«ÄΑ×üÃÄæΑÄΑõ«½«½«æüΑË¢ΑææÚΑÙê½«æüΑ
×ÚËêΑÄΑæΑÃËÚΑÚÞËÄ½Α×Ú«ÞΑæËΑæ¨ΑËÄÞêÃÚΠΑHence, statement 2 is correct.
ANALYSIS:
"ÚÃÚÞΑ«ÞæÚÞÞΑ¨ÞΑ½öüÞΑÄΑ«ÄΑæ¨ΑÄöÞΠΑΑb¨«ÚΑ½ºΑË¢Α£ææ«Ä£ΑÙêæΑ×Ú«ÞΑ¢ËÚΑæ¨«ÚΑ×ÚËêΑ«ÞΑΑ
×ÚÄÄ«½Α×ÚË½ÃΠ
ANALYSIS:
SOURCE : https://www.enam.gov.in/web/
121
Year 2017 AGRICULTURAL TRADE

1. The quantity of imported edible oils is more than the domestic production of edible oils in the last five years.
2. The Government does not impose any customs duty on all the imported edible oils as a special case.
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
ANSWERS A
EXPLANATION
Please note: Dynamic tools like taxes, duties, expenditure keep changing from year to year. The
ÙêÞæ«ËÄΑ öÞΑ ÞºΑ «ÄΑ ͉͋͊͑ΠΑ (ÄΡΑ «ÄΑ æ¨«ÞΑ ËÄæûæΡΑ Ϗ½ÞæΑ ĈõΑ üÚÞϐΑ ÃÄÞΑ ͉͋͊͌α͉͋͊͑Α ËÚΑ ͉͋͊͋α͊͌Α æËΑ
͉͋͊͐α͊͑Π
Statement 1 is correct: +Ä«Α Ëê×«ÞΑ Α ×ÚËÃ«ÄÄæΑ ×ËÞ«æ«ËÄΑ «ÄΑ æ¨Α öËÚ½Α Ë«½ÞÞΑ «ÄêÞæÚüΑ ö«æ¨ΑΑ
ËÄæÚ«êæ«ËÄΑË¢ΑÚËêÄΑ͉͊АΑ«ÄΑöËÚ½ö«Α×ÚËêæ«ËÄΠΑ êæΑæ¨ΑÃÄΑË¢Α«½ΑË«½ÞΑλûæÚæΑ¢ÚËÃΑË«½ÞÞΑ
«ÄΑ«æ«ËÄΑæËΑ×½ÃΑË«½μΑ«ÞΑÞ«£Ä«ĈÄæ½üΑ¨«£¨ÚΑæ¨ÄΑæ¨ΑËÃÞæ«Α×ÚËêæ«ËÄΡΑ½«Ä£ΑæËΑΑΑΑΑΑΑΑΑΑΑΑΑΑΑΑΑΑΑΑΑΑΑΑΑΑΑΑΑΑΑΑΑ×Äα
ÄΑËÄΑ«Ã×ËÚæÞΑλËêæΑ͎͏ΑАΑË¢ΑËÃÞæ«ΑÃÄΑË¢Α«½ΑË«½ÞΑ«ÞΑÃæΑæ¨ÚËê£¨Α«Ã×ËÚæÞΑËêæΑË¢Αö¨«¨Α×½ÃΑ
Ë«½έ×½ÃË½«ÄΑËÄÞæ«æêæÞΑËêæΑ͎͍АΠμΠΑ
Statement 2 is not correct:Α#ËõÚÄÃÄæΑ«Ã×ËÞÞΑêÞæËÃÞΑêæüΑËÄΑ«½ΑË«½ÞΑæËΑÞ¢£êÚΑæ¨Α«ÄæÚÞæÞΑ
Ë¢ΑËÃÞæ«ΑË«½ΑÚêÞ¨«Ä£Α«ÄêÞæÚüΠΑb¨ΑêæüΑËÄΑæöËΑÃ¶ËÚΑ«½ΑË«½ÞΡΑÄÃ½üΑÚêΑÞêÄĉËöÚΑÞΑË«½ΑÄΑ
ÚêΑÄË½έÚ×ÞέÃêÞæÚΑ«ÞΑ͎͋Α×ÚΑÄæΑλ«ÄΑ͉͋͊͑μΡΑö¨«½ΑÚêΑÞËüÄΑË«½ΑææÚæÞΑ͉͌Α×ÚΑÄæΑ
êæüΑλ«ÄΑ͉͋͊͑μΠΑb¨ΑÞ«ΑêæüΑËÄΑWĈÄΑ[ËüÄΑË«½ΑÄΑWĈÄΑ[êÄĉËöÚΑH«½ΑöÞΑÚêΑæËΑ͊͐Π͎АΑ¢ÚËÃΑ
͌͋Π͎АΑÄΑæ¨ΑÞ«ΑêæüΑËÄΑWĈÄΑT½ÃΑH«½ÞΑöÞΑÚêΑ¢ÚËÃΑ͊͐Π͎АΑæËΑ͊͋Π͎АΑËÄΑ͋͊Π͊͋Π͉͋͋͊ΠΑThis duty
¨ÞΑÄΑûæÄΑê×ΑæËΑ͌͊ÞæΑAÚ¨ΡΑ͉͍͋͋Π
ANALYSIS:
ANALYSIS:
«½Α Ë«½Α «Ã×ËÚæΑ ÞÄÚ«ËΑ «ÄΑ +Ä«Α ¨ÞΑ ÄΑ Ú£ê½Ú½üΑ ËõÚΑ üΑ æ¨Α ÞæÄÚΑ ÄöÞ××ÚÞΠΑ (ÚΑ «ÞΑ ÄΑ
ûÚ×æΑ¢ÚËÃΑæ¨Α(«ÄêΑλBËõÃÚΑ͒ΡΑ͉͋͊͐μ
+ÄΑ͉͋͊͒ΡΑfT[Α¨ΑÞºΑΑÙêÞæ«ËÄΑÚ½æΑæËΑæ¨ΑöËÚ½ϐÞΑ½Ú£ÞæΑÚ«Αû×ËÚæÚΑλÄÞöÚ΢Α+Ä«μΠΑ+æΑ«ÞΑ«Ã×ËÚæÄæΑ
æËΑÚÃÃÚΑæ¨ΑÞ«Α¢æÞΑÚ½æΑæËΑæ¨Α£ÚËαËÄËÃ«ÞΑΠ£ΠΑ«½ΑË«½ÞΡΑ×ê½ÞÞΑλ+Ä«Α«ÞΑæ¨Α½Ú£ÞæΑ×ÚËêα
ÚΑÄΑÞêÚ×Ú«Þ«Ä£½üΑæ¨Α½Ú£ÞæΑ«Ã×ËÚæÚΑË¢Α×ê½ÞÞμΡΑÚ«ΠΑA«½½æÞΡΑæ¨Αê½æ«õæ«ËÄΑË¢Αö¨«¨Α«ÞΑ«Ä£Α×ÚËÃËæΑ«ÞΑ
ÄËæ¨ÚΑ«Ã×ËÚæÄæΑæ¨ÃΠΑfT[ΑÃüΑÞºΑÃËÚΑÙêÞæ«ËÄÞΑËÄΑæ¨«ÞΑæ¨ÃΑ«ÄΑæ¨ΑüÚÞΑæËΑËÃΠ
[ê¨ΑæË×«ÞΑÄΑΑËõÚΑÃËÞæ½üΑæ¨ÚËê£¨Αæ¨ΑÄöÞ××ÚÞΑλb¨Α(«ÄêΑÄΑb¨Α+Ä«ÄΑû×ÚÞÞΑÄΑ¢ÚËÃΑæ¨Α
ËÄËÃ«Α[êÚõüμ
122
Year 2018 MSP

1. Areca nut
2. Barley
3. Coffee
4. Finger millet
5. Groundnut
6. Sesamum
7. Turmeric
The Cabinet Committee on Economic Affairs has announced the Minimum Support Price for which of the above?
(a) 1, 2, 3 and 7 only
(b) 2, 4, 5 and 6 only
(c) 1, 3, 4, 5 and 6 only
(d) 1, 2, 3, 4, 5, 6 and 7
ANSWERS B
EXPLANATION
A«Ä«ÃêÃΑ [ê××ËÚæΑ TÚ«Α λA[TμΑ «ÞΑ Α ¢ËÚÃΑ Ë¢Α ÃÚºæΑ «ÄæÚõÄæ«ËÄΑ üΑ æ¨Α
#ËõÚÄÃÄæΑË¢Α+Ä«ΑæËΑ«ÄÞêÚΑ£Ú«ê½æêÚ½Α×ÚËêÚÞΑ£«ÄÞæΑÄüΑÞ¨Ú×Α¢½½Α«ÄΑ
¢ÚÃΑ×Ú«ÞΠ
b¨ΑA[TΑ«ÞΑĈûΑËÄΑæ¨ΑÚËÃÃÄæ«ËÄÞΑË¢Αæ¨ΑËÃÃ«ÞÞ«ËÄΑ¢ËÚΑ£Ú«ê½æêÚ½Α
ËÞæÞΑÄΑTÚ«ÞΑλTμΠΑ
b¨Α TΑ «ÞΑ Α ÞææêæËÚüΑ ËüΑ ÄΑ ÞêÃ«æÞΑ Þ×ÚæΑ Ú×ËÚæÞΑ ÚËÃÃÄ«Ä£Α
×Ú«ÞΑ¢ËÚΑ9¨Ú«¢ΑÄΑW«ΑÞÞËÄÞΠΑ
+Ä«æ«½½üΡΑA[TΑËõÚΑ×üΡΑÚ«ΡΑö¨æΡΑ¶ËöÚΡΑ¶ÚΡΑÃ«āΡΑÚ£«Αλ"«Ä£ÚΑA«½½æμΡΑ
Ú½üΡΑ £ÚÃΡΑ æêÚΡΑ ÃËËÄ£ΡΑ êÚΡΑ Þê£ÚÄΡΑ £ÚËêÄÄêæΡΑ ÞËüÄΡΑ ÞêÄĉËöÚΑ
ÞΡΑÚ×ÞΑÄΑÃêÞæÚΡΑËææËÄΡΑ¶êæΑÄΑæËËΠΑ
"ÚËÃΑ ͍͊͒͒α͎͒Α ËÄöÚÞΡΑ B«£ÚÞΑ ÄΑ [ÞÃΑ öÚΑ «Ä½êΑ êÄÚΑ A[TΑ
[¨ÃΑ Ë¢Α TΡΑ «ÄΑ «æ«ËÄΑ æËΑ æ¨Α «½Α Ë«½ÞÞΑ ½ÚüΑ ËõÚΑ üΑ æ¨Α
ËÃÃ«ÞÞ«ËÄΠΑ[«Ã«½Ú½üΡΑêÚ«Ä£Α͉͉͋͊α͉͉͋͋ΡΑæ¨Α£ËõÚÄÃÄæΑÄ¨ÄΑæ¨ΑæÚÃÞΑ
Ë¢ΑÚ¢ÚÄΑË¢Αæ¨ΑËÃÃ«ÞÞ«ËÄΑüΑ«Ä½ê«Ä£Α½Äæ«½ΑλÃÞêÚμΠ Hence option (b) is
the correct answer.
ANALYSIS:
ANALYSIS:
ËąΑ«ÞΑÄËæΑËÄΑË¢Αæ¨Α͋͌ΑÚË×ÞΑæ¨æΑÚΑËõÚΑêÄÚΑæ¨ΑA[TΠΑb¨êÞΑË×æ«ËÄÞΑλμΡΑ
λμΑÄΑλμΑËê½ΑΑ½«Ã«ÄæΠ
SOURCE : https://vikaspedia.in/agriculture/market-information/minimum-support-price
123
Year 2018 AGRICULTURAL SURVEY
Q5. As per the NSSO 70th Round "Situation Assessment Survey of Agricultural Households", consider
the following statements:
1. Rajasthan has the highest percentage share of agricultural households among its rural households.
2. Out of the total agricultural households in the country, a little over 60 percent belong to OBCs.
3. In Kerala, a little over 60 percent of agricultural households reported to have received maximum income from
source other than agricultural activities.
(a) 2 and 3 only
(b) 2 only
(c) 1 and 3 only
(d) 1, 2 and 3
ANSWERS C
EXPLANATION
Statement 1 is correct:Α ÃËÄ£Α æ¨Α Ã¶ËÚΑ [ææÞΡΑ W¶Þæ¨ÄΑ ¨Α ¨«£¨ÞæΑ ×ÚÄæ£Α Ë¢Α £Ú«ê½æêÚ½Α
¨ËêÞ¨Ë½ÞΑ λ͐͑Π͍Α ×ÚÄæμΑ ÃËÄ£Α «æÞΑ ÚêÚ½Α ¨ËêÞ¨Ë½ÞΑ ¢Ë½½ËöΑ üΑ fææÚΑ TÚÞ¨Α λ͍͐Π͑Α ×ÚÄæμΑ ÄΑ
A¨üΑTÚÞ¨Αλ͉͐Π͑Α×ÚÄæμΠΑ9Ú½Α¨Αæ¨Α½ÞæΑ×ÚÄæ£ΑÞ¨ÚΑË¢Α£Ú«ê½æêÚ½Α¨ËêÞ¨Ë½ÞΑλ͋͐Π͌Α
×ÚÄæμΑ «ÄΑ «æÞΑ ÚêÚ½Α ¨ËêÞ¨Ë½ÞΑ ×ÚΑ üΑ Ëæ¨ÚΑ ÞËêæ¨ÚÄΑ [ææÞΑ ½«ºΑbÃ«½Α BêΑ λ͍͌Π͐Α ×ÚÄæμΑ ÄΑ
Ä¨ÚΑTÚÞ¨Αλ͍͊Π͎Α×ÚÄæμΠΑ
Statement 2 is not correct:ΑêÚ«Ä£Αæ¨ΑÚ¢ÚÄΑ×Ú«ËΑË¢Α6ê½üΑ͉͋͊͋αΑ6êÄΑ͉͋͊͌ΡΑËêæΑ͍͎Α×ÚÄæΑËêæΑ
Ë¢Αæ¨ΑæËæ½Α£Ú«ê½æêÚ½Α¨ËêÞ¨Ë½ÞΑ«ÄΑæ¨ΑËêÄæÚüΑ½ËÄ£ΑæËΑHæ¨ÚΑ ºöÚΑ½ÞÞÞΑλH μΠΑËêæΑ͊͏Α
×ÚÄæΑË¢Α£Ú«ê½æêÚ½Α¨ËêÞ¨Ë½ÞΑöÚΑ¢ÚËÃΑ[¨ê½ΑÞæÞΑλ[μΑÄΑ͊͌Α×ÚÄæΑöÚΑ¢ÚËÃΑ[¨ê½Α
bÚ«ÞΑλ[bμΠ
[ææÃÄæΑ͌Α«ÞΑËÚÚæ΢Α£Ú«ê½æêÚ½Αæ«õ«æüΑλê½æ«õæ«ËÄΡΑ½«õÞæËºΑÄΑËæ¨ÚΑ£Ú«ê½æêÚ½Αæ«õ«æ«ÞμΑöÞΑ
Ú×ËÚæΑæËΑΑæ¨Α×Ú«Ä«×½ΑÞËêÚΑË¢Α«ÄËÃΑ¢ËÚΑÃ¶ËÚ«æüΑË¢Αæ¨Α¨ËêÞ¨Ë½ÞΑ«ÄΑ½½Αæ¨ΑÃ¶ËÚΑ[ææÞΡΑû×æΑ
9Ú½Αö¨ÚΑËêæΑ͏͊Α×ÚÄæΑË¢Αæ¨Α£Ú«ê½æêÚ½Α¨ËêÞ¨Ë½ÞΑÚ×ËÚæΑæËΑ¨õΑÚÄΑÃû«ÃêÃΑ«ÄËÃΑ
¢ÚËÃΑÞËêÚÞΑËæ¨ÚΑæ¨ÄΑ£Ú«ê½æêÚ½Αæ«õ«æ«ÞΠ
ANALYSIS:
ANALYSIS:
b¨«ÞΑ«ÞΑÙêÞæ«ËÄΑ«ÞΑæËê£¨ΑêÞΑæ¨Α«Ä¢ËÚÃæ«ËÄΑêÞΑ«ÄΑæ¨ΑÞææÃÄæÞΑË¢Αæ¨ΑÙêÞæ«ËÄΑöÚΑÄËæΑ¢ÚËÃΑ
ÄüΑË¢Αæ¨ΑËÄõÄæ«ËÄ½ΑÞËêÚÞΡΑêæΑ«¢ΑêΑææÄæ«ËÄΑ«ÞΑ£«õÄΡΑæ¨ÄΑæ¨ΑÞËÄΑÞææÃÄæΑ«ÞΑ«ÄËÚÚæΑÄΑ
Ë×æ«ËÄÞΑλμΡΑλμΑÄΑλ) can be eliminatedΑÞΑλ͏͉ΑϹμАΑH Α£Ú«ê½æêÚ½Α¨ËêÞ¨Ë½ÞΑöËê½Α½ËËºΑÞÃ«Ä£½üΑ
Ëêæ¢ê½ΑæΑΑæ«ÃΑö¨ÄΑÚÞÚõæ«ËÄΑËąÚΑüΑæ¨ΑÄæÚ½Α£ËõÚÄÃÄæΑ«ÞΑÚËêÄΑ͋͐АΠ
SOURCE : ¨ææ×Þ΢έέÃËÞ×«Π£ËõΠ«ÄέÞ«æÞέ¢ê½æέĈ½ÞέÄæ«ËÄ½εæεÄºέÄαÚ×æÞα͉͐Π¨æÃ
124
Year 2018 ORGANIC FARMING
Q6. With reference to organic farming in India, consider the following statements:
1. 'The National Programme for Organic Production' (NPOP) is operated under the guidelines and directions of the
Union Ministry of Rural Development.
2. 'The Agricultural and Processed Food Productds Export Development Authority' (APEDA) functions as the Secreta-
tiat for the implementation of NPOP.
3. Sikkim has become India's first fully organic State.
Which of the statements given above is/are corect?
(a) 1 and 2 only
(b) 2 and 3 only
(c) 3 only
(d) 1, 2 and 3
ANSWERS B
EXPLANATION
A«Ä«ÞæÚüΑ Ë¢Α ËÃÃÚΑ ¨ÞΑ «Ã×½ÃÄæΑ æ¨Α Bæ«ËÄ½Α TÚË£ÚÃÃΑ ¢ËÚΑ HÚ£Ä«Α TÚËêæ«ËÄΑ λBTHTμΑ Þ«ÄΑ
͉͉͋͊ΠΑHence statement 1 is not correct.
£Ú«ê½æêÚ½Α ÄΑ TÚËÞÞΑ "ËËΑ TÚËêæÞΑ û×ËÚæΑ õ½Ë×ÃÄæΑ êæ¨ËÚ«æüΑ λTμΑ ¢êÄæ«ËÄÞΑ ÞΑ æ¨Α
[ÚæÚ«æΑ¢ËÚΑæ¨Α«Ã×½ÃÄææ«ËÄΑË¢Αæ¨ΑBTHTΠ Hence statement 2 is correct.
[«ºº«ÃΑ¨ÞΑËÃΑ+Ä«ϐÞΑĈÚÞæΑ¢ê½½üΑËÚ£Ä«ΑÞææΡΑ«ÄΑ͉͋͊͏ΡΑüΑ«Ã×½ÃÄæ«Ä£ΑËÚ£Ä«Α×Úæ«ÞΑËÄΑÚËêÄΑ
͎͐Ρ͉͉͉Α¨æÚÞΑË¢Α£Ú«ê½æêÚ½Α½ÄΠΑ(ÄΑÞææÃÄæΑ͌Α«ÞΑËÚÚæΠ
ANALYSIS:
ANALYSIS:
bË×«΢Α£Ú«ê½æêÚΑÄΑ"ËËα×ÚËÞÞ«Ä£
[êαæË×«΢ΑHÚ£Ä«Α"ËËΑTÚËêæ«ËÄΑÄΑT
Scope for elimination: Statement 1 is incorrectΑÞΑõÄΑ«¢ΑËÄΑËÞΑÄËæΑºÄËöΑö¨«¨Α«ÞΑæ¨ΑûæΑÃ«Ä«ÞæÚüΑ
λA«Ä«ÞæÚüΑË¢ΑËÃÃÚΑËÚΑæ¨ΑA«Ä«ÞæÚüΑË¢Α£Ú«ê½æêÚμΑËÄΑÞêÚ½üΑºÄËöÞΑö¨«¨ΑÃ«Ä«ÞæÚ«ÞΑÄÄËæΑΠΑ#Ë«Ä£Α
üΑæ¨æΑ½Ë£«ΡΑöΑÄΑÞ«½üΑ½«Ã«ÄæΑË×æ«ËÄÞΑË×æ«ËÄÞΑλμΑÄΑλμΡΑêæΑöΑÄÄËæΑ£ËΑ¢êÚæ¨ÚΑÞΑ«æΑ«ÞΑ«Ćê½æΑ
æËΑ×Ú«æΑæ¨ΑËÚÚæÄÞÞΑË¢ΑÞææÃÄæΑ͋ΠΑ
b¨êÞΑ«Ćê½æüΑ½õ½΢ΑA«êÃΑλÄËæΑÞüμ
λAËæ«õæ«ËÄΡΑö¨üΑÞºΧμ΢ΑΑ+æΑ¨ÞΑ½öüÞΑÄΑ«ÄΑæ¨ΑÄöÞΑÞ×«½½üΑæ¨Α¢æΑæ¨æΑ[«ºº«ÃΑÃΑ+Ä«ϐÞΑ
ĈÚÞæΑËÚ£Ä«ΑÞææΠ
SOURCE : ¨ææ×Þ΢έέöööΠæ¨¨«ÄêΠËÃέÄöÞέÄæ«ËÄ½έ½½αÃÄæËÚüα¢ËÚα¢ËËαÚæ«ĈαΑÞαËÚ£Äα
ic-from-july/article22378459.ece
¨ææ×Þ΢έέöööΠæ¨¨«ÄêΠËÃέÄöÞέÄæ«ËÄ½έ[«ºº«ÃαËÃÞα+Ä«А͋А͉͑А͒͒ÞαĈÚÞæαΑËÚ£Äα
ic-state/article13999445.ece
125
Year 2019 FOOD CORPORATION OF INDIA (FCI)
Q7. The economic cost of food grains to the Food Corporation of India is the Minimum Support Price
and bonus (if any) paid to the farmers plus
(a) transportation cost only
(b) interest cost only
(c) procurement incidentals and distribution cost
(d) procurement incidentals and charges for godowns
ANSWERS C
EXPLANATION
The Public Distribution System (or PDS) in India aims at targeting and curing the problem of food
scarcity.Α+æΑ«ÞΑ¶Ë«Äæ½üΑÃÄ£ΑüΑæ¨ΑÄæÚΑÄΑæ¨ΑÞææΑ£ËõÚÄÃÄæÞΠΑr¨«½Αæ¨ΑÄæÚΑ¨Ä½ÞΑæ¨Α¢ËËΑ
×ÚËêÚÃÄæΡΑÞæËÚ£ΡΑæÚÄÞ×ËÚæΑÄΑê½ºΑ«ÞæÚ«êæ«ËÄΑ×ÚæΡΑæ¨ΑÞææΑ£ËõÚÄÃÄæÞΑ¨õΑæ¨ΑË×Úæ«ËÄ½Α
ÚÞ×ËÄ«Þ««½æüΑ ÄΑ «ÄæÚαÞææΑ ½½Ëæ«ËÄ½Α ÚÞ×ËÄÞ««½«æ«ÞΠΑ +æΑ «ÞΑ æ¨Α ÚÞ×ËÄÞ««½«æ«ÞΑ Ë¢Α æ¨Α ÞææΑ
£ËõÚÄÃÄæÞΑæËΑ«ÞÞêΑæ¨ΑÚæ«ËÄΑÚÞΑÄΑÞê×Úõ«ÞΑæ¨Α¢êÄæ«ËÄ«Ä£ΑË¢Αæ¨Α¢«ÚΑ×Ú«ΑÞ¨Ë×ÞΠ
b¨ΑËÄËÃ«ΑËÞæΑËÃ×Ú«ÞÞΑæ¨Α×ÚËêÚÃÄæΑ×Ú«ΑË¢Α¢ËË£Ú«ÄÞΡΑËÞæÞΑÚ½æΑæËΑ×ÚËêÚÃÄæΑλÞê¨ΑÞΑ
ÞææêæËÚüΑæûÞΡΑ½ËêÚΑËÞæÞΡΑÃÄ«Α¢ÞΡΑÄΑÞËΑËÄμΑÄΑËÞæÞΑË¢Α«ÞæÚ«êæ«ËÄΑλ«Ä½ê«Ä£Α¢Ú«£¨æΡΑÞæËÚ£Α
ÄΑÃ«Ä«ÞæÚæ«ËÄμΠΑΑHence option (c) is the correct answer.
ANALYSIS:
ANALYSIS:
BËæΑËõÚΑ«ÄΑæ¨ΑBWbΑËËºÞΡΑêæΑÞê¨ΑæË×«ÞΑË¢æÄΑ××ÚΑ«ÄΑæ¨ΑÄöÞ××ÚÞΠΑ½ÞËΡΑ«æΑöÞΑ«ÄΑæ¨ΑBöÞΑ
«ÄΑæ¨æΑüÚΑÄΑöÞΑΑÃ¶ËÚΑ×Ë«ÄæΑË¢Α«ÞêÞÞ«ËÄΑ«ÄΑæ¨Α½æ«ËÄΑÃÄ«¢ÞæËΠ
Scope of elimination: Α ÄËÚÃ½Α ××ÚË¨ΑæËΑ Ú¨Αæ¨Α ËÚÚæΑ ÄÞöÚΑ «ÞΑæËΑ ÄÚÚËöΑ ËöÄΑæ¨Α¢ËêÞΑ ËÄΑ
Þ«Ã«½ÚΑ Ë×æ«ËÄÞΑ λæ¨Ëê£¨Α æ¨ÚΑ «ÞΑ ÞËÃΑ ½ÃÄæΑ Ë¢Α Ú«ÞºμΠΑ +ÄΑ æ¨«ÞΑ ÙêÞæ«ËÄΡΑ Α æ¨ÚΑ ÚΑ æöËΑ Þ«Ã«½ÚΑ Ë×æ«ËÄÞΡΑ
Ë×æ«ËÄÞΑλμΑÄΑλμΠΑb¨êÞΑæöËΑË×æ«ËÄÞΑÄΑΑÞ«½üΑ½«Ã«ÄæΠ
SOURCE : ¨ææ×Þ΢έέöööΠĈÄÄ«½û×ÚÞÞΠËÃέË×«Ä«ËÄέÚ¢ËÚÃ«Ä£α¢«αÄËæαα×«αË¢αºέ͎͊͑͏͉͌͑έ
Additional Information MSP FORMULA

b¨ΑBæ«ËÄ½ΑËÃÃ«ÞÞ«ËÄΑË¢Α"ÚÃÚÞέ[öÃ«Äæ¨ÄΑËÃÃ«ÞÞ«ËÄΑÚËÃÃÄΑæ¨æ
æ¨ΑA[TΑÞ¨Ëê½ΑæΑ½ÞæΑΑ͎͉Α×ÚΑÄæΑÃËÚΑæ¨ÄΑæ¨Αö«£¨æΑõÚ£ΑËTΡΑö¨«¨Α«æ
Ú¢ÚÞΑæËΑÞΑæ¨Α͋ΑËÞæΠΑ
b¨Α£ËõÚÄÃÄæΑÃ«Äæ«ÄÞΑæ¨æΑæ¨ΑA[TΑöÞΑĈûΑæΑΑ½õ½ΑË¢ΑæΑ½ÞæΑ͊Π͎Αæ«ÃÞ
Ë¢Αæ¨Α½½α+Ä«Αö«£¨æΑõÚ£ΑËTΡΑêæΑ«æΑ½ê½æÞΑæ¨«ÞΑËÞæΑÞΑ͊Π͎Αæ«ÃÞΑË¢Α͋Ϲ";Π
(ËöõÚΑ¢ÚÃÚÞΑ¢ÚËÃΑæ«ÃΑæËΑæ«ÃΑÃÄΑæËΑ«Ã×½ÃÄæΑ[öÃ«Äæ¨ÄΑAæ¨ËΑË¢
͋Α«ÄÞæΑË¢Α×ÚÞÄæΑÃæ¨ËË½Ë£üΑË¢Α͋Ϲ";ΠΑ
ËÃ×ËÄÄæÞΑêÄÚΑæ¨ÞΑÃæ¨ËË½Ë£üΑÚ΢Α
͋΢Α ËÞæÞΑ «ÄêÚÚΑ üΑ æ¨Α ¢ÚÃÚΑ «ÄΑ ×ÚËêæ«ËÄΑ Ë¢Α Α ×Úæ«ê½ÚΑ ÚË×ΠΑ +æΑ «Ä½êÞΑ ÞõÚ½Α «Ä×êæÞΑ Þê¨Α ÞΑ
û×Ä«æêÚΑËÄΑÞÞΡΑ¢Úæ«½«ÞÚÞΡΑ×Þæ««ÞΡΑ½Þα«ÄΑ½ÄΡΑ¨«ÚΑ½ËêÚΡΑÃ¨«ÄÚüΑÄΑ¢ê½Α
͋Ϲ";΢ΑËÞæÞΑ«ÄêÚÚΑüΑæ¨Α¢ÚÃÚΑÄΑæ¨Αõ½êΑË¢Α¢Ã«½üΑ½ËêÚΑ
͋΢ΑΑËÃ×Ú¨ÄÞ«õΑËÞæΡΑö¨«¨Α«ÞΑ͋Ϲ";ΑËÞæΑ×½êÞΑ«Ã×êæΑÚÄæ½Αõ½êΑË¢ΑËöÄΑ½ÄΑ×½êÞΑ«ÄæÚÞæΑËÄΑ
ĈûΑ×«æ½ΡΑÚÄæΑ×«Α¢ËÚΑ½Þα«ÄΑ½ÄΠ
126
Q8. Among the agricultural commodities imported by India, which one of the following accounts for
æ¨Α¨«£¨ÞæΑ«Ã×ËÚæÞΑ«ÄΑæÚÃÞΑË¢Αõ½êΑ«ÄΑæ¨Α½ÞæΑĈõΑüÚÞΧ
(a) Spices
(b) Fresh fruits
(c) Pulses
(d) Vegetable oils
ANSWERS D
EXPLANATION
b¨Α ÙêÞæ«ËÄΑ ÞºÞΑ ËêæΑæ¨Αõ½êΑ Ë¢Α £Ú«ê½æêÚ½Α «Ã×ËÚæÞΑ «ÄΑæ¨Α Ϗ½ÞæΑĈõΑüÚÞϐΠΑÞΑæ¨«ÞΑ ÙêÞæ«ËÄΑöÞΑ
ÞºΑ«ÄΑ͉͋͊͒ΡΑæ¨æΑÃÄÞΑæ¨Αæ«ÃΑ×Ú«ËΑ«ÄΑæ¨ΑËÄæûæΑ«ÞΑ͉͍͋͊α͉͋͊͒Π
b¨ΑæËæ½Αõ½êΑË¢Α£Ú«ê½æêÚ½ΑËÃÃË«æ«ÞΑ«Ã×ËÚæΑêÚ«Ä£Αæ¨ΑÞÃΑæ«ÃΑ×Ú«ËΑ«ÞΑÚËê£¨½üΑæöÄΑ(Rs
͊Ρ͉͋Ρ͉͉͉ΑαΑ͊Ρ͍͉Ρ͉͉͉ΑÚËÚÞμ
b¨Αõ½êΑË¢Α×ê½ÞÞΑ«Ã×ËÚæΑêÚ«Ä£Αæ¨æΑæ«ÃΑ×Ú«ËΑ«ÞΑÚËê£¨½üΑæöÄΑλWÞΑ͎͉͉͉͊ΑαΑWÞΑ͉͉͉͉͌ΑÚËÚÞμΠ
b¨Αõ½êΑË¢Α¢ÚÞ¨Α¢Úê«æÞΑ«Ã×ËÚæΑêÚ«Ä£Αæ¨ΑÞÃΑæ«ÃΑ×Ú«ËΑ«ÞΑÚËê£¨½üΑæöÄ (Rs 15000 crores).
b¨Αõ½êΑË¢ΑÞ×«ÞΑ«Ã×ËÚæΑêÚ«Ä£Αæ¨ΑÞÃΑæ«ÃΑ×Ú«ËΑ«ÞΑÚËê£¨½üΑæöÄΑλWÞΑ͎͉͉͉ΑαΑ͉͉͉͊͊ΑÚËÚÞμΠ
b¨Αõ½êΑË¢Αõ£æ½ΑË«½ÞΑ«Ã×ËÚæΑêÚ«Ä£Αæ¨ΑÞÃΑæ«ÃΑ×Ú«ËΑ«ÞΑÚËê£¨½üΑæöÄΑλWÞΑ͏͎͉͉͉ΑαΑ͎͉͉͉͑Α
crores. Hence option (d) is the correct answer.
ANALYSIS:
ANALYSIS:
HÄ½üΑ Α ½«ææ½Α «æΑ Ë¢Α ÞË×Α ¢ËÚΑ ½«Ã«Äæ«ËÄΑ öÞΑ æ¨ÚΡΑ Þ×«ÞΑ
ÄΑ¢ÚÞ¨Α¢Úê«æÞΑËê½Α¨õΑÄΑ½«Ã«ÄæΡΑêæΑö«æ¨ËêæΑÄΑ
ûæΑ«ΡΑ¨ËËÞ«Ä£ΑæöÄΑæöËΑË×æ«ËÄÞΑËê½Α¨õΑÄΑ
«Ćê½æΡΑ×ê½ÞÞΑÄΑõ£æ½ΑË«½ÞΠ
+Ä«Α «ÞΑ æ¨Α ½Ú£ÞæΑ «Ã×ËÚæÚΑ Ë¢Α æ¨Α «½Α Ë«½ÞΠΑ b¨Α Ëæ¨ÚΑ
important commodities in relation to which questions can
Α ÞºΑ ÚΑ Ã«½½æÞ (regarding pulses there was a
question in 2018).
It is common knowledge that India is the world's largest
«Ã×ËÚæÚΑË¢Αõ£æ½ΑË«½ÞΑö«æ¨ΑÄΑÄÄê½Α«Ã×ËÚæΑõË½êÃΑË¢Α
͍͊α͎͊ΑÃ«½½«ËÄΑæËÄÄÞΑõ½êΑæΑϮ͊͋α͊͌Α«½½«ËÄΑÄΑæ¨æΑæ¨Α
ËêÄæÚüΑ ¢ÞΑ ËÃ×ê½Þ«ËÄΑ æËΑ «Ã×ËÚæΑ êÞΑ ËÃÞæ«Α
×ÚËêæ«ËÄΑ¨ÞΑ×ÚÞ«ÞæÄæ½üΑ¢«½ΑæËΑÃæΑæ¨ΑêÚ£ËÄ«Ä£Α
ËÄÞêÃ×æ«ËÄΑ ÃÄΠΑ rΑ ½ÞËΑ ºÄËöΑ æ¨æΑ +Ä«Α «ÞΑ æ¨Α
½Ú£ÞæΑ «Ã×ËÚæÚΑ Ë¢Α ×ê½ÞÞΠΑ Α ½Ë£«Α Ëê½Α ¨õΑ ÄΑ
××½«ΡΑ ÞΑ ϏË«½ϐΑ «ÞΑ Α ÃËÚΑ «Ã×ËÚæÄæΑ «Ä£Ú«ÄæΑ æ¨ÄΑ
Ϗ×ê½ÞÞϐΑÞΑö«æ¨ËêæΑϏË«½ϐΑÄËΑËËº«Ä£ΑÄΑΑËÄΠ
SOURCE : Please note Economic Survey did not cover all the agricultural commodities. Refer to the Agricul-
tural Statistics At a Glance https://desagri.gov.in/wp-content/uploads/2021/07/Agricultur-
al-Statistics-at-a-Glance-2021-English-version.pdf
127
V͒ΠΑÃËÄ£Αæ¨Α¢Ë½½Ëö«Ä£Αö¨«¨ΑËÄΑ«ÞΑæ¨Α½Ú£ÞæΑû×ËÚæÚΑË¢ΑÚ«Α«ÄΑæ¨ΑöËÚ½Α«ÄΑæ¨Α½ÞæΑĈõΑüÚÞΧ
(a) China
(b) India
(c) Myanmar
(d) Vietnam
ANSWERS B
EXPLANATION
+Ä«Α¨ÞΑÄΑæ¨ΑöËÚ½ϐÞΑæË×ΑÚ«Αû×ËÚæÚΑÞ«ÄΑæ¨Α£«ÄÄ«Ä£ΑË¢Αæ¨«ÞΑΠΑλ͉͋͊͊α͊͋μ
+Ä«ϐÞΑÞ¨ÚΑ«ÄΑöËÚ½Αû×ËÚæÞΑË¢ΑÚ«Α«ÄΑÚÄæΑüÚÞΑλ͉͍͋͊α͊͑μΑ¨ÞΑÞæüΑæΑ͎͋α͋͏Α×ÚΑÄæΡΑb¨«½ÄϐÞΑ¨ÞΑ
ĉêæêæΑæöÄΑ͋͋ΑÄΑ͎͋Α×ÚΑÄæΡΑÄΑq«æÄÃϐÞΑæöÄΑ͊͌ΑÄΑ͊͏Α×ÚΑÄæΠ
ANALYSIS:

½æ¨Ëê£¨Αæ¨«ÞΑ«ÞΑΑ¢æê½ΑÙêÞæ«ËÄΡΑÞ«ÄΑæ¨Αû×ËÚæÞΑË¢ΑËæ¨Α ÞÃæ«ΑÄΑÄËÄα ÞÃæ«Α£ÚΑÚ«Α¨ÞΑ
ÄΑõÚüΑ¨«£¨ΡΑ+Ä«Α«ÞΑæ¨Α½Ú£ÞæΑû×ËÚæÚΑË¢ΑÚ«ΠΑb¨«ÞΑ¨ÞΑ½öüÞΑÄΑ«ÄΑæ¨ΑÄöÞΠ
SOURCE : https://www.thehindubusinessline.com/opinion/columns/c-p-chan-
drasekhar/the-dynamics-of-indias-rice-export-boom/article25994349.ece
Also refer to the Agricultural Statistics At A Glace (15 to 20 pages are important and not the
entire book)
https://desagri.gov.in/wp-content/uploads/2021/07/Agricultur-
al-Statistics-at-a-Glance-2021-English-version.pdf
128
Year 2020 FERTILIZERS
Q10. With reference to chemical fertilizers in India, consider the following statements:
1. At present, the retail price of chemical fertilizers is market-driven and not administered by the Government.
2. Ammonia, which is an input of urea, is produced from natural gas.
3. Sulphur, which is a raw material for phosphoric acid fertilizer, is a by -product of oil refineries.
(a) 1 only
(b) 2 and 3 only
(c) 2 only
(d) 1, 2 and 3
ANSWERS B
EXPLANATION
b¨Α#ËõÚÄÃÄæΑË¢Α+Ä«ΑÞêÞ««āÞΑ¢Úæ«½«āÚÞΑæËΑÄÞêÚΑæ¨æΑ¢Úæ«½«āÚÞΑÚΑÞ«½üΑõ«½½ΑæËΑ¢ÚÃÚÞΑÄΑ
æ¨ΑËêÄæüΑÚÃ«ÄÞΑÞ½¢ΑαÞêĆ«ÄæΑ«ÄΑ£Ú«ê½æêÚΠΑb¨ΑÞÃΑ¨ÞΑÄΑ¨«õΑ½Ú£½üΑüΑËÄæÚË½½«Ä£Αæ¨Α
×Ú«Α Ë¢Α ¢Úæ«½«āÚΑ ÄΑ æ¨Α ÃËêÄæΑ Ë¢Α ×ÚËêæ«ËÄΑ "ËÚΑ ûÃ×½ΡΑ ÞΑ ×ÚΑ æ¨Α BöΑ fÚΑ TË½«üΑ Ë¢Α ͉͎͋͊ΡΑ æ¨Α
£ËõÚÄÃÄæΑĈûÞΑæ¨ΑÃÚºæΑ×Ú«ΑË¢ΑêÚΠΑ½ÞËΡΑæ¨ÚΑ«ÞΑΑĈûΑÞêÞ«üΑËÃ×ËÄÄæΑÞΑö½½ΠΑ[«Ã«½Ú½üΡΑ¢ËÚΑ
T¨ËÞ×¨ËÚËêÞΑ ÄΑ TËæÞÞ«êÃΡΑ ÞΑ ×ÚΑ æ¨Α BêæÚ«ÄæΑ ÞΑ [êÞ«üΑ [¨ÃΑ Ë¢Α ͉͉͋͊ΡΑ ÞêÞ«üΑ «ÞΑ ×ÚËõ«Α
ÞΑËÄΑÄêæÚ«ÄæΑËÄæÄæΑ×ÚΑº£ΑË¢Α¢Úæ«½«āÚΠΑHence statement 1 is not correct.
"Úæ«½«āÚΑ ×ÚËêæ«ËÄΑ êÞÞΑ ͊Π͋АΑ Ë¢Α æ¨Α öËÚ½ϐÞΑ æËæ½Α ÄÚ£üΑ ËêæΑ Ë¢Α ö¨«¨Α ͉͒АΑ «ÞΑ êÞΑ ¢ËÚΑ ÃÃËÄ«Α
×ÚËêæ«ËÄΡΑö¨«¨Α«ÞΑΑºüΑ«Ä£Ú«ÄæΑ«ÄΑæ¨Α×ÚËêæ«ËÄΑË¢ΑÄ«æÚË£ÄΑ¢Úæ«½«āÚÞΠΑÃÃËÄ«ΑÄΑΑ×ÚËêΑ
¢ÚËÃΑÄæêÚ½Α£ÞΠ Hence statement 2 is correct
[ê½¢êÚΑ«ÞΑΑÃ¶ËÚΑüα×ÚËêæΑË¢ΑË«½ΑÚĈÄ«Ä£ΑÄΑ£ÞΑ×ÚËÞÞ«Ä£ΠΑAËÞæΑÚêΑË«½Α£ÚÞΑËÄæ«ÄΑÞËÃΑÞê½¢êÚΡΑ
ÃËÞæΑË¢Αö¨«¨ΑÃêÞæΑΑÚÃËõΑêÚ«Ä£Αæ¨ΑÚĈÄ«Ä£Α×ÚËÞÞΑæËΑÃæΑÞæÚ«æΑÞê½¢êÚΑËÄæÄæΑ½«Ã«æÞΑ«ÄΑÚĈÄΑ
×ÚËêæÞΠΑ+ÄêÞæÚ«ÞΡΑ¢ËÚΑ«ÄÞæÄΡΑæ¨ΑAæ¨êÚΑË«½ΑÚĈÄÚüΡΑ¨õΑÄΑÚÞ×ËÄÞ«½Α¢ËÚΑ×ÚËê«Ä£Α×Ë½½êæÄæÞΑ
½«ºΑ Þê½×¨êÚΑ «Ëû«Α ÄΑ Ä«æÚË£ÄΑ «Ëû«ΠΑ½ÞËΡΑ [ê½×¨êÚΑ «ÞΑ êÞΑ «ÄΑ ×¨ËÞ×¨ËÚ«Α «Α ¢Úæ«½«āÚΑ λb¨ÚΑ «ÞΑ Α
×ÚËÞÞΑºÄËöÄΑÞΑϖb¨ΑræΑTÚËÞÞϖΑ¢ËÚΑ×ÚËê«Ä£Αæ¨ΑÞÃμΠΑ(ÄΑÞææÃÄæΑ͌Α«ÞΑËÚÚæΠΑ
ANALYSIS:
"Úæ«½«āÚΑ ÞêÞ«üΑ «ÞΑ ÄΑ «Ã×ËÚæÄæΑ ËÃ×ËÄÄæΑ Ë¢Αæ¨Α Þü½½êÞΠΑ Α½ÞËΡΑ «æΑ «ÞΑ ËÄΑ Ë¢Αæ¨Α Ú£ê½Ú½üΑ «ÞêÞÞΑ
æË×«ÞΑ«ÄΑrbHΑλ¨ÞΑ½öüÞΑÄΑ«ÄΑæ¨ΑÄöÞμΠΑΑ

"ÚËÃΑËêÚΑêÄÚÞæÄ«Ä£ΑË¢Α£Ú«ê½æêÚΑ«ÄΑ+Ä«ÄΑËÄËÃüΡΑöΑºÄËöΑæ¨æΑÃËÞæΑ¢Úæ«½«ÞÚÞΑÚΑõ«½½ΑæËΑæ¨Α
¢ÚÃÚÞΑ æΑ Α ÞêÞ««ÞΑ ÚæΠΑ (ÄΡΑ ÃÚºæΑ Ú«õÄΑ ×Ú«ÞΑ ÚΑ ÄËæΑ ×ËÞÞ«½Α +Ã£«ÄΑ êÚ«Ä£Α æ¨Α ÞËö«Ä£Α
ÞÞËÄΡΑÃÄΑö«½½Α«ÄÚÞΑÄΑÃËÞæΑ×ÚË½üΑæ¨Α×Ú«Αö«½½Α½ÞËΑ«ÄÚÞΑγΑö¨«¨ΑÃ«£¨æΑ£ËΑËõΑæ¨Α
×êÚ¨Þ«Ä£Α×ËöÚΑË¢Αæ¨Α¢ÚÃÚΠΑ+ÄΑÞê¨ΑΑÞΡΑ«æΑö«½½Α¨õΑΑ«ÚæΑ«Ã×æΑËÄΑæ¨Α¢ËËΑ×ÚËêæ«ËÄΑË¢Αæ¨Α
üÚΠΑb¨æΑ«ÞΑö¨üΡΑÃÄüΑÚöΑÃæÚ«½ÞΑ«Ä½ê«Ä£Α¢Úæ«½«ÞÚÞΑÚΑÃΑõ«½½ΑæËΑæ¨Α¢ÚÃÚÞΑæΑΑÞêÞ««ÞΑ
ÚæΠΑ(ÄΡΑÞææÃÄæΑ͊Α«ÞΑöÚËÄ£ΠΑb¨Ú¢ËÚΡΑæ¨ΑÄÞöÚΑöËê½ΑΑ«æ¨ÚΑË×æ«ËÄΑλμΑËÚΑλμΑγΑöΑÄΑæËΑæÞæΑ
æ¨ΑÚ««½«æüΑË¢ΑÞææÃÄæΑ͌ΑËÄ½üΠΑ
129
SOURCE : https://pib.gov.in/PressReleasePage.aspx?PRID=1580828
Year 2020 AGRICULTURAL INVESTMENT
Q11. In India, which of the following can be considered as public investment in agriculture?
1. Fixing Minimum Support Price for agricultural produce of all crops.
2. Computerization of Primary Agricultural Credit Societies
3. Social Capital development
4. Free electricity supply to farmers
5. Waiver of agricultural loans by the banking system
6. Setting up of cold storage facilities by the governments.
(a) 1, 2 and 5 only
(b) 1, 3, 4 and 5 only
(c) 2, 3 and 6 only
(d) 1, 2, 3, 4, 5 and 6
ANSWERS C
130
EXPLANATION
Tê½«Α+ÄõÞæÃÄæΑ¨ÚΑÚ¢ÚÞΑæËΑæ¨ΑÚæ«ËÄΑË¢Α«æ¨ÚΑ×¨üÞ«½Α«Ä¢ÚÞæÚêæêÚΑËÚΑ«ÄæÄ£«½Α×«æ½ΠΑ
(ÄΑ«ÄΑæ¨«ÞΑËÄæûæΡΑ«ÄõÞæÃÄæΑ«ÞΑêÄÚÞæËËΑÞΑ«æ¨ÚΑ«Ä¢ÚÞæÚêæêÚαÚ½æΑ×«æ½ΑÞΑ£«õÄΑ«ÄΑË×æ«ËÄÞΑ
͋ΑÄΑ͏ΑËÚΑÞË«½Α×«æ½ΑÞΑ£«õÄΑ«ÄΑË×æ«ËÄΑ͌ΠΑ
[êÞ««ÞΑ ÄΑ ½ËÄΑ ö«õÚÞΑ ÚΑ ÄËæΑ «ÄõÞæÃÄæÞΠΑ Hence option 1 is not correctΑ λb¨ÚΑ «ÞΑ ÞË×Α ¢ËÚΑ
½«Ã«Äæ«ËÄΑ¨ÚμΠΑ(ÄΑË×æ«ËÄΑλμΑ«ÞΑæ¨ΑËÚÚæΑÄÞöÚΠΑ[«Ã«½Ú½üΡΑË×æ«ËÄΑ͍ΑλÞê«ÞüμΑÄΑ͎ΑÚΑÄËæΑËÚÚæΠ
ANALYSIS:

(ÚΡΑ«¢ΑöΑÚΑ½ΑæËΑ«Þæ«Ä£ê«Þ¨ΑæöÄΑ×ê½«Α«ÄõÞæÃÄæΑÄΑÞêÞ««ÞΡΑæ¨ÄΑöΑÄΑÞ«½üΑĈÄΑæ¨Α
ÄÞöÚΑæ¨ÚËê£¨Α½«Ã«Äæ«ËÄΠΑ+ÄõÞæÃÄæΑ£ÄÚ½½üΑÚ½æÞΑæËΑæ¨ΑÚæ«ËÄΑË¢ΑÄΑ«Ä¢ÚÞæÚêæêÚΑλ×¨üÞ«½ΑËÚΑ
ÞË«½μΠΑ (ÄΡΑ ÞææÃÄæÞΑ ͊ΡΑ ͍Α ÄΑ ͎Α ÚΑ Α¢ËÚÃΑ Ë¢Α ÞêÞ««ÞέÞê××ËÚæέö«õÚΑæËΑæ¨Α¢ÚÃÚÞΑ ÄΑ ÄËæΑ ÄΑ
«ÄõÞæÃÄæΠΑ(ÄΡΑË×æ«ËÄΑλμΑ«ÞΑæ¨ΑËÚÚæΑÄÞöÚΠ
SOURCE : https://www.downtoearth.org.in/news/agriculture/pri-
vate-and-government-who-is-investing-how-much-on-agriculture--65296
b¨ΑÞæêÄæΑÞ¨Ëê½ΑΑÃ«Ä¢ê½ΑË¢Α½½Αæ¨ΑÞ×æÞΑË¢Αæ¨Α£Ú«ê½æêÚΑÄΑ¨ÄΑËõÚΑ«æΑ¨Ë½«Þæ«½½üΠΑ
½ÞËΡΑæ¨ΑºÄËö½£ΑË¢Α£Ú«ê½æêÚΑ¢ÚËÃΑËÄËÃ«ÞΑÄΑ#Ë£Ú×¨üΑÄΑΑêÞΑ«ÄæÚ¨Ä£½üΠ
Year 2020 PRICE OF RICE
V͊͋ΠΑr¨«¨ΑË¢Αæ¨Α¢Ë½½Ëö«Ä£Α¢æËÚÞέ×Ë½««ÞΑöÚΑąæ«Ä£Αæ¨Α×Ú«ΑË¢ΑÚ«Α«ÄΑ+Ä«Α«ÄΑæ¨ΑÚÄæΑ×ÞæΧΑ
1. Minimum Support Price
2. Government's trading
3. Government's stockpiling
4. Consumer subsidies
(a) 1, 2 and 4 only
(b) 1, 3 and 4 only
(c) 2 and 3 only
(d) 1, 2, 3 and 4
ANSWERS D
131
EXPLANATION
Option 1 is correct:ΑA[TΑÚÞê½æÞΑ«ÄΑΑ«õÚÞ«ËÄΑË¢ΑÞæËºÞΑ¢ÚËÃΑæ¨ΑË×ÄΑÃÚºæΡΑæ¨êÞΡΑÚ«õ«Ä£Αê×Αæ¨Α×Ú«Α
¢ËÚΑæ¨Αê½æ«ÃæΑËÄÞêÃÚÞΠΑ"êÚæ¨ÚΡΑA[TΑ×ÚõÄæÞΑæ¨Α×Ú«ÞΑ¢ÚËÃΑ£Ë«Ä£ΑËöÄΑλ«Úæ½üμΠΑTÚ«Αö«½½ΑÄËæΑ£ËΑ
½ËöΑæ¨ΑA[TαΑb¨Α¢ÚÃÚΑÄΑÞ½½Αæ¨Α×ÚËêΑæËΑæ¨Α£ËõÚÄÃÄæΑæΑæ¨ΑA[TΠΑ+æΑö«½½Α½ÞËΑ×ÚõÄæΑæ¨Α
×Ú«Α ¢ÚËÃΑ £Ë«Ä£Α ê×Α λ«Ä«Úæ½üμαΑ b¨Α ×Ú«Α ö«½½Α Þ¨ËËæΑ ê×Α ËÄ½üΑ ö¨ÄΑ æ¨Α ×ÚËêæ«ËÄΑ «ÞΑ ½ÞÞΡΑ êæΑ «¢Α æ¨Α
×ÚËêæ«ËÄΑö«½½Α«ÄÚÞΡΑæ¨ÄΑæ¨Α×Ú«ÞΑö«½½ΑÄËæΑΑæËËΑ¨«£¨ΠΑ
Option 2 is correct:Αb¨Ëê£¨Α¢æËÚÞΑ½«ºΑ½«Ãæ«ΑÞ¨ËºÞΑæÚÃ«ÄΑÚ«Α×ÚËêæ«ËÄΑÄΑ×Ú«ÞΑ«ÄΑæ¨ΑÞ¨ËÚæΑ
ÚêÄΡΑæ¨Α¢êæêÚΑÞÄÚ«ËΑË¢ΑÚ«Α×Ú«ÞΑÃêÞæΑΑÞΑËÄΑ½ËÄ£αæÚÃΑ×ÚË¶æ«ËÄÞΑË¢ΑÚ«ΑÃÄΑÄΑÞê××½üΠΑ
bÚ«Ä£Α ÚÞê½æÞΑ «ÄΑ ÄΑ «ÄÚÞΑ ÃÄΑ «ÄΑæ¨Α «ÄæÚÄæ«ËÄ½Α ÃÚºæÞΡΑö¨«¨Α ąæÞΑæ¨Α ×Ú«Α Ë¢Α Ú«Α «ÄΑ
+Ä«ΠΑ
H×æ«ËÄΑ ͌Α «ÞΑ ËÚÚæ΢Α ;ËöΑ ÞæËºΑ ½õ½ÞΑ ËÄÞæÚ«ÄΑ æ¨Α «½«æüΑæËΑ êąÚΑ æ¨Α ×Ú«Α Ú«ÞΑ ÚÞê½æ«Ä£Α ¢ÚËÃΑ Ëæ¨ÚΑ
¢æËÚÞΠΑ
H×æ«ËÄΑ ͍Α «ÞΑ ËÚÚæ΢Α [êÞ««ÞΑ ½ËöÚΑæ¨Α ×Ú«ÞΑ¢ËÚΑæ¨Α ê½æ«ÃæΑ ËÄÞêÃÚΠΑ (ÄΑ ½½Αæ¨Α £«õÄΑ¢æËÚÞΑ
ąæέΑ¨õΑąæΠ
ANALYSIS:
ANALYSIS:
ÞΑöΑºÄËöΑæ¨æΑö¨ÄõÚΑ£ËõÚÄÃÄæΑ«ÄæÚõÄÞΑ«ÄΑΑ¢ÚΑÃÚºæΡΑæ¨Α«ÞËõÚüΑË¢Α×Ú«Α«ÞΑąæΑλö¨æ¨ÚΑ
«æΑ«ÞΑ«ÄÚÞΑËÚΑÚÞΑ«ÞΑÄËæΑ«Ã×ËÚæÄæΑ¢ËÚΑæ¨«ÞΑÙêÞæ«ËÄμΠΑ(ÄΡΑöΑÄΑËÃΑæËΑÄÞöÚΑ«ÄΑæ¨«ÞΑÙêÞæ«ËÄΑ
æ¨æΑö¨«¨õÚΑË×æ«ËÄΑ«ÞΑ«Úæ½üΑËÚΑ«Ä«Úæ½üΑÚ½æΑö«æ¨Αæ¨Αæ«ËÄΑË¢Αæ¨Α#ËõÚÄÃÄæΡΑæ¨Α×Ú«ΑË¢ΑÄüΑ£ËËΑ
λ¨ÚΑÚ«μΑö«½½ΑΑąæΠΑ#ËõÚÄÃÄæΑ«ÞΑ«ÄõË½õΑ«ÄΑA[TΑÄΑÞêÞ««ÞΠΑ½ÞËΑË×æ«ËÄÞΑ͋ΑÄΑ͌Α«Úæ½üΑ¨«ÄæÞΑæΑ
æ¨Αæ«ËÄΑË¢Αæ¨Α£ËõÚÄÃÄæΡΑæ¨Ú¢ËÚΡΑË×æ«ËÄΑλμΑ«ÞΑæ¨ΑËÚÚæΑÄÞöÚΠ
SOURCE : https://shs.hal.science/halshs-02275376/document
£Ú«ê½æêÚΑ «ÞΑ ÄΑ «Ã×ËÚæÄæΑ æË×«Α ÄΑ êÄÚΑ æ¨Α æË×«Α Ë¢Α «ÄæÚõÄæ«ËÄΑ Ë¢Α æ¨Α £ËõÚÄÃÄæΑ «ÄΑ
£Ú«ê½æêÚΡΑæ¨«ÞΑÙêÞæ«ËÄΑÃêÞæΑ¨õΑÄΑËõÚΠΑ
Year 2020 KISAN CREDIT CARD
Q13. Under the Kisan Credit Card scheme, short-term credit support is given to farmers for which of
the following purposes?
1. Working capital for maintenance of farm assets
2. Purchase of combine harvesters, tractors and mini trucks.
3. Consumption requirements of farm households
4. Post-harvest expense
5. Construction of family house and setting up of village cold storage facility.
(a) 1, 2 and 5 only
(b) 1, 3 and 4 only
(c) 2, 3, 4 and 5 only
(d) 1, 2, 3 4 and 5
ANSWERS B
132
EXPLANATION
9«ÞÄΑÚ«æΑÚΑ[¨ÃΑλ9μ΢Α+æΑ«ÞΑΑæü×ΑË¢Α½ËÄΑ£«õÄΑæËΑ¢ÚÃÚÞΠΑb¨ΑÞ¨ÃΑöÞΑ«ÄæÚËêΑ«ÄΑ͊͒͒͑ΠΑ
+æΑ«ÞΑÄËæΑΑÚ«æΑÚΑ¢ËÚΑ¢ÚÃÚÞΠΑHence options 2 and 5 are not correct.
+æΑ«ÞΑ½«ºΑÄΑËõÚÚ¢æΑÞ¨ÃΑ¢ËÚΑ¢ÚÃÚÞαΑHÄΑÄΑËõÚÚöΑê×ΑæËΑΑ½«Ã«æΠΑÄΑ«ÄæÚÞæΑ¨ÞΑæËΑΑ×«ΑËÄΑ
æ¨ΑÃËêÄæΑÞËΑËõÚÚöÄΠΑ½ÞËΡΑæ¨Α½«Ã«æΑË¢ΑËõÚÚ¢æΑ«ÞΑĈûΑËÄΑæ¨ΑÞ«ÞΑË¢Αæ¨Αõ½êΑË¢Α½ÄΡΑæ¨Ëê£¨Αæ¨Α
õ½êΑË¢ΑÚË×ΑÃüΑ½ÞËΑΑËÄÞ«ÚΠΑ
The Features of This Scheme:
"ÚÃÚÞΑÄΑÃËÄüΑ¢ËÚΑÞËö«Ä£ΠΑ"ËÚΑûÃ×½ΡΑæËΑêüΑÞÞΡΑ¢Úæ«½«ÞÚÞΑæΠ
+ÄΑæ¨«ÞΑÞ¨ÃΡΑæ¨üΑ¨õΑæËΑ×üΑºΑæ¨Α½ËÄΑÃËêÄæέΑËõÚÚ¢æΑ¢æÚΑæ¨Α¨ÚõÞæΠΑ
½ÞËΡΑ«ÄæÚÞæΑ¨Ú£Α«ÞΑËÄÞÞ«ËÄ½αΑ͍Ρ͎Ρ͏АαΑ êæΑ«¢Αæ¨üΑ¢«½ΑæËΑ×üºΑ×ËÞæΑæ¨Α¨ÚõÞæΡΑæ¨ÄΑæ¨Α
«ÄæÚÞæΑ¨Ú£Α«ÄÚÞÞΑæËΑ͊͌α͍͊АαΑb¨ΑÞêÞ«üΑËÃ×ËÄÄæΑ«ÞΡΑæ¨êÞΡΑÚÃËõΠΑ
b¨ΑÞ¨ÃΑ¨ÞΑÄΑõÚüΑÞêÞÞ¢ê½αΑAËÚΑæ¨ÄΑ͉͊ΑÚËÚΑ9ÞΑ¨õΑ½ÚüΑÄΑ«ÞÞêΠ
ËÃÃÚ«½ΡΑËË×Úæ«õΡΑW£«ËÄ½ΑWêÚ½Α ÄºÞαΑ½½Αæü×ÞΑË¢ΑÄºÞΑ«ÞÞÞêΑ9ÞΑ
½ÞËΡΑæ¨Α½ËÄÞΑ£«õÄΑæËΑ¢ÚÃÚÞΑæ¨ÚËê£¨Α9ΑÚΑËêÄæΑ«ÄΑTÚ«ËÚ«æüΑ[æËÚΑ;Ä«Ä£ΑαΑ+æΑ«ÞΑΑÃÄÞΑË¢Α
£«õ«Ä£Α½ËÄÞΑæËΑ¢ÚÃÚÞΠΑ
+æΑ«ÞΑõÚüΑ¨½¢ê½ΑÄΑÄĈ«½Α¢ËÚΑ¢ÚÃÚÞΡΑÞΑ«ÄΑËÚÚΑæËΑ«ÄÚÞΑ£Ú«ê½æêÚ½Α×ÚËêæ«ËÄΡΑæ¨Α¢ÚÃÚÞΑ
ÄΑæËΑêüΑõÚ«ËêÞΑ«Ä×êæÞΑÞê¨ΑÞΑÞÞΡΑ¢Úæ«½«ÞÚÞΑæΠΑb¨«ÞΑÄËæΑËÄ½üΑ½ÞΑæËΑÄΑ«ÄÚÞΑ«ÄΑ¢ÚÃÚÞϐΑ
«ÄËÃΑêæΑ½ÞËΑ«ÄΑÄΑ«ÄÚÞΑ«ÄΑ£Ú«ê½æêÚ½Α×ÚËêæ«ËÄΠΑ
H¶æ«õÞέTêÚ×ËÞΑ 9«ÞÄΑ Ú«æΑ ÚΑ [¨ÃΑ «ÃÞΑ æΑ ×ÚËõ««Ä£Α ÙêæΑ ÄΑæ«Ã½üΑ Ú«æΑ Þê××ËÚæΑ
¢ÚËÃΑæ¨ΑÄº«Ä£ΑÞüÞæÃΑêÄÚΑΑÞ«Ä£½Αö«ÄËöΑæËΑæ¨Α¢ÚÃÚÞΑ¢ËÚΑæ¨«ÚΑê½æ«õæ«ËÄΑϞΑËæ¨ÚΑÄÞΑÞΑ
«Ä«æΑ½Ëö΢Α
bËΑÃæΑæ¨ΑÞ¨ËÚæΑæÚÃΑÚ«æΑÚÙê«ÚÃÄæÞΑ¢ËÚΑê½æ«õæ«ËÄΑË¢ΑÚË×ÞΑ
TËÞæΑ¨ÚõÞæΑû×ÄÞÞΑ
Produce Marketing loan
ËÄÞêÃ×æ«ËÄΑÚÙê«ÚÃÄæÞΑË¢Α¢ÚÃÚΑ¨ËêÞ¨Ë½Α
rËÚº«Ä£Α×«æ½Α¢ËÚΑÃ«ÄæÄÄΑË¢Α¢ÚÃΑÞÞæÞΑÄΑæ«õ«æ«ÞΑ½½«ΑæËΑ£Ú«ê½æêÚΡΑ½«ºΑ«ÚüΑÄ«Ã½ÞΡΑ
«Ä½ÄΑĈÞ¨ÚüΑæΠΑ
+ÄõÞæÃÄæΑ Ú«æΑ ÚÙê«ÚÃÄæΑ ¢ËÚΑ £Ú«ê½æêÚΑ ÄΑ ½½«Α æ«õ«æ«ÞΑ ½«ºΑ ×êÃ×Α ÞæÞΡΑ Þ×ÚüÚÞΡΑ «ÚüΑ
Ä«Ã½ÞΑæΠΑ
(ÄΑÞææÃÄæÞΑ͊ΡΑ͌ΑÄΑ͍ΑÚΑËÚÚæΠΑ(ÄΑË×æ«ËÄΑλμΑ«ÞΑæ¨ΑËÚÚæΑÄÞöÚΠ
ANALYSIS:

b¨Α õÚüΑ Þ«Α êÄÚÞæÄ«Ä£Α The scheme takes care of the following:
was enough to answer this bËΑÃæΑæ¨ΑÞ¨ËÚæΑæÚÃΑÚ«æΑÚÙê«ÚÃÄæÞΑ¢ËÚΑê½æ«õæ«ËÄΑË¢ΑÚË×ÞΑ
ÙêÞæ«ËÄΠΑ 9Α «ÞΑ ÄËæΑ ½«ºΑ Α
TËÞæΑ¨ÚõÞæΑû×ÄÞÞΑ
personal credit card rather a
£ËõÚÄÃÄæΑ Þ¨ÃΡΑ Produce Marketing loan
æ¨Ú¢ËÚΡΑ ÞææÃÄæΑ ͋Α ÄΑ ͎Α ËÄÞêÃ×æ«ËÄΑÚÙê«ÚÃÄæÞΑË¢Α¢ÚÃÚΑ¨ËêÞ¨Ë½Α
ÚΑ ÄËæΑ ËÚÚæΠΑ HÄΑ üËêΑ
rËÚº«Ä£Α×«æ½Α¢ËÚΑÃ«ÄæÄÄΑË¢Α¢ÚÃΑÞÞæÞΑÄΑæ«õ«æ«ÞΑ½½«Α
ÚÃËõΑÞææÃÄæΑ͋ΑÄΑ͎ΡΑöΑ
æËΑ£Ú«ê½æêÚΡΑ½«ºΑ«ÚüΑÄ«Ã½ÞΡΑ«Ä½ÄΑĈÞ¨ÚüΑæΠΑ
ö«½½ΑΑ½¢æΑö«æ¨ΑËÄ½üΑËÄΑË×æ«ËÄΡΑ
æ¨æΑ«ÞΡΑË×æ«ËÄΑλμΡΑö¨«¨Α«ÞΑæ¨Α +ÄõÞæÃÄæΑ Ú«æΑ ÚÙê«ÚÃÄæΑ¢ËÚΑ £Ú«ê½æêÚΑ ÄΑ ½½«Α æ«õ«æ«ÞΑ
ËÚÚæΑÄÞöÚΠΑ ½«ºΑ×êÃ×ΑÞæÞΡΑÞ×ÚüÚÞΡΑ«ÚüΑÄ«Ã½Þ
SOURCE : https://sbi.co.in/web/agri-rural/agriculture-banking/crop-loan/kisan-credit-card
133
Year 2019 AGRICULTURAL COMMODITIES

1. In the case of all cereals, pulses and oil-seeds, the procurement at Minimum Support Price (MSP) is unlimited in any
State/UT of India.
2. In the case of cereals and pulses, the MSP is fixed in any State/UT at a level to which the market price will never rise.
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
ANSWERS D
EXPLANATION
ÞΑ ËÄΑ æ¨Α ÚËÃÃÄæ«ËÄÞΑ Ë¢Α æ¨Α ËÃÃ«ÞÞ«ËÄΑ ¢ËÚΑ £Ú«ê½æêÚ½Α ËÞæÞΑ ÄΑ TÚ«ÞΑ λTμΡΑ æ¨Α
×ÚæÃÄæΑ Ë¢Α £Ú«ê½æêÚΑ ÄΑ ËË×Úæ«ËÄΡΑ A«Ä«ÞæÚüΑ H¢Α £Ú«ê½æêÚΑ ÄΑ "ÚÃÚÞϖΑ r½¢ÚΡΑ ½ÚÞΑ
A«Ä«ÃêÃΑ [ê××ËÚæΑ TÚ«ÞΑ λA[TμΑ ¢ËÚΑ ÃËÚΑ æ¨ÄΑ ͉͋Α ÃÄæΑ ÚË×ÞΡΑ ÄΑ "«ÚΑ ÄΑ WÃêÄÚæ«õΑ TÚ«Α
(FRP) for Sugarcane.
Ú½ÞΑλ͐μΑαΑ×üΡΑö¨æΡΑÚ½üΡΑ¶ËöÚΡΑ¶ÚΡΑÃ«āΑÄΑÚ£«Α
Tê½ÞÞΑλ͎μΑαΑ£ÚÃΡΑÚ¨ÚέæêÚΡΑÃËËÄ£ΡΑêÚΑÄΑ½Äæ«½Α
H«½ÞÞΑλ͑μΑαΑ£ÚËêÄÄêæΡΑÚ×ÞέÃêÞæÚΡΑæËÚ«ΡΑÞËüÄΡΑÞêÄĉËöÚΑÞΡΑÞÞÃêÃΡΑÞćËöÚΑÞΑ
ÄΑÄ«£ÚÞΡΑ
WöΑËææËÄΡΑ
WöΑ¶êæΡΑË×Ú
b¨Α«Α¨«ÄΑA[TΑ«ÞΑæËΑ£«õΑ£êÚÄæΑ×Ú«ΑÄΑÞÞêÚΑÃÚºæΑæËΑæ¨Α¢ÚÃÚÞΑÄΑ×ÚËææΑæ¨ÃΑ¢ÚËÃΑ
æ¨Α ×Ú«Α ĉêæêæ«ËÄÞΑ ÄΑ ÃÚºæΑ «Ã×Ú¢æ«ËÄÞΠΑ TΑ ËÄÞ«ÚÞΑ õÚ«ËêÞΑ ¢æËÚÞΑ Þê¨Α ÞΑ æ¨Α ËÞæΑ Ë¢Α
ê½æ«õæ«ËÄΑÄΑ×ÚËêæ«ËÄΡΑ×ÚËêæ«õ«æüΑË¢ΑÚË×ÞΡΑÄΑÃÚºæΑ×Ú«ÞΑ¢ËÚΑæ¨ΑæÚÃ«Äæ«ËÄΑË¢ΑA[TÞΠΑA[TΑ
ĈûΑ¢ËÚΑ¨ΑÚË×Α«ÞΑêÄ«¢ËÚÃΑ¢ËÚΑæ¨ΑÄæ«ÚΑËêÄæÚüΠΑ(ËöõÚΡΑæ¨ÚΑ«ÞΑÄËΑ«ÄÞæÄΑË¢ΑA[TΑ«Ä£ΑĈûΑ«ÄΑ
ÄüΑ[ææέfbΑæΑΑ½õ½ΑæËΑö¨«¨Αæ¨ΑÃÚºæΑ×Ú«Αö«½½ΑÄõÚΑÚ«ÞΠΑHence statement 2 is not correct.
r¨«½Αæ¨Α£ËõÚÄÃÄæΑÄÄËêÄÞΑA[TΑ¢ËÚΑÚË×ÞΡΑąæ«õΑA[TΑ½«ÄºΑ×ÚËêÚÃÄæΑËêÚÞΑÃ«Ä½üΑ¢ËÚΑ
wheat, rice and cotton.Α b¨Α ×ÚËêÚÃÄæΑ «ÞΑ ½ÞËΑ ½«Ã«æΑ æËΑ Α ¢öΑ ÞææÞΠΑ êΑ æËΑ ½«Ã«ææ«ËÄÞΑ ËÄΑ æ¨Α
×ÚËêÚÃÄæΑÞ«ΑλËæ¨ΑÚË×Αö«ÞΑÄΑÞææαö«ÞμΑÄΑõÄΑ¢æÚΑ¨õ«Ä£ΑÄΑË×ÄαÄΑ×ÚËêÚÃÄæΑæΑ
A[TΡΑ½½Α¢ÚÃÚÞΑËΑÄËæΑÚ«õΑÄĈæÞΑË¢ΑÄΑ«ÄÚÞΑ«ÄΑA[TΠΑHence statement 1 is not correct
134
ANALYSIS:
ANALYSIS:
A[TΑ ¨ÞΑ ½öüÞΑ ÞæüΑ «ÄΑ ÄöÞΑ ÞΑ «æΑ «ÞΑ ËÄΑ Ë¢Α æ¨Α ÃËÞæΑ ËÄæÄæ«ËêÞΑ ÃææÚΑ ¢ËÚΑ Ëæ¨Α #ËõÚÄÃÄæΑ ÄΑ
"ÚÃÚÞΠΑb¨ΑA[TΑöÞΑ½ÞËΑ«ÄΑÄöÞΑêÚ«Ä£Αæ¨ΑÃÞÞ«õΑ¢ÚÃΑ×ÚËæÞæÞΑ«ÄΑ+Ä«ΠΑ+æΑ¨ÞΑÞæüΑ«ÄΑÄöÞΑÞ«ÄΑ
æ¨Α«Ä×æ«ËÄΑË¢ΑA[TΠΑ(ÄΡΑ«æΑ«ÞΑΑÚêÚÚ«Ä£Αæ¨ÃΑ«ÄΑfT[ΣΑÙêÞæ«ËÄÞΑÚ½æΑæËΑA[TΑ¨õΑÄΑÞºΑ«ÄΑ
͉͋͊͑ΡΑ͉͋͊͒ΡΑ͉͉͋͋ΑÄΑ͉͋͋͌

+¢Α öΑ Ú¢ê½½üΑ ÄËæ«Α æ¨Α ĈÚÞæΑ ÞææÃÄæÞΡΑ «æΑ ÞüÞΑ ;;Α Ú½ÞΡΑ ×ê½ÞÞΑ ÄΑ Ë«½ÞÞΑ ÄΑ fB;+A+bΑ
×ÚËêÚÃÄæΑö¨«¨ΑÚΑûæÚÃΑÞææÃÄæÞΑÄΑÄüΑÄæ«æüΑæ¨æΑ«ÞΑ×ÚËêÚ«Ä£ΑλõÄΑö«æ¨ËêæΑA[TμΑö«½½Α¨õΑ
ÞËÃΑ×«æüΑö¨«¨Α«æΑÄΑÄËæΑÚ¨ΠΑb¨ΑÞÃΑ«ÞΑæÚêΑ¢ËÚΑ£ËõÚÄÃÄæΑ½ÞËΡΑ+æΑÄΑÄËæΑ¨õΑfB;+A+bΑ
×ÚËêÚÃÄæΑ Ë¢Α ;;Α Ú½ÞΡΑ ×ê½ÞÞΑ ÄΑ Ë«½ÞÞΠΑ (ÄΑ ÞææÃÄæΑ ͊Α «ÞΑ öÚËÄ£ΠΑ A[TΑ «ÞΑ æ¨Α Ã«ÃêÃêÃΑ
Þê××ËÚæΑ×Ú«ΡΑÃÚºæΑ×Ú«ΑÄΑΑ½ËöÚΑλÄΑæ¨æΑ«ÞΑæ¨ΑÞΑö¨ÄΑ¢ÚÃÚΑöËê½ΑöÄæΑæËΑÞ½½ΑæΑA[TμΑÄΑ
¨«£¨ÚΑ½ÞËΑλö¨ÄΑæ¨Α¢ÚÃÚΑöËê½ΑöÄæΑæËΑÞΑæËΑæ¨ΑÃÚºæμΑÄΑæ¨ΑÞÃΑÞΑA[TΑ½ÞËΑλ¢ÚÃÚΑö«½½Α¨õΑ
æ¨ΑË×æ«ËÄΑö¨ÚΑæËΑÞ½½μΠΑb¨«ÞΑÞææÃÄæΑ½ÞËΑ¨ÞΑÄΑûæÚÃΑËÄ«æ«ËÄΑϏr+;;ΑBqWΑW+[ϐΑö¨«¨Α¨ÞΑÄËΑ
ÞΑæËΑ«æΠΑHence both statements are wrong.
SOURCE : This theme was covered in the Economic Survey 2017-18.
135
Year 2020 AGRICULTURAL BANKING

1. In terms of short-term credit delivery to the agriculture sector, District Central Cooperative Banks (DCCBs) deliver
more credit in comparison to Scheduled Commercial Banks and Regional Rural Banks.
2. One of the most important functions of DCCBs is to provide funds to the Primary Agriculture Credit Societies.
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
ANSWERS B
EXPLANATION
«ÞæÚ«æΑ ÄæÚ½Α ËΑ αË×Úæ«õΑ ÄºÞΑ λ ÞμΑ ÚΑ Α æü×Α Ë¢Α ÚêÚ½Α ËΑ αË×Úæ«õÞΡΑ ½ËÄ£Α ö«æ¨Α [ææΑ ËΑ
αË×Úæ«õΑ ÄºÞΑλ[æ ÞμΑÄΑTÚ«ÃÚüΑ£Ú«ê½æêÚ½ΑÚ«æΑ[Ë«æ«ÞΑλT[μΠΑ[¨ËÚæΑαæÚÃΑËΑαΑË×Úæ«õÞΑ
ÚΑÚÚÄ£Α«ÄΑΑæ¨ÚΑαæ«ÚΑÞæÚêæêÚΑ«ÄΑÃËÞæΑË¢Αæ¨ΑÞææÞΡΑö«æ¨Α[æ ÞΑæΑæ¨Α×ûΑ½õ½ΡΑ ÞΑæΑæ¨Α
«ÄæÚÃ«æΑ½õ½ΑÄΑT[ΑæΑæ¨Α£ÚÞÞÚËËæÞΑ½õ½ΠΑ
½æ¨Ëê£¨Αæ¨Α¢ËêÞΑË¢ΑÚêÚ½ΑËË×Úæ«õΑ½Ä«Ä£Α«ÞΑ£Ú«ê½æêÚΡΑæ¨ΑÞ¨ÚΑ«ÄΑÚ«æΑĉËöΑæËΑ£Ú«ê½æêÚΑË¢Α
ÚêÚ½ΑËË×Úæ«õÞΑ«ÞΑËÄ½üΑ͊͋Π͊АΡΑÞΑËÃ×ÚΑæËΑ͐͏АΑË¢Α[¨ê½ΑËÃÃÚ«½Α ÄºÞΑλ[ ÞμΡΑÄΑ͊͊Π͒АΑ
Ë¢ΑW£«ËÄ½ΑWêÚ½Α ÄºÞΠ Hence statement 1 is not correct .
ÞΑÃË«½«ÞΑ×ËÞ«æÞΑ¢ÚËÃΑæ¨Α×ê½«ΑÄΑ×ÚËõ«ΑÚ«æΑæËΑæ¨Α×ê½«ΑÄΑT[ΠΑHence statement 2
is correct.
ANALYSIS:
ANALYSIS:
b¨«ÞΑöÞΑÄËæΑΑõÚüΑËÃÃËÄΑæ¨ÃΡΑ«¢ΑöΑËÃ×ÚΑæ¨«ÞΑö«æ¨ΑW£«ËÄ½ΑWêÚ½Α ÄºÞΑËÚΑæ¨ΑB WΡΑêæΑÄËæΑ
ËêæΑË¢Αæ¨ΑÞü½½êÞΠ
SOURCE : https://www.rbi.org.in/scripts/PublicationsView.aspx?Id=19366
136
b¨Α[æÚêæêÚΑË¢ΑËαË×Úæ«õÞΑüΑÞÞæΑ[«ā
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½½ΑËαË×Úæ«õÞ ËαË×Úæ«õÞ 100
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͏͍Π͐ 22.0
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[W [Αλ͊͌μ
λ͊Ρ͎͍͍μ TW [Αλ͏͉͊μ
b¨ΑËõΑĈ£êÚΑÞ¨ËöÞΑæ¨ΑÞÞæαÞ«āΑλ«ÄΑ«Ú½ÞμΑÄΑÄêÃÚΑË¢ΑÚÄ¨ÞΑλ«ÄΑÚºæÞμ
Year 2023 SMALL FARMER LARGE FIELD
Q16. Which one of the following best describes the concept of 'Small Farmer Large Field'?
(a) Resettlement of a large number of people, uprooted from their countries due to war, by giving them a large
cultivable land which they cultivate collectively and share the produce
(b) Many marginal farmers in an area organize themselves into groups and synchronize and harmonize selected
agricultural operations
(c) Many marginal farmers in an area together make a contract with a corporate body and surrender their land to
the corporate body for a fixed term for which the corporate body makes a payment of agreed amount to the
farmers
(d) A company extends loans, technical knowledge and material inputs to a number of small farmers in an area so
that they produce the agricultural commodity required by the company for its manufacturing process and commer-
cial production
ANSWERS B
EXPLANATION
[Ã½½Α"ÚÃÚÞΑ;Ú£Α"«½Αλ[";"μΑ«ÞΑΑË½½æ«õΑæ«ËÄΑÃË½ΑæËΑËõÚËÃΑæ¨Α«ÞõÄæ£ÞΑ¢ΑüΑ
Ã«½½«ËÄÞΑË¢ΑÞÃ½½ΑÄΑÃÚ£«Ä½Α¢ÚÃÚÞΑêΑæËΑ«ÞËÄËÃ«ÞΑË¢ΑÞ½ΑÄΑ½ºΑË¢ΑÚ£«Ä«Ä£Α×ËöÚΑ«ÄΑæ¨Α
Þê××½üΑ¨«ÄΠΑb¨«ÞΑÃË½Α«ÞΑ×Úæ««×æËÚüΑÄΑĉû«½ΑÄΑ½½ËöÞΑÞÃ½½Α¢ÚÃÚÞΑæËΑÄĈæΑ¢ÚËÃΑ¨«õ«Ä£Α
ËÄËÃ«ÞΑË¢ΑÞ½ΑüΑËÚ£Ä«ā«Ä£Αæ¨ÃÞ½õÞΑ«ÄæËΑ£ÚËê×ÞΑÄΑÞüÄ¨ÚËÄ«ā«Ä£ΑÄΑ¨ÚÃËÄ«ā«Ä£ΑÞ½æΑ
Ë×Úæ«ËÄÞΠΑ+æΑöÞΑ×«½ËæΑ«ÄΑæöËΑõ«½½£ÞΑË¢ΑH«Þ¨ΡΑö«æ¨Α͊͊͋Α¢ÚÃÚÞΑλ͎͌Α¢Ã½ÞΑÄΑ͐͐ΑÃ½ÞμΠΑb¨ÞΑ
¢ÚÃÚÞΑ ËÚ£Ä«āΑ æ¨ÃÞ½õÞΑ «ÄæËΑ £ÚËê×ÞΑ ÄΑ ÞüÄ¨ÚËÄ«āΑ æ¨«ÚΑ Ë×Úæ«ËÄÞΑ Þê¨Α ÞΑ ÄêÚÞÚüΑ Α
ÃÄ£ÃÄæΡΑæÚÄÞ×½Äæ«Ä£ΡΑÄΑ¨ÚõÞæ«Ä£ΑË½½æ«õ½üΑæËΑ¨«õΑËÄËÃ«ÞΑË¢ΑÞ½ΠΑb¨Α[";"Α¢ÚÃÚÞΑ
×êÚ¨ÞΑ«Ä×êæÞΑλÞΑÄΑ¢Úæ«½«āÚμΑÄΑÞË½Α×üΑÞΑΑ£ÚËê×ΑæËΑ«ÄÚÞΑæ¨«ÚΑÚ£«Ä«Ä£Α×ËöÚΑ«ÄΑ
×Ú«ΑÄ£Ëæ«æ«ËÄÞΠΑb¨ΑÚÞê½æÞΑ¢ÚËÃΑæ¨«ÞΑ×«½ËæΑÞæêüΑÞ¨ËöΑæ¨æΑæ¨Α×Úæ««×æ«Ä£Α¢ÚÃÚÞΑ½ÃËÞæΑËê½Α
æ¨«ÚΑ ×ÚËĈæÞΠΑ ×ÚæΑ ¢ÚËÃΑ æ¨Α ÃËÄæÚüΑ ÄĈæÞΡΑ æ¨ÞΑ ¢ÚÃÚÞΑ ÞõΑ æ«ÃΑ «ÄΑ ÃÄüΑ ¶Ë«ÄæΑ æ«õ«æ«ÞΡΑ
«Ä½ê«Ä£Α«Ä×êæΑλÞΑÄΑ¢Úæ«½«āÚμΑ×êÚ¨ÞΡΑ×üΑÞ½ΡΑÄΑÄêÚÞÚüΑΑÃÄ£ÃÄæΠΑHæ¨ÚΑ«Ã×ËÚæÄæΑ
ÄĈæÞΑ Ë¢Α æ¨Α ¨ÚÃËÄ«āæ«ËÄΑ ÄΑ ÞüÄ¨ÚËÄ«āæ«ËÄΑ Ë¢Α ¢ÚÃ«Ä£Α Ë×Úæ«ËÄÞΑ öÚΑ ÞË«½Α ¨ÚÃËÄüΑ ÄΑ
ÞêÞæ«Ä«½«æüΑË¢Αæ¨Α¢ÚÃ«Ä£ΑÞüÞæÃΠ Hence option (b) is the correct answer.
137
ANALYSIS:

½æ¨Ëê£¨ΑË×æ«ËÄΑλμΑÄΑË×æ«ËÄΑλμΑöËê½Αæ¨Αæ¨ΑææÄæ«ËÄΑË¢Αæ¨ΑÄ«æÞΑλ«¢ΑËÄΑ××½«ÞΑÙêæΑ½Ë£«μΡΑ
«æΑÃ«£¨æΑΑÚ«ÞºüΑæËΑÞææ½Α¢ËÚΑËÄΑË¢Αæ¨ΑæöËΑË×æ«ËÄÞΠΑ+¢Αæ¨ΑÙêÞæ«ËÄΑ«ÞΑÄËæΑ«Ćê½æΡΑ«æΑ«ÞΑÄËæΑõÚüΑÞüΑ«æ¨ÚΠ
SOURCE : +æΑöÞΑû×½«ÄΑ«ÄΑΑBËõÃÚΑ͉͋͊͑Α+Ä«ÄΑû×ÚÞÞΑÚæ«½ΠΑT½ÞΑĈÄΑæ¨ΑÞÚÄÞ¨ËæΑË¢Αæ¨Α
article below.

PRELIMS MENTORING PROGRAM 2024

2024
15 March Duration: 2 Months
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live practice, and peer interaction
guidance
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Prelims, CSAT, and Current Affairs
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documents
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for preparation insights and motivation
138
Year 2023 Niger

ANALYSIS:
1. The Government of India provides Minimum Support Price for niger (Guizotia abyssinicia) seeds.
2. Niger is cultivated as a Kharif crop.
3. Some tribal people in India use niger seed oil for cooking.
(a) Only one
(b) Only two
(c) All three
(d) None
ANSWERS C
EXPLANATION
HÄΑË¢Αæ¨Α͍͊Αº¨Ú«¢ΑÚË×ÞΑ¢ËÚΑö¨«¨Αæ¨ΑÄæÚΑÚ½ÞÞΑΑÃ«Ä«ÃêÃΑÞê××ËÚæΑ×Ú«ΑλA[TμΑõÚüΑüÚΑ«ÞΑÄΑ
êÄ½«º½üΑ×½ÄæΑ½½ΑÄ«£ÚΑËÚΑÚÃæ«½Αλ#ê«āËæ«ΑüÞÞ«Ä«μΠΑb¨«ÞΑ½ÞÞÚΑºÄËöÄΑË«½ÞΑËÃÃÄÞΑËÄΑË¢Αæ¨Α
¨«£¨ÞæΑ A[TÞΡΑ ĈûΑ ËÄΑ æ¨Α Þ«ÞΑ Ë¢Α æ¨Α ËÞæΑ Ë¢Α ×ÚËêæ«ËÄΑ ÄΑ ÃÚºæΑ ÃÄΠΑ xæΡΑ æ¨Α ÚΑ êÄÚΑ «æÞΑ
ê½æ«õæ«ËÄΑ¨ÞΑÄΑÞæ«½üΑÞ¨Ú«Äº«Ä£ΑËõÚΑæ¨Α×ÞæΑæ¨ÚΑÞΠΑ+ÄΑ͎͊͒͑α͑͏ΡΑÄ«£ÚΑöÞΑê½æ«õæΑËÄΑ
ÚËêÄΑ͉Π͏ΑÃ«½½«ËÄΑ¨æÚÞΑλ¨μΠ Hence statement 1 and statement 2 is correct.
+ÄΑ͉͉͋͋α͋͊ΡΑæ¨Αê½æ«õæΑÚΑÞ¨ÚêÄºΑüΑ͉͑Α×ÚΑÄæΑæËΑΑ½«ææ½ΑËõÚΑ͉Π͊ΑÃ«½½«ËÄΑ¨ΡΑæ¨Α½ËöÞæΑÃËÄ£Αæ¨Α͍͊Α
º¨Ú«¢ΑÚË×ÞΑö«æ¨ΑA[TΠΑb¨Α×Ú«ÃÚüΑÚÞËÄΑÞê¨ΑΑÞ×ÚÞ½üΑ£ÚËöÄΑÚË×Α«ÞΑ×ÚæΑË¢Αæ¨Αû½êÞ«õΑA[TΑ½«ÞæΑ«ÞΑ
êÞΑ Ä«£ÚΑ ÞΑ ¨ÞΑæÚ«æ«ËÄ½½üΑ ύÄΑæ¨Α ½«¢½«ÄΑ Ë¢ΑæÚ«½Α £Ú«ê½æêÚΑ ÄΑ ËÄËÃüΑ «ÄΑ ÞõÚ½Α ÞææÞΑ
ÚËÞÞΑ+Ä«ΠΑ
b¨ΑæÚ«½Α×Ë×ê½æ«ËÄΑêÞÞΑÄ«£ÚΑÞΑË«½Α¢ËÚΑËËº«Ä£ΡΑæ¨Α×ÚÞÞΑºΑ×ËÞæΑË«½αûæÚæ«ËÄΑÞΑ½«õÞæËºΑ¢ΡΑÄΑ
½ÞËΑËÄÞêÃΑæ¨ΑÞÞΑÞΑΑËÄ«ÃÄæΠΑB«£ÚΑÞΑË«½Α¨ÞΑÃ««Ä½Α×ÚË×Úæ«ÞΡΑö¨«¨Α«ÞΑæ¨ΑÚÞËÄΑ¢ËÚΑ«æÞΑ
ËÃÃÚ«½Α ÃÄΑ üΑ æ¨Α ËÞÃæ«ÞΡΑ ×Ú¢êÃÚ«ÞΑ ÄΑ Ëæ¨ÚΑ ½½«Α «ÄêÞæÚ«ÞΠΑ (ÄΑ ÞææÃÄæΑ ͌Α «ÞΑ
correct.
ANALYSIS:

BËΑ ÞË×Α ÞΑ æ¨Α ÙêÞæ«ËÄΑ «ÞΑ ×êÚ½üΑ ¢æê½Α ÄΑ æ¨Α fT[ϐÞΑ ÄöΑ ×ææÚÄΑ ¨ÞΑ ½«Ã«ÄæΑ æ¨Α ÞË×Α ¢ËÚΑ
½«Ã«Äæ«ËÄΑ××½ü«Ä£Αæ¨Α½ÞÞ«Α½«Ã«Äæ«ËÄΑæ¨Ä«ÙêΠ
BËÚÃ½½üΡΑA[TΑ«ÞΑ½öüÞΑ«ÄΑæ¨ΑÄöÞΑÄΑ¨ÞΑÄΑõÚüΑ«Ã×ËÚæÄæΑ¢ÚËÃΑæ¨Α[Α×Ë«ÄæΑË¢Αõ«öΠ
×ÚæΑ¢ÚËÃΑæ¨æΡΑΑÄ«£ÚÞΑöÞΑ«ÄΑæ¨ΑÄöÞΑ¢ËÚΑæ¨Α½«ÄΑ«ÄΑÚΑêÄÚΑ×ÚËêæ«ËÄΠ
SOURCE : Standard newspaper or magazines (Down To Earth) as this current affairs-derived

https://www.downtoearth.org.in/news/agriculture/illusive-oil-
seed-india-s-niger-seed-cultivation-is-declining-here-is-why-84380
139
140
FOOD PROCESSING: INDUSTRIES

λ͋ΑVêÞæ«ËÄÞμ
Year 2022 E-COMMERCE
V͊ΠΑr«æ¨Α Ú¢ÚÄΑæËΑ¢ËÚ«£ÄαËöÄΑ αËÃÃÚΑĈÚÃÞΡΑ Ë×Úæ«Ä£Α «ÄΑ +Ä«ΡΑö¨«¨Α Ë¢Αæ¨Α¢Ë½½Ëö«Ä£Α

ÞææÃÄæÞΑ«ÞέÚΑËÚÚæΧ
1. They can sell their own goods in addition to offering their platforms as market-places.
2. The degree to which they can own big sellers on their platforms is limited.
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
ANSWERS D
ËÄÞêÃÚΑ TÚËææ«ËÄΑ λαËÃÃÚμΑ Wê½ÞΡΑ ͉͉͋͋Α ĈÄΑ αËÃÃÚΑ Äæ«æüΑ λ½ÞËΑ¢ËÚ«£ÄΑ ËöÄμΑ ÞΑ ÄüΑ
×ÚÞËÄΑö¨ËΑËöÄÞΡΑË×ÚæÞΑËÚΑÃÄ£ÞΑ«£«æ½ΑËÚΑ½æÚËÄ«Α¢«½«æüΑËÚΑ×½æ¢ËÚÃΑ¢ËÚΑ½æÚËÄ«ΑËÃÃÚΡΑ
êæΑËÞΑÄËæΑ«Ä½êΑΑÞ½½ÚΑËąÚ«Ä£Α¨«ÞΑ£ËËÞΑËÚΑÞÚõ«ÞΑ¢ËÚΑÞ½ΑËÄΑΑÃÚºæ×½ΑαËÃÃÚΑÄæ«æüΠΑ
Hence statement 1 is not correct.
Marketplace based model of e-commerce ÃÄÞΑ×ÚËõ««Ä£ΑÄΑ+bΑ×½æ¢ËÚÃΑüΑÄΑαËÃÃÚΑÄæ«æüΑËÄΑΑ
«£«æ½ΑϞΑ½æÚËÄ«ΑÄæöËÚºΑæËΑæΑÞΑΑ¢«½«ææËÚΑæöÄΑêüÚΑÄΑÞ½½ÚΠ
HÄΑËæ¨ÚΑ¨ÄΡΑInventory based model of e-commerce ÃÄÞΑÄΑαËÃÃÚΑæ«õ«æüΑö¨ÚΑ«ÄõÄæËÚüΑË¢Α
£ËËÞΑÄΑÞÚõ«ÞΑ«ÞΑËöÄΑüΑαËÃÃÚΑÄæ«æüΑÄΑ«ÞΑÞË½ΑæËΑæ¨ΑËÄÞêÃÚÞΑ«Úæ½üΠΑ(ËöõÚΡΑ"+Α«ÞΑ
ÄËæΑ×ÚÃ«ææΑ«ÄΑ«ÄõÄæËÚüΑÞΑÃË½ΑË¢ΑαËÃÃÚΠ
ËÚ«Ä£ΑæËΑ£ê«½«ÄÞΑ¢ËÚΑ"+Αλ"ËÚ«£ÄΑ«ÚæΑ+ÄõÞæÃÄæμΑËÄΑαËÃÃÚΡΑαËÃÃÚΑÄæ«æüΑ×ÚËõ««Ä£Α
ΑÃÚºæ×½Αö«½½ΑÄËæΑûÚ«ÞΑËöÄÚÞ¨«×ΑËÚΑËÄæÚË½ΑËõÚΑæ¨Α«ÄõÄæËÚüΑ«ΠΠΑ£ËËÞΑ×êÚ×ËÚæΑæËΑΑÞË½Π Such
an ownership or control over the inventory will render the business into inventory based model.
+ÄõÄæËÚüΑË¢ΑΑõÄËÚΑö«½½ΑΑÃΑæËΑΑËÄæÚË½½ΑüΑαËÃÃÚΑÃÚºæ×½ΑÄæ«æüΑ«¢ΑÃËÚΑæ¨ÄΑ͎͋АΑ
Ë¢Α ×êÚ¨ÞÞΑ Ë¢Α Þê¨Α õÄËÚΑ ÚΑ ¢ÚËÃΑ æ¨Α ÃÚºæ×½Α Äæ«æüΑ ËÚΑ «æÞΑ £ÚËê×Α ËÃ×Ä«ÞΠ There are no
guidelines on the limit of the big sellers that such an e-commerce platform have. Hence statement 2 is
not correct.
ANALYSIS:
Ú¢æΑË¢Α×ÚË×ËÞΑÃÄÃÄæÞΑæËΑæ¨ΑËÄÞêÃÚΑTÚËææ«ËÄΑλαËÃÃÚμΑWê½ÞΡΑ͉͉͋͋ΑöÚΑ«ÄΑæ¨ΑÄöÞΠ
141
[Ë×Α¢ËÚΑ½«Ã«Äæ«ËÄ
Scope for elimination: BËΑÞË×ΑÞΑæ¨ΑÞææÃÄæÞΑÚΑ¢æê½Α«ÄΑÄæêÚΠ
Market-place model:Αb¨ΑÃÚºæ×½ΑÃË½ΑÚ¢ÚÞΑæËΑæ¨ΑêÞ«ÄÞÞΑÞæÚæ£üΑ«ÄΑö¨«¨ΑαËÃÃÚΑ
ÃÚºæ×½ÞΑ×ÚËõ«ΑÄêÃÚËêÞΑõÄËÚÞΑö«æ¨ΑΑÄæÚ½«āΑ×½æ¢ËÚÃΑö¨ÚΑæ¨üΑÃüΑÞ½½Αæ¨«ÚΑ«æÃÞΑ
ö¨«½ΑÄ££«Ä£Αö«æ¨Α×ËæÄæ«½ΑêüÚÞΠ
Inventory model: b¨Α+ÄõÄæËÚüαÞΑÃË½Α«ÞΑËÄΑ«ÄΑö¨«¨ΑαËÃÃÚΑ×½æ¢ËÚÃÞΑ¨Ë½Α«ÄõÄæËÚüΑ
¢ÚËÃΑÚÄÞΡΑÃÚ¨ÄæÞΡΑÄΑÞ½½ÚÞΑÄΑÞ½½Α«æΑ«Úæ½üΑæËΑêÞæËÃÚÞΠΑ+ÄõÄæËÚüαÞΑÃÚºæ×½ÞΑ
ÃÄ£Αæ¨ΑÞæËº×«½ÞΑË¢Αæ¨«ÚΑõÄËÚÞΡΑÞÞ«Þæ«Ä£Αæ¨ÃΑ«ÄΑËÚÚΑ¢ê½Ĉ½ÃÄæΠ
[HfWΑ΢ ¨ææ×Þ΢έέËÄÞêÃÚą«ÚÞΠÄ«Π«ÄέÞ«æÞέ¢ê½æέĈ½ÞέА͉͋ËÃÃÚА͉͋Úê½ÞΠ×¢
¨ææ×Þ΢έέ×««æΠ£ËõΠ«ÄέÞ«æÞέ¢ê½æέĈ½Þέ×Ä͌ε͉͋͊͏ε͉Π×¢
¨ææ×Þ΢έέ×«Π£ËõΠ«ÄέTÚÞÞÚ½ÞÞ¨ÚΠÞ×ûΧTW+Ͻ͎͎͎͉͊͒͑
Year 2023 MSME
V͋ΠΑËÄÞ«ÚΑæ¨Α¢Ë½½Ëö«Ä£ΑÞææÃÄæÞΑö«æ¨ΑÚ¢ÚÄΑæËΑ+Ä«΢Α
1. According to the 'Micro Small and Medium enterprises Development (MSMED) Act, 2006, the 'medium enterprises'
are those with investments in plant and machinery between Rs. 15 crore and Rs. 25 crore.
2. All bank loans to the Micro, Small and Medium Enterprises qualify under the Priority sector.
(a) 1 Only
(b) 2 Only
(c) Both 1 and 2
(d) Neither 1 nor 2
ANSWERS D
EXPLANATION
fÄ«ËÄΑA«Ä«ÞæÚüΑË¢ΑA«ÚËΡΑ[Ã½½ΑÄΑA«êÃΑÄæÚ×Ú«ÞÞΑλAέËΑA[AÞμΑ¨ÞΑ«ÞÞêΑ#āææΑÄËæ«Ĉæ«ËÄΑæËΑ
×õΑ öüΑ ¢ËÚΑ æ¨Α «Ã×½ÃÄææ«ËÄΑ Ë¢Α æ¨Α ê×öÚΑ Úõ«Þ«ËÄΑ «ÄΑ æ¨Α ĈÄ«æ«ËÄΑ ÄΑ Ú«æÚ«Α Ë¢Α A[AÞΑ «ÄΑ æ¨Α
ËêÄæÚüΠΑb¨ΑÄöΑĈÄ«æ«ËÄΑÄΑÚ«æÚ«ËÄΑö«½½ΑËÃΑ«ÄæËΑąæΑ¢ÚËÃΑ͊ÞæΑ6ê½üΡΑ͉͉͋͋Π
As per the new criteria, a medium enterprise is where the investment in Plant and Machinery or
Ùê«×ÃÄæΑËÞΑÄËæΑûΑĈ¢æüΑÚËÚΑÚê×ÞΑÄΑæêÚÄËõÚΑËÞΑÄËæΑûΑæöËΑ¨êÄÚΑÄΑĈ¢æüΑ
crore rupees. In terms of Master Direction on ‘Priority Sector Lending (PSL) – Targets and
½ÞÞ«Ĉæ«ËÄϐΑ æΑ [×æÃÚΑ ͍ΡΑ ͉͉͋͋ΡΑ ½½Α ÄºΑ ½ËÄÞΑ æËΑ A[AÞΑ ËÄ¢ËÚÃ«Ä£Α æËΑ æ¨Α ËÄ«æ«ËÄÞΑ
×ÚÞÚ«Αæ¨Ú«ÄΑÙê½«¢üΑ¢ËÚΑ½ÞÞ«Ĉæ«ËÄΑêÄÚΑ×Ú«ËÚ«æüΑÞæËÚΑ½Ä«Ä£Π
ËÚ«Ä£ΑæËΑæ¨ÞΑ«Úæ«ËÄÞΡΑA[AÞΑÞ¨Ëê½ΑΑÄ££Α«ÄΑæ¨ΑÃÄê¢æêÚΑËÚΑ×ÚËêæ«ËÄΑË¢Α£ËËÞΡΑ«ÄΑ
ÄüΑÃÄÄÚΡΑ×Úæ«Ä«Ä£ΑæËΑÄüΑ«ÄêÞæÚüΑÞ×«ĈΑ«ÄΑæ¨Α"«ÚÞæΑ[¨ê½ΑæËΑæ¨Α+ÄêÞæÚ«ÞΑλõ½Ë×ÃÄæΑÄΑ
W£ê½æ«ËÄμΑæΡΑ ͎͊͒͊Α ËÚΑ Ä££Α «ÄΑ ×ÚËõ««Ä£Α ËÚΑ ÚÄÚ«Ä£Α Ë¢Α ÄüΑ ÞÚõ«Α ËÚΑ ÞÚõ«ÞΠΑ½½Α ÄºΑ ½ËÄÞΑæËΑ
A[AÞΑËÄ¢ËÚÃ«Ä£ΑæËΑæ¨ΑËõΑ£ê«½«ÄÞΑÙê½«¢üΑ¢ËÚΑ½ÞÞ«Ĉæ«ËÄΑêÄÚΑ×Ú«ËÚ«æüΑÞæËÚΑ½Ä«Ä£ΠΑHence
both statements are not correct.
142
ANALYSIS:
ANALYSIS:
A[AÞΑöÚΑÚ½ÞÞ«ĈΑÄΑA[AÞΑÄΑT[;ΑÚΑË¢æÄΑÞÄΑ«ÄΑæ¨ΑÄöÞΠ
(ËöΑæËΑËõÚΧΑ[æÄÚΑÄöÞ××Ú
¨ææ×Þ΢έέöööΠæ¨¨«ÄêΠËÃέêÞ«ÄÞÞέÃÞÃÞαÄËæαÞææ«αêæα£ÚËö«Ä£α«ÄαÞ«āαÞÞÚæÞαΑĈÄÃ«ÄέÚæ«α
½͏͏͏͏͉͉͒͑Π
ΑÞÚÄÞ¨ËæΑË¢Αæ¨ΑËõΑÚæ«½Α«ÄΑö¨«¨ΑA[AÞΑ¨õΑÄΑæ£ËÚ«ÞΑ«ÞΑÞ¨ÚΑ½Ëö
½æ¨Ëê£¨Αæ¨ΑÞËÄΑÞææÃÄæΑ½ÞËΑ«Ä½êÞΑT[;ΡΑêæΑËõÚ½½Αæ¨ΑÙêÞæ«ËÄΑ«ÞΑÚ½æΑæËΑA[AÞΑÄΑÄËæΑ
Äº«Ä£Α«ÄΑ£ÄÚ½Π
BËΑÞË×ΑÞΑæ¨ΑÙêÞæ«ËÄΑ«ÞΑ¢æê½Π
b¨ΑÞËÄΑÞææÃÄæΑ«ÞΑΑ½ÄºæΑÞææÃÄæΑÄΑæ¨Ú¢ËÚΑÞÃ«Ä£½üΑöÚËÄ£ΡΑêæΑ£«ÄΑæ¨ΑöËÚΑϏ½½ϐΑÃüΑ
ΑΑæÚ×ΠΑb¨ΑWÞÚõΑ ÄºΑË¢Α+Ä«ϐÞΑöÞ«æÞΑÄÞöÚÞΑæ¨ΑËêæΑÚ½æΑæËΑ½«£««½«æüΑË¢Αæ¨ΑA[AÞΑ¢ËÚΑ
TÚ«ËÚ«æüΑ[æËÚΑ;Ä«Ä£ΑλT[;μΠΑ
[HfWΑ΢ ¨ææ×Þ΢έέÃÞÃΠ£ËõΠ«ÄέºÄËöαËêæαÃÞÃ
143
½ÞÞ«Ĉæ«ËÄ Micro Small Medium
Manufacturing +ÄõÞæÃÄæΑ«ÄΑT½ÄæΑ +ÄõÞæÃÄæΑ«ÄΑT½ÄæΑ +ÄõÞæÃÄæΑ«ÄΑT½ÄæΑ

Enterprises and ÄΑA¨«ÄÚüΑËÚΑ ÄΑA¨«ÄÚüΑËÚΑ ÄΑA¨«ÄÚüΑËÚΑ
Enterprises Ùê«×ÃÄæ΢ Ùê«×ÃÄæ΢ Ùê«×ÃÄæ΢
rendering Services BËæΑÃËÚΑæ¨ÄΑWÞΠ͊Α BËæΑÃËÚΑæ¨ÄΑWÞΠ͉͊Α BËæΑÃËÚΑæ¨ÄΑWÞΠ͎͉Α

ÚËÚΑÄΑÄÄê½Α ÚËÚΑÄΑÄÄê½Α ÚËÚΑÄΑÄÄê½Α
bêÚÄËõÚΑΣΑÄËæΑÃËÚΑ bêÚÄËõÚΑΣΑÄËæΑÃËÚΑ bêÚÄËõÚΑΣΑÄËæΑÃËÚΑ
æ¨ÄΑWÞΠΑ͎ΑÚËÚ æ¨ÄΑWÞΠΑ͎͉ΑÚËÚ æ¨ÄΑWÞΠΑ͎͉͋ΑÚËÚ
INFRASTRUCTURE
Year 2017 NIIF
V͊ΠΑ r«æ¨Α Ú¢ÚÄΑ æËΑ ϏBæ«ËÄ½Α +ÄõÞæÃÄæΑ ÄΑ +Ä¢ÚÞæÚêæêÚΑ "êÄϐΡΑ ö¨«¨Α Ë¢Α æ¨Α ¢Ë½½Ëö«Ä£Α
ÞææÃÄæÞΑ«ÞέÚΑËÚÚæΧΑ
1. It is an organ of NITI Aayog.
2. It has a corpus of Rs. 4,00,000 crore at present.
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
ANSWERS D
EXPLANATION
Bæ«ËÄ½Α +ÄõÞæÃÄæΑ ÄΑ +Ä¢ÚÞæÚêæêÚΑ "êÄΑ λB++"μΑ «ÞΑ Α ¢êÄΑ ÚæΑ üΑ æ¨Α #ËõÚÄÃÄæΑ Ë¢Α +Ä«Α ¢ËÚΑ
Ä¨Ä«Ä£Α «Ä¢ÚÞæÚêæêÚΑ ĈÄÄ«Ä£Α «ÄΑ æ¨Α ËêÄæÚüΠΑ +æÞΑ Úæ«ËÄΑ öÞΑ ÄÄËêÄΑ «ÄΑ æ¨Α fÄ«ËÄΑ ê£æΑ
͉͎͋͊α͊͏ΠΑ#ËõÚÄ«Ä£ΑËêÄ«½ΑË¢ΑB++"Α«ÞΑÄΑõ«ÞËÚüΑËüΑαΑ¨«ÚΑüΑæ¨Α"«ÄÄΑA«Ä«ÞæÚΠΑ+æΑ«ÞΑÄËæΑÄΑËÚ£ÄΑ
Ë¢ΑB+b+ΑüË£ΠΑHence statement 1 is not correct.
b¨Α×ÚË×ËÞΑËÚ×êÞΑË¢ΑB++"Α«ÞΑWÞΠΑ͍͉Ρ͉͉͉ΑÚËÚÞΑλÚËêÄΑf[Α͏Α «½½«ËÄμΠΑHence statement 2 is also not
correct.
144
ANALYSIS:
+Ä¢ÚÞæÚêæêÚΑ¨ÞΑÄΑΑõÚüΑ«Ã×ËÚæÄæΑ¢ËêÞΑÚΑË¢Αæ¨Α£ËõÚÄÃÄæΑÄΑæ¨Ú¢ËÚΑB++"Α¨ΑÚÃ«ÄΑ
ËÄæ«ÄêËêÞ½üΑ«ÄΑÄöÞΑ«ÄΑæ¨Α͉͋͊͐ΠΑb¨ΑæË×«Α«ÞΑ½ÞËΑ«Ã×ËÚæÄæΑ¢ÚËÃΑæ¨Α×ÚÞ×æ«õΑË¢ΑËõÚ«Ä£ΑºüΑĈÄÄ«½Α
«ÄÞæ«æêæ«ËÄÞΑË¢Αæ¨ΑËêÄæÚüΠΑ
BËæΑÃê¨ΑÞË×Α«ÞΑæ¨ÚΑÞΑ«æΑ«ÞΑΑ×êÚ½üΑ¢æê½ΑÙêÞæ«ËÄΡΑêæΑËÄΑËê½Α¨õΑæ¨Ëê£¨æΑ¨ËöΑB+b+ΑüË£ΡΑΑ
½«Úæ«õΑÄΑ×½ÄÄ«Ä£ΑËüΡΑËê½ΑÚæΑÞê¨ΑΑ¢êÄΑæËΑËËÞæΑ«Ä¢ÚÞæÚêæêÚΠΑb¨êÞΑüΑÞÞêÃ«Ä£Αæ¨æΑ
ÞææÃÄæΑ͊Α«ÞΑÄËæΑËÚÚæΡΑËÄΑËê½Α¨õΑ£ËæΑÚ«ΑË¢ΑË×æ«ËÄÞΑλμΑÄΑλμΠΑ
[HfWΑ΢ ¨ææ×΢έέöööΠæ¨¨«ÄêΠËÃέêÞ«ÄÞÞέ+ÄêÞæÚüέ#ËõæΠαÃê½½ÞαА͋А͉͑АΑ͒͑Ëêæα
ËÃα½«ÄºА͋А͉͑А͒͒α«ÄÄæ«õα¢ËÚαB++"α¨«¢έÚæ«½͍͊͌͐͑͌͒͒Π
¨ææ×΢έέÚæ¨×«Π«Äέ«ÄûΠ×¨×А͌"æ«æ½А͌Bæ«ËÄ½ε+ÄõÞæα
ÃÄæεÄε+Ä¢ÚÞæÚêæêÚε"êÄελB++"μ
¨ææ×΢έέÄ««ĈÄ«ΠËÃέ«ÄûΠ¨æÃ½
«æ«ËÄ½Α+Ä¢ËÚÃæ«ËÄ
+""WBΑ brBΑB+"ΑBΑB++"
NIF: National Investment Fund (NIF)Α öÞΑ Þæ½«Þ¨Α æËΑ Ú«õΑ «Þ«ÄõÞæÃÄæΑ
×ÚËÞΑ Ë¢Α ÄæÚ½Α ×ê½«Α ÞæËÚΑ ÄæÚ×Ú«ÞÞΑ ÄΑæËΑ «ÄõÞæΑæ¨Α ÞÃΑæËΑ £ÄÚæΑ
ÚÄ«Ä£ÞΑö«æ¨ËêæΑ×½æ«Ä£Αæ¨ΑËÚ×êÞΠΑb¨ΑÚÄ«Ä£ÞΑË¢Αæ¨Α"êÄΑöÚΑæËΑΑêÞΑ¢ËÚΑ
Þ½æΑ ÄæÚ½Α ÞË«½Α ö½¢ÚΑ [¨ÃÞΑ ϞΑ ×«æ½Α «ÄõÞæÃÄæΑ ÚÙê«ÚÃÄæÞΑ Ë¢Α
×ÚËĈæ½ΑÄΑÚõ«õ½ΑT[fÞΠΑb¨«ÞΑ¢êÄΑöÞΑº×æΑËêæÞ«Αæ¨ΑËÄÞË½«æΑ¢êÄΑË¢Α
+Ä«ΠΑb¨Α¢êÄΑÃΑË×Úæ«ËÄ½Α«ÄΑ͉͉͎͋ΠΑÄæ«ÚΑ«Þ«ÄõÞæÃÄæΑ×ÚËÞΑÚΑæËΑΑ
Ú«æΑæËΑæ¨Αû«Þæ«Ä£ΑϏTê½«ΑËêÄæϐΑêÄÚΑæ¨Α¨ΑB+"ΑÄΑæ¨üΑöËê½ΑÚÃ«ÄΑ
æ¨ÚΑêÄæ«½Αö«æ¨ÚöÄέ«ÄõÞæΑ¢ËÚΑæ¨Α××ÚËõΑ×êÚ×ËÞΠΑb¨Α½½Ëæ«ËÄÞΑËêæΑË¢Αæ¨Α
B+"Αö«½½ΑΑ«Α«ÄΑæ¨ΑÄÄê½Α#ËõÚÄÃÄæΑ ê£æΠΑ
NIIF: National Investment and Infrastructure FundΑ«ÞΑ+Ä«ϐÞΑĈÚÞæΑ«Ä¢ÚÞæÚêæêÚΑÞ×«ĈΑ«ÄõÞæÃÄæΑ¢êÄΠΑ

b¨«ÞΑ«ÞΑ«ąÚÄæΑ¢ÚËÃΑæ¨ΑBæ«ËÄ½Α+ÄõÞæÃÄæΑ"êÄΠΑb¨ΑË¶æ«õΑË¢ΑB++"ΑöËê½ΑΑæËΑÃû«Ã«āΑËÄËÃ«Α
«Ã×æΑ Ã«Ä½üΑæ¨ÚËê£¨Α «Ä¢ÚÞæÚêæêÚΑ õ½Ë×ÃÄæΑ «ÄΑ ËÃÃÚ«½½üΑõ«½Α ×ÚË¶æÞΡΑ Ëæ¨Α £ÚÄĈ½Α ÄΑ
ÚËöÄĈ½ΡΑ«Ä½ê«Ä£ΑÞæ½½Α×ÚË¶æÞΠΑb¨ΑËÚ×êÞΑË¢ΑB++"Α«ÞΑWÞΠΑ͍͉Ρ͉͉͉ΑÚËÚÞΠΑb¨Α£ËõÚÄÃÄæΑÄΑ×ÚËõ«Α
ê×ΑæËΑ͉͉͉͉͋ΑÚËÚÞΑ×ÚΑÄÄêÃΑ«ÄæËΑæ¨ÞΑ¢êÄÞΠΑ#ËõÚÄÃÄæϖÞΑËÄæÚ«êæ«ËÄέÞ¨ÚΑ«ÄΑæ¨ΑËÚ×êÞΑö«½½ΑΑ͍͒АΑ
«ÄΑ ¨Α Äæ«æüΑ ÞæΑ ê×Α ÞΑ ÄΑ ½æÚÄæΑ +ÄõÞæÃÄæΑ "êÄΑ λ+"μΑ ÄΑ ö«½½Α Ä«æ¨ÚΑ Α «ÄÚÞΑ üËÄΑ ÄËÚΑ
½½ËöΑæËΑ¢½½Α½ËöΡΑ͍͒АΠΑb¨Αö¨Ë½ΑË¢Α͍͒АΑöËê½ΑΑËÄæÚ«êæΑüΑæ¨Α#ËõÚÄÃÄæΑ«Úæ½üΠΑWÞæΑ«ÞΑË×ÄΑ
¢ËÚΑËÄæÚ«êæ«ËÄΑ¢ÚËÃΑËæ¨ÚÞΠ
145
Year 2023 PORTS
V͋ΠËÄÞ«ÚΑæ¨Α¢Ë½½Ëö«Ä£Α×«ÚÞ΢Α
TËÚæΑΑ r½½ΑºÄËöÄΑÞΑ
1. Kamarajar Port : First major port in India registered as a company
2. Mundra Port : Largest privately owned port in India
3. Visakhapatnam: Largest container port in India
How many of the above pairs are correctly matched?
(a) Only one pair
(b) Only two pairs
(c) All three pairs
(d) None of the pairs
ANSWERS B
EXPLANATION
Pair 1 is correctly matched: 9ÃÚ¶ÚΑ TËÚæΡΑ ½ËæΑ ËÄΑ æ¨Α ËÚËÃÄ½Α ËÞæΑ ËêæΑ ͍͋Α ºÃΑ ÄËÚæ¨Α Ë¢Α
¨ÄÄ«Α TËÚæΡΑ ¨ÄÄ«ΡΑ «æΑ «ÞΑ æ¨Α ͊͋æ¨Α Ã¶ËÚΑ ×ËÚæΑ Ë¢Α +Ä«ΡΑ ÄΑ æ¨Α ĈÚÞæΑ ×ËÚæΑ «ÄΑ +Ä«Α ö¨«¨Α «ÞΑ Α ×ê½«Α
ËÃ×ÄüΠΑ b¨Α ×ËÚæΑ öÞΑ ½ÚΑ ÞΑ Α Ã¶ËÚΑ ×ËÚæΑ êÄÚΑ æ¨Α +Ä«ÄΑ TËÚæÞΑ æΡΑ ͉͊͒͑Α «ÄΑ AÚ¨Α ͊͒͒͒Α ÄΑ
«ÄËÚ×ËÚæΑÞΑÄÄËÚΑTËÚæΑ;«Ã«æΑêÄÚΑæ¨ΑËÃ×Ä«ÞΑæΡΑ͎͊͒͏Α«ÄΑHæËÚΑ͊͒͒͒ΠΑb¨Α9ÃÚ¶ÚΑTËÚæΑ
«ÞΑæ¨ΑËÄ½üΑËÚ×ËÚæ«āΑÃ¶ËÚΑ×ËÚæΑÄΑ«ÞΑÚ£«ÞæÚΑÞΑΑËÃ×ÄüΠΑ
Pair 2 is correctly matched:ΑTËÚæΑË¢ΑAêÄÚΑ«ÞΑ+Ä«ϐÞΑ«££ÞæΑ×Ú«õæΑ×ËÚæΠΑ;ËæΑ«ÄΑæ¨Α9êæ¨Α«ÞæÚ«æΑË¢Α
æ¨ΑÞææΑË¢Α#ê¶ÚæΡΑAêÄÚΑ½«ÞΑËÄΑæ¨ΑÄËÚæ¨ΑÞ¨ËÚÞΑË¢Αæ¨Α#ê½¢ΑË¢Α9êæ¨Π
T«ÚΑ ͌Α «ÞΑ ÄËæΑ ËÚÚæ½üΑ Ãæ¨΢ΑÞΑ Ë¢Α AüΑ ͉͋͋͌ΡΑæ¨Α 6ö¨Ú½½Α B¨ÚêΑ TËÚæΑêæ¨ËÚ«æüΑ λ6BTμΑ æΑ Bõ«Α
AêÃ«Α öÞΑ æ¨Α ×ÚÃ«ÚΑ ËÄæ«ÄÚΑ ¨Ä½«Ä£Α ×ËÚæΑ «ÄΑ +Ä«ΡΑ ËêÄæ«Ä£Α ¢ËÚΑ ÚËêÄΑ ͎͉АΑ Ë¢Α æ¨Α æËæ½Α
ËÄæ«ÄÚ«āΑÚ£ËΑõË½êÃΡΑÚËÞÞΑæ¨ΑÃ¶ËÚΑ×ËÚæÞΑË¢Α+Ä«ΠΑËÃÃ«ÞÞ«ËÄΑËÄΑ͋͏Αæ¨ΑAüΑ͊͒͑͒ΡΑ«ÄΑæ¨ÚΑ
ÞΑ Ë¢Α «æÞΑ Ë×Úæ«ËÄÞΡΑ 6BTΑ ¨ÞΑ æÚÄÞ¢ËÚÃΑ ¢ÚËÃΑ Α ê½ºαΑ Ú£ËΑ æÚÃ«Ä½Α æËΑ ËÃΑ æ¨Α ×ÚÃ«ÚΑ
ËÄæ«ÄÚΑ×ËÚæΑ«ÄΑæ¨ΑËêÄæÚüΠΑ6BTΑ«ÞΑËÄÄæΑæËΑËõÚΑ͉͉͋Α×ËÚæÞΑ«ÄΑæ¨ΑöËÚ½ΑÄΑ«ÞΑÚÄºΑ͋͏æ¨Α«ÄΑæ¨Α
½«ÞæΑË¢ΑæË×Α͉͉͊ΑËÄæ«ÄÚΑTËÚæÞΑ£½Ë½½üΠΑÞΑ×ÚΑæ¨ΑÚÄæΑĈÄ«Ä£ÞΑ«æΑ«ÞΑ½«õΑæ¨æΑæ¨æΑAêÄÚΑ×ËÚæΑ«ÞΑ
the biggest container port.
ANALYSIS:
ANALYSIS:
b¨Α ×ËÚæÞΑ Ë¢æÄΑ ××ÚΑ «ÄΑ
æ¨Α ÄöÞΡΑ Þ×«½½üΑ
AêÄÚΑ ×ËÚæΑ ö¨«¨Α «ÞΑ Α
×Ú«õæ½üΑËöÄΑ×ËÚæΑË¢Αæ¨Α
Ä«Α£ÚËê×Π
There is no scope for elimination ÞΑÄüΑÄêÃÚΑË¢Α×«ÚÞΑÃüΑΑËÚÚæ½üΑÃæ¨Π
Source: ÄΑ Úæ«½Α «ÄΑ b¨Α («ÄêΑ λ×Ú«½ΡΑ ͉͋͋͌μΑ «ÞêÞÞÞΑ æ¨Α ×ÚËĈæΑ Ë¢Α æ¨Α 9ÃÚ¶ÚΑ TËÚæΑ ;æΠΑb¨«ÞΑ Ϗ;æϐΑ
means that the port is registered as a company.Α+¢ΑÄΑÞ×«ÚÄæΑ×üÞΑ£ÚæÚΑææÄæ«ËÄΑæËΑ¨ËöΑæÚÃÞΑÚΑ
ÃÄæ«ËÄΑ«ÄΑæ¨ΑÚæ«½ÞΡΑæ¨ÄΑĈÄ«æ½üΑæ¨üΑËê½ΑÄÞöÚΑλ+æΑ«ÞΑÄËæΑÞüΑæ¨Ëê£¨μΠΑT½ÞΑĈÄΑ½ËöΑæ¨Α
ÞÚÄÞ¨ËæΑË¢Αæ¨æΑÚæ«½
146
ENERGY SECTOR
λ͌ΑVêÞæ«ËÄÞμ
Year 2019 REGULATORY BOARD
ΑV͊ΠΑËÄÞ«ÚΑæ¨Α¢Ë½½Ëö«Ä£ΑÞææÃÄæÞ΢
1. Petroleum and Natural Gas Regulatory Board (PNGRB) is the first regulatory body set up by the Government of India.
2. One of the tasks of PNGRB is to ensure competitive markets for gas.
3. Appeals against the decisions of PNGRB go before the Appellate Tribunals for Electricity.
(a) 1 and 2 only
(b) 2 and 3 only
(c) 1 and 3 only
(d) 1, 2 and 3
ANSWERS B
EXPLANATION
Statement 1 is not correct: b¨ΑTæÚË½êÃΑÄΑBæêÚ½Α#ÞΑW£ê½æËÚüΑ ËÚΑλTB#W μΑöÞΑËÄÞæ«æêæΑ

êÄÚΑb¨ΑTæÚË½êÃΑÄΑBæêÚ½Α#ÞΑW£ê½æËÚüΑ ËÚΑæΡΑ͉͉͋͏ΠΑ
Statement 2 is correct:Αb¨ΑæΑ×ÚËõ«Α¢ËÚΑæ¨ΑÞæ½«Þ¨ÃÄæΑË¢ΑTæÚË½êÃΑÄΑBæêÚ½Α#ÞΑW£ê½æËÚüΑ
ËÚΑ æËΑ ×ÚËææΑ æ¨Α «ÄæÚÞæÞΑ Ë¢Α ËÄÞêÃÚÞΑ ÄΑ Äæ«æ«ÞΑ Ä££Α «ÄΑ Þ×«ĈΑ æ«õ«æ«ÞΑ Ú½æ«Ä£Α æËΑ
×æÚË½êÃΡΑ ×æÚË½êÃΑ ×ÚËêæÞΑ ÄΑ ÄæêÚ½Α £ÞΑ ÄΑ æËΑ ×ÚËÃËæΑ ËÃ×æ«æ«õΑ ÃÚºæÞΑ ÄΑ ¢ËÚΑ ÃææÚÞΑ
ËÄÄæΑæ¨Úö«æ¨ΑËÚΑ«Ä«Äæ½Αæ¨ÚæËΠ
Statement 3 is correct: b¨Α××½½æΑbÚ«êÄ½ΑÞæ½«Þ¨ΑêÄÚΑÞæ«ËÄΑ͉͊͊ΑË¢Αæ¨Α½æÚ««æüΑæΡΑ͉͉͋͌Α
λ͌͏ΑË¢Α͉͉͋͌μΑ«ÞΑæ¨Α××½½æΑbÚ«êÄ½Α¢ËÚΑæ¨Α×êÚ×ËÞÞΑË¢ΑTæÚË½êÃΑÄΑBæêÚ½Α#ÞΑW£ê½æËÚüΑ ËÚΑæΡΑ
͉͉͋͏Π
ANALYSIS:
b¨Α#ËõÚÄÃÄæΑ¨ÞΑÄõ«Þ£ΑæËΑõ½Ë×Αæ¨ΑBæ«ËÄ½Α#ÞΑ#Ú«ΠΑ"ËÚΑæ¨«ÞΑæ¨ΑTæÚË½êÃΑÄΑBæêÚ½Α#ÞΑ
W£ê½æËÚüΑ ËÚΑλTB#W μΑ«ÞΑæ¨Αêæ¨ËÚ«æüΑæËΑ£ÚÄæΑêæ¨ËÚ«āæ«ËÄΑæËΑæ¨ΑÄæ«æ«ÞΑ¢ËÚΑæ¨Αõ½Ë×ÃÄæΑË¢Α
«æüΑ#ÞΑ«ÞæÚ«êæ«ËÄΑλ#μΑÄæöËÚºΑ«ÄΑ#Ë£Ú×¨«½ΑÚÞΑλ#ÞμΑÞΑ×ÚΑTB#W ΑæΡΑ͉͉͋͏Π
b¨Α Ú£ê½æËÚüΑ ËüΑ «ÞΑ Ë¢Α ÚÄæΑ ËÚ«£«ÄΠΑ b¨Α æËÃ«Α ÄÚ£üΑ W£ê½æËÚüΑ ËÚΑ öÞΑ ËÄÞæ«æêæΑ ËÄΑ ͎͊Α
BËõÃÚΑ͊͒͑͌Πb¨Ú¢ËÚΡΑ½Ú½üΑÞææÃÄæΑ͊Α«ÞΑÄËæΑËÚÚæΠΑfÞ«Ä£Αæ¨æΑ½Ë£«ΡΑöΑÄΑÚ¨Αæ¨ΑËÚÚæΑ
ÄÞöÚΠ
[HfWΑ΢ ¨ææ×΢έέöööΠ×Ä£ÚΠ£ËõΠ«ÄέËêæαêÞΠ¨æÃ½
147
Year 2019 COAL SECTOR
V͋ΠΑËÄÞ«ÚΑæ¨Α¢Ë½½Ëö«Ä£ΑÞææÃÄæÞ΢
1. Coal sector was nationalized by the Government of India under Indira Gandhi.
2. Now, coal blocks are allocated on lottery basis.
3. Till recently, India imported coal to meet the shortages of domestic supply, but now India is self-sufficient in coal
product.
(a) 1 only
(b) 2 and 3 only
(c) 3 only
(d) 1, 2 and 3
ANSWERS A
EXPLANATION
Statement 1 is correct: ÙêæΑ×«æ½Α«ÄõÞæÃÄæΑæËΑÃæΑæ¨ΑêÚ£ËÄ«Ä£ΑÄÚ£üΑÄÞΑË¢Αæ¨ΑËêÄæÚüΑ

öÞΑÄËæΑ¢ËÚæ¨ËÃ«Ä£Α¢ÚËÃΑæ¨Α×Ú«õæΑË½ΑÃ«ÄΑËöÄÚÞΠΑfÄÞ«Äæ«ĈΑÃ«Ä«Ä£Α×Úæ«ÞΑË×æΑüΑÞËÃΑ
Ë¢Α æ¨ÃΑ ÄΑ ×ËËÚΑ öËÚº«Ä£Α ËÄ«æ«ËÄÞΑ Ë¢Α ½ËêÚΑ «ÄΑ ÞËÃΑ Ë¢Α æ¨Α ×Ú«õæΑ Ë½Α Ã«ÄÞΑ ÃΑ ÃææÚÞΑ Ë¢Α
ËÄÚÄΑ¢ËÚΑæ¨Α #ËõÚÄÃÄæΠΑ HÄΑ ËêÄæΑ Ë¢Αæ¨ÞΑ ÚÞËÄÞΡΑæ¨Α ÄæÚ½Α #ËõÚÄÃÄæΑæËËºΑ Α «Þ«ËÄΑæËΑ
Äæ«ËÄ½«ÞΑæ¨Α×Ú«õæΑË½ΑÃ«ÄÞΠΑb¨ΑÄæ«ËÄ½«Þæ«ËÄΑöÞΑËÄΑ«ÄΑæöËΑ×¨ÞÞΡΑæ¨ΑĈÚÞæΑö«æ¨Αæ¨ΑËº«Ä£Α
Ë½ΑÃ«ÄÞΑ«ÄΑ͊͒͐͊α͐͋ΑÄΑæ¨ÄΑö«æ¨Αæ¨ΑÄËÄαËº«Ä£ΑË½ΑÃ«ÄÞΑ«ÄΑ͊͒͐͌Π
Statement 2 is not correct:Α ¢æÚΑ æ¨Α [ê×ÚÃΑ ËêÚæΑ Ä½½Α æ¨Α Ë½Α ½ËºΑ ½½Ëæ«ËÄÞΑ «ÄΑ ͉͍͋͊ΠΑ bËΑ
ÃÄ£Α ÄΑ Ú½½ËæΑæ¨Α Ä½½Α ½ËºÞΑ «ÄΑ ΑæÚÄÞ×ÚÄæΑ ÄΑ ËêÄæ½Α ÃÄÄÚΡΑæ¨Α Ë½Α A«ÄÞΑ
λ[×«½Α TÚËõ«Þ«ËÄÞμΑ æΡΑ ͉͎͋͊Α öÞΑ ÄæΠΑ Ä½«Ä£Α ×ÚËõ«Þ«ËÄÞΑ öÚΑ ÃΑ «ÄΑ æ¨Α ËõΑ Þ«Α æΑ ¢ËÚΑ
Ϗ½½Ëæ«ËÄΑË¢ΑË½ΑÃ«ÄÞΑüΑöüΑË¢Αêæ«ËÄΑÄΑ½½ËæÃÄæΑ¢ËÚΑæ¨ΑÞ½ΑË¢ΑË½Πϐ
+ÄΑΑÚÄæΑÄËæ«Ĉæ«ËÄΑüΑæ¨Α#ËõÚÄÃÄæΑËÄΑ͉͋æ¨Α"ÚêÚüΡΑæ¨Α£ËõÚÄÃÄæΑË×ÄΑê×ΑËÃÃÚ«½ΑË½Α
Ã«Ä«Ä£Α¢ËÚΑæ¨Α×Ú«õæΑÞæËÚΑËÄΑ"ÚêÚüΑ͉͋ΡΑÄΑ××ÚËõΑæ¨ΑÃæ¨ËË½Ë£üΑ¢ËÚΑêæ«ËÄΑË¢ΑË½ΑÃ«ÄÞΑέΑ
½ËºÞΑ¢ËÚΑÞ½ΑË¢ΑË½Π
b¨ÚΑö«½½ΑΑÄΑϏÞÄ«Ä£Α¢ËÚöÚΑêæ«ËÄϐΑααΑΑæöËαÞæ£ΑËÄ½«ÄΑêæ«ËÄΑËÃ×Ú«Þ«Ä£Αλ«μΑæ¨Ä«½Α«ΑÄΑ
λ««μΑĈÄÄ«½Α«Αö«æ¨Α«Ä«æ«½ΑÄΑĈÄ½Α×Ú«ΑËąÚÞΠΑb¨Α«Α×ÚÃæÚΑö«½½ΑΑæ¨Α×Ú«ΑËąÚΑ«ÄΑέæËÄÄΑö¨«¨Α
ö«½½ΑΑ×«ΑæËΑæ¨Α[ææΑ£ËõÚÄÃÄæΑËÄΑæ¨Αæê½Α×ÚËêæ«ËÄΑË¢ΑË½Π
Statement 3 is not correct:Α+Ä«Α«ÞΑÞæ«½½ΑËÄΑË¢Αæ¨Α½Ú£ÞæΑ«Ã×ËÚæÚΑË¢ΑË½ΠΑËÃÞæ«ΑË½Α¨ÞΑÄΑ½Α
æËΑÃæΑËÄ½üΑ͎͐АΑË¢ΑËêÚΑÄÄê½ΑË½ΑÃÄΠΑb¨ΑÞ¨ËÚæ¢½½Α«ÄΑ½Ë½ΑË½Αõ«½«½«æüΑ«ÞΑÃæΑæ¨ÚËê£¨Α«Ã×ËÚæÞΑ
Ë¢ΑÚËêÄΑ͉͉͋ΑÃæΠ
ANALYSIS:
ANALYSIS:
+Ä«ΑËΑÄËæΑ¨õΑ£ËËΑÙê½«æüΑË½Α¨ÄΑöΑ«Ã×ËÚæΑËêÚΑ£ËËΑ¨êÄºΑË¢ΑËêÚΑÚÙê«ÚÃÄæΑÞËΑ͌ÚΑÞææÃÄæΑ
ÄΑΑ½«Ã«ÄæΠΑBËöΑöΑÄΑËÃΑæËΑÄÞöÚΑ͊Π
[HfWΑ΢ ËÄËÃ«ÞΑÞêÚõüΑ¨ææ×Þ΢έέöööΠæ¨¨«ÄêΠËÃέêÞ«ÄÞÞέ+ÄêÞæÚüέö¨üα¨ÞαË½αÃ«Äα
«Ä£αÄαË×Äαê×έÚæ«½͎͋͋͑͊͏͑͒Π
148
Ë½Α«ÞΑΑËÄΑË¢Αæ¨Α«Ã×ËÚæÄæΑÃ«ÄÚ½ÞΑö¨«¨Α«ÞΑÃ«Ä½üΑêÞΑ«ÄΑæ¨Α£ÄÚæ«ËÄΑË¢Αæ¨ÚÃ½Α×ËöÚΑÄΑ
ÞÃ½æ«Ä£ΑË¢Α«ÚËÄΑËÚΠΑ
Ë½Α ËêÚÞΑ «ÄΑ ÚËºΑ ÞÙêÄÞΑ Ã«Ä½üΑ Ë¢ two geological ages, namely Gondwana and Tertiary
deposits.
ËêæΑ͉͑Α×ÚΑÄæΑË¢Αæ¨ΑË½Α×ËÞ«æÞΑ«ÄΑ+Ä«Α«ÞΑË¢Α«æêÃ«ÄËêÞΑæü×ΑÄΑ«ÞΑË¢ΑÄËÄαËº«Ä£Α£ÚΠΑ
b¨Α ÃËÞæΑ «Ã×ËÚæÄæΑ #ËÄöÄΑ Ë½Α Ĉ½ÞΑ Ë¢Α +Ä«Α ÚΑ ½ËæΑ «ÄΑ ÃËÚΑ q½½üΠΑ b¨üΑ ½«Α «ÄΑ
6¨Úº¨Äα Ä£½ΑË½Α½æΑÄΑæ¨Α«Ã×ËÚæÄæΑË½ΑĈ½ÞΑ«ÄΑæ¨«ÞΑÚ£«ËÄΑÚΑWÄ«£Ä¶ΡΑ6¨Ú«ΡΑ ËºÚËΡΑ
#«Ú««¨ΡΑ9ÚÄ×êÚΠΑ
6¨Ú«Α«ÞΑæ¨Α½Ú£ÞæΑË½ΑĈ½Α¢Ë½½ËöΑüΑWÄ«£Ä¶Π
Tertiary coals occur in Assam, Arunachal Pradesh, Meghalaya and Nagaland.Α+æΑ«ÞΑûæÚæΑ¢ÚËÃΑ
ÚÄ£«Ú«ΡΑ¨ÚÚ×êÄ¶«ΡΑAö½ËÄ£ΑÄΑ;Ä£Ú«ÄΑλA£¨½üμΣΑAºêÃΡΑ6«×êÚΑÄΑBā«ÚΑ«ÄΑê××ÚΑÞÞÃΡΑ
BÃ¨«ºΑγBÃ×¨êºΑλÚêÄ¨½ΑTÚÞ¨μΑÄΑ9½ºËæΑλ6ÃÃêΑÄΑ9Þ¨Ã«ÚμΠΑ
The brown coal or lignite occur in the coastal areas of Tamil Nadu, Puducherry, Gujarat and
Jammu and Kashmir.
Year 2023 URANIUM
V͌ΠΑËÄÞ«ÚΑæ¨Α¢Ë½½Ëö«Ä£ΑÞææÃÄæÞ΢Α
Statement-I: India, despite having uranium deposits, depends on coal for most of its electricity production.
Statement-II: Uranium, enriched to the extent of at least 60%, is required for the production of electricity. Which one
of the following is correct in respect of the above statements?
(b) Both Statement-I and Statement-II is not the correct explanation for Statement-I
(c) Statement-I is correct but statement-II is incorrect
ANSWERS C
EXPLANATION
Statement I is correct: æËÃ«ΑA«ÄÚ½ÞΑ«ÚæËÚæΑ¢ËÚΑû×½ËÚæ«ËÄΑÄΑWÞÚ¨ΑλAμΡΑΑËÄÞæ«æêÄæΑ

êÄ«æΑË¢Αæ¨Α×ÚæÃÄæΑË¢ΑæËÃ«ΑÄÚ£üΑλμΡΑ½½ΑËõÚΑ+Ä«Α¨ÞΑÞæ½«Þ¨Α͌Ρ͑͋Ρ͏͎͐ΑæËÄÄÞΑ«ÄΑÞ«æêΑf͌H͑Α
«ÄΑ ͍͐Α êÚÄ«êÃΑ ×ËÞ«æÞΑ «ÄΑ Ä¨ÚΑ TÚÞ¨ΡΑ b½Ä£ÄΡΑ 6¨Úº¨ÄΡΑ A£¨½üΡΑ W¶Þæ¨ÄΡΑ 9ÚÄæºΡΑ
¨¨ææ«Þ£Ú¨ΡΑfææÚΑTÚÞ¨ΡΑfææÚº¨ÄΡΑ(«Ã¨½ΑTÚÞ¨ΑÄΑA¨ÚÞ¨æÚΠΑ(ËöõÚΡΑ«ÄΑ+Ä«ΑÃ¶ËÚΑ
×ÚËêæ«ËÄΑË¢Α½æÚ««æüΑ«ÞΑ¨«õΑæ¨ÚËê£¨ΑË½ΑÞΑæ¨ÚÃ½Α×ËöÚΑ×½ÄæΑö¨«¨Α«ÞΑÚËêÄΑ͎͐АΑË¢Αæ¨Α
æËæ½Α×ËöÚΑ£ÄÚæ«ËÄΠΑ
Statement II is not correct: fÚÄ«êÃΑ ÄÚ«¨Α æËΑ ËÄÄæÚæ«ËÄÞΑ ËõΑ ͉Π͐АΑ êæΑ ½ÞÞΑ æ¨ÄΑ ͉͋АΑ
êÚÄ«êÃα͎͋͌Α«ÞΑĈÄΑÞΑ½ËöΑÄÚ«¨ΑêÚÄ«êÃΑλ;fμΠΑAËÞæΑÄê½ÚΑÚæËÚÞΑêÞΑ;fΑæ¨æΑ«ÞΑËêæΑ͌α͎АΑ
êÚÄ«êÃα͎͋͌ΠΑ fÚÄ«êÃΑ ÄÚ«¨ΑæËΑ ÃËÚΑæ¨ÄΑ ͉͋АΑ êÚÄ«êÃα͎͋͌Α «ÞΑ ĈÄΑ ÞΑ ¨«£¨½üΑ ÄÚ«¨Α êÚÄ«êÃΑ
λ(fμΠΑb¨Α£½Ë½ΑÄê½ÚΑöæ¨Ë£Αλ+μΑ¨ÞΑ¢ËêÄΑêÚÄ«êÃΑ×Úæ«½ÞΑÄÚ«¨ΑæËΑ͑͌Π͐АΑ×êÚ«æüΑαΑõÚüΑ
½ËÞΑæËΑö×ËÄÞΑ£ÚΑαΑæΑ+ÚÄϖÞΑêÄÚ£ÚËêÄΑ"ËÚËΑÞ«æΠΑ+ÚÄΑ¨ÞΑÄΑÄÚ«¨«Ä£ΑêÚÄ«êÃΑæËΑê×ΑæËΑ͏͉АΑ
×êÚ«æüΑÞ«ÄΑ×Ú«½Α͉͋͋͊ΑΑ½õ½ΑæΑö¨«¨ΑÄËÄ×ÚË½«¢Úæ«ËÄΑû×ÚæÞΑÞüΑb¨ÚÄΑ¨ÞΑÄËΑ«õ«½«ÄΑêÞΠ
149
ANALYSIS:
ANALYSIS:
WÄæ½üΡΑ+Α¨ÞΑ¢ËêÄΑ͍͑АΑÄÚ«¨ΑêÚÄ«êÃΑæΑ+ÚÄϖÞΑÄê½ÚΑÞ«æΑÄΑ½ÞËΑ
(ê£Α×ËÞ«æÞΑË¢ΑfÚÄ«êÃΑöÚΑ¢ËêÄΑ«ÄΑW¶Þæ¨ÄΠ
Statement II is cannot be correct ÞΑfÚÄ«êÃΑÄÚ«¨ÃÄæΑ¨ÞΑ½öüÞΑÄΑ«ÄΑæ¨ΑÄöÞΑλÄæÚ«¢ê£ÞμΑÄΑ
+ÚÄϐÞΑÄê½ÚΑÞæËÚΑÄΑæ¨ΑÄÞΑ«Ã×ËÞΑüΑT͎ΑϹΑ͊ΠΑ+æΑ«ÞΑºÄËöÄΑæ¨æΑæ¨ΑÄÚ«¨ÃÄæΑ½õ½ΑÚÙê«ÚΑ¢ËÚΑ
Äê½ÚΑ ×ËöÚΑ ÚæËÚÞΑ «ÞΑ ÄËÚÃ½½üΑ ÚËêÄΑ ͎АΠΑ +¢Α [ææÃÄæΑ II is wrong then options, A, B and D are
eliminated.
[HfWΑ΢ [æÄÚΑÄöÞ××ÚÞ
¨ææ×Þ΢έέ«Ä«Äû×ÚÞÞΠËÃέÚæ«½έöËÚ½έ«ÚÄαÄÚ«¨ÞαêÚÄ«êÃαæËα͏͉α×ÚαÄæαΑ
×êÚ«æüα¢ËÚËαÞ«æα͑͋͑͋͒͒͌έ
¨ææ×Þ΢έέöööΠêÞ«ÄÞÞαÞæÄÚΠËÃέÚæ«½έËÄËÃüα×Ë½«üέÚ¶Þæ¨ÄαÄæÚÞαêÚÄ«êÃαΑ
Ã«Ä«Ä£α«ÞÞêÞα½Ë«αæËαêÚÄ«êÃαËÚ×ËÚæ«ËÄα͉͊͋͋͏͉͉͋͐͑͌͐ε͊Π¨æÃ½
150
PLANNING
λ͊ΑVêÞæ«ËÄÞμ
Year 2019 FIVE YEAR PLANS
V͊ΠΑr«æ¨ΑÚ¢ÚÄΑæËΑ+Ä«ϐÞΑ"«õαxÚΑT½ÄÞΡΑö¨«¨ΑË¢Αæ¨Α¢Ë½½Ëö«Ä£ΑÞææÃÄæÞΑ«ÞέÚΑËÚÚæΧ
1. From the Second Five-Year Plan, there was a determined thrust towards the substitution of basic and capital goods
industries.
2. The Fourth Five-Year Plan adopted the objective of correcting the earlier trend of increased concentration of wealth
and economic power.
3. In the Fifth Five-Year Plan, for the first time, the financial sector was included as an integral part of the Plan.
(a) 1 and 2 only
(b) 2 only
(c) 3 only
(d) 1, 2 and 3
ANSWERS A
EXPLANATION
Statement 1 is correctΑ«ÄΑË×æ«Ä£Αæ¨ΑÞæÚæ£üΑË¢Α+Ã×ËÚæΑ[êÞæ«æêæ«ËÄΑ+ÄêÞæÚ«½«āæ«ËÄΑλ+[+μΑ«ÄΑæ¨ΑĈ¢æ«ÞΠΑ
b¨Α ¨«¢Α Ë¶æ«õΑ öÞΑ æËΑ ê«½Α Α Þ½¢αÚ½«ÄæΑ ËÄËÃüΠΑ "ÚËÃΑ æ¨Α [ËÄΑ "«õΑ xÚΑ T½ÄΡΑ æ¨ÚΑ öÞΑ Α
æÚÃ«ÄΑæ¨ÚêÞæΑæËöÚÞΑÞêÞæ«æêæ«ËÄΑË¢ΑÞ«ΑÄΑ×«æ½Α£ËËÞΑ«ÄêÞæÚ«ÞΠΑb¨Α+[+ΑÞæÚæ£üΑöÞΑÞΑ
ËÄΑæ¨ΑÃË½ΑË¢Α£ÚËöæ¨ΑÞΑ×ÚË×ËêÄΑüΑTΑA¨½ËÄË«ÞΠ
Statement 2 is correct- b¨Α "ËêÚæ¨Α T½ÄΑ ×ÚËõ«Α Α ÄÞÞÚüΑ ËÚÚæ«õΑ æËΑ æ¨Α Ú½«ÚΑ æÚÄΑ ö¨«¨Α
¨½×Α ×Úæ«ê½Ú½üΑæ¨Α ÞæÚËÄ£ÚΑ Þæ«ËÄÞΑ «ÄΑ £Ú«ê½æêÚΑ ÞΑö½½Α ÞΑ «ÄΑ «ÄêÞæÚüΑæËΑ Ä½Αæ¨ÃΑ Ú×«½üΑæËΑ
Ä½Ú£ΑÄΑ«õÚÞ«¢üΑæ¨Α×ÚËêæ«ËÄΑÞΠΑ+ÄΑæ¨Α½ËÄ£ΑÚêÄΡΑæ¨Α¢ê½½Α×ËæÄæ«½ΑË¢Α£ÚËöæ¨ΑÄÄËæΑΑÚ½«ÞΑ
êÄ½ÞÞΑæ¨ΑÄÚ£«ÞΑË¢Α½½ΑËêÚΑ×Ë×½ΑÚΑ×êæΑæËΑ×ÚËĈæ½ΑêÞΠΑb¨ΑÃ×¨Þ«ÞΑËÄΑÞ×Ú«Ä£Αæ¨Α«Ã×æêÞΑÄΑ
ÄĈæÞΑË¢ΑËÄËÃ«Α£ÚËöæ¨ΑæËΑæ¨ΑöºÚΑÞæ«ËÄÞΑ«ÞΑæ¨êÞΑÄÞÞÚüΑ«ÄΑæ¨Α«ÄæÚÞæΑË¢ΑÙê½«æüΑÞΑö½½ΑÞΑ
£ÚËöæ¨ΠΑb¨ΑT½ÄΑö«½½ΑÄËöΑÞÞ«ÞæΑæ¨Α½ÞÞΑ×ÚËÞ×ÚËêÞΑÞæ«ËÄÞΑË¢ΑËêÚΑ¢ÚÃ«Ä£Α×Ë×ê½æ«ËÄΑæËΑ«Ã×ÚËõΑæ¨«ÚΑ
×ËÞ«æ«ËÄΑÄΑÃºΑΑüæΑ«££ÚΑËÄæÚ«êæ«ËÄΑæËΑæ¨ΑÄæ«ËÄ½ΑËÄËÃüΠ
Statement 3 is not correct:Αb¨ΑĈÄÄ«½ΑÞæËÚΑËÃÞΑÄΑ«Äæ£Ú½Α×ÚæΑË¢Αæ¨Α×½ÄΑ«ÄΑæ¨Α͒æ¨ΑĈõαüÚΑ
×½ÄΠ
ANALYSIS:
Lorem
5-year ×½ÄÞΑ ÚΑ £«õÄΑ «ÄΑ ͊͊æ¨Α ½ÞÞΑ BWbΑ ö¨«¨Α «ÞΑ Α Þ«Α ÞËêÚΑ ÄΑ æ¨«ÞΑ æË×«Α «ÞΑ Úê«½Α «ÄΑ
êÄÚÞæÄ«Ä£Αæ¨ΑËÄËÃ«Α¨«ÞæËÚüΑË¢Α+Ä«Π
151
æΑ ½ÞæΑ æ¨Α ͌ÚΑ ÞææÃÄæΑ Ëê½Α ¨õΑ ÄΑ ½«Ã«ÄæΑ ÞΑ æ¨Α ͎æ¨Α "«õΑxÚΑ öÞΑ æËËΑ Ú½üΑ æËΑ ¢ËêÞΑ ËÄΑ Α
ÃËÚÄΑÄΠ
[HfWΑ΢ ¨ææ×Þ΢έέöööΠÄ«×¢×ΠËÚ£Π«ÄέÃ«έ×¢έËËºÞέ 9ε͌͌έ¨×α

æÚÞέ͊ΠА͉͋+Ã×ËÚæА͉͋[êÞæ«æêæ«ËÄА͉͋[æÚæ£üА͉͋H¢А͉͋ËÄËÃ«А͉͋õ½Ë×ÃÄæΠ×¢
¨ææ×΢έέ×½ÄÄ«Ä£ËÃÃ«ÞÞ«ËÄΠÄ«Π«Äέ×½ÄÞέ×½ÄÚ½έĈõüÚέ͍æ¨έ͍××ÚΠ¨æÃ
¨ææ×Þ΢έέËËºÞΠ£ËË£½ΠËΠ«ÄέËËºÞΧ«Ͻ͐͐BböV 6Ϟ×£ϽTb͊͋͐Ϟα
ÙϽΠϹ+æϹöÞϹæ¨ϹĈÚÞæϹæ«ÃϹö¨ÄϹæ¨ϹĈÄÄ«½ϹÞæËÚϹöÞϹ«Ä½êϹÞϹÄϹ«Äæ£Ú½Ϲ×Ú
æϹË¢Ϲæ¨Ϲ×½ÄΠϞ¨½ϽÄϞÞϽwϞõϽ͉¨f9ö¶͍͎͑͐ÙÞε«¨r#ºÄ9(¢õ͉AöV͏+9¶άõϽË
Ä×£ϞÙϽΠА͉͋+æА͉͋öÞА͉͋æ¨А͉͋ĈÚÞæА͉͋æ«ÃА͉͋ö¨ÄА͉͋æ¨А͉͋ĈÄÄ«½А͉͋ÞæË
ÚА͉͋öÞА͉͋«Ä½êА͉͋ÞА͉͋ÄА͉͋«Äæ£Ú½А͉͋×ÚæА͉͋Ë¢А͉͋æ¨А͉͋×½ÄΠϞ¢Ͻ¢½Þ
152
1991 Reforms
Year 2017 LPG 1991
V͊ΠΑr¨«¨ΑË¢Αæ¨Α¢Ë½½Ëö«Ä£Α¨Þέ¨õΑËêÚÚΑ«ÄΑ+Ä«Α¢æÚΑ«æÞΑ½«Ú½«āæ«ËÄΑË¢ΑËÄËÃ«Α×Ë½««ÞΑ«ÄΑ
͊͒͒͊Χ
1. Share of agriculture in GDP increased enormously.
2. Share of India’s exports in world trade increased.
3. FDI inflows increased.
4. India’s foreign exchange reserves increased enormously.
Select the correct answer using the codes given below:
(a) 1 and 4 only
(b) 2, 3 and 4 only
(c) 2 and 3 only
(d) 1, 2, 3 and 4
ANSWERS B
EXPLANATION
b¨Α×ËÞæαÚ¢ËÚÃΑ×Ú«ËΑÞ¨ËöÞΑæ¨Α£Úê½Α½«ÄΑ«ÄΑæ¨Α£Ú«ê½æêÚΑÞæËÚϐÞΑËÄæÚ«êæ«ËÄΑæËΑæ¨Α+Ä«ÄΑ
ËÄËÃüΠΑ +Ä«ϐÞΑ æÚ«æ«ËÄ½Α Ëê×æ«ËÄΡΑ £Ú«ê½æêÚΑ ÄËöΑ ËÄæÚ«êæÞΑ ËÄ½üΑ ËêæΑ ͎͊АΑ æËΑ æ¨Α #TΡΑ ËöÄΑ
¢ÚËÃΑ͋͒Α×ÚÄæΑ«ÄΑ͊͒͒͊ΠΑHence, statement 1 is incorrect.
[¨ÚΑË¢Α+Ä«ϖÞΑû×ËÚæÞΑ«ÄÚÞΑÞ«ÄΑ͊͒͒͊ΠΑHence statement 2 is correct.
¢ËÚΑ͊͒͒͊ΡΑ¢ËÚ«£ÄΑ«ÄõÞæÃÄæΑöÞΑÄ£½«£«½ΠΑb¨ΑĈÚÞæΑüÚΑË¢ΑÚ¢ËÚÃΑÞöΑΑæËæ½Α¢ËÚ«£ÄΑ«ÄõÞæÃÄæΑË¢Α
ËÄ½üΑϮ͍͐ΑÃ«½½«ËÄΠΑ(ËöõÚΡΑ«ÄõÞæÃÄæÞΑ¨õΑÞæ«½üΑÚ«ÞÄΑÞ«ÄΑæ¨ÄΡΑû×æΑ¢ËÚΑËÞ«ËÄ½Α½«×ÞΑæöÄΑ
͊͒͒͐ΑÄΑ͉͉͉͋ΑÄΑ͉͉͋͑ΑÄΑ͉͋͊͋ΑγΑËö«Ä£ΑæËΑæ¨Α£½Ë½ΑËÄËÃ«ΑÞ½ËöËöÄΠΑÞΑË¢Α͌͊ΑAÚ¨Α͉͋͊͏ΡΑæ¨Α
ËêÄæÚüΑ¨ÞΑÚ«õΑæËæ½Α"+ΑË¢ΑϮ͌͐͊Α«½½«ËÄΡΑÞ«ÄΑ͊͒͒͊ΠΑb¨ΑüÚΑ͉͉͋͑ΑÚËÚΑæ¨Α¨«£¨ÞæΑ"+Α«ÄĉËöΑË¢Α
Ϯ͍͌Π͍͉Α«½½«ËÄΠΑb¨Α«££ÞæΑÞ×êÚæΑ«ÄΑ«ÄĉËöΑöÞΑæöÄΑ͉͉͎͋ΑÄΑ͉͉͋͏ΑγΑ͎͊͐Π͎͍АΠΑÞΑË¢ΑAÚ¨Α͉͋͊͏ΡΑ+Ä«Α
¨ÞΑææÚæΑϮ͉͊Π͎͎Α«½½«ËÄΑöËÚæ¨ΑË¢Α"+ΠΑHence, statement 3 is correct.
+æΑöÞΑ+Ä«ϐÞΑ«ÞÃ½ΑÞææΑË¢Α¢ËÚûΑÚÞÚõÞΑæ¨æΑ¢ËÚΑæ¨Α£ËõÚÄÃÄæΑæËΑÚ«Ä£Α«ÄΑËÄËÃ«ΑÚ¢ËÚÃÞΠΑBËöΡΑ
͎͋ΑüÚÞΑ½æÚΡΑ¢ËÚûΑÚÞÚõÞΑÚΑæΑΑÚËÚΑ¨«£¨ΠΑ+ÄΑ͊͒͒͊ΡΑ«æΑÞæËËΑæΑ¶êÞæΑϮ͎Π͑Α«½½«ËÄΠΑÞΑË¢Α͍͋Α6êÄΡΑæ¨Α
ËêÄæÚüϐÞΑ ¢ËÚûΑ ÚÞÚõÞΑ ÚΑ æΑ Ϯ͌͏͉Π͑Α «½½«ËÄΠΑ fÞê½½üΡΑ «Ã×ËÚæΑ ËõÚ£Α Ë¢Α ͐α͑Α ÃËÄæ¨ÞΑ «ÞΑ ËÄÞ«ÚΑ
ÞêĆ«ÄæΠΑb¨Α«££ÞæΑ¶êÃ×Α«ÄΑÚÞÚõÞΑöÞΑö«æÄÞÞΑæöÄΑ͉͉͋͐ΑÄΑ͉͉͋͑Αö¨ÄΑæ¨Αº«ææüΑê½£Α
͎͎АΑæËΑ¨«æΑϮ͉͌͒Π͋Α«½½«ËÄΠΑ(ÄΡΑÞææÃÄæΑ͍Α«ÞΑËÚÚæΠ
153
ANALYSIS:
ANALYSIS:
+æΑ «ÞΑ ËÃÃËÄΑ ºÄËö½£Αæ¨æΑæ¨Α ;T#Α Ú¢ËÚÃÞΑ «ÃΑ æΑ Þ«Ä£Α Úê½ÞΑ ÄΑ Ú£ê½æ«ËÄÞΑ ¢ËÚΑ ×Ú«ÃÚ«½üΑæ¨Α
bÚæ«ÚüΑ[æËÚΑÄΑæ¨Α+ÄêÞæÚ«½ΑÞæËÚΠΑ£Ú«ê½æêÚΑöÞΑÄËæΑæΑæ¨Α¢ËêÞΠΑ(ÄΑË×æ«ËÄΑ͊ΑÄΑΑÞ«½üΑ
½«Ã«ÄæΠ
[HfWΑ΢ ¨ææ×΢έέöööΠĈÚÞæ×ËÞæΠËÃέêÞ«ÄÞÞέ͎͋αüÚÞαË¢α½«Ú½«Þæ«ËÄαα£½«Ã×ÞαË¢α«Ä«ÞαΑ
£ÚËöæ¨α«Äα͍͊α¨ÚæÞα͋͑͐͐͏͎͍Π¨æÃ½
Year 2020 1991 REFORMS
V͋ΠΑr«æ¨ΑÚ¢ÚÄΑæËΑæ¨Α+Ä«ÄΑËÄËÃüΑ¢æÚΑæ¨Α͊͒͒͊ΑËÄËÃ«Α½«Ú½«āæ«ËÄΡΑËÄÞ«ÚΑæ¨Α¢Ë½½Ëöα
«Ä£ΑÞææÃÄæÞ΢Α
1. Worker productivity (rs. per worker at 2004 -05 prices) increased in urban areas while it decreased in rural areas.
2. The percentage share of rural areas in the workforce steadily increased.
3. In rural areas, the growth in non-farm economy increased.
4. The growth rate in rural employment decreased.
(a) 1 and 2 only
(b) 3 and 4 only
(c) 3 only
(d) 1, 2 and 4 only
ANSWERS B
EXPLANATION
+ÄΑB+b+ΑüË£ϐÞΑ××ÚΑύ¨Ä£«Ä£Α[æÚêæêÚΑË¢ΑWêÚ½ΑËÄËÃüΑË¢Α+Ä«Α+Ã×½«æ«ËÄÞΑ¢ËÚΑÃ×½ËüÃÄæΑÄΑ
#ÚËöæ¨Α͉͋͊͐ώΡΑ¢Ë½½Ëö«Ä£ΑËÞÚõæ«ËÄÞΑöÚΑÃ΢Α
b¨ΑÞË½êæΑ½õ½ΑË¢Α«ÄËÃΑ×ÚΑöËÚºÚΑ«ΠΠΑöËÚºÚΑ×ÚËêæ«õ«æüΑ¨ÞΑ«ÄÚÞΑ¢ËÚΑËæ¨ΑÚêÚ½ΑÄΑêÚÄΑ
ÚÞΠΑ"ËÚΑÚêÚ½ΑÚÞΑ«æΑöÞΑWÞΠΑ͌͐͋͐͌Α«ÄΑ͉͉͍͋Αα͉͎ΑÄΑWÞΠΑ͉͎͎͊͊͐Α«ÄΑ͉͋͊͊Αα͊͋ΡΑö¨«½Α¢ËÚΑêÚÄΑÚÞΑ«æΑöÞΑ
WÞΠΑ͉͍͊͋͊͒Α«ÄΑ͉͉͍͋Αα͉͎ΑÄΑWÞΠΑ͎͎͋͑͋͊Α«ÄΑ͉͋͊͊Αα͊͋ΠΑHence statement 1 is not correct .
ÞΑ×ÚΑ͉͋͊͊ΑÄÞêÞΡΑ͏͑Π͑АΑË¢Α+Ä«ϐÞΑ×Ë×ê½æ«ËÄΑÄΑ͐͋Π͍АΑË¢ΑöËÚº¢ËÚΑÚÞ«Α«ÄΑÚêÚ½ΑÚÞΠΑ(ËöõÚΡΑ
ÞæüΑæÚÄÞ«æ«ËÄΑæËΑêÚÄ«āæ«ËÄΑËõÚΑæ¨ΑüÚÞΑ¨ÞΑ½ΑæËΑΑ½«ÄΑ«ÄΑæ¨ΑÚêÚ½ΑÞ¨ÚΑ«ÄΑæ¨ΑöËÚº¢ËÚΡΑ
¢ÚËÃΑ͐͐Π͑АΑ«ÄΑ͊͒͒͌Αα͍͒ΑæËΑ͉͐Π͒АΑ«ÄΑ͉͋͊͊Αα͊͋ΠΑHence statement 2 is incorrect .
ËêæΑæöËΑæ¨«ÚΑË¢ΑÚêÚ½Α«ÄËÃΑ«ÞΑÄËöΑ£ÄÚæΑ«ÄΑÄËÄΑα£Ú«ê½æêÚ½Αæ«õ«æ«ÞΠΑBËÄΑα¢ÚÃΑËÄËÃüΑ¨ÞΑ
«ÄÚÞΑ«ÄΑÚêÚ½ΑÚÞΠΑb¨ΑÞ¨ÚΑË¢Α£Ú«ê½æêÚΑ«ÄΑÚêÚ½ΑËÄËÃüΑ¨ÞΑÚÞΑ¢ÚËÃΑ͎͐АΑ«ÄΑ͊͒͒͌Αα͍͒ΑæËΑ
͌͒АΑ«ÄΑ͉͋͊͊Αα͊͋Π Hence statement 3 is correct .
¢æÚΑ͉͉͍͋Αα͉͎ΡΑæ¨ΑÚêÚ½ΑÚÞΑ¨õΑö«æÄÞÞΑÄ£æ«õΑ£ÚËöæ¨Α«ÄΑÃ×½ËüÃÄæΑ«ÄÞ×«æΑË¢Α¨«£¨Α£ÚËöæ¨Α«ÄΑ
Ëêæ×êæΠΑb¨Α£ÚËöæ¨ΑÚæΑË¢ΑÚêÚ½ΑÃ×½ËüÃÄæΑöÞΑ͊Π͍͎АΑêÚ«Ä£Α͍͊͒͒Αα͉͉͎͋ΡΑö¨«¨Α¢½½ΑæËΑα͉Π͋͑АΑæöÄΑ
͉͉͎͋Αα͊͋ΠΑ(ÄΑÞææÃÄæΑ͍Α«ÞΑËÚÚæΑΠ
154
ANALYSIS:
ANALYSIS:
+æΑöÞΑ¢ÚËÃΑæ¨Α××ÚΑÚ½ÞΑüΑB«æ«ΑüË£Α¨Ä£«Ä£Α[æÚêæêÚΑË¢ΑWêÚ½ΑËÄËÃüΑË¢Α+Ä«Α+Ã×½«æ«ËÄÞΑ¢ËÚΑ
Ã×½ËüÃÄæΑÄΑ#ÚËöæ¨Α͉͋͊͐Π
b¨Α ÞËÄΑ ÞææÃÄæΑ ÄΑ Α Þ«½üΑ ½«Ã«ÄæΑ ÞΑ ϏÞæüΑ £ÚËöæ¨ϐΑ «ÄΑ ËÄËÃ«ÞΑ «ÞΑ ÚÚΑ λêÄËêæ½üΑ æ¨«ÞΑ
ÞÞêÃ×æ«ËÄΑÚÚ«ÞΑÄΑ½ÃÄæΑË¢ΑÚ«Þºμ
[HfWΑ΢ Directly from the paper ‘Changing Structure of Rural Economy of India Implications for
Employment and Growth 2017’ by Niti Ayog -Α¨ææ×Þ΢έέöööΠÄ«æ«Π£ËõΠ«ÄέÞ«æÞέ¢ê½æέĈ½ÞέΑ
͉͋͋͌α͉͋έ͊͊εWêÚ½εËÄËÃüε«ÞêÞÞ«ËÄεT×Úε͉Π×¢
155
POVERTY
λ͊ΑVêÞæ«ËÄÞμ
Year 2019 POVERTY LINES
V͊ΠΑ+ÄΑΑ£«õÄΑüÚΑ«ÄΑ+Ä«ΡΑËĆ«½Α×ËõÚæüΑ½«ÄÞΑÚΑ¨«£¨ÚΑ«ÄΑÞËÃΑÞææÞΑæ¨ÄΑ«ÄΑËæ¨ÚÞΑêÞ
(a) poverty rates vary from State to State
(b) price levels vary from State to State
(c) Gross State Product varies from State to State
(d) quality of public distribution varies from State to State
ANSWERS B
EXPLANATION
b¨ΑT½ÄÄ«Ä£ΑËÃÃ«ÞÞ«ËÄΑÃæ¨ËË½Ë£üΑ¢ËÚΑÞæ«Ãæ«Ä£Α×ËõÚæüΑæΑÄæ«ËÄ½ΑÄΑÞææΑ½õ½ΑöÞΑÚ£ÚΑüΑ
ÞËÃΑÞΑ«Ä××ÚË×Ú«æΑ«ÄΑ£«õ«Ä£ΑΑÚ×ÚÞÄææ«õΑ×«æêÚΑË¢Αæ¨Α«Ä«ÄΑË¢Α×ËõÚæüΑ«ÄΑæ¨ΑËêÄæÚüΠΑ
b¨ΑÃ«ÄΑ×Ë«ÄæÞΑË¢Αæ¨ΑÚ«æ««ÞÃΑöÚ΢
æ¨Α¶êÞæÃÄæΑ×ÚËêÚΣ
æ¨Α¨Ë«ΑË¢ΑĉæËÚÞΑæËΑÚ×ÚÞÄæΑ×Ú«Α¨Ä£ÞΑ«ÄΑæ¨Α×ËõÚæüΑ½«ÄΣ
æ¨Α××½«æ«ËÄΑË¢Αæ¨ΑÞÃΑ×ËõÚæüΑ½«ÄΑ«ÄΑ½½Αæ¨ΑÞææÞΡΑö¨«¨Α«Ã×½üΑæ¨ΑÞÄΑË¢Α×Ú«Α«ąÚÄæ«½ÞΑ
ÚËÞÞΑæ¨ΑÞææÞΣ
êÞΑË¢ΑΑĈûΑËÄÞêÃ×æ«ËÄΑÞºæΑËõÚΑæ«ÃΣΑÄ
æ¨ΑêÄ«¢ËÚÃΑËÄÞêÃ×æ«ËÄΑÞºæΑ¢ËÚΑ½½Αæ¨ΑÞææÞΠ
ANALYSIS:
ANALYSIS:
#ÚËÞÞΑ [ææΑ TÚËêæΑ õÚ«ÞΑ ¢ÚËÃΑ [ææΑ æËΑ [ææΑ αΑ b¨Α #ÚËÞÞΑ [ææΑ TÚËêæΑ λ#[TμΑ «ÞΑ Α ÃÞêÚΑ Ë¢Α æ¨Α
ËÄËÃ«Α Ëêæ×êæΑ Ë¢Α Α ÞææΡΑ ÄΑö¨«½Α «æΑ ÃüΑ ËÚÚ½æΑö«æ¨Α ×ËõÚæüΑ ÚæÞΡΑ «æΑ «ÞΑ ÄËæΑ Α «ÚæΑ¢æËÚΑæ¨æΑ
æÚÃ«ÄÞΑæ¨Α ËĆ«½Α ×ËõÚæüΑ ½«ÄΠΑb¨Ú¢ËÚΡΑæ¨«ÞΑ Ë×æ«ËÄΑ «ÞΑ ½ÞÞΑ Ú½õÄæΠΑ Vê½«æüΑ Ë¢Α ×ê½«Α «ÞæÚ«êæ«ËÄΑ
õÚ«ÞΑ ¢ÚËÃΑ [ææΑ æËΑ [ææΑ αΑ b¨Α Ùê½«æüΑ Ë¢Α ×ê½«Α «ÞæÚ«êæ«ËÄΑ ÞüÞæÃÞΑ ÄΑ «Ã×æΑ æ¨Α õ«½«½«æüΑ ÄΑ
ÞÞ««½«æüΑË¢Α¢ËËΑÄΑËæ¨ÚΑÞÞÄæ«½ÞΑêæΑËÞΑÄËæΑ«Úæ½üΑæÚÃ«ÄΑæ¨ΑËĆ«½Α×ËõÚæüΑ½«ÄÞΠΑÄΑ
ÃËÚËõÚΡΑTê½«Α«ÞæÚ«êæ«ËÄΑ«ÞΑΑÚÞ×ËÄÞΑæËΑæ¨Αû«ÞæÄΑË¢Α×ËõÚæüΑÄΑÞËΑ«æÞΑÞÄΑÄÄËæΑΑêÞΑ
ÞΑÄΑ«Ä«æËÚΑË¢Α×ËõÚæüΑ½«ÄΠΑBËöΡΑ½æϖÞΑ××½üΑæ¨Α½«Ã«Äæ«ËÄΑæ¨Ä«Ùê΢Α½«Ã«ÄæΑË×æ«ËÄÞΑλμΑÄΑλμΑÞΑ
æ¨üΑÚΑ½ÞÞΑ«Úæ½üΑÚ½æΑæËΑæ¨ΑæÚÃ«Äæ«ËÄΑË¢ΑËĆ«½Α×ËõÚæüΑ½«ÄÞΠΑrΑÚΑ½¢æΑö«æ¨ΑË×æ«ËÄΑλμΑËÄ½üΠΑ
[HfWΑ΢ ¨ææ×΢έέ×½ÄÄ«Ä£ËÃÃ«ÞÞ«ËÄΠÄ«Π«ÄέÚ×ËÚæÞέ£ÄÚ×έ×ËõεÚ×͉͉͐͐Π×¢
156
+""WBbΑHAA+bb[ΑW;bΑbHΑTHqWbxΑ+BΑ+B+
Working Group (1962)Α"ËÚΑæ¨ΑĈÚÞæΑæ«ÃΑ«ÄΑ͊͒͏͋ΑΑ×ËõÚæüΑ½«ÄΑöÞΑÙêÄæ«ĈΑüΑæ¨«ÞΑ#ÚËê×Α«ÄΑæÚÃÞΑË¢ΑΑ
Ã«Ä«ÃêÃΑÚÙê«ÚÃÄæΑλ¢ËËΑÄΑÄËÄα¢ËËμΠ
Dr. Y. K. Alagh (1979): +ÄΑ+Ä«ΡΑHĆ«½Α×ËõÚæüΑËêÄæÞΑ£ÄΑ¢ËÚΑæ¨ΑĈÚÞæΑæ«ÃΑÞΑËÄΑæ¨Α××ÚË¨ΑË¢Α
æ¨«ÞΑbÞºΑ"ËÚΠ
Lakdawala Expert Group (1993): +æΑ öÞΑ ÄΑ «Ã×ËÚæÄæΑ û×ÚæΑ #ÚËê×Α æ¨Ëê£¨Α «æΑ «Α ÄËæΑ ÚĈÄΑ æ¨Α
×ËõÚæüΑ½«ÄΑÄΑÚæ«ÄΑæ¨ΑöËÚºΑË¢Αæ¨Α½£¨ΑËÃÃ«ææΠ
bÄê½ºÚΑû×ÚæΑ#ÚËê×Αλ͉͉͋͒μ΢Αb¨«ÞΑËÃÃ«ææΑÚËÃÃÄΑÞõÚ½Α¨Ä£ÞΑæËΑæ¨ΑöüΑ×ËõÚæüΑ
öÞΑÃÞêÚΑ+æΑÚËÃÃÄΑΑÞ¨«¢æΑöüΑ¢ÚËÃΑÞ«Ä£Αæ¨Α×ËõÚæüΑ½«ÄÞΑ¢ÚËÃΑ½ËÚ«ΑÄËÚÃÞΑêÞΑ«ÄΑ
½½Α×ËõÚæüΑÞæ«Ãæ«ËÄÞΑÞ«ÄΑ͊͒͐͒ΑÄΑæËöÚÞΑæÚ£æΑÄêæÚ«æ«ËÄ½ΑËêæËÃÞΑ«ÄÞæ
WÄ£Ú¶ÄΑ ËÃÃ«ææΑ λ͉͋͊͋μ΢Α Α +æΑ ÃΑ ¢æÚΑ æ¨Α Α bÄê½ºÚΑ ËÃÃ«ææΠΑ b¨Α bÄê½ºÚΑ ËÃÃ«ææϐÞΑ
Úæ«ËÄ½ΑÄΑ××ÚË¨ΑöÞΑÙêÞæ«ËÄΠΑWÄ£Ú¶ÄΑËÃÃ«ææΑöÞΑ½ÞËΑæ¨ΑÄΑË¢Αæ¨Α¨ËêÚΑêΑæËΑ
¨Ä£«Ä£Αæ«ÃÞΑÄΑÞ×«Úæ«ËÄÞΑË¢Α×Ë×½ΑË¢Α+Ä«ΡΑWÄ£Ú¶ÄΑËÃÃ«ææΑöÞΑÞæΑê×Α«ÄΑ͉͋͊͋Π
157
SKILL AQUISITION AND HUMAN

DEVELOPMENT
Year 2017 NATIONAL SKILLS QUALIFICATION FRAMEWORK
V͊ΠΑr«æ¨ΑÚ¢ÚÄΑæËΑϏBæ«ËÄ½Α[º«½½ÞΑVê½«Ĉæ«ËÄΑ"ÚÃöËÚºΑλB[V"μϐΡΑö¨«¨ΑË¢Αæ¨ΑÞææÃÄæÞΑ£«õÄΑ
½ËöΑ«ÞέÚΑËÚÚæΧ
1. Under NSQF, a learner can acquire the certification for competency only through formal learning.
2. An outcome expected from the implementation of NSQF is the mobility between vocational and general education.
Select the correct answer using the code give below:
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
ANSWERS B
EXPLANATION
b¨ΑBæ«ËÄ½Α[º«½½ÞΑVê½«Ĉæ«ËÄÞΑ"ÚÃöËÚºΑλB[V"μΑËÚ£Ä«āÞΑÙê½«Ĉæ«ËÄÞΑËÚ«Ä£ΑæËΑΑÞÚ«ÞΑË¢Α½õ½ÞΑ
Ë¢ΑºÄËö½£ΡΑÞº«½½ÞΑÄΑ×æ«æêΠΑb¨ÞΑ½õ½ÞΑÚΑĈÄΑ«ÄΑæÚÃÞΑË¢Α½ÚÄ«Ä£ΑËêæËÃÞΑö¨«¨Αæ¨Α½ÚÄÚΑ
ÃêÞæΑ×ËÞÞÞÞΑÚ£Ú½ÞÞΑË¢Αö¨æ¨ÚΑæ¨üΑöÚΑÙê«ÚΑæ¨ÚËê£¨Α¢ËÚÃ½ΡΑÄËÄα¢ËÚÃ½ΑËÚΑ«Ä¢ËÚÃ½Α½ÚÄ«Ä£Π
+æΑ ×ÚËõ«ÞΑ ¢ËÚΑ Ãê½æ«×½Α ×æ¨öüÞΡΑ ¨ËÚ«āËÄæ½Α ÞΑ ö½½Α ÞΑ õÚæ«½ΡΑ Ëæ¨Α ö«æ¨«ÄΑ õËæ«ËÄ½Α êæ«ËÄΑ ÄΑ
õËæ«ËÄ½ΑæÚ«Ä«Ä£ΑÄΑÃËÄ£ΑõËæ«ËÄ½Αêæ«ËÄΡΑõËæ«ËÄ½ΑæÚ«Ä«Ä£ΡΑ£ÄÚ½Αêæ«ËÄΑÄΑæ¨Ä«½Α
êæ«ËÄΡΑæ¨êÞΑ½«Äº«Ä£ΑËÄΑ½õ½ΑË¢Α½ÚÄ«Ä£ΑæËΑÄËæ¨ÚΑ¨«£¨ÚΑ½õ½ΠΑHence statement 1 is not correct and
ANALYSIS:
ANALYSIS:
AÄüΑ ×ÚË£ÚÃÃÞΑ ¨Α ÄΑ ½êÄ¨Α üΑ æ¨Α £ËõÚÄÃÄæΑ ¢ËÚΑ Þº«½½Α õ½Ë×ÃÄæΑ «ÄΑ æ¨Α ËêÄæÚüΠΑ +ÄΑ æ¨«ÞΑ
Ú£ÚΡΑBV["Α¨ΑÚÃ«ÄΑÚ£ê½Ú½üΑ«ÄΑæ¨ΑÄöÞΠ
b¨ΑÞææÃÄæΑ͊ΑêÞÞΑæ¨ΑöËÚΑϏËÄ½üϐΠΑÞΑ×ÚæΑ¢ÚËÃΑ¢ËÚÃ½ΑæÚ«Ä«Ä£Αæ¨Α#ËõÚÄÃÄæΑ¨Α½ÞËΑæºÄΑ«ÄæËΑ
ËÄÞ«Úæ«ËÄΑ×Ú«ËÚΑû×Ú«ÄΑËæ«ÄΑæ¨ÚËê£¨ΑËæ¨ÚΑÃÄÞΡΑ¨ÄΑ«æΑÄΑΑêÞΑ¢ËÚΑ½«Ã«Äæ«ËÄΠΑHÄΑ
ÄΑæ¨êÞΑ£æΑÚ«ΑË¢ΑË×æ«ËÄΑλμΑÄΑË×æ«ËÄΑλμΑΠ
SOURCE : ¨ææ×΢έέöööΠæ¨¨«ÄêΠËÃέ¢æêÚÞέêæ«ËÄέ Ú«£αæ¨αÞº«½½ÞαΑ£×έÚæ«α

cle14556912.ece
¨ææ×΢έέ×«ΠÄ«Π«ÄέÄöÞ«æέ×Ú«ÄæÚ½ÞΠÞ×ûΧÚ½«Ͻ͎͊͐͏͌͐
¨ææ×΢έέöööΠÄÞΠ£ËõΠ«ÄέÄÞÙ¢Π¨æÃ½
158
Year 2017 RECOGNITION OF PRIOR LEARNING
V͋ΠΑWË£Ä«æ«ËÄΑË¢ΑTÚ«ËÚΑ;ÚÄ«Ä£Α[¨ÃϐΑ«ÞΑÞËÃæ«ÃÞΑÃÄæ«ËÄΑ«ÄΑæ¨ΑÄöÞΑö«æ¨ΑÚ¢ÚÄΑæË
(a) Certifying the skills acquire by construction workers through traditional channels.
(b) Enrolling the persons in Universities for distance learning programmes.
(c) Reserving some skilled jobs to rural and urban poor in some public sector undertakings.
(d) Certifying the skills acquired by trainees under the National Skill Development Programme.
ANSWERS A
EXPLANATION
b¨ΑWË£Ä«æ«ËÄΑË¢ΑTÚ«ËÚΑ;ÚÄ«Ä£ΑλWT;μΑ«ÞΑÄΑÞÞÞÞÃÄæΑË¢Αæ¨ΑÞº«½½ÞΑÙê«ÚΑüΑæ¨Α«Ä«õ«ê½Αæ¨ÚËê£¨Α
û×Ú«ÄΡΑËÞÚõæ«ËÄΑÄΑÞ½¢α½ÚÄ«Ä£ΠΑb¨ΑÞÞÞÞÃÄæΡΑö¨«¨Α«ÞΑ¢Ë½½ËöΑüΑΑÚæ«Ĉæ«ËÄΡΑ£«õÞΑÄΑ
£ΑæËΑÄΑËæ¨Úö«ÞΑ«Ä¢ËÚÃ½ΑöËÚºÚΠΑ+æΑ×ÚËõ«ÞΑæ¨ΑÃ×½ËüΑö«æ¨Αæ¨ΑËÄĈÄΡΑÞË«½ΑÚË£Ä«æ«ËÄΑ
ÄΑ Ã×ËöÚÃÄæΑ æ¨æΑ ÚΑ ÄÞÞÚüΑ æËΑ Ä£Ëæ«æΑ ¨«ÞΑ ¢êæêÚΑ Ã×½ËüÃÄæΠΑ "Ë½½Ëö«Ä£Α ÞêÞÞ¢ê½Α
ÞÞÞÞÃÄæΡΑΑÄ«æΑ«ÞΑ£«õÄΑΑĈÄÄ«½ΑÚöÚΡΑ«ÄΑ«æ«ËÄΑæËΑÚæ«Ĉæ«ËÄΠΑHence option (a) is the
correct answer.
ANALYSIS:
ANALYSIS:
WÄæ½üΡΑλÚËêÄΑ͉͋͊͐μΑ+;Ϟ"[Α[º«½½ÞΑõ½Ë×ÃÄæΑËÚ×ËÚæ«ËÄΑ;æΑλ+;Ϟ"[Α[º«½½ÞμΑΑ¶Ë«ÄæΑ«Ä«æ«æ«õΑË¢Α+;Ϟ"[Α
êæ«ËÄΑ ϞΑ Bæ«ËÄ½Α [º«½½ÞΑ õ½Ë×ÃÄæΑ ËÚ×ËÚæ«ËÄΑ λB[μΑ ½êÄ¨Α WË£Ä«æ«ËÄΑ Ë¢Α TÚ«ËÚΑ ;ÚÄ«Ä£Α
λWT;μΑ×ÚË£ÚÃÃΑ«ÄΑæ¨Α××Ú½ΑÞæËÚΑêÄÚΑTÚ¨ÄΑAÄæÚ«Α9êÞ¨½Αq«ºÞΑxË¶ÄΑλTA9qxμΑ͋Π͉Π
SOURCE : ¨ææ×΢έέöööΠæ¨¨«ÄêΠËÃέêæ«ËÄέÚÚÞέAÞÞ«õα«ÄαÞ½αÄαΑ«ÄÄËõα
æ«õα«Äα××ÚË¨έÚæ«½͊͐͋͑͐͒͊͌Π
PLEASE NOTE:Αb¨«ÞΑÙêÞæ«ËÄΑλÚ½æΑæËΑ[º«½½Αõ½Ë×ÃÄæμΑÄΑæ¨ΑÙêÞæ«ËÄΑËõΑλ½ÞËΑÚ½æΑæËΑ[º«½½Α
õ½Ë×ÃÄæμΑÚΑ½«ÄºΠΑÄΑËæ¨Αæ¨ΑÙêÞæ«ËÄÞΑ¢æêÚΑ«ÄΑæ¨ΑÞÃΑüÚΑλ͉͋͊͐μΠΑΑb¨ΑĈÚÞæΑÞææÃÄæΑ
Ë¢Α æ¨Α ×Úõ«ËêÞΑ ÙêÞæ«ËÄΑ «ÞΑ ÞΑ ËÄΑ æ¨Α ÞÃΑ «Α ÞΑ æ¨Α WË£Ä«æ«ËÄΑ Ë¢Α TÚ«ËÚΑ ;ÚÄ«Ä£ΠΑ +¢Α æ¨Α
£ËõÚÄÃÄæΑ ÚË£Ä«āÞΑ ×Ú«ËÚΑ ½ÚÄ«Ä£ΡΑæ¨ÄΑ ¨ËöΑ ÄΑæ¨ΑĈÚÞæΑ ÞææÃÄæΑ Ë¢Αæ¨Α ×Úõ«ËêÞΑ ÙêÞæ«ËÄΑ Α
ËÚÚæΥΧ
159
Year 2018 HUMAN CAPITAL DEVELOPMENT
V͌ΠΑ(êÃÄΑ×«æ½Α¢ËÚÃæ«ËÄΑÞΑΑËÄ×æΑ«ÞΑææÚΑû×½«ÄΑ«ÄΑæÚÃÞΑË¢ΑΑ×ÚËÞÞΑö¨«¨ΑÄ½ÞΑ
1. individuals of a country to accumulate more capital.
2. increasing the knowledge, skill levels and capacities of the people of the country.
3. accumulation of tangible wealth.
4. accumulation of intangible wealth.
(a) 1 and 2 only
(b) 2 only
(c) 2 and 4 only
(d) 1, 3 and 4 only
ANSWERS C
EXPLANATION
(êÃÄΑ×«æ½Α¢ËÚÃæ«ËÄΑ«Ä«æÞΡΑύæ¨Α×ÚËÞÞΑË¢ΑÙê«Ú«Ä£ΑÄΑ«ÄÚÞ«Ä£Αæ¨ΑÄêÃÚΑË¢Α×ÚÞËÄÞΑö¨ËΑ
¨õΑæ¨ΑÞº«½½ÞΡΑêæ«ËÄΑÄΑû×Ú«ÄΑö¨«¨ΑÚΑÚ«æ«½Α¢ËÚΑæ¨ΑËÄËÃ«ΑÄΑæ¨Α×Ë½«æ«½Αõ½Ë×ÃÄæΑ
Ë¢Αæ¨ΑËêÄæÚüΠΑΑHence option 1 is not the correct answer.
(êÃÄΑ×«æ½Α¢ËÚÃæ«ËÄΑ«ÞΑæ¨êÞΑÞÞË«æΑö«æ¨Α«ÄõÞæÃÄæΑ«ÄΑÃÄΑÄΑ¨«ÞΑõ½Ë×ÃÄæΑÞΑΑÚæ«õΑÄΑ
×ÚËêæ«õΑÚÞËêÚΠώΑHence option 2 is correct and option 3 is not correct.
+ÄæÄ£«½Α ö½æ¨Α ËÄÞ«ÞæÞΑ Ë¢Α ¢æËÚÞΑ Þê¨Α ÞΑ æ¨Α æÚêÞæΑ ÃËÄ£Α ×Ë×½Α «ÄΑ Α ÞË«æüΡΑ ÄΑ Ć«ÄæΑ ¶ê««½Α
ÞüÞæÃΡΑ ½ÚΑ ×ÚË×ÚæüΑ Ú«£¨æÞΡΑ ąæ«õΑ £ËõÚÄÃÄæΡΑ ÄΑ £ËËΑ êæ«ËÄΑ ÞüÞæÃΑ æΠΑ (êÃÄΑ ×«æ½Α
¢ËÚÃæ«ËÄΑÄ½ÞΑêÃê½æ«ËÄΑË¢Α«ÄæÄ£«½Αö½æ¨ΠΑHence option 4 is correct.
ANALYSIS:
ANALYSIS:
+æΑ«ÞΑÙê«æΑ½Ë£«½Αæ¨æΑË×æ«ËÄÞΑ͌ΑÄΑ͍ΑÄÄËæΑΑËæ¨ΑËÚÚæΑæË£æ¨ÚΠ
SOURCE : +Ä«ÄΑËÄËÃ«Αõ½Ë×ÃÄæΑλBWbΑ½ÞÞΑ͊͊μ
ûÚ×æΑ¢ÚËÃΑBWb 160
161
LABOUR AND EMPLOYMENT

Year 2017 NATIONAL CAREER SERVICES
V͊ΠΑËÄÞ«ÚΑæ¨Α¢Ë½½Ëö«Ä£Α«ÄΑÚÞ×æΑË¢ΑϏBæ«ËÄ½ΑÚÚΑ[Úõ«Þϐ΢
1. National Career Service is an initiative of the Department of Personnel and Training, Government of India.
2. National Career Service has been launched in a Mission Mode to improve the employment opportunities to
uneducated youth of the country.
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
ANSWERS D
EXPLANATION
Bæ«ËÄ½ΑÚÚΑ[Úõ«ΑλB[μΑ×ÚË¶æΑ«ÞΑÄΑ«Ä«æ«æ«õΑ½êÄ¨ΑüΑæ¨ΑA«Ä«ÞæÚüΑË¢Α;ËêÚΑÄΑÃ×½ËüÃÄæΑ
λ+Ä«μΑ#ËõÚÄÃÄæΑË¢Α+Ä«ΑÞΑΑA«ÞÞ«ËÄΑAËΑTÚË¶æΑ¢ËÚΑÞæ½«Þ¨«Ä£ΑÙê«ºΑÄΑĆ«ÄæΑÚÚΑÚ½æΑ
ÞÚõ«ÞΠ Hence statement 1 is not correct.
+æÞΑ×êÚ×ËÞΑ«ÞΑæËΑ×ÚËõ«ΑΑõÚ«æüΑË¢ΑÃ×½ËüÃÄæαÚ½æΑÞÚõ«ÞΡΑÞê¨ΑÞΑÚÚΑËêÄÞ½½«Ä£ΡΑõËæ«ËÄ½Α
£ê«ÄΡΑÄΑ«Ä¢ËÚÃæ«ËÄΑËÄΑÞº«½½Αõ½Ë×ÃÄæΑËêÚÞÞΡΑæËΑ¶ËΑÞºÚÞΑÄΑÃ×½ËüÚÞΑ«ÄΑæ¨ΑËêÄæÚüΠΑ+æΑ
«ÃÞΑæËΑ«Ã×ÚËõΑæ¨ΑÃ×½ËüÃÄæΑË××ËÚæêÄ«æ«ÞΑ¢ËÚΑ½½Α¶ËΑÞºÚÞΡΑÄËæΑ¶êÞæΑæ¨ΑêÄêæΑüËêæ¨ΠΑHence
ANALYSIS:
ANALYSIS:
+¢Α ËÄΑ ºÄËöÞΑ ö½½Α ö¨æΑ æ¨Α ûæΑ ÚË½Α Ë¢Α ËTbΑ «ÞΑ λfT[Α Þ×«ÚÄæÞΑ ÄΑ æËΑ ºÄËöΑ æ¨æμΡΑ æ¨ÄΑ ËÄΑ ÄΑ
½«Ã«ÄæΑË×æ«ËÄÞΑλμΑÄΑλμΠΑæΑæ¨ΑÞÃΑæ«ÃΡΑ«ÄΑÞææÃÄæΑ͋ΡΑϏêÄêæΑüËêæ¨ϐΑ«ÞΑΑ«ΑÄËê£¨Α½êΑ
λæ¨Ëê£¨Αæ¨«ÞΑÞÞêÃ×æ«ËÄΑÚÚ«ÞΑÞËÃΑÃËêÄæΑË¢ΑÚ«ÞºμΠ
SOURCE : ¨ææ×΢έέ×«ΠÄ«Π«ÄέÄöÞ«æέTÚ«ÄæW½ÞΠÞ×ûΧÚ½«Ͻ͎͍͍͊͒͑
¨ææ×Þ΢έέöööΠÄÞΠ£ËõΠ«ÄέT£Þέ¢ê½æΠÞ×û
¨ææ×΢έέ£æΠÄ«Π«ÄέËÄæÄæέÞæêÄæÞέÄæ«ËÄ½αÚÚαÞÚõ«Π×¨×
162
Year 2019 EMPLOYMENT
V͋ΠΑËÄÞ«ÚΑæ¨Α¢Ë½½Ëö«Ä£ΑÞææÃÄæÞ΢
As per the Industrial Employment (Standing Orders) Central (Amendment) Rules, 2018-
1. if rules for fixed-term employment are implemented, it becomes easier for the firms/companies to lay off workers
2. no notice of termination of employment shall be necessary in the case of temporary workman
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
ANSWERS C
EXPLANATION
Statement 1 is correct:Αb¨Α£ËõÚÄÃÄæΑ¨ÞΑÄËæ«ĈΑĈûΑæÚÃΑÃ×½ËüÃÄæΑ¢ËÚΑ½½ΑÞæËÚÞΑæ¨ÚËê£¨ΑÄΑ
ÃÄÃÄæΑæËΑæ¨Α+ÄêÞæÚ«½ΑÃ×½ËüÃÄæΑλ[æÄ«Ä£ΑHÚÚÞμΑÄæÚ½ΑWê½ÞΡΑ͍͊͒͏ΠΑ"«ûαæÚÃΑÃ×½ËüÃÄæΑ
¢ËÚΑ½½ΑÞæËÚÞΑö«½½ΑÃºΑ«æΑÞ«ÚΑ¢ËÚΑËÃ×Ä«ÞΑæËΑ¨«ÚαÄαĈÚΑöËÚºÚÞΑ½ËÄ£Αö«æ¨ΑÚê«Ä£Αæ¨ΑÚË½ΑË¢Α
Ã«½ÃÄΠ
Statement 2 is correct:Α BËΑ ÄËæ«Α Ë¢Α æÚÃ«Äæ«ËÄΑ Ë¢Α Ã×½ËüÃÄæΑ Þ¨½½Α Α ÄÞÞÚüΑ «ÄΑ æ¨Α ÞΑ Ë¢Α
æÃ×ËÚÚüΑ öËÚºÃÄΑ ö¨æ¨ÚΑ ÃËÄæ¨½üΑ ÚæΡΑ öº½üΑ ÚæΑ ËÚΑ ×«Α ÚæΑ ÄΑ ×ÚËæ«ËÄÚÞΑ ËÚΑ ½«Α
öËÚºÃÄΠ
ANALYSIS:
ANALYSIS:
SOURCE : ¨ææ×Þ΢έέ«Ä«Äû×ÚÞÞΠËÃέÚæ«½έêÞ«ÄÞÞέËÄËÃüέ«ÄêÞæÚ«½αÃ×½ËüÃÄæαΑÞæÄα
«Ä£ΑαËÚÚÞαÄæÚ½αÚê½Þα͍͊͒͏αÃÄÃÄæαÞÞα¨«ÚαÄαĈÚαæËαÚα
êαÃ«½ÃÄαÚË½αΑ͎͉͊͌͐͏͎έ
163
Year 2021 CASUAL WORKERS
V͌ΠΑr«æ¨ΑÚ¢ÚÄΑæËΑÞê½ΑöËÚºÚÞΑÃ×½ËüΑ«ÄΑ+Ä«ΡΑËÄÞ«ÚΑæ¨Α¢Ë½½Ëö«Ä£ΑÞææÃÄæÞ΢
1. All casual workers are entitled for Employees Provident Fund coverage.
2. All casual workers are entitled for regular working hours and overtime payment.
3. The government can by a notification specify that an establishment or industry shall pay wages only through its bank
account.
(a) 1 and 2 only
(b) 2 and 3 only
(c) 1 and 3 only
(d) 1, 2 and 3
ANSWERS B
EXPLANATION
T½ÞΑÄËæΑæΑĈÚÞæΑ£½ÄΡΑ½½Αæ¨Αæ¨ÚΑÞææÃÄæÞΑÞÃΑËÚÚæΡΑêæΑfT[ΑÚ£ÚΑÞææÃÄæΑ͊ΑÞΑ
incorrect.
(Ë½«Ä£Α æ¨æΑ ÄΑ Ã×½ËüÚΑ ÄÄËæΑ «ąÚÄæ«æΑ æöÄΑ ËÄæÚæê½Α ÄΑ ×ÚÃÄÄæΑ Ã×½ËüÞΡΑ æ¨Α
[ê×ÚÃΑËêÚæΑ«ÄΑTöÄΑ(ÄÞΑ;«Ã«æΑϞΑHÚÞΠΑqÞΑõ«æ«ËÄΑ9ÚÃ¨Ú«Α[Ä£¨æÄΑ¨ÞΑÚê½Αæ¨æΑÞê½Α
öËÚºÚÞΑ ÚΑ ½ÞËΑ Äæ«æ½Α æËΑ ÞË«½Α ÞêÚ«æüΑ ÄĈæÞΑ êÄÚΑ æ¨Α Ã×½ËüÞϐΑ TÚËõ«ÄæΑ "êÄÞΑ ÄΑ
A«Þ½½ÄËêÞΑTÚËõ«Þ«ËÄÞΑæΠΑ êæΡΑæ¨ΑÚ«æÚ«ËÄΑË¢ΑÃ«Ä«ÃêÃΑË¢Α͉͋ΑÃ×½ËüÞΑ«ÞΑÄÞÞÚüΠΑb¨æΑ«ÞΑö¨æΑ
fT[ΑÃêÞæΑ¨õΑËÄÞ«ÚΠΑ
ËΑËÄΑ[Ë«½Α[êÚ«æüΡΑ͉͉͋͋ΑαΑb¨ΑËΑÚ×½ÞΑÄ«ÄΑ½öÞΑÚ½æΑæËΑÞË«½ΑÞêÚ«æüΠΑb¨ÞΑ«Ä½êΑæ¨Α
Ã×½ËüÞϐΑTÚËõ«ÄæΑ"êÄΑæΡΑ͎͊͒͋ΡΑæ¨ΑAæÚÄ«æüΑ ÄĈæΑæΡΑ͊͒͏͊ΡΑÄΑæ¨ΑfÄËÚ£Ä«ÞΑrËÚºÚÞϐΑ[Ë«½Α
[êÚ«æüΑæΡΑ͉͉͋͑ΑÃËÄ£ΑËæ¨ÚÞΠΑb¨ΑËΑ«ÞΑ××½«½ΑæËΑÄüΑÞæ½«Þ¨ÃÄæΑλÞê¶æΑæËΑÞ«āΑαΑæ¨ÚÞ¨Ë½Α
ÞΑÃüΑΑÄËæ«ĈΑüΑæ¨ΑÄæÚ½Α£ËõÚÄÃÄæμΠΑ
[Ë«½ΑÞêÚ«æüΑ¢êÄ΢Αb¨ΑËΑÞææÞΑæ¨æΑæ¨ΑÄæÚ½Α£ËõÚÄÃÄæΑö«½½ΑÞæΑê×ΑÞê¨ΑΑ¢êÄΑ¢ËÚΑêÄËÚ£Ä«āΑ
öËÚºÚÞΡΑ£«£ΑöËÚºÚÞΑÄΑ×½æ¢ËÚÃΑöËÚºÚÞΠΑ"êÚæ¨ÚΡΑÞææΑ£ËõÚÄÃÄæÞΑö«½½Α½ÞËΑÞæΑê×ΑÄΑÃ«Ä«ÞæÚΑ
Þ×ÚæΑÞË«½ΑÞêÚ«æüΑ¢êÄÞΑ¢ËÚΑêÄËÚ£Ä«āΑöËÚºÚÞΠΑËΑËÄΑr£ÞΡΑ͉͉͋͋ΑΡ[æ«ËÄΑ͏ΑϞΑ͐ΑÚΑÚ½æΑæËΑ
ÄêÃÚΑ Ë¢Α Ú£ê½ÚΑ öËÚº«Ä£Α ¨ËêÚÞΑ ÄΑ rº½üΑ üΑ Ë¢Α ÚÞæΑ ϞΑ ËõÚæ«ÃΑ ×ÚËõ«Þ«ËÄÞΑ ÚÞ×æ«õ½üΠ Hence
statements 1 is not correct and statement 2 is correct.
b¨Α TüÃÄæΑ Ë¢Α r£ÞΑ æΡΑ ͊͒͌͏Α ¨ÞΑ ÄΑ ÃÄΑ üΑ TüÃÄæΑ Ë¢Α r£ÞΑ λÃÄÃÄæμΑ æΡΑ ͉͋͊͐Α
λąæ«õΑ¢ÚËÃΑ ͋͑Π͊͋Π͉͋͊͏μΑæËΑ Ä½Αæ¨Α Ã×½ËüÚÞΑæËΑ ×üΑö£ÞΑæËΑæ¨«ÚΑ Ã×½ËüÞΑ üΑ λμΑ Þ¨Α ËÚΑ λμΑ
¨ÙêΑ ËÚΑ λμΑ Ú«æ«Ä£Α æËΑ æ¨«ÚΑ ÄºΑ ËêÄæΑ b¨Α ÃÄÃÄæΑ «ÄΑ æ¨ΑæΑ ½ÞËΑ Ä½ÞΑ æ¨Α ××ÚË×Ú«æΑ
#ËõÚÄÃÄæΑæËΑÞ×«¢üΑæ¨Α«ÄêÞæÚ«½ΑËÚΑËæ¨ÚΑÞæ½«Þ¨ÃÄæΡΑüΑÄËæ«Ĉæ«ËÄΑ«ÄΑæ¨ΑHĆ«½Α#āææΡΑö¨«¨Α
Þ¨½½Α×üΑæËΑõÚüΑ×ÚÞËÄΑÃ×½ËüΑ«ÄΑÞê¨Α«ÄêÞæÚ«½ΑËÚΑËæ¨ÚΑÞæ½«Þ¨ÃÄæΡΑæ¨Αö£ÞΑËÄ½üΑüΑ¨ÙêΑËÚΑ
üΑÚ«æ«Ä£Α«ÄΑ¨«ÞΑÄºΑËêÄæΠ Hence statement 3 is correct.
ANALYSIS:
ANALYSIS:
Αb¨ΑÞææÃÄæÞΑÚΑ¢æê½Α«ÄΑÄæêÚΑÄΑ¨ÄΑæ¨ÚΑ«ÞΑÄËΑÞË×Α¢ËÚΑ½«Ã«Äæ«ËÄΠ
SOURCE : ¨ææ×Þ΢έέöööΠ×ĈÄ«Π£ËõΠ«ÄέÞ«æεËÞέT"ÞέËöÄ½ËÞεT"ÞέT"æ͎͊͒͋Π×¢
164
Year 2022 UNEMPLOYMENT
V͍ΠΑ+ÄΑ+Ä«ΡΑö¨«¨ΑËÄΑË¢Αæ¨Α¢Ë½½Ëö«Ä£ΑËÃ×«½ÞΑ«Ä¢ËÚÃæ«ËÄΑËÄΑ«ÄêÞæÚ«½Α«Þ×êæÞΡΑ½ËÞêÚÞΡΑÚæÚÄ¨α
ÃÄæÞΑÄΑ½üαËąÞΑ«ÄΑ¢æËÚ«ÞΑÃ×½Ëü«Ä£ΑöËÚºÚÞΧ
(a) Central Statistics Office
(b) Department for Promotion of Industry and Internal Trade
(c) Labour Bureau
(d) National Technical Manpower Information System
ANSWERS C
EXPLANATION
;ËêÚΑ êÚêΑ ¨ÞΑ ÄΑ Ä££Α «ÄΑ Ë½½æ«ËÄΡΑ ËÃ×«½æ«ËÄΡΑ Ä½üÞ«ÞΑ ÄΑ «ÞÞÃ«Äæ«ËÄΑ Ë¢Α ½ËêÚΑ
Þææ«Þæ«ÞΑæΑ½½Α+Ä«ΑÄΑ[ææΑ½õ½ΑËÄΑ«ąÚÄæΑ¢æÞΑË¢Α½ËêÚΑÞ«ÄΑ«æÞΑ«Ä×æ«ËÄΑ«ÄΑæ¨ΑüÚΑ͉͊͒͋ΠΑ+æΑ
Ú½ÞÞΑ ÄÄê½Α ×ê½«æ«ËÄΑ æ«æ½ΡΑ Ϗ+ÄêÞæÚ«½Α «Þ×êæÞΡΑ ½ËÞêÚÞΡΑ WæÚÄ¨ÃÄæÞΑ ÄΑ ;üαHąÞΑ «ÄΑ
«ÄêÞæÚ«ÞΑ«ÄΑ+Ä«ϐΠΑ+æΑ×ÚËõ«ÞΑÞææ«Þæ«ÞΑËÄΑöËÚºαÞæË××£ÞΡΑ½ËÞêÚÞΡΑÚæÚÄ¨ÃÄæÞΑÄΑ½ËºËêæÞΑö¨«¨Α
«ÞΑêÞ¢ê½Α«ÄΑÃº«Ä£Α×Ë½««ÞΑ¢ËÚΑÃ«Äæ«Ä«Ä£ΑËÚ«½ΑÄΑ¨ÚÃËÄ«ËêÞΑÚ½æ«ËÄÞΑæöÄΑæ¨ΑÃÄ£ÃÄæΑ
ÄΑæ¨ΑöËÚºÚÞΠΑb¨«ÞΑÚ×ËÚæΑ«ÞΑ½ÞËΑ«ÃΑæΑÃæ«Ä£Αæ¨ΑÃÄΑ¢ËÚΑ¨«ÞæËÚ«½ΑæΑÄΑ«Ä¢ËÚÃæ«ËÄΑËÄΑ
«ÄêÞæÚ«½Α ËÄĉ«æÞΑ ÄΑ æ¨«ÚΑ êÞÞΑ üΑ ×½ÄÄÚÞΡΑ ×Ë½«üÃºÚÞΑ ÄΑ «Þ«ËÄαÃºÚÞΑ «ÄΑ «ÄêÞæÚüΑ ÄΑ
£ËõÚÄÃÄæΠΑHence option (c) is the correct answer.
ANALYSIS:
ANALYSIS:
B
SOURCE : ¨ææ×Þ΢έέ½ËêÚΠ£ËõΠ«ÄέÞ«æÞέ¢ê½æέĈ½ÞέÄÄê½εW×ËÚæε͉͉͋͋͋͊εÄ£½«Þ¨Π×¢
¨ææ×΢έέöööΠ½ËêÚêÚêÄöΠ£ËõΠ«ÄέfÞÚËÄæÄæέ+εWα
õ«öε͉͍͋͊Π×¢Χ×Úε«Ͻ"¢W͏ÃÄ͍wfqА͌
¨ææ×Þ΢έέËÄËÃ«æ«ÃÞΠ«Ä«æ«ÃÞΠËÃέÄöÞέËÄËÃüέ«Ä«α
æËÚÞέ͎͎͌͐αöËÚºÚÞαąæαüα½üαËąÞαÚËÞÞα«Ä«αæöÄα¶ÄêÚüαÄα¶êÄα½
ËêÚαÃ«Ä«ÞæÚüαæέÚæ«½Þ¨Ëöέ͐͑͋͌͋͏͑͊ΠÃÞΧ¢ÚËÃϽÃÚ
165
SOCIAL SECURITY
Year 2017 NATIONAL PENSION SYSTEM
V͊ΠΑr¨ËΑÃËÄ£Αæ¨Α¢Ë½½Ëö«Ä£ΑÄΑ¶Ë«ÄΑæ¨ΑBæ«ËÄ½ΑTÄÞ«ËÄΑ[üÞæÃΑλBT[μΧ
(a) Resident Indian citizens only
(b) Persons of age from 21 to 55 only
(c) All State Government employees joining the services after the state of notification by the respective State
Governments
(d) All Central Government employees including those of Armed Forces joining the services on or after 1st April, 2004
ANSWERS C
EXPLANATION
NPS (National Pension System) is a defined contribution based Pension Scheme launched by Government of India.
½«£««½«æü΢
NPS is applicable to all new employees of Central Government service (except Armed Forces) and Central
Autonomous Bodies joining Government service on or after 1st January 2004.
NPS is applicable to all the employees of State Governments, State Autonomous Bodies joining services after the
date of notification by the respective State Governments.
All citizens of India between the age of 18 and 60 years as on the date of submission of his / her application to Point
of Presence (POP) / Point of Presence-Service Provider (POP-SP) can join NPS. Recently, NRIs were also allowed to
open National Pension Scheme (NPS) accounts online.
Hence option (c) is the correct answer.
ANALYSIS:
ANALYSIS:
b¨ΑÞ¨ÃΑ«ÞΑËÄΑË¢Αæ¨ΑÃËÞæΑ«Ã×ËÚæÄæΑÞ¨ÃÞΑ«ÄΑTÄÞ«ËÄΑ[æËÚΑÄΑæ¨êÞΑ¨Ë½ÞΑ«Ã×ËÚæÄΑ¢ÚËÃΑ
æ¨«ÞΑ×ÚÞ×æ«õΑÞΑö½
NA
SOURCE : ¨ææ×Þ΢έέ«Ä«Π£ËõΠ«ÄέÞ×Ëæ½«£¨æέÄæ«ËÄ½α×ÄÞ«ËÄαÞüÞæÃαÚæ«ÚÃÄæα×½Äα½½Α
¨ææ×΢έέöööΠæ¨¨«ÄêΠËÃέêÞ«ÄÞÞέËÄËÃüέBW+ÞαÄαÄËöα××½üαËÄ½«ÄαΑ¢ËÚαBα
æ«ËÄ½αTÄÞ«ËÄα[¨ÃέÚæ«½͍͍͊͋͑͊͋͒ΠΑ
166
Year 2019 NFSA, 2013
V͋ΠΑr«æ¨ΑÚ¢ÚÄΑæËΑæ¨Α×ÚËõ«Þ«ËÄÞΑÃΑêÄÚΑæ¨ΑBæ«ËÄ½Α"ËËΑ[êÚ«æüΑæΡΑ͉͋͊͌ΡΑËÄÞ«ÚΑæ¨Α
¢Ë½½Ëö«Ä£ΑÞææÃÄæÞ΢
1. The families coming under the category of 'Below Poverty Line (BPL)' only are eligible to receive subsidies food
grains.
2. The eldest woman in a household, of age 18 years or above, shall be the head of the household for the purpose of
issuance of a ration card.
3. Pregnant women and lactating mothers are entitled to a 'take-home ration' of 1600 calories per day during
pregnancy and for six months thereafter.
(a) 1 and 2 only
(b) 2 only
(c) 1 and 3 only
(d) 3 only
ANSWERS B
EXPLANATION
Statement 1 is not correct: The Act provides for coverage of upto 75% of the rural population and upto 50% of the
urban population for receiving subsidized foodgrains under Targeted Public Distribution System (TPDS), thus covering
about two-thirds of the population.
Statement 2 is correct: It provides that eldest woman of the household of age 18 years or above is to be the head
of the household for the purpose of issuing of ration cards.
Statement 3 is not correct: The official Act does not mention anything about the calories intake. Besides meal to
pregnant women and lactating mothers during pregnancy and six months after the child birth, such women will also
be entitled to receive maternity benefit of not less than Rs. 6,000.
ANALYSIS:
ANALYSIS:
One of the most important social security schemes along with MGNREGA.It can be asked any year (in a similar or
different form)
In the first statement, the word ‘only’ can be used as a clue to reach the incorrectness of the same. As in South Asia in
general and India in particular, many people live on a slippery slope (those whore not under the poverty line but can
fall below the same; food security is a challenge for them as well) Hence statement 1 can be eliminated. One will be
left with two options (further logical elimination is not possible, as some amount of factual knowledge is required).
SOURCE : ¨ææ×Þ΢έέõ«ºÞ×«Π«ÄέÄöÞέÞææαÚÄº«Ä£α«Äûα¢ËÚαÄ¢Þα½êÄ¨ά΢Ѕ΢æûæϽb¨Α
А͉͋Bæ«ËÄ½А͉͋"ËËА͉͋[êÚ«æüА͉͋æΡêÄÚА͉͋bÚ£æА͉͋Têα
½«А͉͋«ÞæÚ«êæ«ËÄА͉͋[üÞæÃΠ
167
Year 2023 SELF-HELP GROUPS
V͌ΠΑËÄÞ«ÚΑæ¨Α¢Ë½½Ëö«Ä£ΑÞææÃÄæÞΑ΢Α
1. The Self-Help Group (SHG) programme was originally initiated by the State Bank of India by providing microcredit to
the financially deprived.
2. In an SHG, all members of a group take responsibility for a loan that an individual member takes.
3. The Regional Rural Banks and Scheduled Commercial banks support SHGs.
(a) Only one
(b) Only two
(c) All three
(d) None
ANSWERS B
EXPLANATION
b¨ΑËÚ«£«ÄΑË¢ΑÞ½¢α¨½×Α£ÚËê×ΑÄΑΑæÚΑ¢ÚËÃΑ#ÚÃÄΑ ÄºΑË¢Α Ä£½Þ¨ΡΑö¨«¨ΑöÞΑ¢ËêÄΑüΑ

AË¨ÃΑxêÄêÞΠΑ[#(ÞΑöÚΑÞæÚæΑÄΑ¢ËÚÃΑ«ÄΑ͎͊͒͐ΠΑ+ÄΑ+Ä«ΑB WΑ«Ä«æ«æΑ[(#[Α«ÄΑ͊͒͑͏α͊͒͑͐ΠΑ
b¨ΑÞÄΑË¢Α«ÄÞæ«æêæ«ËÄ½ΑÚ«æÞΑõ«½½Α«ÄΑæ¨ΑÚêÚ½ΑÚΑ¨ÞΑ½ΑæËΑæ¨ΑÞæ½«Þ¨ÃÄæΑË¢Α[(#ÞΠΑb¨Α
ËÄ×æΑË¢ΑÞ½¢Α¨½×Α£ÚËê×ÞΑ¨ÞΑÄΑõË½õΑæËΑËÚ£Ä«āΑæ¨ΑÚêÚ½Α×ËËÚΑæËΑÃæΑæ¨«ÚΑ×ÚËêæ«õΑÄΑ
ËÄÞêÃ×æ«ËÄΑÄÞΑËêæΑË¢Αæ¨«ÚΑÞõ«Ä£ΠΑ
b¨Ëê£¨Αæ¨ΑÞ¨ΑÚ«æΑ¢«½«æüΑ«ÞΑæËΑΑÞÄæ«ËÄΑüΑæ¨ΑÄºΑæËΑ[(#ΡΑæ¨ΑÞÄæ«ËÄΑË¢ΑÚ«æΑüΑ[(#ΑæËΑ«æÞΑ
«Ä«õ«ê½Α ÃÃÚÞΑ ö«½½Α Α £ê«Α ÞΑ ×ÚΑ æ¨«ÚΑ æÚÃÞΑ ÄΑ êÚæ«ËÄΑ ÞΑ «Α üΑ æ¨Α £ÚËê×ÞΠΑ b¨«ÞΑ «ÞΑ
û×æΑæËΑÚÃ«ÄΑêÄ¨Ä£ΑÄΑæ¨êÞΑÄÞêÚΑËÄæ«ÄêÄΑË¢ΑĈÄÄ«½Α«Þ«×½«ÄΑæΑæ¨ΑÃÃÚΑ½õ½ΠΑ
Α¢öΑ ÃÃÚÞΑ Ë¢Α ÄΑ [(#Α ÃüΑ £ÚêæΑ¢ÞæÚΑæËΑ ÞæÚæΑ ËÚΑ û×ÄΑ ËÄËÃ«Α æ«õ«æ«ÞΑ ÚÙê«Ú«Ä£Α Ãê¨Α
¨«£¨ÚΑ½õ½ÞΑË¢Α½ËÄÞΑæ¨ÄΑÚÙê«ÚΑüΑËæ¨ÚΑ[(#ΑÃÃÚÞΠΑ+ÄΑÞê¨ΑÞÞΡΑ½½ΑËæ¨ÚΑÃÃÚÞΑÃüΑÄËæΑ½«ºΑ
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(JLG)” ¢ÚËÃΑÃÃÚÞΑË¢ΑÄΑ[(#ΑÃüΑΑÚæΠΑb¨ΑÃÃÚÞΑË¢Α6;#Αö«½½ΑËÄæ«ÄêΑæËΑÚÃ«ÄΑÃÃÚÞΑË¢Α
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Ë¢Α+Ä«ΑÄΑfÄ«ËÄΑ ê£æΑÄÄËêÄÃÄæÞΑ¢ÚËÃΑæ«ÃΑæËΑæ«ÃΑÄΑõÚ«ËêÞΑ£ê«½«ÄÞΑ¨õΑÄΑ«ÞÞêΑæËΑ
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(ÄΑË×æ«ËÄΑλμΑ«ÞΑæ¨ΑËÚÚæΑÄÞöÚΠ
ANALYSIS:
ANALYSIS:
[(#Α«ÞΑÄΑ«Ã×ËÚæÄæΑæË×«ΑÞ×«½½üΑæΑΑæ«ÃΑö¨ÄΑĈÄÄ«½Α«Ä½êÞ«ËÄΑ«ÞΑ«Ä£Αõ«£ËÚËêÞ½üΑ×ÚËÃËæΑÄΑ
æº«Ä£Α×½ΠΑ½ÞËΡΑæ¨ÚΑöÚΑÚ×ËÚæÞΑ«ÄΑb¨Α(«ÄêΑËêæΑæ¨Α«ÄÚÞ«Ä£ΑÄêÃÚΑË¢Α[(#ÞΑλ͊Π͋ΑÚËÚÞΑ«ÄΑ
ÄêÃÚμΑÄΑæ¨ΑæÚ£æΑÞæΑüΑæ¨Α£ËõÚÄÃÄæΑæËΑ¨«õΑ͉͊ΑÚËÚΑöËÃÄΑ×Úæ««×ÄæÞΑ«ÄΑ[(#ÞΠ
168
SOURCE : BWbΑλ+Ä«ÄΑËÄËÃ«Αõ½Ë×ÃÄæμΑϹΑ[æÄÚΑBöÞ××Ú
;«ÄºÞΑË¢Αæ¨ΑÚæ«½Þ΢Α¨ææ×Þ΢έέöööΠæ¨¨«ÄêΠËÃέêÞ«ÄÞÞέËÄËÃüέα
Þ½¢α¨½×α£ÚËê×ÞαÄα¨½×α«Äαö«Ä«Ä£αöËÃÄÞα½ËêÚα¢ËÚα×Úæ««×æ«ËÄαËÄËÃ«
αÞêÚõüέÚæ«½͏͏͍͎͍͒͋͐Π
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+ÄΑæ¨ΑBWbΑËËºΑ+Ä«ÄΑËÄËÃ«Αõ½Ë×ÃÄæΡΑ[(#ÞΑ«ÞΑö«½üΑËõÚ
169
QUALITY AND STANDARDIZATION

Year 2017 STANDARDS
V͊ΠΑËÄÞ«ÚΑæ¨Α¢Ë½½Ëö«Ä£ΑÞææÃÄæÞ΢
1. The Standard Mark of Bureau of Indian Standards (BIS) is mandatory for automotive tyres and tubes.
2. AGMARK is a quality Certification Mark issues by the Food and Agriculture Organisation (FAO).
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
ANSWERS A
EXPLANATION
+ÄΑ͉͉͋͊ΡΑΑÚæ«Ĉæ«ËÄΑ¢ÚËÃΑæ¨Α êÚêΑË¢Α+Ä«ÄΑ[æÄÚÞΑλ +[μΑ¨ÞΑÄΑÃΑÃÄæËÚüΑ¢ËÚΑ½½Αæü×ÞΑ
Ë¢ΑêæËÃËæ«õΑæüÚÞΑÄΑæêÞΠΑ(ÄΡΑ[ææÃÄæΑ͊Α«ÞΑËÚÚæΠΑ
#AW9Α«ÞΑΑÚæ«Ĉæ«ËÄΑÃÚºΑÃ×½ËüΑËÄΑ£Ú«ê½æêÚ½Α×ÚËêæÞΑ«ÄΑ+Ä«ΡΑÞÞêÚ«Ä£Αæ¨æΑæ¨üΑËÄ¢ËÚÃΑæËΑ
ΑÞæΑË¢ΑÞæÄÚÞΑ××ÚËõΑüΑæ¨Α«ÚæËÚæΑË¢ΑAÚºæ«Ä£ΑÄΑ+ÄÞ×æ«ËÄΡΑÄΑ£ÄüΑË¢Αæ¨Α#ËõÚÄÃÄæΑ
Ë¢Α+Ä«ΠΑb¨Α#AW9Α«ÞΑ½£½½üΑÄ¢ËÚΑ«ÄΑ+Ä«ΑüΑæ¨Α£Ú«ê½æêÚ½ΑTÚËêΑλ#Ú«Ä£ΑÄΑAÚº«Ä£μΑæΑË¢Α
͊͒͌͐ΑλÄΑÃÄΑ«ÄΑ͊͒͑͏μΠΑ(ÄΡΑÞææÃÄæΑ͋Α«ÞΑÄËæΑËÚÚæΠΑ
170
ANALYSIS:
ANALYSIS:
SOURCE : ¨ææ×΢έέ«Ä«Äû×ÚÞÞΠËÃέÚæ«½έ«Ä«έā«ºαõ«ÚêÞα½½αüËêαÄαæËαºÄËöα͍͏͐͏͎͍͑έΑ
¨ææ×Þ΢έέöööΠÄ¨×Π£ËõΠ«Äέ}«ºαõ«ÚêÞε×£Α
¨ææ×΢έέöööΠö¨ËΠ«ÄæέÃ«ÄæÚέ¢æÞ¨æÞέā«ºέÄέ
Year 2017 QUALITY COUNCIL OF INDIA
V͋ΠΑr«æ¨ΑÚ¢ÚÄΑæËΑæ¨ΑϏVê½«æüΑËêÄ«½ΑË¢Α+Ä«ΑλV+μϐΡΑËÄÞ«ÚΑæ¨Α¢Ë½½Ëö«Ä£ΑÞææÃÄæÞ΢
1. QCI was set up jointly by the Government of India and the Indian Industry.
2. Chairman of QCI is appointed by the Prime Minister on the recommendations of the industry to the Government.
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
ANSWERS C
EXPLANATION
Vê½«æüΑ ËêÄ«½Α Ë¢Α +Ä«Α λV+μΑ öÞΑ ÞæΑ ê×Α ¶Ë«Äæ½üΑ üΑ æ¨Α #ËõÚÄÃÄæΑ Ë¢Α +Ä«Α ÄΑ æ¨Α +Ä«ÄΑ +ÄêÞæÚüΑ
Ú×ÚÞÄæΑ üΑ æ¨Α æ¨ÚΑ ×ÚÃ«ÚΑ «ÄêÞæÚüΑ ÞÞË«æ«ËÄÞΑ «ΠΠΑ ÞÞË«æΑ ¨ÃÚÞΑ Ë¢Α ËÃÃÚΑ ÄΑ
+ÄêÞæÚüΑË¢Α+Ä«Αλ[[H(AμΡΑËÄ¢Úæ«ËÄΑË¢Α+Ä«ÄΑ+ÄêÞæÚüΑλ++μΑÄΑ"Úæ«ËÄΑË¢Α+Ä«ÄΑ¨ÃÚÞΑ
Ë¢ΑËÃÃÚΑÄΑ+ÄêÞæÚüΑλ"++μΡΑæËΑÞæ½«Þ¨ΑÄΑË×ÚæΑÄæ«ËÄ½ΑÚ«ææ«ËÄΑÞæÚêæêÚΑÄΑ×ÚËÃËæΑ
Ùê½«æüΑæ¨ÚËê£¨ΑBæ«ËÄ½ΑVê½«æüΑÃ×«£ÄΠΑ(ÄΡΑÞææÃÄæΑ͊Α«ÞΑËÚÚæΠΑ
¨«ÚÃÄΑ Ë¢Α V+Α «ÞΑ ××Ë«ÄæΑ üΑ æ¨Α TÚ«ÃΑ A«Ä«ÞæÚΑ ËÄΑ ÚËÃÃÄæ«ËÄΑ Ë¢Α æ¨Α «ÄêÞæÚüΑ æËΑ æ¨Α
£ËõÚÄÃÄæΠΑb¨Α×ÚæÃÄæΑË¢Α+ÄêÞæÚ«½ΑTË½«üΑϞΑTÚËÃËæ«ËÄΡΑA«Ä«ÞæÚüΑË¢ΑËÃÃÚΑϞΑ+ÄêÞæÚüΡΑ«ÞΑæ¨Α
ÄË½ΑÃ«Ä«ÞæÚüΑ¢ËÚΑV+ΠΑ(ÄΡΑÞææÃÄæΑ͋Α«ÞΑËÚÚæΠ
ANALYSIS:
ANALYSIS:
SOURCE : ¨ææ×΢έέöööΠÙ«ÄΠËÚ£έËêæΠ×¨×
171
DIGITIZATION
Year 2017 HACKATHON
V͊ΠΑr¨«¨ΑË¢Αæ¨Α¢Ë½½Ëö«Ä£ΑÞææÃÄæÞΑ«ÞέÚΑËÚÚæΑÚ£Ú«Ä£Α[ÃÚæΑ+Ä«Α(ºæ¨ËÄΑ͉͋͊͐Χ
1. It is a centrally sponsored scheme for developing every city of our country into Smart Cities in a decade.
2. It is an initiative to identify new digital technology innovations for solving the many problems faced by our country.
3. It is a programme aimed at making all the financial transactions in our country completely digital in a decade.
(a) 1 and 3 only
(b) 2 only
(c) 3 only
(d) 2 and 3 only
ANSWERS B
EXPLANATION
[ÃÚæΑ+Ä«Α(ºæ¨ËÄΑ͉͋͊͐ΑöÞΑΑ͌͏Α¨ÚÞΑÄËÄαÞæË×Α«£«æ½Α×ÚËêæΑõ½Ë×ÃÄæΑËÃ×æ«æ«ËÄΑêÚ«Ä£Αö¨«¨Α
æÃÞΑË¢Αæ¨ËêÞÄÞΑË¢Αæ¨ÄË½Ë£üΑÞæêÄæÞΑê«½æΑ«ÄÄËõæ«õΑ«£«æ½ΑÞË½êæ«ËÄÞΑ¢ËÚΑæ¨Α×ÚË½ÃÞΑ×ËÞæΑüΑ
͋͒Α«ąÚÄæΑÄæÚ½Α£ËõæΠΑÃ«Ä«ÞæÚ«ÞέΑ×ÚæÃÄæÞΑΠ£ΠΑA«Ä«ÞæÚüΑË¢ΑW«½öüÞΡΑûæÚÄ½Αą«ÚÞΡΑA«Ä«ÞæÚüΑË¢Α
¢ÄÞΡΑ+[WHΡΑA«Ä«ÞæÚüΑË¢ΑbËêÚ«ÞÃΡΑ×æΠΑË¢ΑæËÃ«ΑÄÚ£üΡΑæΠΑ(ÄΡΑ[ææÃÄæΑ͊ΑÄΑ͌ΑÚΑ«ÄËÚÚæΠΑ
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Äæ«ËÄΑ ê«½«Ä£ΠΑ "ËÚΑ æ¨Α ĈÚÞæΑ æ«ÃΡΑ £ËõæΠΑ ×ÚæÃÄæÞΑ öÚΑ «Úæ½üΑ Ä££«Ä£Α ö«æ¨Α ÞæêÄæÞΑ ÄΑ
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ANALYSIS:
ANALYSIS:
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b¨Α æÚ£æÞΑ ÞææΑ «ÄΑ [ææÃÄæΑ ͊Α ÄΑ ͌Α «ΠΠΑ Ϗõ½Ë×«Ä£Α õÚüΑ «æüΑ «ÄæËΑ ÞÃÚæΑ «æüΑ «ÄΑ Α ϐΑ ÄΑ
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SOURCE : ¨ææ×΢έέ×«ΠÄ«Π«ÄέÄöÞ«æέTÚ«ÄæW½ÞΠÞ×ûΧÚ½«Ͻ͎͎͊͒͑͋
172
Year 2020 CYBER INSURANCE
V͋ΠΑ+ÄΑ+Ä«ΡΑêÄÚΑüÚΑ«ÄÞêÚÄΑ¢ËÚΑ«Ä«õ«ê½ÞΡΑö¨«¨ΑË¢Αæ¨Α¢Ë½½Ëö«Ä£ΑÄĈæÞΑÚΑ£ÄÚ½½üΑ
ËõÚΡΑ«ÄΑ«æ«ËÄΑæËΑ×üÃÄæΑ¢ËÚΑæ¨Α¢êÄÞΑÄΑËæ¨ÚΑÄĈæÞΧ
1. Cost of restoration of the computer system in case of malware disrupting access to one's computer
2. Cost of a new computer if some miscreant wilfully damages it, if proved so
3. Cost of hiring a specialized consultant to minimize the loss in case of cyber extortion.
4. Cost of defence in the Court of Law if any third party files a suit
(a) 1, 2 and 4 only
(b) 1, 3 and 4 only
(c) 2 and 3 only
(d) 1, 2, 3 and 4
ANSWERS B
EXPLANATION
üÚΑ+ÄÞêÚÄΑ«ÞΑÞ«£ÄΑæËΑ£êÚΑêÞ«ÄÞÞÞΑ¢ÚËÃΑæ¨Α×ËæÄæ«½ΑąæÞΑË¢ΑüÚαææºÞΠΑ+æΑ¨½×ÞΑ
an
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Þ«Ã×½«¢üΡΑüÚΑ+ÄÞêÚÄΑ«ÞΑÞ«£ÄΑæËΑËõÚΑæ¨Α¢ÞΡΑû×ÄÞÞΑÄΑ½£½ΑËÞæÞΑÞÞË«æΑö«æ¨ΑüÚ
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Ë×æ«ËÄΑλμΑ«ÞΑæ¨ΑËÚÚæΑÄÞöÚΠ
ANALYSIS:
ANALYSIS:
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173
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174
MICROECONOMICS
OPPORTUNITY COST
(1 Questions)
Year 2018
Q1. If a commodity is provided free to the public by the Government, then

(a) the opportunity cost is zero.
(b) the opportunity cost is ignored.
(c) the opportunity costs is transferred from the consumers of the product to the tax-paying public.
(d) the opportunity cost is transferred from the consumers of the product to the Government.
ANSWERS C
EXPLANATION
H××ËÚæêÄ«æüΑËÞæΑ«ÞΑæ¨ΑËÞæΑË¢Α¨ËËÞ«Ä£ΑËÄΑ½æÚÄæ«õΑËõÚΑÄËæ¨ÚΑÄΑÃ«ÞÞ«Ä£Αæ¨ΑÄĈæΑËąÚΑüΑ
æ¨Α¢ËÚ£ËÄΑË××ËÚæêÄ«æüΡΑ«ÄõÞæ«Ä£ΑËÚΑËæ¨Úö«ÞΠΑH××ËÚæêÄ«æüΑËÞæΑÚ¢ÚÞΑæËΑΑÄĈæΑæ¨æΑΑ×ÚÞËÄΑËê½Α
¨õΑ Ú«õΡΑ êæΑ £õΑ ê×ΡΑ æËΑ æºΑ ÄËæ¨ÚΑ ËêÚÞΑ Ë¢Α æ«ËÄΠΑ [ææΑ «ąÚÄæ½üΡΑ ÄΑ Ë××ËÚæêÄ«æüΑ ËÞæΑ
represents an alternative given up when a decision is made.
ANALYSIS:
ANALYSIS:

Scope for Elimination: ½æ¨Ëê£¨ΑÞÃ«Ä£½üΑÞüΡΑæ¨ΑÙêÞæ«ËÄΑ«ÞΑÞ½«£¨æ½üΑ«Ćê½æΑæËΑÄÞöÚΑ«ÄΑËÄΑ£ËΠΑ
Elimination technique can be helpful. The good is provided for free by the government, but it is not a free
good (like air or sunlight). The commodity in the context can be any kind of physical infrastructure
road, bridges or government hospitals or free vaccines. That means its cost is borne by the
government. The money spent on the commodity in the context could have been used by the
government for something else. Hence option (a) is not correct. At the same time, the opportunity cost
is not ignored. Hence option (b) is not correct. Options (c) and (d) are close, but as the government gets
money from the taxpayers, hence ultimately the opportunity cost is transferred to the tax-paying public.
In short, the commodity that the consumers are getting for free has a cost which they do not have to
bear e.g. road or other infrastructure.
For such questions, NCERT basic books can be referred to get an exact idea of the concepts, but
ultimately application type questions cannot be covered. The only technique is deeper analysis and
option elimination.
SOURCE : Microeconomics (NCERT Class 12)

175
LAW OF DEMAND AND SUPPLY

(1 Questions)
Year 2021 CAPITAL FORMATION

Other things remaining unchanged, market demand for a good might increase if
1. price of its substitute increases
2. price of its complement increases
3. the good is an inferior good and income of the consumers increases
4. its price falls
(a) 1 and 4 only
(b) 2, 3 and 4
(c) 1, 3 and 4
(d) 1, 2 and 3
ANSWERS A
EXPLANATION
Law of Demand- Law of Demand states that other things being equal, there is a negative relation between
demand for a commodity and its price. In other words, when price of the commodity increases, demand for
it falls and when price of the commodity decreases, demand for it rises, other factors remaining the same.
Hence option 4 is correct.
The quantity of a good that the consumer demands can increase or decrease with the rise in income
depending on the nature of the good. For most goods, the quantity that a consumer chooses, increases as
the consumer’s income increases and decreases as the consumer’s income decreases. Such goods are
called Normal Goods. Thus, a consumer’s demand for a normal good moves in the same direction as the
income of the consumer. However, there are some goods the demands for which move in the opposite
direction of the income of the consumer. Such goods are called Inferior Goods. As the income of the
consumer increases, the demand for an inferior good falls, and as the income decreases, the demand for
an inferior good rises. Examples of inferior goods include low quality food items like coarse cereals. Hence
option 3 is not correct.
The quantity of a good that the consumer chooses can increase or decrease with the rise in the price of a
related good depending on whether the two goods are substitutes or complementary to each other. Goods
which are consumed together are called complementary goods. Examples of goods which are complement
to each other include tea and sugar, shoes and socks, pen and ink, etc. Since tea and sugar are used
together, an increase in the price of sugar is likely to decrease the demand for tea and a decrease in the
price of sugar is likely to increase the demand for tea. Similar is the case with other complements. With the
increase in price of complemetn, demand reduces. Hence option 2 is not correct.
176
+ÄΑ ËÄæÚÞæΑ æËΑ ËÃ×½ÃÄæÞΡΑ £ËËÞΑ ½«ºΑ æΑ ÄΑ ËąΑ ÚΑ ÄËæΑ ËÄÞêÃΑ æË£æ¨ÚΠΑ +ÄΑ ¢æΡΑ æ¨üΑ ÚΑ
ÞêÞæ«æêæÞΑ ¢ËÚΑ ¨Α Ëæ¨ÚΠΑ [«ÄΑ æΑ «ÞΑ Α ÞêÞæ«æêæΑ ¢ËÚΑ ËąΡΑ «¢Α æ¨Α ×Ú«Α Ë¢Α ËąΑ «ÄÚÞÞΡΑ æ¨Α
consumers can shift to tea, and hence, the consumption of tea is likely to go up. On the other hand, if the
×Ú«ΑË¢ΑËąΑÚÞÞΡΑæ¨ΑËÄÞêÃ×æ«ËÄΑË¢ΑæΑ«ÞΑ½«º½üΑæËΑ£ËΑËöÄΠΑb¨ΑÃÄΑ¢ËÚΑΑ£ËËΑêÞê½½üΑÃËõÞΑ
in the direction of the price of its substitutes. Hence option 1 is correct.
ANALYSIS:
ANALYSIS:
Conceptual question to check the basic understanding of terms in Economics.

Scope for Elimination: There is no direct scope of elimination. However, it was based on the simple law
of demand and supply, hence a candidate with a little bit of understanding could have answered it.
SOURCE : Microeconomics (NCERT Class 12)

177
2 QUESTIONS DROPPED
BY THE UPSC
Year 2020 INTERNATIONAL TRADE
Q1. With reference to the international trade of India at present, which of the following statements
is/are correct?
1. India's merchandise exports are less than its merchandise imports.
2. India's imports of iron and steel, chemicals, fertilisers and machinery have decreased in recent years.
3. India's exports of services are more than its imports of services.
͍ΠΑ+Ä«ΑÞêąÚÞΑ¢ÚËÃΑÄΑËõÚ½½ΑæÚέêÚÚÄæΑËêÄæΑĈ«æΠ
(a) 1 and 2 only
(b) 2 and 4 only
(c) 3 only
(d) 1, 3 and 4 only
Year 2022 CAPITAL FLIGHT

͊ΠΑb«£¨æΑÃËÄæÚüΑ×Ë½«üΑË¢Αf[Α"Ú½ΑWÞÚõΑËê½Α½ΑæËΑ×«æ½Αĉ«£¨æΠ
͋ΠΑ ×«æ½Αĉ«£¨æΑ ÃüΑ «ÄÚÞΑæ¨Α «ÄæÚÞæΑ ËÞæΑ Ë¢ΑĈÚÃÞΑö«æ¨Α û«Þæ«Ä£Α ûæÚÄ½Α ËÃÃÚ«½Α ËÚÚËö«Ä£ÞΑ
λ ÞμΠ
͌ΠΑõ½êæ«ËÄΑË¢ΑËÃÞæ«ΑêÚÚÄüΑÚÞÞΑæ¨ΑêÚÚÄüΑÚ«ÞºΑÞÞË«æΑö«æ¨Α ÞΠ
(a) 1 and 2 only
(b) 2 and 3 only
(c) 1 and 3 only
(d) 1, 2 and 3
179
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Essential Newspapers (EN)

Reference Material (RM)

Random Resources (RR)

DISTRIBUTION OF THE PREVIOUS 7 YEARS’ QUESTIONS

TOTAL ECONOMICS QUESTIONS - 135

INDIAN ECONOMY 28 Questions

QUESTION SOURCE-TYPE ANALYSIS

b¨ÚΑ«ÞΑÄËΑËêæΑ«ÄΑæ¨Α¢æΑæ¨æΑnewspaper reading is indispensableΑæËΑ×Ú×Úæ«ËÄΑ¢ËÚΑæ¨ΑüÄÃ«Α

A few questions were based on very unconventional or lesser-known themesΑÄΑÞËÃΑÙêÞæ«ËÄÞΑ

DIFFICULTY LEVEL ANALYSIS

DIFFICULTY LEVEL DISTRIBUTION

YEAR NO. OF QUESTIONS EASY MEDIUM DIFFICULT

+ÄΑ£Ú«ê½æêÚΡ Minimum Support Price (MSP) ¨ÞΑÄΑΑõÚüΑÚêÚÚ«Ä£Αæ¨ÃΠΑ+ÄΑ͉͉͋͋Α«æÞ½¢ΡΑ

½ÞËΡΑ ÄºΑ ËÚΑ êÚêΑ¨ÞΑÄΑΑÚêÚÚ«Ä£Αæ¨ÃΠ

ADVICE FOR STUDENTS

Have Faith in Yourself and Study Well!

Year 2018 GROSS NATIONAL PRODUCT (GNP)

Scope for elimination

b¨«ÞΑ ÙêÞæ«ËÄΑ Ëê½Α ¨õΑ ÄΑ Þ«½üΑ ÄÞöÚΑ êÞ«Ä£Α æ¨Α

Year 2018 CAPITAL FORMATION

SOURCE : : Business Studies (NCERT Class 12)

Year 2022 REAL SECTOR

Scope for elimination

MONEY AND MONEY SUPPLY

Year 2022 TYPES OF MONEY

SOURCE : Macroeconomics (NCERT: Class 12)

Scope for elimination

SOURCE : Macroeconomics (NCERT Class 12)

SOURCE : Macroeconomics (NCERT Class 12)

Year 2021 BLACK MONEY

Scope for elimination

Year 2021 MONEY MULTIPLIER

SOURCE : Macroeconomics (NCERT Class 12)

Year 2023 CENTRAL BANK DIGITAL CURRENCIES (CBDC)

SOURCE : Daily Newspapers

Digital Currency Cryptocurrency

Transparent; not as transparent Transparent due to the distributed

receives the SWIFT

Goes with Account

Year 2017 MONETARY POLICY COMMITTEE

b¨ΑWÞÚõΑ ÄºΑË¢Α+Ä«ΑæΡΑ͍͊͒͌ΑλW +ΑæμΑ¨ÞΑÄΑÃÄΑüΑæ¨Α"«ÄÄΑæΡΑ͉͋͊͏ΡΑæËΑ×ÚËõ«Α¢ËÚΑΑ

Scope for elimination

Year 2019 MONETARY POLICY

SOURCE : Macroeconomics (NCERT Class 12)

Year 2020 EXPANSIONIST MONETARY POLICY

Scope for elimination

SOURCE : Macroeconomics (NCERT Class 12)

Year 2022 MONETARY TOOLS

ΑÄæÚ½ΑÄºΑÞê¨ΑÞΑWÞÚõΑ ÄºΑË¢Α+Ä«ΑλW +μΡΑ×Ú«Ë«½½üΑ«ÄæÚõÄÞΑ«ÄΑæ¨ΑæΑÃÚºæΑæËΑ«ÄĉêÄΑ

Scope for elimination

Year 2023 STERILIZATION / OPEN MARKET OPERATIONS

SOURCE : Sterlisation is well-explained in the Chapter 3 of the Introductory Macroeconomics book.

Q6. Correct the following statements:

BANKING AND BANKING REGULATIONS

Year 2017 RESTRUCTURING OF ASSETS

Scope for elimination

Year 2017 SMALL FINANCE BANKS

SOURCE : ¨ææ×Þ΢έέÚ«ΠËÚ£Π«ÄέÞÚ«×æÞέ [εTÚÞÞW½Þ«Þ×½üΠÞ×ûΧ×Ú«Ͻ͌͋͏͍͊Α

[Ã½½Α"«ÄÄΑ ÄºÞΑλ[" ÞμΑ¨õΑÄΑ«ÄΑÄöÞΠ

Year 2018 CAPITAL ADEQUACY RATIO

Q3. Consider the following statements:

Scope for elimination

b¨ÚΑ«ÞΑÄËΑËêæΑ«ÄΑæ¨Α¢æΑæ¨æΑnewspaper reading is indispensableΑæËΑ×Ú×Úæ«ËÄΑ¢ËÚΑæ¨ΑüÄÃ«Α

A few questions were based on very unconventional or lesser-known themesΑÄΑÞËÃΑÙêÞæ«ËÄÞΑ

+ÄΑ£Ú«ê½æêÚΡ Minimum Support Price (MSP) ¨ÞΑÄΑΑõÚüΑÚêÚÚ«Ä£Αæ¨ÃΠΑ+ÄΑ͉͉͋͋Α«æÞ½¢ΡΑ

½ÞËΡΑ ÄºΑ ËÚΑ êÚêΑ¨ÞΑÄΑΑÚêÚÚ«Ä£Αæ¨ÃΠ

b¨«ÞΑ ÙêÞæ«ËÄΑ Ëê½Α ¨õΑ ÄΑ Þ«½üΑ ÄÞöÚΑ êÞ«Ä£Α æ¨Α

b¨ΑWÞÚõΑ ÄºΑË¢Α+Ä«ΑæΡΑ͍͊͒͌ΑλW +ΑæμΑ¨ÞΑÄΑÃÄΑüΑæ¨Α"«ÄÄΑæΡΑ͉͋͊͏ΡΑæËΑ×ÚËõ«Α¢ËÚΑΑ

ΑÄæÚ½ΑÄºΑÞê¨ΑÞΑWÞÚõΑ ÄºΑË¢Α+Ä«ΑλW +μΡΑ×Ú«Ë«½½üΑ«ÄæÚõÄÞΑ«ÄΑæ¨ΑæΑÃÚºæΑæËΑ«ÄĉêÄΑ

SOURCE : ¨ææ×Þ΢έέÚ«ΠËÚ£Π«ÄέÞÚ«×æÞέ [εTÚÞÞW½Þ«Þ×½üΠÞ×ûΧ×Ú«Ͻ͌͋͏͍͊Α

[Ã½½Α"«ÄÄΑ ÄºÞΑλ[" ÞμΑ¨õΑÄΑ«ÄΑÄöÞΠ

Loans to Deposits ratio (LDR) ÃÞêÚÞΑΑÄºϖÞΑ½«Ùê««æüΑÄΑ«æÞΑ«½«æüΑæËΑ¢êÄΑ«æÞΑ½ËÄΑ×ËÚæ¢Ë½«ËΑÄΑ«ÞΑ

Statement 1 is not correct asΑ×«æ½Α«Ä¢êÞ«ËÄΑ«ÄæËΑ×ê½«ΑÞæËÚΑÄºÞΑüΑæ¨Α#ËõÚÄÃÄæΑË¢Α+Ä«Α¨ÞΑ

Statement 2 is correct:Αb¨ΑÃÚ£ÚΑË¢Α[ +ΑÞÞË«æΑÄºÞΑêÄÚΑ[æ«ËÄΑ͎͌ΑË¢Αæ¨Α[ææΑ ÄºΑË¢Α+Ä«Α

¶ê½͌͒ q £º6ê9fα Public sector banks have 80,000

Source/ How to cover? -Α¨ææ×Þ΢έέÚ«ΠËÚ£Π«ÄέÞÚ«×æÞέ [εq«öAÞ«Úê½Úæ«½ÞΠÞ×ûΧ«Ͻ͎͒͑͌

+ÄΑÞ«Ã×½ΑöËÚÞΡΑÄºΑÞÞæÞΑÚΑËÄÞ«ÚΑanything that the bank owns,Αö¨ÚÞΑÄºΑ½««½«æ«ÞΑÚΑ

SOURCE : ¨ææ×Þ΢έέÚ«ËÞΠÚ«ΠËÚ£Π«ÄέÚËÞέTê½«æ«ËÄÞέT"ÞέW +Aε͉͋͌͏͉͒Π×¢Α

Strategized Preparation Plan: ½½ËæΑ [üÞæÃæ«Α êÚÚÄæΑ ą«ÚÞΑ TÚ×Úæ«ËÄ΢Α

f½æ«Ãæ½üΡΑ Α ÞæÚæ£«ΡΑ ö½½αÚËêÄΑ ×Ú×Úæ«ËÄΑ ËÃ«Ä«Ä£Α

WÞæÚêæêÚ«Ä£ΑË¢Α ÄºÞΑ ËÚΑ êÚêΑöÞΑ«ÄΑÄöÞΑÞΑ«æÞΑÃÃÚÞΑûæÄΑæöËαüÚΑæÚÃΑËÄ½êΑËÄΑ

Statement 1 is correct: ¨ÚæΑ+ÄæÚ¢Α¢ËÚΑAËÄüΑλ (+AμΑ«ÞΑΑ×üÃÄæΑ××Αæ¨æΑ½æÞΑüËêΑÃºΑÞ«Ã×½ΡΑ

Statement 2 is not correct:Α"ÚËÃΑΑËÄÞêÃÚΑ×Ë«ÄæΑË¢Αõ«öΡΑæ¨ÚΑÚΑæ¨ÚΑ½õ½ÞΑË¢Αêæ¨Äæ«æ«ËÄΑæ¨æΑ

b¨Α[WΑê½üΑ××ÚËõΑüΑæ¨Α ËÚΑË¢Αæ¨ΑÞüÞæÃΑ×ÚËõ«ÚÞΑÞ¨Ëê½ΑΑÞêÃ«ææΑæËΑæ¨ΑWÞÚõΑ ÄºΑÄËæΑ

It was widely covered in æ¨ΑÄöÞΑ«ÄΑ͉͋͊͑α͊͒ΠΑBËæΑËõÚΑ«ÄΑÄüΑË¢Αæ¨ΑÞÞÄæ«½ΑAæÚ«½ΡΑêæΑÞê¨ΑæË×«ÞΑ

[«ÄΑ͉͉͋͊ΡΑÞΑËÄΑæ¨ΑWÄ£Ú¶ÄΑËÃÃ«ææΣÞΑÚ×ËÚæΡΑT+ΑλfW BμΡΑT+ΑλWfW;μΡΑT+ΑλHA +BμΑ

r¨Ë½Þ½Α×Ú«ÞΑÚΑËÄÞ«ÚΠΑ ÞΑüÚϽΑ͉͋͊͋Α ÞΑËÄΑæ¨ΑÞê££Þæ«ËÄÞΑË¢Αæ¨ΑfÚ¶«æΑTæ½ΑËÃÃ«ææΡΑ