[DAY 45] 60 DAY RAPID REVISION (RaRe) SERIES for UPSC Prelims 2023 – GEOGRAPHY, CURRENT AFFAIRS & CSAT TEST SERIES!

Solution (b)

Explanation:

• National Monetisation Pipeline (NMP): The NMP (announced in the Union Budget 2021-22), developed by the Niti Aayog, aims to lease out public assets to a private sector entity for an upfront or periodic pay-outs. (Hence statement 1 is incorrect)
• During the period of the lease the private sector entity will operate and maintain the asset and generate returns (through higher operating efficiencies and enhanced user experience). The funds, so received are to be reinvested in new infrastructure projects or deployed for other developmental works.
• Contracts under it include provision for transfer of asset back to the government at the end of the period (i.e., ownership of assets to remain with government). (Hence statement 2 is correct)
• The pipeline will include ‘de-risked’ and ‘Brownfield’ public assets which have stable profit generation profile to make investment attractive for the private sector. Government estimates to mobilize 6 lakh crores over the 4-year period around 5.4 per cent of the total investment envisaged under the National Infrastructure Pipeline (to which the NMP is co- terminus).

Solution (b)

Explanation:

• De-reservation of the Industries: The industries which were reserved for the Central Government by the IPR, 1956, were cut down to only eight. In coming years many other industries were also opened for private sector investment. At present there are only two industries which are fully or partially reserved for the Central Government: (Hence option (b) is correct)
  • Atomic energy and nuclear research and other related activities, i.e., mining, use management, fuel fabrication, export and import, waste management, etc., of radioactive minerals (none of the nuclear powers in the world have allowed entry of private sector players in these activities, thus no such attempts look logical in India, too).
  • Railways (many of the functions related to the railways have been allowed private entry, but still the private sector cannot enter the sector as a full-fledged railway service provider).

Solution (a)

Explanation:

Features of New Industrial Policy, 1991

• De-licensing of the Industries: The number of industries put under the compulsory provision of licensing (belonging to Schedules B and C as per the IPR, 1956) were cut down to only 18. (Hence statement 1 is correct)
• Abolition of the MRTP Limit: The MRTP limit was 100 crore so that the mergers, acquisitions and takeovers of the industries could become possible. In 2002, a Competition Act was passed which has replaced the MRTP Act. In place of the Commission, the Competition Commission has started functioning (though there are still some hitches regarding the compositional form of the latter and its real functions and jurisdictions). (Hence statement 2 is correct)
• Promotion to Foreign Investment: Functioning as a typical closed economy, the Indian economy had never shown any good faith towards foreign capital. The new industrial policy was a path-breaking step in this regard. Not only the draconian FERA committed to be diluted but also the government went to encourage FI in both its forms-direct and indirect. (Hence statement 3 is incorrect)

Solution (d)

Explanation:

• The term privatization is used for a stake sell in which there is a transfer of 51% or more equity to the private players. Whereas disinvestment is the government sells only a part of the equity which is essentially less than 51% and in a manner so that ownership and management rights can be hold by the Government itself. (Hence statement 1 is correct)
• The objective of disinvestment is to reduce the financial burden on the government, improve the management and performance of the public sector enterprise, and promote the growth of the private sector. (Hence statement 3 is correct)
• The Department of Investment and Public Asset Management (DIPAM) under the Ministry of Finance has been made the nodal department for the strategic stake sale in the Public Sector Undertakings (PSUs). (Hence statement 2 is correct)

Solution (c)

Explanation:

Factors that led to LPG Reforms

• Price Increase: Inflation soared from 6.7% to 16.7%, worsening the country’s economic situation.
• Increased Fiscal Deficit: The government’s fiscal deficit increased as non-development spending increased. The national debt and interest rates have risen as a result of the increased budget imbalance. Interest liabilities accounted for 36.4% of overall government spending in 1991.
• Increase in the Unfavorable Balance of Payments (BOP): It was Rs. 2214 crore in 1980-81 and Rs. 17,367 crores in 1990-91. To finance the deficit, a considerable number of foreign loans were needed, and the interest rate had to be raised.
• The Iraq War broke out in 1990-91, resulting in a spike in gasoline costs. The influx of foreign currency from Gulf countries ceased, exacerbating the situation.
• PSU Performance: Due to political influence, PSUs were underperforming and became a major burden for the government.
• Foreign Exchange Reserves Depletion: In 1990-91, India’s foreign exchange reserves depleted to the point where they were unable to cover a two-week import bill.

Solution (a)

Explanation:

• Worker productivity has increased in both rural and urban areas, according to the NITI Ayog report. Take a look at the information below: It was Rs. 37273 in 2004-05 and Rs. 101755 in 2011-12 in rural regions, and Rs. 120419 in 2004-05 and Rs. 282515 in 2011-12 in urban areas. (Hence statement 1 is incorrect)
• The steady transition to urbanisation has resulted in a decrease in the rural workforce share, from 77.8% in 1993-94 to 70.9% in 2011-12. (Hence statement 2 is incorrect)
• From 76.1% in 1999-00 to 70.9% in 2011-12, the rural workforce’s share of the total workforce has continuously decreased. The non-farm economy’s share in the rural economy increased. (Hence statement 3 is correct)

Solution (d)

Explanation:

Enhancing ease of doing business for the sector and their faster growth have been given special attention by the Government in the last few years – with following policy steps :

• Loans up to 1 crore to be approved online within 59 minutes. (Hence statement 3 is correct)
• Interest subvention of 2 per cent to all Goods and Services Tax (GST) registered firms. (Hence statement 1 is correct)
• PSUS to compulsorily procure 25 per cent (up from 20 per cent) with 3 per cent reserved for women entrepreneurs-through the GeM portal.
• 20 Technology Centers (TCs) and 100 Extension Centers (ECS) to be established.
• Government to bear 70 per cent of the cost for establishing Pharma clusters. (Hence statement 3 is correct)
• Returns under 8 labour laws and 10 Union regulations to be filed once a year.
• Establishments to be visited by an Inspector will be decided through a computerized random allotment.
• For minor violations under the Companies Act, entrepreneurs no longer have to approach the court but can correct them through simple procedures.

Solution (b)

Explanation:

The distinction between manufacturing and service sector, MSMEs have been abolished and an upward revision in their definition has been adopted:

• Micro enterprise investment capital increased to 1 crore (from 25 lakh) and 5 crores of turnover (from 1 crore). (Hence pair 1 is incorrectly matched)
• Small enterprises investment capital to 10 crores of investment (from 5 crores) and 50 crores of turnover (from 2 crores). (Hence pair 2 is correctly matched)
• Medium enterprises investment increased to 50 crores (from 10 crores) of investment and 250 crores of turnover (from 25 crores). (Hence pair 3 is correctly matched)

Solution (d)

Explanation:

Maharatna Status:

The “Maharatna” category for CPSEs was introduced in 2009 with objective to empower mega CPSEs to expand their operations and emerge as global giants or become Indian Multinational Companies (MNCs).

At present, there are Eight Maharatna companies:

Bharat Heavy Electricals (BHEL), Coal India (CIL), GAIL (India), Indian Oil Corporation Limited, NTPC, Oil and Natural Gas Corporation (ONGC), Steel Authority of India (SAIL), Bharat Petroleum Corporation Limited.

Criteria for Maharatna status:

• Under government rules, Central Public Sector Enterprises (CPSEs) must fulfill following criteria for grant of Maharatna status.
• Must Having Navratna status. (Hence statement 1 is correct)
• Average annual turnover of more than Rs. 25,000 crore, during last 3 years. (Hence statement 2 is correct)
• Average annual net worth of more than Rs. 15,000 crore, during last 3 years.
• Average annual net profit after tax of more than Rs. 5,000 crore, during last 3 years.
• Should have significant global presence and international operations.
• Listed on Indian stock exchange with minimum prescribed public shareholding limit under SEBI regulations. (Hence statement 3 is correct)

Solution (b)

Explanation:

• India is the first nation to have a statutory mandate for CSR for specific corporations thanks to the enactment of Section 135 in the 2013 Companies Act. (Hence statement 2 is correct).
• According to the 2013 Companies Act, businesses that have a net worth of at least 500 crore rupees, a revenue of at least 1,000 crore rupees, or a net profit of at least 5 crore rupees during the most recent financial year are required to invest 2% of their average net profits over the immediately preceding three years on CSR activities. (Hence statement 1 is incorrect).
• Needed to spend at least 2% of last 3 years average net profits on CSR activities as specified in Schedule VII of the Companies Act. (Hence statement 2 is correct).
• It is a concept where a company spends a certain share of its earnings towards the environment, social and human development field in the areas or locality where it is operating.

Solution (b)

Explanation:

Corporate Governance Initiatives in India

• In India, corporate governance initiatives have been undertaken by the Ministry of Corporate Affairs (MCA) and the Securities and Exchange Board of India (SEBI). (Hence statement 1 is incorrect)
• The first formal regulatory framework for listed companies specifically for corporate governance was established by the SEBI in February 2000, following the Recommendations of Kumarmangalam Birla Committee Report. It was enshrined as Clause 49 of the Listing Agreement. (Hence statement 2 is correct)
• Further, SEBI is maintaining the standards of corporate governance through other laws like the Securities Contracts (Regulation) Act, 1956; Securities and Exchange Board of India Act, 1992; and Depositories Act, 1996.
• The Ministry of Corporate Affairs had appointed Naresh Chandra Committee on Corporate Audit and Governance in 2002 in order to examine various corporate governance issues. It made recommendations in two key aspects of corporate governance:
• Financial and non-financial disclosures: an independent auditing and board oversight of management. It is making all efforts to bring transparency to the structure of corporate governance through the enactment of Companies Act and its amendments.

Solution (a)

Explanation:

• Navaratna Companies (Navaratnas) is a category of Central Public Sector Enterprise (CPSE) which meets certain operational and financial eligibility based on net profit, the total cost of production, earnings per share and inter-sectoral performance. Navaratnas are a set of public sector companies that possess financial autonomy to invest up to 1000 crores without any approval from the central government. (Hence statement 1 is correct)
• Navaratna status was first allotted to 9 public sector enterprises in 1997. As of January 2022, there are 13 navratnas in India. (Hence statement 3 is incorrect)
• Acquiring the navaratna status will help in implementing various ambitious projects of the government such as providing funds for infrastructure, etc. (Hence statement 2 is correct)
• Following are the 13 Navratna CPSEs in the country, these are:
• Bharat Electronics Limited
• Container Corporation of India Limited
• Engineers India Limited
• Hindustan Aeronautics Limited
• Mahanagar Telephone Nigam Limited
• National Aluminium Company Limited
• NBCC (India) Limited
• NMDC Limited
• NLC India Limited
• Oil India Limited
• Rashtriya Ispat Nigam Limited
• Rural Electrification Corporation Limited
• Shipping Corporation of India Limited

Solution (d)

Explanation:

• Cottage industries or cottage manufacturing are also called household industries or rural industries or traditional industries. The artisans use local raw materials and simple tools to produce everyday goods in their homes with the help of their family members or part-time labour. Finished products may be for consumption in the same household or, for sale in local (village) markets, or, for barter. It is the smallest industry unit and it is different from small-scale industries. For example, Pots making, bamboo basket weaving, fabric, mats, Curtain making, furniture making, Jewellery making of gold or silver.
• Small Scale Industries are industries in which manufacturing, production, and rendering of services are done on small scale. The investment limit is up to Rs.5 crore while the annual turnout is up to Rs. 10 crores.
• Cottage Industries are usually very small and are established in cottages or dwelling places. Khadi and Village Industries Commission (KVIC) is a statutory organization that promotes village industries that also helps cottage industries. (Hence statement 1 is correct)
• In Small scale industry outside labour is used whereas in cottage industries family labour is used. SSI uses both modern and traditional techniques. Cottage industries depend on traditional techniques of production. (Hence statements 2 and 3 are correct)

Solution (a)

Explanation:

• The Government has launched a new scheme namely “Financial Support to MSMEs in ZED Certification Scheme”.
• The objective of the scheme for promotion of Zero Defect and Zero Effect (ZED) manufacturing amongst micro, small and medium enterprises (MSMEs).
• It also involves ZED Assessment for their certification so as to:
  • Develop an Ecosystem for Zero Defect Manufacturing in MSMEs.
  • Promote adaptation of Quality tools/systems and Energy Efficient manufacturing.
  • Enable MSMEs for manufacturing of quality products.
  • Encourage MSMEs to constantly upgrade their quality standards in products and processes.

Solution (a)

Explanation:

Micro & Small Enterprises – Cluster Development Programme (MSE-CDP)

The programme was launched by the Ministry of Micro, Small, and Medium Enterprises (MSME), Government of India (GoI). Cluster can be defined as a number of enterprises that practice and produce the same products and services. (Hence option (a) is correct)

Solution (c)

Explanation:

The Industrial Policy Resolution – 1956

• It was shaped by the Mahalanobis Model of growth, which suggested that emphasis on heavy industries would lead the economy towards a long-term higher growth path. (Hence statement 1 is correct)
• This resolution formed the basis of the Second Five Year Plan, the plan which tried to build the basis for a socialist pattern of society. (Hence statement 2 is incorrect)
• This resolution classified industries into three categories.
  • The first category comprised industries that would be exclusively owned by the state;
  • The second category consisted of industries in which the private sector could supplement the efforts of the state sector, with the state taking the sole responsibility for starting new units.
  • The third category consisted of the remaining industries which were to be in the private sector.
• No new industry was allowed unless a license was obtained from the government. (Hence statement 3 is correct)
• This policy was used for promoting industry in backward regions; it was easier to obtain a license if the industrial unit was established in an economically backward area. Even an existing industry had to obtain a license for expanding output or for diversifying production (producing a new variety of goods).
• This was meant to ensure that the number of goods produced was not more than what the economy required.

Solution (c)

Explanation:

Industrial Policy 1973

• In the Industry Policy Statement 1973, the term “Core Industries” was introduced. It referred to the 6 Core Industries: 1. Iron and Steel Industry 2. Cement 3. Coal 4. Crude Oil 5. Oil Refining 6. Electricity they were called the basic industries or infrastructure industries. (Hence statement 1 is correct)
• The private players were allowed to apply for licensing in these industries and for that they required Rs. 20 Crore assets or more. In this policy, some industries were reserved for small and medium players. The Public-Private Partnership (PPP) also was emphasized as a prototype and it was called “Joint Sector” in which a partnership between state, center, and private sector was allowed. (Hence statement 2 is correct)

Solution (c)

Explanation:

• It was announced by Industrial Policy 1991. (Hence statement 1 is correct)
• The NRF was established to provide relief to the workers affected by technological changes, privatization of public sector units, and closure of public sector units. Those who lost their jobs would be either paid money under the VRS scheme or will be retrained/rehabilitated. (Hence statement 2 is correct)
• NRF was eventually abolished and the VRS was shifted to the Department of Public Enterprises (DPE).

Solution (b)

Explanation:

• The Industrial Policy, 1956 was an elaborate document and was hailed as the “Economic Constitution of India”. It touched virtually all aspects of Industrial development. It established the public sector as the epicenter of industrialization. (Hence option b) is correct)
• The outcome of this policy must be seen in conjunction with the Industries (Development & Regulation) Act of 1951. The first major outcome was that the public sector in the country expanded and it became the main vehicle for Industrial Growth. The government gave priority to backward regions to establish the Industrial units to spur balanced growth.

Solution (b)

Explanation:

The main Ingredients of the Globalization of the Indian Economy are the Privatization of the public sector, Disbanding of Controls and Regulations, Deregulation of Trade and Finance, Reduction in import duties, Abolition of import licensing and free flow of Foreign Direct Investment etc.

Disinvestment of Public Sector equity doesn’t include in Globalization. (Hence 4^th one is not an Ingredient of the Globalization)

Solution (c)

Explanation:

• Red Sanders, Pterocarpus santalinus, is an Indian endemic tree species, with a restricted geographical range in the Eastern Ghats. The species is endemic to a distinct tract of forests in Andhra Pradesh. Hence statement 1 is correct.
• Red Sanders is valued for the rich red colour of its wood. The wood is traditionally considered not aromatic. The tree is not to be confused with the aromatic Santalum sandalwood trees that grow natively in Southern India. Hence statement 2 is not correct.
• It usually grows in rocky, degraded and fallow lands with Red Soil and a hot and dry climate. Hence statement 3 is not correct.
• It is classified as ‘Endangered’ under IUCN and is protected under Schedule 4 of the Wildlife Protection Act of 1972. It comes under Appendix 2 of CITES. Hence statement 4 is correct.

Source: CLICK HERE

Solution (c)

Explanation:

• Muons are subatomic particles raining from space. They are created when the particles in Earth’s atmosphere collide with cosmic rays — clusters of high energy particles that move through space at just below the speed of light. It has two forms, the negatively charged muon and its positively charged antiparticle. Hence statement 1 is correct.
• Muons are so heavy, they can travel through hundreds of metres of rock or other matter before getting absorbed or decaying into electrons and neutrinos. They are highly unstable and exist for just 2.2 microseconds. These particles resemble electrons but are 207 times as massive. Therefore, they are sometimes called “fat electrons”. Hence statement 2 is not correct.
• Muon tomography is conceptually similar to X-ray but capable of scanning much larger and wider structures, owing to the penetration power of muons. All that is required is to place a muon detector underneath, within, or near the object of interest. The detector then tracks the number of muons going through the object from different directions, to form a three-dimensional image. Hence statement 3 is correct.

Source: CLICK HERE

Solution (d)

Explanation:

• NASA-ISRO SAR (NISAR) will be launched into a polar Sun-synchronous dawn-dusk orbit (crossing the poles, trailing Earth’s shadow to remain in a perpetual sunrise or sunset). It is a Low Earth Orbit (LEO) observatory being jointly developed by NASA and ISRO. NISAR will map the entire globe in 12 days and provide spatially and temporally consistent data for understanding changes in Earth’s ecosystems, ice mass, vegetation biomass, sea level rise, ground water and natural hazards including earthquakes, tsunamis, volcanoes and landslides. Hence statement 1 is correct.
• This would be the first dual frequency radar imaging mission in L-Band & S-Band using an advanced Sweep SAR technique to provide L & S band space-borne SAR data with high repeat cycle, high resolution, and larger swath, with capability of full-polar metric and interferometric modes of operation. It carries L and S dual band Synthetic Aperture Radar (SAR), which operates with Sweep SAR technique to achieve large swath with high resolution data. Hence statement 2 is correct.

Source: CLICK HERE

Solution (d)

Explanation:

• Investor Education and Protection Fund Authority was established in 2016 under the Companies Act, of 2013. It comes under the Ministry of Corporate Affairs. Hence statement 1 is not correct.
• The Authority is entrusted with the responsibility of administration of the Investor Education Protection Fund (IEPF) and making refunds of shares, unclaimed dividends, matured deposits/debentures etc. to investors and promote awareness among investors. Hence statement 2 is not correct

Source: CLICK HERE

Solution (d)

Explanation:

Indian start-ups are exploring ‘reverse flipping’, or shifting their domicile back to India, with easy access to capital from private equity and venture capital, changes in rules regarding round-tripping, and the growing maturity of India’s capital markets, observed the Economic Survey 2022-23.

Source: CLICK HERE

Solution (a)

Explanation:

Observe that each letter appeared once, twice, thrice and so on.

They form an arithmetic progression 1+2+3……

We know that sum of first n natural numbers = n(n+1)/2

So, n(n+1)/2 ≤ 288

For n = 23, we get 276.  So for n = 24, the given series crosses 288.

We know that 23^rd letter of English alphabet is X

Solution (a)

Explanation:

In each term of the series the first second fourth and fifth letters are moved five steps forward to obtain the next term

The third letter is M in odd numbered terms and N in even numbered term

Solution (a)

Explanation:

Series given: H 8 & 5 T O 9 # V 6 P $ 7 W F * 1 N L 4 ? 3 / C Q U ! A 2 > J

New series:  H & 5 T O 9 # V P $ 7 W F * 1 N L ? 3 / C Q U ! A > J

The numbers between $ and U (second vowel from right end) are 7, 1 and 3.

Thus the required product is 21.

Hence, option a is correct.

Solution (b)

Explanation:

6, 15, 49, 201, 1011, X

6

6 * 2 + 3 = 15

15 * 3 + 4= 49

49 * 4 + 5= 201

201 * 5 + 6= 1011

1011 *6 + 7 = 6073

Solution (a)

Explanation:

Refer to

“But today, the young interested in the public policy/social sector have more avenues to work in their field of interest. There is a renewed interest visible among the youth to participate, shape and work from within the governance and political system”.

From this we can conclude that option a is the correct answer.