[DAY 46] 60 DAY RAPID REVISION (RaRe) SERIES for UPSC Prelims 2025 – ECONOMICS, CURRENT AFFAIRS & CSAT TEST SERIES!

Solution (c)

Explanation 

• SGBs are government securities denominated in grams of gold. They are substitutes for holding physical gold. Any candidate under Foreign Exchange Management Act (FEMA) can invest in SGBs.  An individual, HUF (Hindu Undivided Family), trusts a public or private, and universities can invest in SGBs and an guardians can invest on behalf of a minor. (Hence option a, b and d are correct)
• An NRI cannot invest in these bonds, but they are eligible for bonds received as a resident investor’s nominee. KYC documents such as Voter ID, Aadhaar card/PAN, or TAN /Passport must be needed for buying the SGB. (Hence option c is incorrect)

Solution (c)

Explanation

Solution (b)

Explanation

Solution (d)

Explanation 

Solution (c)

Explanation 

Solution (a)

Explanation 

Solution (a)

Explanation 

The balance of trade is the difference between a country’s exports and imports of goods. A numerically positive balance of trade, also known as a trade surplus, occurs when a country exports more goods than it imports. This means that the country is earning more from its exports than it is spending on its imports, and it is generally seen as a sign of economic strength. Although, it’s not an indicator of economic health on its own. (Hence option a is correct) 

Solution (c)

Explanation

Solution (b)

Explanation 

Solution (c)

Explanation

Solution (b)

Explanation 

Solution (b)

Explanations

The official reserve assets are assets denominated in foreign currency, readily available to and controlled by monetary authorities for meeting balance of payments financing needs, intervening in exchange markets to affect the currency exchange rate, and for other related purposes (such as maintaining confidence in the currency and the economy, and serving as a basis for foreign borrowing).  Official reserves transactions are common in Fixed and Managed Floating exchange rate system, where Central Bank like RBI has to make transactions to manage monetary policy. (Hence option b is correct) 

Solution (c)

Explanation 

Solution (b)

Explanation

Solution (c)

Explanation 

Account maintained by every government in which every kind of current transaction is shown. This account is maintained by central bank of the country.  Current transactions of an economy in foreign currency all over the world are— export, import, interest payments, private remittances and transfers.  All transactions in current account are shown as either inflow or outflow (credit or debit). At the end of the year, the current account might be positive or negative. (Hence option c is correct)

Solution (d)

Explanation 

Solution (c)

Explanation 

Hard currency is the international currency in which the highest faith is shown and is needed by every economy.  The strongest currency of the world is one which has a high level of liquidity.  Basically, the economy with the highest as well as highly diversified exports that are compulsive imports for other countries (as of high-level technology, defence products, lifesaving medicines and petroleum products) will also create high demand for its currency in the world and become the hard currency. It is always scarce. (Hence option c is correct)

Solution (a)

Explanation

A race to the bottom refers to heightened competition between nations, states, or companies, where product quality or rational economic decisions are sacrificed in order to gain a competitive advantage or reduction in product manufacturing costs. It is most often used within the context of grabbing market share or in labor markets. It refers to efforts by companies to move manufacturing and operations to areas with lower labor costs and fewer worker rights. However, this can result in tit-for-tat competition that spirals out of control. A race to the bottom can often have a negative impact on those competing, often with disastrous consequences. (Hence option a is correct)

Solution (d)

Explanation

Solution (c)

Explanation

Solution (c)

Explanation:

Context: The Report titled “Status of Devolution to Panchayats in States – An Indicative Evidence Based Ranking” was unveiled by Union Minister of State, Prof. S. P. Singh Baghel, Ministry of Panchayati Raj and Ministry of Fisheries, Animal Husbandry & Dairying in New Delhi.

• The Devolution to Panchayats in States 2024 Report is also referred to as the Panchayat Devolution Index 2024 which evaluates the autonomy and empowerment of Panchayati Raj Institutions (PRIs) by assessing the devolution of powers and resources across Indian states and Union Territories. 
• It assesses six critical dimensions i.e., Framework, Functions, Finances, Functionaries, Capacity Building, and Accountability of the Panchayats. 
• The overall devolution to rural local bodies increased from 39.9% in 2013-14 to 43.9% in 2021-22. 
• Top five states are Karnataka (1st), Kerala (2nd), Tamil Nadu (3rd), Maharashtra (4th) and Uttar Pradesh (5th). Hence option c is correct.
• The lowest-ranked states/UTs are Dadra & Nagar Haveli and Daman & Diu (13.62), Puducherry (16.16), and Ladakh (16.18). 

Source: https://pib.gov.in/PressReleasePage.aspx?PRID=2102965

Solution (c)

Explanation:

Context: The Indian National Space Promotion and Authorization Centre (IN-SPACe), an independent body under the Department of Space to regulate and promote the private space industry in India, has identified at least 166 technologies developed for various ISRO missions that can be shared with industry to be utilized for other purposes.

• IN-SPACe functions as an autonomous agency in the Department of Space (DOS). Hence statement 1 is correct.
• It was formed following the space sector reforms in 2020 to enable and facilitate the participation of private players. 
• IN-SPACe promotes, authorizes, and supervises space activities of non-governmental entities, including building launch vehicles, providing space services, sharing ISRO’s infrastructure, and establishing new space facilities. 
• It acts as an interface between ISRO and Non-Governmental Entities (NGEs). Hence statement 2 is correct.
• It is responsible for promoting, enabling authorizing, and supervising various space activities of non-governmental entities including

• building launch vehicles & satellites and providing space-based services;
• sharing space infrastructure and premises under the control of DOS/ISRO;
• and establishing of new space infrastructure and facilities;

• It also assesses the needs and demands of private players, including educational and research institutions, and explores ways to accommodate these requirements in consultation with ISRO.

• It is headquartered in Bopal, Ahmedabad, Gujarat. Hence statement 3 is incorrect.

Source: https://indianexpress.com/article/long-reads/chandrayaan-software-cars-anti-corrosive-paints-tech-isro-missions-daily-lives-9833952/

Solution (b)

Explanation:

Context: Donald Trump issued a Presidential National Security Memorandum (PNSM-2), calling for “maximum pressure” on Iran, as what he called the “world’s leading state sponsor of terror”, his decision to name the Chabahar Port in particular sent shock waves through New Delhi.

Hence option b is correct.

Source: https://www.thehindu.com/news/international/chabahar-port-port-of-contention/article69197056.ece

Solution (a)

Explanation:

Context: Days after imposing several restrictions on New India Co-operative Bank, the RBI relaxed the conditions and permitted customers to withdraw up to ₹25,000 from their deposit accounts with effect from February 27.

• Cooperative Banks are constituted by different states under different acts. Hence statement 1 is incorrect.
• A cooperative bank is a cooperative society, either registered under the State Cooperative Societies Acts or the Multi-State Cooperative Societies Act, of 2002, engaged in banking business.  
• Cooperative banks in India are classified into Urban Cooperative Banks (UCBs), and Rural Cooperative Banks (RCBs). 
• They cannot open branches in foreign countries. Hence statement 2 is incorrect.
• They are regulated by RBI, NABARD, and Registrar of Co-operative Societies. 
• They provide rural financing and micro-financing primarily to support agriculture, small-scale industries, and self-employed workers.
• They are owned and operated by members, who are its customers. Hence statement 3 is correct.
• Members usually have equal voting rights, according to the cooperative principle of “one person, one vote”. 

Source: https://www.thehindu.com/news/national/maharashtra/rbi-allows-withdrawal-of-up-to-25000-per-depositor-of-new-india-co-op-bank-from-february-27/article69258924.ece 

Solution (d)

Explanation:

Context: Konda Reddi women set out on a quest for tender shoots of a species of bamboo that grows exclusively in Godavari Valley forests during the monsoon.

• Konda Reddi Tribe is recognized as a Particularly Vulnerable Tribal Group in Andhra Pradesh. Hence option d is correct.
• They follow Folk Hinduism (worship of local deities, and household deities).  
• The family structure is patriarchal and patrilocal, with socially accepted marriage practices such as love and exchange. 
• They are governed by a Kula Panchayat and led by hereditary headmen, their livelihood relies on shifting cultivation.  

Note:

• Konda Veduru Bamboo is native to the Eastern Ghats, primarily found in the Godavari river valley that spreads across Andhra Pradesh, Telangana, Odisha, and Chhattisgarh. 
• Konda Veduru bamboo shoots are a staple food for the Konda Reddi tribe. It is known for its nutritional benefits, rich in proteins, amino acids, vitamins, and iron, with women traditionally harvesting the Bamboo shoots. 

Source: https://www.thehindu.com/news/national/andhra-pradesh/guardians-of-green-gold-in-godavari-valley/article69215320.ece

Solution (b)

Explanation:

Context: Like several emerging markets, India also turned to sovereign green bonds to help fund its transition to a low-carbon economy, but investor demand remains weak.

• Sovereign Green Bonds (SGrBs) are debt securities issued by a national government to fund projects that have positive environmental benefits. Hence statement 1 is incorrect.
• These bonds are a way for governments to raise capital while promoting environmental sustainability.
• The proceeds from these bonds are exclusively allocated to green initiatives, which can include renewable energy projects, sustainable agriculture, waste management, and more. Hence statement 2 is correct.
• The framework for the SGrBs was issued by the government on November 9, 2022.
• The government said the bonds’ proceeds will be used for green projects that:

• Encourage energy efficiency
• Reduce carbon emissions and greenhouse gases
• Promote climate resilience and/or adaptation
• Improve natural ecosystems and biodiversity, especially in accordance with the principles of sustainable development goals

• The framework listed investments in solar, wind, biomass, and hydro energy projects, and urban mass transportation projects such as metro rail, green buildings, pollution prevention and control projects. 

Source: https://indianexpress.com/article/explained/explained-economics/sovereign-green-bonds-weak-india-9837469/

Solution (c)

Explanation:

Context: Union Minister of Rural Development and Agriculture & Farmers’ Welfare Shri Shivraj Singh Chouhan will inaugurate the National Geospatial Knowledge-based Land Survey of Urban Habitations (NAKSHA) in 152 Urban Local Bodies (ULBs) across 26 States and 3 Union Territories (UTs) at Raisen, Madhya Pradesh.

• The NAKSHA Programme is a geospatial technology-driven city survey initiative under the existing Digital India Land Records Modernisation Programme (DILRMP). Hence statement 1 is correct.
• It will empower citizens, improve ease of living, enhance urban planning, and reduce land-related disputes.
• The IT-based system for property record administration will foster transparency, and efficiency and support sustainable development.
• It aims to create and update land records in urban areas to ensure accurate and reliable documentation of land ownership. Hence statement 2 is correct.
• States and Union Territory governments are scheduled to conduct field surveys and ground truthing using the orthorectified imagery, ultimately leading to the final publication of urban and semi-urban land records.
• It is implemented by the Department of Land Resources, in collaboration with the Survey of India, and National Informatics Centre Services Inc. (NICSI). Hence statement 3 is correct.
• The Survey of India is the technical partner for the NAKSHA programme which is responsible for conducting aerial surveys and providing orthorectified imagery, through third-party vendors, to state and Union Territory governments.
• The end-to-end web-GIS platform will be developed by the Madhya Pradesh State Electronic Development Corporation (MPSEDC) and storage facilities will be provided by the National Informatics Centre Services Inc. (NICSI).

Source: https://pib.gov.in/PressReleaseIframePage.aspx?PRID=2104028#:~:text

Solution (b)

Explanation:

Context: Meta announced its most ambitious subsea cable endeavour ever – Project Waterworth. 

• Project Waterworth uses artificial intelligence to enhance subsea cable infrastructure to improve global connectivity. It is launched by Meta. Hence option b is correct.
• It stretches over 50,000 km long cable which connects India, the US, Brazil, South Africa, and other “key regions”.
• Project Waterworth, by leveraging advanced machine learning models, aims to predict and mitigate potential disruptions, enhancing the resilience of subsea networks. Its cable will reach depths of up to 7,000 meters in deep waters.

Source: https://indianexpress.com/article/technology/artificial-intelligence/meta-project-waterworth-ai-driven-subsea-cable-infra-9837582/

Solution (d)

Explanation:

Context: The RBI has used data since 1991 to create the ‘Quality of Public Expenditure’ index to assess how well the government is spending its money. 

The Quality of Public Expenditure Index is a framework that assesses the efficiency of government spending developed by the Reserve Bank of India. The index is based on five major indicators:

• Capital Outlay to Gross Domestic Product Ratio measures the share of Gross Domestic Product (GDP) allocated to infrastructure (roads, railways, power, etc.). 
• Interest Payments to Total Expenditure Ratio measures the financial burden of past borrowings. 
• Revenue Expenditure to Capital Outlay Ratio measures comparison of spending on salaries, pensions, and subsidies vs. infrastructure and asset creation. 
• Development Expenditure as a Share of Total Government Expenditure measures the proportion of the total budget dedicated to development sectors. 
• Development Expenditure to GDP Ratio measures spending on education, healthcare, R&D, and public infrastructure. 

Hence option d is correct.

Source: https://indianexpress.com/article/explained/explained-economics/explainspeaking-india-qualityof-govt-expenditure-rbi-9848686/

Solution (c)

Explanation:

Context:  A faunal survey by the Forest Department at the Parambikulam Tiger Reserve in Palakkad has added 15 new species to the protected area’s checklist.

Parambikulam Tiger Reserve is a protected area located in the Palakkad and Thrissur districts of Kerala. It was declared a Tiger Reserve in 2009 under Project Tiger. It covers an area of 391 sq.km. Sholayar and Thekkady rivers flow through the reserve, supporting its rich biodiversity. It is home to the four different tribes of Kadar, Malasar, Muduvar, and Mala Malasar which are settled in six different colonies inside the protected reserve. Hence option c is correct.

Source: https://www.thehindu.com/news/national/kerala/parambikulam-tiger-reserve-adds-15-new-species-to-its-biodiversity-checklist/article69230515.ece 

Solution (b) 

Explanation:

Assumption 1 is incorrect: The passage nowhere compares the contribution of cities and rural areas to economic growth. The line, “While cities contribute to global economic growth, they are also drivers of environmental degradation” indicate that cities do contribute to economic growth, but how much do they contribute or whether it is more than rural areas cannot be assumed. So, this assumption is not correct as per the passage. 

Assumption 2 is correct: The lines “Cities consume 80% of global energy, are responsible for 70% of greenhouse gas emissions, generate huge amounts of waste and pollution, and are rapidly encroaching into natural habitats. Urban sprawl is leading to poor living conditions, making cities highly vulnerable to climate change, and threatening the biodiversity of surrounding cities.” from the passage show that urban areas consume way more energy, emit a lot of GHGs, etc. Therefore, as per the passage, it would be correct to assume that urban areas present a less (if not the least) sustainable model of living. 

Solution (d) 

Explanation:

Option (a) is incorrect: The given statement could be a rational inference, but it is not the crux. The crux is about how stressful it is for young adults to move out of home and what ways can be adopted to cope with it. Also, by using the term, “informed decision”, the option reflects that moving out is not for everyone and people who can adjust to stress should move out which is not the crux. So, this is not the best crux of the passage. 

Option (b) is incorrect: This option reflects a rational inference of the passage. The stress arising from moving out has been described in the lines “Not only that but, academic failure and problems with fitting in the newer crowd can be a major stressor and induce panic, in severe cases, it could also put a student in a depressive state”. However, this statement is very general in nature and cannot be the crux of the passage.   

Option (c) is incorrect: The given statement is not the best crux of the passage. The lines “On top of that, having to look after oneself and accepting responsibility can also be very distressing”, show that there are challenges related to moving out of home. The transition from the comfort zone of home to the world outside home is a cause of stress. The passage is focused more on how to cope with this stress than on inducing a sense of responsibility in youth.  

Option (d) is correct: The given statement best reflects the crux as it encompasses the central idea of the passage. The lines “Not only that but, academic failure and problems with fitting in the newer crowd can be a major stressor and induce panic, in severe cases, it could also put a student in a depressive state. … Taking care of your mental and physical health, eating well, and expressing yourself well for clarity of thought also helps you to keep in check with your emotions”, show that moving out is stressful, but young adults can be more aware about their emotions and handle them by consciously focusing on health, food, etc. So, this option is the best crux of the passage. 

Solution (d)

Explanation:

From S1: a and b are prime numbers.

If any of a and b is 2, a (b+2) will be an even number.

On the other hand, if both are odd prime numbers, a (b+2) will also be an odd number.

So, S1 alone is not sufficient.

From S2: b >7

This is clearly not sufficient, as we don’t know anything about a.

So, S2 alone is not sufficient.

Using S1 and S2 together:

If a = 2, then a (b+2) will be even, and if a is an odd prime number, then a(b+2) will be odd.

Thus, the question cannot be answered even by using both the statements together.

Hence option (d) is the correct answer.

Solution (d)

Explanation:

We can break the given sequence in five sets of toplap. Letters of toplap are alternatively in large and small caps.

The complete sequence is: ToPlAp/ToPlAp/ToPlAp/ToPlAp/ToPlAp

Hence, option (d) is correct.

Solution (d)

Explanation: