UPSC Quiz – 2021 : IASbaba’s Daily Current Affairs Quiz 13th JULY 2021

Solution (b)

(i) Revenue Deficit definition: 

Revenue deficit arises when the government’s revenue expenditure exceeds the total revenue receipts. Revenue deficit includes those transactions that have a direct impact on a government’s current income and expenditure. This represents that the government’s own earnings are not sufficient to meet the day-to-day operations of its departments.

Revenue Deficit: Total revenue receipts – Total revenue expenditure.

Revenue Deficit deals only with the government’s revenue receipts and revenue expenditures.

(ii) How is Revenue deficit met?

To overcome such a financial situation, the government can take these measures:

• Through the borrowings or sale of existing assets, the deficit could be met from the capital receipts.
• The government can increase its non-tax or tax receipts.
• The government could try to reduce unnecessary expenditures.

(iii) What does Revenue Deficit indicate?

• Revenue Deficit is shown as a reference indicator in the Medium-term Fiscal Policy Statement (MTFP). The Revenue Deficit of the government has several implications, such as, it has to be met from the capital receipts, because of which a government either borrows or sells its existing assets. This brings in a reduction in assets.
• Also, to meet its consumption expenditure, since the government uses capital receipts, it leads to an inflationary situation in the economy.
• With more and more such borrowings, along with interest, the burden to repay the liability also increases which, in the future, results in huge revenue deficits.

Article Link: Revenue Deficit Grant of Rs. 9, 871 crore released to 17 States

Solution (d)

Joint Communication signed between the Ministry of Environment, Forest and Climate Change and the Ministry of Tribal Affairs seeks to secure the rights of traditional forest dwellers and proper implementation of the Forest Rights Act, 2006.

It looks into harnessing the potential for livelihood improvement of the Forest Dwelling Scheduled Tribes (FDSTs) and other Traditional Forest Dwellers (OTFDs) as well as community participation in forest conservation.

State forest departments have also been asked to undertake projects for value chain addition including capacity building of primary collectors, new harvesting methods, storage, processing and marketing of NTFP under schemes implemented by MoTA as well as designate a nodal agency for specific non-timber forest products as supply chain platforms in collaboration with TRIFED, NSTFDC, Ministry of Ayush, MFP Federations, TDCCs, Van Dhan Kendras etc.

Article Link: Joint Communication signed to secure rights of forest dwellers

Solution (c)

Under the scheme “Mechanism for Marketing of Minor Forest Produce through Minimum Support Price and development of Value chain for MFP” Minimum Support Price (MSP) for Minor Forest Produce (MFP) has been fixed for select MFP. The scheme is designed as a social safety net for improvement of livelihood of MFP gatherers by providing them fair price for the MFPs they collect.

The Minor Forest Products include the items such as tamarind, curry leaf, Sal leaves, Tendu Patta, gallnut, Cane, Soapnut, tree moss, Bamboo etc.

The number of Minor Forest Products (MFP) in the bracket of Minimum Support Price (MSP) have been increased from 10 to 86.

The Major Forest Products comprise Pulpwood, Sandalwood, Social Forestry that includes Fuel and Timber. Since sandalwood is a major forest produce it does not come under MSP bracket.

Article Link: ‘Joint Communication’ signed to secure rights of forest dwellers.

Solution (a)

Delimitation is the act of redrawing boundaries of an Assembly or Lok Sabha seat to represent changes in population over time. 

The objective is to redraw boundaries (based on the data of the last Census) in a way so that the population of all seats, as far as practicable, be the same throughout the State. Aside from changing the limits of a constituency, the process may result in change in the number of seats in a state.

This exercise is carried out by a Delimitation Commission, whose orders have the force of law and cannot be questioned before any court. 

The Commission is a powerful and independent body whose orders cannot be challenged in any court of law. The orders are laid before the Lok Sabha and the respective State Legislative Assemblies. However, modifications are not permitted.

Article Link: J&K delimitation exercise will be fair, transparent, assures Commission

Solution (a)

The Mahananda River is a trans-boundary river that flows through the Indian states of Bihar and West Bengal, and Bangladesh. It is an important tributary of river Ganga.

The Mahananda originates from the Paglajhora falls near Kurseong in West Bengal’s Darjeeling district.

Rapid urbanisation, inefficient waste management and encroachment have turned the Mahananda into a drain.

Article Link: Choking Mahananda: How Siliguri’s waste, water crisis is turning on its people