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MPPSC – MAINS TEST SERIES - FULL MOCK 3
MPPSC - MAINS TEST SERIES
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MPPSC MAINS TEST SERIES
FULL MOCK III GS 3
MODEL HINTS ----------------------------------------------------------------------------------------------------------------------------- --------------------------------
PAPER 3
SECTION A
3 Markers
Q 1. MANAV Human Atlas Initiative
Ans:
• A human atlas initiative named Manav has been launched by the Department of Biotechnology (DBT)
and Persistent Systems, a biotechnology company.
• The aim is to create a unified database of molecular network of all the tissues in the human body and
to derive a holistic picture of working of the human body.
Q 2. PM-WANI
Ans:
• Government of India launched PM WANI (Prime Minister Wi-Fi Access Network Interface) Scheme.
• The scheme aims to bring large scale deployment of Wi-Fi hotspots through the country to drive up
connectivity options and improve digital access
• The scheme envisages setting up of public Wi-Fi networks and access points by local Kirana and
neighbourhood shops through public data offices (PDO will be set up on the lines of Public Call Offices
(PCOs)) that will not involve any licence, fee or registration
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Q 3. Geospatial Technology
Ans:
• Geospatial technologies is a term used to describe the range of modern tools contributing to the
geographic mapping and analysis of the Earth and human societies.
• It is widely used by government and industries to make informed decision.
Q 4. Gaganyan
Ans:
• Gaganyaan is a mission by the Indian Space Research Organisation (ISRO) to send a three-member
crew to space for a period of five to seven days by 2022.
• India’s maiden human space flight programme set to be launched in year 2022.
Q 5. Srinivas Ramanujan
Ans:
• Srinivasa Ramanujan, (born December 22, 1887, Erode, India—died April 26, 1920, Kumbakonam)
• Every year 22 December is celebrated as National Mathematics Day.
• Indian mathematician whose contributions to the theory of numbers include pioneering discoveries of
the properties of the partition function
Q 6. Reproduction in plants
Ans:
• Production of new off-springs in plants.
• It can be sexual or asexual reproduction.
• Sexual reproduction produces offspring by the fusion of gametes, resulting in offspring genetically different
from the parent or parents.
• Asexual reproduction produces new individuals without the fusion of gametes, genetically identical to the
parent plants and each other, except when mutations occur.
Q 7. OLED Technology
Ans:
• An organic light-emitting diode (OLED or organic LED), also known as organic electroluminescent
(organic EL) diode, is a light-emitting diode (LED) in which the emissive electroluminescent layer is a
film of organic compound that emits light in response to an electric current.
• In OLED , organic layer is situated between two electrodes. OLEDs is use to create digital displays in
electronic devices.
Q 8. Ultrasonography
Ans:
• A procedure that uses high-energy sound waves to look at tissues and organs inside the body.
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• The sound waves make echoes that form pictures of the tissues and organs on a computer screen
(sonogram). Ultrasound are sound waves with frequencies higher than those audible to humans.
• Ultrasonography may be used to help diagnose diseases, such as cancer.
Q 9. CARTOSAT-3
Ans:
• Cartosat-3 is an Indian earth observation satellite built and developed by ISRO.
• It has highest resolution in the world with panchromatic resolution of 0.25 metres.
• It will replace Indian Remote Sensing (IRS) series. So far, ISRO has orbited 8 Cartosats since 2005
• Cartosat-3 is a third-generation advanced earth observation satellite carried by Polar Satellite Launch
Vehicle, PSLV-C47.
• Remote sensing is the science of obtaining information about objects or areas from a distance, typically
from aircraft or satellites.
• PSLV (Polar Satellite Launch Vehicle) is an indigenously-developed expendable launch system of the
ISRO.
Q 10. Shukrayaan
Ans:
• It is an orbiter planned by ISRO to study the surface and atmosphere of Venus.
• Also known as Venus orbiter mission.
• It is a mission to study Venus for more than four years.
• Scientific objectives: Investigation of the surface processes and shallow subsurface stratigraphy; and solar
wind interaction with Venusian Ionosphere, and studying the structure, composition and dynamics of the
atmosphere.
• The satellite is planned to be launched onboard GSLV Mk II rocket.
• The proposed orbit is expected to be around 500 x 60,000 km around Venus. This orbit is likely to be reduced
gradually, over several months to a lower apoapsis (farthest point).
Q 11. Medical Solid Waste Management
Ans:
• Biomedical solid waste or hospital waste is any kind of waste containing infectious (or potentially
infectious) materials. It may also include waste associated with the generation of biomedical waste
that visually appears to be of medical or laboratory origin (e.g. packaging, unused bandages, infusion
kits etc.), as well research laboratory waste containing biomolecules or organisms that are mainly
restricted from environmental release.
• Biomedical waste may be solid or liquid.
• Solid Waste: Waste sharps include potentially contaminated used (and unused discarded) needles,
scalpels, lancets and other devices capable of penetrating skin.
• Common generators (or producers) of biomedical waste include hospitals, health clinics, nursing
homes, emergency medical services, medical research laboratories, offices of physicians, dentists,
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veterinarians, home health care and morgues or funeral homes. In healthcare facilities (i.e. hospitals,
clinics, doctor's offices, veterinary hospitals and clinical laboratories), waste with these characteristics
may alternatively be called medical or clinical waste.
Q 12. GLONASS
Ans:
• GLONASS is Russian Satellite Navigation System considered as counterpart to GPS of US, GALILEO
of European Union (EU) and BEIDOU of China.
• It is being used by military as well as commercial customers.
• It provides real time position and velocity determination at accuracy that can be compared to that of
GPS.
• It has accuracy of 100 meters as part of public segment and 10 to 20 meters for military users.
• Its time accuracy is under 1000 nanoseconds
• GLONASS Program started back in 1976 when development was initiated.
• The first GLONASS launch took place in 1982 and the constellation became fully operational in 1995.
• Currently, second generation GLONASS-M satellites as well as GLONASS-K1 satellites are in service.
• GLONASS-K2 and KM satellites are under development.
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Q 13. mRNA Vaccine
Ans:
The mRNA (messenger RNA) is one such vaccine which injects pieces of mRNA into human cells in order to
get them the produce pathogen antigens
• It uses a copy of natural chemical called messenger RNA (mRNA) to produce an immune response.
• Recently Covid 19 vaccines developed by Pfizer-BioNtech and Moderna are mRNA vaccines.
Q 14. Aquaponics
Ans:
• It combines hydroponics with aquaculture.
• It is an integrated ecosystem with fish and plants can grow together.
• The fish waste provides an organic food source for the plants, which in turn naturally filter the water for
the fish, creating a balanced ecosystem
Benefits:
1. Higher yields (20-25% more) and qualitative production.
2. Can be used on non-arable land such as deserts, degraded soil or salty, sandy islands.
3. Creates little waste.
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4. Daily tasks, harvesting and planting are cut down to a great extent, thereby saving labour and time.
5. Both fish and plants can be used for consumption and income generation.
Weaknesses:
1. Expensive initial startup costs compared with soil production or hydroponics.
2. Knowledge of fish, bacteria and plant production is needed.
3. Optimal temperature ranges needed (17-34°C).
4. Mistakes or accidents can cause catastrophic collapse of system.
5. Daily management is mandatory.
6. Requires reliable access to electricity, fish seed and plant seeds.
7. If used alone, aquaponics will not provide a complete diet
Q 15. Superconductivity
Ans:
• Superconductivity is a state in which material shows absolutely zero electrical resistance. when they
are cooled below a characteristic temperature. This temperature, called the transition temperature,
varies for different materials but generally is below 20 K (−253 °C
• Superconductivity allows current to pass through a material with no resistivity at near absolute zero
temperature. It also exhibit Meissner effect which causes the superconducting material to repel
magnetic field.
• Superconducting material can save huge amount of energy and can be use to make highly efficient
electrical appliances.
6 MARKERS
Q 1. The length and width of a ground is 50 meter each. There is a path of 6-meter
width around the ground. The path is to be covered with tiles. If the length and width
of a tile is 80 cm each, then how many tiles are needed to cover the ground?
Ans:
• Area of ground(A1) = 50×50 = 2500 m2
• Area of square including path around(A3) = (a+12) 2 = (50+12)2 = 3844 m2
• The area covering tiles A2= A3-A1 = 3844-2500 = 1344 m2
• Area of one tile = 80×80=6400cm2= 0.64m2
• No. of tiles required = 1344÷0.64= 2100 tiles
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Q 2. Mention about the Draft Space Based Communication Policy 2020.
Ans:
The Union government has permitted for the reforms in the space sector by allowing private players'
participation
The Indian Space Research Organisation (ISRO) has released the draft of a new Spacecom Policy 2020
Key Points
1. The space policy has been drafted in the form of spacecom for reforming the Indian space sector.
2. The policy will regulate the commercial use of satellites, orbital slots, and ground stations for
communication needs.
3. The private players in the space communication sector will enable India to keep pace with the growing
demand for satellite-based broadcasting, network connectivity, and global mobile personal communication.
4. The government wants private players to participate in the space sector not as a vendor but as a partner.
The Policy
The Spacecom Policy - 2020 enables the activities of space based communications under five major statements.
Spacecom Policy-2020 states that the Government of India shall:
1. Adopt measures to monitor and authorize use of space assets for communication to or from Indian territory.
2. Ensure protection of space assets already put in place and adopt measures to bring in more space assets
under the administrative control for enhancing ability to utilize space based communication for national
needs.
3. Promote increased participation of commercial Indian industry to provide space based communications
both within the country and outside.
4. Concentrate on realization of space based communication systems for addressing the requirements that
cannot be effectively, affordably and reliably satisfied by the commercial Indian industry either because of
national security concerns or economic factors.
5. Provide a timely and responsive regulatory environment for the commercial Indian industry to establish
and operate space based communication systems.
The Salient Features
1. Governs industries: The policy will govern the commercial use of orbital slots, satellites, and ground
stations used for communication.
2. Facilitating the private companies: The policy has been framed to help the private players do the job in the
most efficient manner with ease.
3. It will also boost the actions of private players in doing business in the space communication sector, in
India as well as doing business outside India.
4. Allowance to only Indian entities: Only Indian entities will be allowed to seek authorization for orbital
slots for new satellites, services based on existing satellites and setting up new ground stations.
5. There are no restrictions in terms of satellite owning, ground session setup and providing services to the
common people.
6. Owning satellites and responsibilities: Private industries are allowed to use the ISRO satellites and they
can also have their own satellites as well.
7. The policy also says that any company sending a communication satellite in space will also be responsible
for any damages to other objects in space and the environment.
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8. India and the global spacecom sector: The new policy will enable India to meet the growing demand for
satellite-based broadcasting, network connectivity, and global mobile personal communication, and will
help India attain a significant position in the global space communication sector
Q 3. Explain Light Emitting Diode (LED)
Ans:
• A light-emitting diode (LED) is a semiconductor device that emits visible light when an electric current
passes through it. The output from an LED can range from red (at a wavelength of approximately 700
nanometers) to blue-violet (about 400 nanometers).
• LED lighting is very different from other lighting sources such as incandescent bulbs and CFLs.
• Key differences include the following:
• Light Source: LEDs are the size of a fleck of pepper, and a mix of red, green, and blue LEDs is
typically used to make white light.
• Direction: LEDs emit light in a specific direction, reducing the need for reflectors and diffusers
that can trap light. This feature makes LEDs more efficient for many uses such as recessed down
lights and task lighting. With other types of lighting, the light must be reflected to the desired
direction and more than half of the light may never leave the fixture.
• Heat: LEDs emit very little heat. In comparison, incandescent bulbs release 90% of their energy
as heat and CFLs release about 80% of their energy as heat.
• Safer: LEDs are much cooler than incandescent lights, reducing the risk of combustion or burnt
fingers.
• Longer lasting: The LEDs have very long life, almost 50 times more than ordinary bulbs, and 8-
10 times that of CFLs, and therefore provide both energy and cost savings.
• Easier to install: Up to 25 strings of LEDs can be connected end-to-end without overloading a
wall socket.
• Uses of LED
• LEDs is used in optical communication, alarm and security systems, remote-controlled operations,
robotics, etc.
• The National Programme for LED-based Home and Street Lighting was launched to cover 100 cities
by March 2016, and the remaining ones by March 2019, targeting 770 million bulbs and 35 million
street lights. However, it seems street lights will be upgraded to LED ahead of schedule
Q 4 Write in brief about Superconductivity at room temperature.
• Superconductors are materials that conduct electricity with no resistance. Unlike the more familiar
conductors such as copper or steel, a superconductor can carry a current indefinitely without losing
any energy.
• A room-temperature superconductor is a material that is capable of
exhibiting superconductivity at operating temperatures above 0 °C (273 K; 32 °F), that is,
temperatures that can be reached and easily maintained in an everyday environment. A
superconductor at room temperature only works at a pressure of 267 Gigapascals (GPa), which is
equivalent to about three-quarters of pressure at the centre of Earth (360 GPa).
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• A mixture of carbon, hydrogen and sulfur was put in a microscopic niche carved between the tips of
two diamonds (diamond anvil) and laser light was used on them to trigger chemical reactions.
• As the experimental temperature was lowered, resistance to a current passed through the
material dropped to a vanishingly small value below the critical temperature (Tc).
• To verify superconductivity at room temperature a superconducting material kept in a magnetic field
expels the magnetic flux out its body when cooled below the critical temperature and exhibits perfect
diamagnetism.
• It is also called the Meissner effect which simply means that magnetic lines do not pass through
superconductors in a magnetic field.
Q 5. Write short note on aerobic and anaerobic respiration.
Ans:
• Aerobic respiration:
The respiration, which takes place in the presence of oxygen. During this process, food (Glucose) is
broken down into carbon dioxide and water. Energy released in this process is stored in the form of
ATP (Adenosine Triphosphate).
• Anaerobic respiration:
The respiration, which takes place in the absence of oxygen, is known as anaerobic respiration. It is
commonly seen in microorganisms like bacteria, fungi, some parasites and muscle cells. During the
process in microorganisms, glucose is broken down into ethanol and carbon dioxide with the release of
energy. In a muscle cell, lactic acid is the end product of respiration while in plants carbon-di-oxide
and ethanol are the result.
Q 6 . Write short note on blood groups.
Ans:
• Blood group system as suggested by Karl Landstiener is
based on the presence of antigens and antibodies in the blood
known as ABO system.
• There are 4 main blood groups (types of blood) – A, B, AB and
O. Your blood group is determined by the genes you inherit
from your parents. Each group can be either RhD positive or
RhD negative, which means in total there are 8 blood groups
• blood is a fluid connective tissue and the most crucial
component of the circulatory system. In a healthy person,
approximately 5 liters (12 pints) of blood circulates
throughout their body. In this article, blood groups and their
types are explained in detail.
• Composition of blood is rather interesting. It consists of
erythrocytes, leukocytes and platelets suspended in plasma
along with the millions of different molecules with its own specific roles and functions.
• The blood grouping system is pivotal in blood transfusion. Our immune system recognizes another
blood type as foreign and attacks it if introduced in the body causing a transfusion reaction. Any
inappropriate match with the Rh and ABO blood types, causes the most serious and life-threatening
transfusion reactions.
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Q 7. Give a brief information on factors responsible for environmental degradation.
Ans:
• Environmental degradation is the deterioration of the environment through depletion of resources such
as air, water and soil; the destruction of ecosystems; habitat destruction; the extinction of wildlife; and
pollution. It is defined as any change or disturbance to the environment perceived to be deleterious or
undesirable factors that Led Environmental Degradation.
There are basically two factors namely:
1. Natural factors such as drought, storms on sea, land and deserts such as hurricanes, tornadoes, carina
and volcanic eruptions. These factors lead to land degradation through erosion.
2. Human factors which include deforestation ,rapid growth of population, use of pesticides
industrialization and urbanization. These factors lead to water, air and land pollution.
Human factors
1. Rapid Growth of Population: One of the main causes of environmental degradation is population
explosion or rapid growth of population. The pressure of population on land has increased at a high
speed. As a result, land has been badly exploited
2. Increasing Urbanisation: Increasing urbanisation has caused pressure on housing and other civic
amenities. It has raised demand for land and excessive exploitation of other natural resources
3. Increasing Use of Insecticides and Pesticides: The excessive use of chemical fertilizers, pesticides and
insecticides has also added to environmental pollution
4. Deforestation is the process of clearance of forests by logging and/or burning. Deforestation occurs due
to many reasons that include trees or derived charcoal are used as, or sold, for fuel or as a commodity,
while cleared land is used as grassland for livestock, plantations of commodities, and settlements
Impact of Environment Degradation
Q 8. What’s the India’s response to climatic change and global warming?
Ans:
Reason for climate change
• Global Temperature Rise: The planet’s average surface temperature has risen about 1.62 degrees
Fahrenheit (0.9 degrees Celsius) since the late 19th century, a change driven largely by increased
carbon dioxide and other human-made emissions into the atmosphere.
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• Most of the warming occurred in the past 35 years, with the five warmest years on record taking place
since 2010.
Impact of Climate Change
1. Warming Oceans: The oceans have absorbed much of this increased heat.
2. Shrinking Ice Sheets: The Himalayan ice sheets have decreased in mass.
3. Glacial Retreat: Glaciers are retreating almost everywhere around the world — including in the Alps,
Himalayas, Andes, Rockies, Alaska, and Africa.
4. Decreased Snow Cover: Satellite observations reveal that the amount of spring snow cover in the
Northern Hemisphere has decreased over the past five decades and that the snow is melting earlier.
5. Sea Level Rise: Global sea level rose about 8 inches in the last century. The rate in the last two decades,
however, is nearly double that of the last century and is accelerating slightly every year.
6. Declining Arctic Sea Ice: Both the extent and thickness of Arctic sea ice has declined rapidly over the
last several decades.
7. Extreme Events: The number of record high-temperature events in the India has been increasing heat
waves in Andhra Pradesh , Maharashtra region , cold waves in North India .
8. Ocean Acidification: Since the beginning of the Industrial Revolution, the acidity of surface ocean
waters has increased by about 30 percent. This increase is the result of humans emitting more carbon
dioxide into the atmosphere and hence more being absorbed into the oceans. The amount of carbon
dioxide absorbed by the upper layer of the oceans is increasing by about 2 billion tons per year.
India’s response to Climate Change
1. National Action Plan on Climate Change (NAPCC): outlines existing and future policies and programs
addressing climate mitigation and adaptation. The Action Plan identifies eight core “national missions”
running through to 2017: Solar Energy; Enhanced Energy Efficiency; Sustainable Habitat; Water;
Sustaining the Himalayan Ecosystem; Green India; Sustainable Agriculture; and Strategic Knowledge for
Climate Change. Most of these missions have strong adaptation imperatives.
2. National Clean Energy Fund: The Government of India created the National Clean Energy Fund (NCEF)
in 2010 for financing and promoting clean energy initiatives and funding research in the area of clean
energy in the country. The corpus of the fund is built by levying a cess of INR 50 (subsequently increased
to INR 100 in 2014) per ton of coal produced domestically or imported.
3. Paris Agreement: Under the Paris Agreement, India has made three commitments. India’s greenhouse gas
emission intensity of its GDP will be reduced by 33-35% below 2005 levels by 2030. Alongside, 40% of
India’s power capacity would be based on non-fossil fuel sources. At the same time, India will create an
additional ‘carbon sink’ of 2.5 to 3 billion tonnes of Co2 equivalent through additional forest and tree cover
by 2030.
4. International Solar Alliance: ISA was launched at the United Nations Climate Change Conference in Paris
on 30 November 2015 by India and France, in the presence of Mr. Ban Ki Moon, former Secretary-General
of the United Nations.
5. Bharat Stage (BS) Emission Norms: Emissions from vehicles are one of the top contributors to air pollution,
which led the government at the time to introduce the BS 2000 (Bharat Stage 1) vehicle emission norms
from April 2000, followed by BS-II in 2005. BS-III was implemented nationwide in 2010. However, in 2016,
the government decided to meet the global best practices and leapfrog to BS-VI norms by skipping BS V
altogether
Q 9. Write short note on Probability Theory.
Ans:
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• Probability theory, a branch of mathematics concerned with the analysis of random phenomena.
• The outcome of a random event cannot be determined before it occurs, but it may be any one of several
possible outcomes.
• The actual outcome is considered to be determined by chance
Types of probability
1. Theoretical Probability: Based on possible chances of something to happen.
2. Experimental Probability: Based on the observations of an experiment.
3. Axiomatic Probability: A set of rules or axioms are set which applies to all types.
Q 10. The population of a town is 176400. There is increase in it at the rate of 5%
annually. What will be the population of the town after two years?
Ans:
Let P be the population, P = 176400
R is the increasing rate, r = 5%
T is the time (in years) t = 2
• 𝐴 = 𝑃𝑜𝑝𝑢𝑙𝑎𝑡𝑖𝑜𝑛 𝑎𝑓𝑡𝑒𝑟 𝑡 𝑦𝑒𝑎𝑟𝑠 = 𝑃 (1 +𝑟
100)
𝑡
• 𝐴 = 176400 (1 +5
100)
2
• 𝐴 = 176400 (105
100)
2
• A = 194481
• Total population after 2 years is 194481
Q 11. What is Genome Sequencing? Highlight about the IndiGen Programme.
Ans:
• Genome sequencing is a process of determining the complete DNA sequence of an organism’s genome.
Breakthrough in human genome sequencing has potential to benefit mankind especially in healthcare,
disease prevention.
1. The Genome India Project, a collaboration of 20 institutions including the Indian Institute of Science
and some IITs, will enable new efficiencies in medicine, agriculture and the life sciences.
2. Its aim is to ultimately build a grid of the Indian “reference genome”, to fully understand the type and
nature of diseases and traits that comprise the diverse Indian population.
3. The mega project hopes to form a grid after collecting 10,000 samples in the first phase from across
India, to arrive at a representative Indian genome.
A reference genome of the Indian population could lead to the development
1. Understanding of the nature of diseases and specific interventions required for various ethnic groups.
2. Mapping the diversity of India’s gene pool could lead to the development of personalized medicine and
to reduce the genetic disease burden.
3. Anticipating and preparing for future diseases.
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4. Developing precision medicines
Conclusion
• The GIP has the potential to transform healthcare using precision medicine, addressing genetic disorders
and improving agriculture by identifying genes and genetic variations in our country
Q 12. What do you mean by Alternative medicines? Mention about Alternative
Medicine System in India?
Ans:
• Alternative medicine is made up of a variety of medical practices that have not yet become part of
conventional medicine.
• Most forms of alternative medicine stem from a combination of traditional medical practices, spiritual
beliefs, and folk medicine
• The AYUSH and Alternative Medicine Industry in India is Segmented by Type (Ayurvedic Medicine,
Herbal Medicine, Aroma Therapy, Homeopathy, Acupuncture, and Other Types)
• Ayurveda, yoga, naturopathy, Unani, Siddha, and homeopathy (AYUSH) is a system of alternative
medicines in India. Given its ancient scientific knowledge, India is a hub for alternative medicines like
Unani, Ayurveda, Siddha, and homeopathy. The main reason for the surge in demand for AYUSH and
alternative medicine in India is the rising consumer awareness about the long- and short-term side effects
of using chemical products. AYUSH and alternative medicine products are natural and comparatively safe.
They also cost less than synthetic products. India has a vast reservoir of natural flora and fauna, along
with ancient texts and knowledge, which have made it an authority in the field of AYUSH. Today, India
is one of the top exporters of alternative medicines in the world.
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15 MARKERS
Q 3.1 (a) What is Biodiversity? Explain its importance. Describe the reasons of its
extinction and steps for its conservation.
• All varieties of life on earth and its interdependence is known as biodiversity. The term biodiversity is used
to describe the enormous variety of life on earth. The term Biodiversity is termed by Wilson.
• There are 3 types of biodiversity-
1. Species biodiversity: variety of living organisms on earth
2. Genetic biodiversity: variation in genes within a particular species.
3. Community biodiversity: diversity in species habitats.
• Biodiversity plays an important role in our daily lives and livelihood. Every living creature has a role to
play in its food web and food chain. Any extinction or disruption in species disturb the chain.
• Its importance can be categorized as follows:
1. Economic
2. Ecological life support
3. Recreation
4. Cultural
5. Scientific
• There are many natural and man-made reasons for the biodiversity losses Natural disasters like
floods, earthquakes, famine disturbs biodiversity to a large extent.
• Man made causes such as habitat destruction, hunting poaching, pollution, clearing up of forest for
agriculture, etc.
• Biodiversity conservation means protection, conservation and management of the biodiversity in order to
obtain sustainable benefits for future generation.
• There are various steps taken for conservation of biodiversity such as
1. Ex situ conservation: here biodiversity conservation takes place outside the areas such as zoological parks,
botanical gardens, seed banks etc
2. In situ conservation: here conservation of biodiversity in their natural habitats like natural parks and
wildlife sanctuaries.
OR
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(b) Evaluate the role of sustainable development in environment protection.
Ans:
• ‘Development which meets the needs of the present without compromising the ability of future
generations to meet their own needs’.
• This most widely accepted definition of Sustainable Development was given by the Brundtland
Commission in its report Our Common Future (1987)
• Aspects such as environmental conservation, investment in renewable energy, saving water,
supporting sustainable mobility, and innovation in sustainable construction and architecture,
contribute to achieving environmental sustainability on several front.
Initiatives on Sustainable Development
1. The Stockholm Conference,1972: It was the first step towards putting environmental concerns on the global
agenda.
2. It resulted in the Stockholm Declaration which contained principles and an Action Plan containing
recommendations for environmental policy.
3. UNEP was set up in 1972 to serve as a catalyst in developing and coordinating an environmental focus in
the programmes of other organisations.
4. The Earth Summit, 1992: This was a direct consequence of the Brundtland Commission’s Report. It was
held in Rio de Janeiro.
The results of the Conference were the following documents:
1.The Framework Convention on Climate Change (UNFCCC)
2. The Convention on Biological Diversity
3. The Statement on Forest Principles
4.The Rio Declaration
5. Agenda 21
6. Kyoto Protocol,1997
7. Rio +10, 2002: A 10-year assessment of the Rio outcomes (Rio +10) took the shape of the World Summit on
Sustainable Development (WSSD) held in Johannesburg.
8. Ramsar Convention, 1971
9. The World Heritage Convention, 1972: It identifies and conserves the world’s cultural and natural heritage.
It draws up a list of ‘heritage sites’, which are cultural, natural or mixed areas of ‘outstanding universal
value’ and therefore need to be preserved for all humanity.
10. Convention on International Trade in Endangered Species of Wild Fauna and Flora (CITES), 1973
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11. Convention on the Conservation of Migratory Species of Wild Animals (CMS), 1979
12. Vienna Convention for the Protection of the Ozone Layer, 1985
13. Montreal Protocol on Substances that Deplete the Ozone Layer, 1987
14. Basel Convention, 1989
15. Convention on Biological Diversity,1992
16. United Nations Convention to Combat Desertification,1994
17. Rotterdam Convention,1998
18. Stockholm Convention on Persistent Organic Pollutants,2001
19. Global Tiger Forum,1993
20. International Whaling Commission,1946
21. Minamata Convention,2013
22. Climate change mitigation strategies: Carbon sequestration, Carbon sink, Carbon Credit, Carbon trading,
Carbon offsetting, Carbon Tax, Geo-engineering.
23. United Nations Environment Programme (UNEP)
24. UN Commission on Sustainable Development (CSD)
25 United Nations Convention on the Law of the Sea (UNCLOS)
26. Climate Finance Architecture: Green Climate Fund (GCF), Adaptation Fund (AF) and Global Environment
Facility (GEF)
27. Reducing Emissions from Deforestation and Forest Degradation (REDD) and REDD+
28. Paris Agreement 2015
29. The Clean Development Mechanism is a way to reduce greenhouse gases(GHGs ) emissions through
efficient and sound technologies.
30. Global Alliance for Climate-Smart Agriculture (GACSA)
31. Partnership for Action on Green Economy (PAGE)
32. Sustainable Development Goals (SDGs):
33.To bring sustainable development in the mainstream United Nations (UN) launched the 2030 Agenda for
Sustainable Development and SDGs.
34. This universal, integrated and transformative agenda aims to spur actions that will end poverty and build
a more sustainable world over the next 15 years.
There are 17 goals and 169 targets specific targets to be achieved by 2030. Reaching the goals
requires action on all fronts – governments, businesses, civil society and people everywhere all
have a role to play.
SDGs are not legally binding.
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Q 3.2. (a) Discuss applications of science and technology in social and economic
development.
• Science and technology are widely acknowledged to be essential components of social and economic
development. Scientific knowledge and new technologies can help tackle many of the problems that affect
countries.
Some of the global challenges science and technology could solve are as follows:
o Providing Safe drinking-water and food supplies
o Grid-scale energy storage
o Energy-efficient desalination
o Cleaning up of Ocean
o Embodied Artificial Intelligence
o Universal flu vaccine
o Earthquake prediction
o Carbon sequestration
• The World Bank’s World Development Report states that “Today’s most technologically advanced
economics are truly knowledge – based creating millions of knowledge related jobs in an array of
disciplines that have emerged overnight,” and also says that ” the need for developing countries to increase
their capacity to use knowledge cannot be overstated.”
Factors of Economic Development
o Scientific and technological knowledge,
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o Physical capital,
o Human capital,
o Technological progress,
o Increase in labour force,
o Foreign investment and foreign trade.
• Of these – Scientific and technological knowledge is the most important factor in economic development.
And also considered as a critical determinant of economic growth. It is in this perspective that improving
this capacity has become a prerequisite for sustained economic growth and improved quality of life. In the
present context, the most important aspect of knowledge, of course is scientific and technological
knowledge.
• While it is clear that the ability of a society to produce, select, adapt, and commercialise knowledge is
critical for sustained economic growth and improved quality of life, in this respect the developing countries
are in a disadvantageous situation.
Role of science and technology for future development
OR
3.2 (b) Why there is need of environmental law? Discuss in brief the problems in
making and implementing the environmental laws
Ans
• Environmental law is necessary to combat issues related to the environment and conservation of natural
resources. For instance – environmental laws pertain to issues like global warming, climate change,
greenhouse gas emissions, acid rain, deforestation, depletion of natural resources, different pollution
issues.
• Environmental law act as safeguards in preventing environmental damage and ensuring effective
management of the environment and its multiple ecosystems.
Importance of environmental law
• Environmental law ensures that individuals, governments and corporates do not cause harm to the
environment or its ecosystems. It is aims in regulating, and interpreting the various conventions and laws
that have been initiated by various countries and international organizations across the world, to prevent
activities that pose a threat to the environment and also to the human wellbeing as a whole.
Problems in making and implementing environmental laws:
• There are number of laws that are passed by the government for protecting the environment and
the biodiversity in the country.
• The major problem in implementing the laws is the lack of knowledge and awareness among the people in
the country.
• There is lack of coordination among the government agencies for implementing the environmental laws.
• There are number of procedures involved and there is no strong political drive for implementing these
laws. There are no independent bodies responsible for monitoring these laws.
• The environmental systems do not have effective infrastructure in the government agencies and lack of
independence in the working of the bodies which has made it very challenging for the laws to be
implemented.
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Q 3.3. (a) What is Mars Orbiter Mission ? How MOM has helped so far ?
• Mars orbiter Mission also known as Mangalyaan is launched on 05 Nov 2013 by PSLV-XL C 25 from Satish
Dhawan Space Centre and is orbiting mars since 24 september 2014.
• India succeeded in its first attempt in the mars probe. It will explore mars surface, atmosphere, morphology
and hope of any future energy mineral in its surface.
• Another objective of the mission is to develop the techniques required for designing, planning, management
and operations of an interplanetary mission.
Scientific objective includes-
1. Exploration of mars surface features by studying morphology, topography and mineralogy.
2. Study the constituent of Martian atmosphere including methane and carbon-di-oxide using remote sensing
techniques.
3. To study the dynamics of upper atmosphere of mars, effects of solar wind and radiation and the escape of
volatiles to outer space.
• It was the cheapest mission compared to its peer countries and has incurred the cost of Rs 450 cr to mars.
• The spacecraft is currently being monitored from the spacecraft control center at ISRO telemetry tracking
and command network in Bengaluru.
Some of the findings from MoM:
• It is the only mission to capture full disc of mars in one view frame.
• Dust storms on mars rises to 100s of km.
• It captured two moons Phobos and Deimos.
These outcomes will surely help to understand the mars better in a days to come.
OR
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(b) Discuss the various aspects of information and communication technology?
Explain their applications.
Information and Communication Technology
(ICT) plays an important role in life. ICT is an extended term for Information Technology (IT) which provides
access to information through telecommunication. It is mostly based on communication technologies. It
integrates computer system/hand held system, audio video display and Internet. Information and
Communication technology is used in most of the fields such as Education, Agriculture, Medicine, Defense, E-
governance ECommerce, Banking, Transport, etc.
With the advances in technology, computing infrastructure and the need to automate and reduce cycle times,
ICT is playing a vital role.
APPLICATIONS
A. ICT IN EDUCATION
Types of ICTs which are commonly used in education:
1) E-learning: E-learning is basically linked with higher level training, which involves harming at both, official
and casual level, which makes use of internet, LAN, WAN, partially or completely, for proper
communication or interaction.
2) Blended Learning: This type of learning combines traditional method of teaching with e-learning methods.
For example in the University of Manchester teachers give handouts referring to a particular lecture along
with which the slides are also uploaded and updated on the university learning management system
(LMS). Students could also communicate with the professor through emails or LMS
3) Open and distance learning: The Commonwealth of Learning defines this kind of learning as "a way of
providing learning opportunities that is characterized by the separation of teacher and learner in time or
place, or both time and place"
B. ICT IN AGRICULTURE
• Food is the basic need for living organisms, without food nothing can survive in this world. Agriculture is
the only resource for the production of food. Agriculture is an important sector with the majority of the
rural population in developing countries
• ICT in enhancing agricultural productivity:
o The demand of food markets has raised competition and in the production of producing desirable
results in the agriculture sector has brought opportunities to include more smallholders into supply
chains.
o Information about pest and disease control, especially early warning systems, new varieties, new ways
to optimize production and regulations for quality control.
o Better of markets resulting from informed decisions about future crops and commodities and best time
and place to sell and buy goods. Market information on prices for commodities are live intimated.
o Agriculture has become flexible and easier by reducing the manual work.
o Overcomes the increasing demand of laborer
C. ICT IN MEDICINE
• Information and Communication technology has brought many changes in medical education and
practice in the last couple of decades. The patient records are stored in paper before ICT was
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implemented but now all has changed. Each and every record are stored in database by the means of
technology
• E-health: E-health refers to the use of Information and Communication Technologies in healthcare
D. ICT IN DEFENSE
• Defense of the nations have had a strong impact by Information and Communication Technology. ICT
and defense industry have strong and progressive relationship. Both have a direct or positive
relationship to one another. Advancement in ICT brings benefits to the development in defense
industry and vice versa
E. ICT IN GOVERNMENT
• E-governance is the application of Information and Communication Technology (ICT) for delivering
government services, exchange of information, communication transactions, integration of various
stand-alone systems and services between government to citizen, government to business, government
to government, government to employees, etc.,
• E-governance to employee is the relationship between online tools, sources, and articles that help
employees maintain communication with the government and their companies. E-governance with
employees allows learning technology in one simple place through online system
• E-payroll: maintaining the online sources to view paychecks, pay stubs, pay bills, and keep records for
tax information. E-benefits: be able to look up what benefits an employee is receiving and what benefits
they have a right to.
• E-training: allows for new and current employees to regularly maintain the training they have through
the development of new technology and to allow new employees to train and learn over new materials
in one convenient location.
F. ICT IN E-COMMERCE
• E-Commerce is a transaction of buying and selling of goods and services through network that is the
internet. ECommerce includes internet marketing, chain management, transmitting of data and
funds, online shopping etc
G. ICT IN BANKING
• Information and Communication Technology in Banking helps customer to open accounts, check
balance, money transaction, pay bills, and print statements through online.
• Most of the banks offer online banking and some banks offer Internet only banking.
H. ICT IN TRANSPORT
• Modern transportation implemented Information and Communication Technology in transport system
to comport the society. ICTs has brought many changes in transportation booking system and
transportation medium like online ticket reservation for roadways, airways, etc. Cabs can also be
booked with the help of applications through online.
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PAPER 3
SECTION B
3 MARKERS
Q 1. Inflation Targeting
Ans:
• Inflation targeting is a monetary policy strategy used by Central Banks for maintaining price level at a certain
level or within a range. It indicates the primacy of price stability as the Main objective of monetary policy
Tools for inflation targeting:
1. Liquidity Adjustment Facility- With this RBI controls the money supply in the economy. These interest rates
and inflation rates tend to move in opposite directions.
2. Open Market Operations- RBI buys or sells short-term securities in the open market, thus impacting money
available with the public.
3. CRR AND SLR - Cash Reserve Ratio (CLR) and the Statutory Liquidity Ratio (SLR) are increased or decreased
in accordance with inflation or deflation respectively.
4. Bank rate- It is the rate at which RBI lends money to commercial banks without any security. When bank rate
is increased interest rate also increases leading to inflation.
5. Moral Suasion- If there is a need RBI can urge the banks to exercise credit control at times to maintain the
balance of funds in the market.
Q 2. 15th Finance Commission
Ans:
• Finance Commission (FC) is a constitutional body, that determines the method for distributing the
tax proceeds between the Centre and states
• 15th finance commission headed by N.K. SINGH .
Key recommendations:
1. The Commission has reduced the vertical devolution — the share of tax revenues that the Centre
shares with the states — from 42% to 41%.
2. The Commission has said that it intends to set up an expert group to initiate a non-lapsable fund for
defence expenditure.
Q 3. GST is not levied on which products.
Ans:
3 EXEMPTED GOODS IN GST EXEMPTION LIST
• Food: Fruits and vegetables, cereals, meat and fish, potatoes and other edible tubers and roots, tender
coconut, tea leaves, jaggery, coffee beans, ginger, turmeric, milk, curd, etc.
• Raw materials: Silk waste, raw silk, raw jute fibre, unprocessed wool, handloom fabrics, cotton for
khadi yarn, khadi, charcoal, and firewood
• Shovels, spades, agricultural tools, handmade musical instruments, hearing aids, and tools used by
physically challenged individuals.
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• Miscellaneous: Contraceptives, semen, human blood, vaccines, organic manure, earthen pots,
beehives, live animals (except horses), maps, books, journals, newspapers, non-judicial stamps, kites,
and pooja props.
Q 4. Avantee Mega Food Park
Ans:
• Recently, Avantee mega Food Park in Dewas, Madhya Pradesh Inaugurated.
• This first food park of central India is spread over 51 acres and has been constructed at a cost of about
150 crore rupees. About 5 thousand local people will get employment from this Mega Food Park.
• Processing of soyabean, gram, wheat and other grains and vegetables will be done in the park.
Warehouses will also be opened in Indore, Ujjain, Dhar and Agar in the next phase.
Q 5. Sabka Vishwas-Legacy Dispute Resolution Scheme, 2019
Ans:
• Sabka Vishwas-Legacy Dispute Resolution Scheme, 2019 is a dispute resolution and amnesty scheme
to reduce legacy service tax and central excise cases.
Main component of scheme
• component of the Scheme offers an opportunity to the taxpayers to pay the outstanding tax and be
free of any other consequence under the law .
• Relief in the tax dues for all categories of cases as well as full waiver of interest, fine and penalty
Q 6. Non- Performing Assets
Ans:
• Banks give loans and advances to borrowers. Based on the performance of the loan, it may be
categorized as: (i) a standard asset (a loan where the borrower is making regular repayments), or (ii)
a non-performing asset.
• NPAs are loans and advances where the borrower has stopped making interest or principal
repayments for over 90 days.
• In the last few years, gross NPAs of banks (as a percentage of total loans) have increased from 2.3% of
total loans in 2008 to 9.3% in 2017
• Non Performing Assets (NPAs) in the Indian banking sector has become the subject of much discussion
and scrutiny. The Standing Committee on Finance recently released a report on the banking sector in
India, where it observed that banks’ capacity to lend has been severely affected because of mounting
NPAs. The Estimates Committee of Lok Sabha is also currently examining the performance of public
sector banks with respect to their burgeoning problem of NPAs, and loan recovery mechanisms
available.
Q 7. Priority Sector Lending
Ans:
o Priority sectors are those sector which the Government of India and Reserve Bank of India consider as
important for the development of the basic needs of the country and are to be given priority over other sectors.
o All scheduled commercial banks are mandated to set aside 40% of their Adjusted Net Bank Credit (ANDC) for
lending to these sectors
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Priority Sector includes the following categories
1. Agriculture
2. Micro, Small and Medium Enterprises (MSME)
3. Export Credit
4. Education
5. Housing
6. Social Infrastructure
7. Renewable Energy
Q 8. National Income Accounting
Ans:
National income accounting is a government book keeping system that measures a country's economic activity
National income accounting method
• Product method. Also known as the value-added method, the product method is based on the net value added
to the product at every stage of production. ...
• Income method Under this method, national income is measured as a flow of factor incomes. There are
generally four factors of production labour, capital, land and entrepreneurship
• Expenditure method this method, national income is measured as a flow of expenditure. GDP is sum-total
of private consumption expenditure. Government consumption expenditure, gross capital formation and net
exports (Export-Import)
Q 9. Main objectives of Public Distribution System
Ans:
Main objectives of Public Distribution System
1. To protect the low income groups by guaranteeing the supply of certain minimum quantities of food grains at
affordable price.
2. Ensuring equitable distribution.
3. Controlling the price rise of Essential Commodities in the open market
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Q 10. NEFT and RTGS
Ans:
• The fundamental difference between RTGS and NEFT, is that while RTGS is based on gross
settlement, NEFT is based on net-settlement.
What is RTGS ?
• Expanded as Real-Time Gross Settlement (RTGS), this payment system is based on a gross settlement
concept in which the payment is credited to the recipient’s account in real time. RTGS is relevant in
scenarios where the transaction value is high and the immediate clearing of payment is needed.
What is NEFT ?
• Read as National Electronic Funds Transfer, NEFT is another kind of digital payment system that
simplifies one to one funds transfer. NEFT payment system enables transferring funds from the
account maintained with any bank to any other bank branch provided the transaction is attempted
between the banks that participate in the given payment system.
• As against the RTGS funds transfer, the fund transfer in NEFT does not occur on a real time basis.
The money transferred is settled in half hourly batches.
Q 11. Food Corporation of India
Ans:
• Food Corporation of India (FCI) is a Public Sector Undertaking, under the Department of Food &
Public Distribution, Ministry of Consumer Affairs, Food and Public Distribution.
• FCI is a statutory body set up in 1965 under the Food Corporations Act 1964.
• It was established against the backdrop of major shortage of grains, especially wheat.
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Q 12. Credit Rating Agencies in India
Ans:
• Credit Rating Agencies (CRAs) are companies that evaluate the financial condition of issuers of debt instruments.
Rating is denoted by a simple alphanumeric symbol. E.g. AA+, A-
Some of the key Credit rating agencies in India include -
1. Credit Rating Information Services of India Limited (CRISIL)
2. ICRA Limited
3. Credit Analysis and Research limited (CARE)
Q 13. How is revenue deficit determined?
Ans:
• A revenue deficit occurs when realized net income is less than the projected net income. Revenue Deficit
deals only with the government’s revenue receipts and revenue expenditures
• Revenue Deficit: Total Revenue Receipts – Total Revenue Expenditure
Q 14. Contract Farming
Ans:
• Contract farming involves agricultural production being carried out on the basis of an agreement
between the buyer and farm producers. In this process, the farmer agrees to provide established
quantities of a specific agricultural product, meeting the quality standards and delivery schedule set
by the purchaser
Q 15. Distinguish between privatization and liberalization
Ans:
• The word privatization means moving from the public sector to the private sector. Some examples
include privatized include airport operation, data processing, vehicle maintenance, development
projects.
• Liberalization means elimination of state control over economic activities. It implies greater autonomy
to the business enterprises in decision-making and removal of government interference.
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6 MARKERS
Q 1. Give your opinion on the success and failure of liberalization in India.
Ans:
• Liberalization or Liberalization is the precondition for privatization and globalization. Liberalization is a
broad term that usually refers to fewer government regulations and restrictions, mainly on economic
activities
• liberalisation has opened economic borders to foreign companies and investments. Earlier, Investors has
to encounter difficulties to enter countries with many barrier
Economic Impact
1. To boost competition between domestic businesses
2. To promote foreign trade and regulate imports and exports
3. Improvement of technology and foreign capital
IT Technology
• Software, BPO, KPO, LPO industry boom in India has helped India to absorb a big chunk of
demographic dividend, which otherwise would have wasted.
Agriculture
• The reforms sought to gradually phase out government control of the market (liberalization), privatize
public sector organizations (privatization), and reduce export subsidies and import barriers to enable
free trade (globalization). Raising living standards, alleviating poverty, Assuring food security.
Education Sector
1. Liberalisation will bring a constant stream of funding which will also facilitate a research-based career
and make it a viable option for the future of Indian teachers and students
2. Collaboration with different universities
3. Increased in educated population implies rapid developments in technology and communications. It
also implies the shift of society from industrialization based towards an information-based society.
Failure of liberalization
1. Jobless growth
2. Increasing gap between rich and poor
3. Malnourishment among children
4. Growth in corruption and crony capitalism
The organised sector, industrial sector, finance sector, trade sector-all of those were experiencing
minimal growth rates
Poverty
• In agriculture, the incomes have not risen very much. But in other sectors, there has been a substantial
increase in income known. So, gap between agriculture and non-agriculture has increased.
Jobless growth
• The jobless growth could have been corrected rapidly if right policies had been adopted
• Even after 25 years of economic reforms, when 50% of the work force is still in agriculture, it is
unacceptable.
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Non-agricultural focus
• The lives have changed dramatically. Everything we did and now do has changed. India is seen as the
fastest developing country in the world. But still, gap between rich and poor continues to grow.
India’s social sector
• India is far behind many emerging economies. India has good framework in MDGs yet it stands below
many countries in improving some social indicators.
The left-out agriculture sector
• The liberalization benefits has not taken place in agriculture sector, labor sector, education, health
and other social issues. Privatization was there but it was not the cure.
Way Forward
• We are the stage where the time has come to take the full benefits of the reforms. This will be possible
when sectors like industries, finances become sustainable and deepen where sectors in which they had
not reached also get the benefit of 1991 reforms.
• There is a need of dedicated reforms for social sector and the rural sector.
Q 2. What do you understand by Public-Private Partnership (PPP)? How it is useful
for the development of Indian infrastructure?
Ans:
Public Private Partnership means an arrangement between a government/statutory entity/government owned
entity on one side and a private sector entity on the other.
Various advantages of public-private partnership (PPP):
1. Better infrastructure: They provide better infrastructure solutions than an initiative that is wholly public
or wholly private
2. Access to private sector finance: India has a very large infrastructure need and an associated funding gap.
PPPs can help both to meet the need and to fill the funding gap
3. Risk distribution: Transfer of risks is the most important advantage of PPP projects
4. Increased transparency in the use of funds: A well-designed PPP process can bring procurement out from
behind closed doors. The PPP tender and award process based on open competitive bidding following
international best practice procedures lead to transparency.
.
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Types of PPP modes
The four major “families” of PPP modes are:
1. Management contracts - Contractual arrangement for the management of a part or whole of a public facility
or service by the private sector. Capital investment is typically not the primary focus in such arrangements.
2. Lease contracts
3. Concessions and Build operate and transfer (BOT)
The success of Public-Private Partnership to a large extent depends on optimal risk allocation among
stakeholders, the environment of trust and robust institutional capacity to timely implementation of PPP
projects. To foster the successful implementation of a PPP project, a robust PPP enabling ecosystem and
sound regulatory framework is essential.
Q 3. Discuss the performance of Soil Health Card Scheme.
Ans:
A Soil Health Card is used to assess the current status of soil health and, when used over time, to determine
changes in soil health that are affected by land management.
It displays soil health indicators and associated descriptive terms. The indicators are typically based on
farmers’ practical experience and knowledge of local natural resources.
It will contain the status of his soil with respect to 12 parameters, namely N,P,K (Macro-nutrients); S
(Secondary- nutrient); Zn, Fe, Cu, Mn, Bo (Micro – nutrients); and pH, EC, OC (Physical
parameters). Based on this, the SHC will also indicate fertilizer recommendations and soil amendment
required for the farm.
Progress Report of Soil Health Card
1. Under the Phase-I (2015-17) of the scheme, 10.74 crore cards were distributed, while under the Phase-II
(2017-19), 11.69 crore cards have been distributed.
2. According to the National Productivity Council (NPC), the Soil Health Card scheme has led to a decline of
8-10% in the use of chemical fertilizers and also raised productivity by 5-6%
3. A pilot project “Development of Model Villages” is being implemented under which the sampling and
testing of cultivable soil are being encouraged in partnership with the farmers. Under the project, a Model
Village has been selected for aggregation of soil samples and analysis of each agricultural holding.
4. For the setting up of Soil Health Laboratories under the scheme the states have been sanctioned 429 static
labs, 102 new mobile labs, 8,752 mini labs, 1,562 village-level laboratories and strengthening of 800
existing labs.
5. While the Soil Health Management Scheme has turned out to be a blessing for the farmers, it is also
creating jobs for the agrarian youth. Under the scheme village youth and farmers up to 40 years of age are
eligible to set up Soil Health Laboratories and undertake testing.
• This has enabled the farmers to understand the soil health parameters and improve its productivity by
judicious application of soil nutrient
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Q 4. Write a brief note on development of air transport in Madhya Pradesh.
Ans:
• Madhya Pradesh is leading by example in air-connectivity. Madhya Pradesh is the only state In India
which provides subsidy to an airline operating regional flights
• Madhya Pradesh is very accessible from any where from the country because it is located in centre of the
country . It has good network of road, railways , airways .
• Airports in Madhya Pradesh:
1. Raja Bhoj International Airport (Bhopal Airport)
2. Devi Ahilyabai Holkar Airport (Indore Airport) (International)
3. Rajmata Vijaya Raje Scindia Air Terminal (Gwalior Airport) (Domestic) Cities Connected: Morena,
Bhind, Sheopur, Datia, Shivpuri
4. Dumna Airport (Jabalpur Airport) (Domestic
5. Khajuraho Airport (Domestic)
• The Regional Connectivity Scheme, Ude Desh ka Aam Naagrik (UDAN), has become a game changer
as this flagship programme has a built-in mechanism to develop stakes of State governments in the
growth of the sector.
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Q 5. Discuss the scope of privatization in India?
Ans
Meaning of Privatisation
• It means a transfer of ownership, management, and control of public sector enterprises to the private
sector. Privatisation can suggest several things, including migrating something from the public sector into
the private sector.
• Privatisation of the public sector companies by selling off part of the equity of PSEs to the public is known
as disinvestment
Objectives of Privatisation:
1. Providing strong momentum to the inflow of FDI
2. Privatisation aims at providing a strong base to the inflow of FDI.
3. Increased inflow of FDI improves the financial strength of the economy.
4. Improving the efficiency of public sector undertaking (PSU’s)
5. The efficiency of PSU’s was improved by giving them the autonomy to make decisions.Some companies
were given a special category of Navratna and Mini-Ratna.
Ways of Privatisation:
Government companies are transformed into private companies in 2 ways,
Transfer of Ownership
Government companies can be converted into private companies in two ways :
1. By withdrawal of the government from ownership and management of public sector companies.
2. By outright sale of public sector companies.
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Disinvestment
Privatization of the public sector undertakings by selling off part of the equity of PSUs to the private sector is
known as disinvestment.
The purpose of the sale is mainly to improve financial discipline and facilitate modernization.
However, there are six methods of Privatization:
1. The public sale of shares
2. Public auction
3. Public tender
4. Direct negotiations
5. Transfer of control of State or municipally controlled enterprises
6. Lease with a right to purchase
What is the proposed plan in coming times
1. The government had announced the Atmanirbhar Bharat economic support package in May 2020.
2. The Finance Minister had said that the proposed policy would notify the list of strategic sectors.
3. These would require the presence of at least one state-owned company along with the private sector.
4. In all other sectors, the government plans to privatise public sector enterprises, depending upon feasibility.
5. The number of enterprises in strategic sectors will be only one to four, to minimise wasteful administrative
costs.
6. Others would be privatized/merged/brought under a holding company structure.
7. This is expected to be a long-term process rather than a one-time move on the privatisation of companies.
Q 6. Discuss the issue of quality of employment in India.
Ans
Economic growth of a nation remains half-hearted if it is not accompanied by an equivalent increase in quality
employment generation , Poor quality of employment in India has led to a mismatch in expectations and
availability of jobs forcing the skilled manpower to explore opportunities abroad.
Reasons for poor quality of employment
1. The quality of employment in India is poor. The vocational training system is not sufficient to cater to the
pressing needs of the Indian labour market.
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2. The mismatch between demand and supply of skills and education in the labour market has led to an
outflow of educated manpower from India
3. Less bargaing power 90 per cent workers in India work in the unorganised sector and have no collective
bargaining power.
4. post-reform period of LPG ERA in India has witnessed the casualisation and informalisation of the
workforce.
5. The absence of well-planned and well-developed education and training system for the workforce has not
only become the cause of increasing unemployment, it has also become the cause of prevailing low
productivity, particularly in the unorganized sector
6. literacy of workers and lack of training facilities are the main cause of low output and low productivity in
the unorganized sector and in small-scale industries.
7. Lack of skills: There has been a push towards providing the employment opportunities to the people by
government by skilling them. But skill deficit still is a big issue.
8. Poor Industrialization: The industrial sector in India still lag behind. Agriculture still remains as the
biggest employer in the country.
Although only about seven per cent of the workforce is unemployed, about 26 per cent of the population is
below the poverty line, suggesting very low levels of earnings for the majority of currently employed
persons
MEASURES
1. Technological changes are likely to make manufacturing less employment generating than in the past.
Manufacturing – Faster growth in manufacturing has long been central to the economic strategy .
2. Policies have to be reviewed to remove any impediments in expansion of these sectors.
3. Formal Sector – A shift from informal sector employment to formal sector employment is needed.
4. High quality employment opportunities are demanded for jobs in the formal/organized sector for the
expectations of the young to be fulfilled.
5. One of the remedies of the unemployment situation in India is rapid industrialization. Increased number
of industries will translate into increased number of employment opportunities.
6. The curriculum should be changed with increased focus on learning and skill development.
7. Vocational training institute and ITI AND POLYTECNIC related course should be promoted.
8. Incubation centres need to be promoted to cultivate original business ideas that will be financially viable
• The low level of economic growth in primary sector curtailed the job opportunities at rural level. Thus
it resulted in jobless growth. Further, rapid population growth adds more labour force to the market.
More population means more consumption and less saving, less saving implies less capital formation
and less production which finally leads to less employment. Thus, a collaborative effort is needed by
government and industry to nudge an inclusive growth by supporting new sectors
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Q 7. State the current position of money market in Madhya Pradesh.
Ans :
What is Money Market?
• The money market is a place where short term tenure obligations such as treasury bills, commercial
paper / paper and bankers' approvals etc. are bought and sold. In finance, the currency market refers
to the global financial market for borrowing and lending short-term debt. It provides short term cash
/ liquidity funding for the global financial system.
• The money market consists of financial institutions and money or credit dealers, who either undertake
borrowing or lending. Participants borrow or lend for a short period, usually up to thirteen months.
Money market trading of short-term financial instruments is commonly called "paper". This is in
contrast to the relatively long-term capital capital market, which is supplied by bonds and shares.
• There are banks in the money market and origin, which borrow and lend to each other using
commercial paper, repurchase agreements and similar instruments. In fact, the money market is a
center where monetary assets or securities of short-term nature (generally less than 1 year duration)
are dealt.
Instruments which are used in Money Market
• The main instruments which are used in the money market are federal funds, treasury bills, bankers
acceptance, commercial paper, deposits, bills of exchange, short lived mortgage and asset backed
securities, certificates of deposits etc.
Functions of Money Market
• The Reserve Bank controls the amount of liquidity in the economy through the money market.
• Money market plays an important role in domestic and foreign trading.
• Money market helps the industries to grow.
• Money market helps the commercial banks to invest their extra reserve without affecting the market
liquidity.
• Developed money market of any country helps the central bank to become self sufficient.
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Types of Money Market
Money market is divided into two parts -
(1). Organized Money Market - Under this, Flat money, the Reserve Bank, Commercial Bank, Cooperative
Bank and Regional Rural Bank are the main ones.
(2). Unorganized Money Market - Under this comes the native bankers like money lender Mahajan etc.
Money Market in Madhya Pradesh
• The number of bank branches in the country is about 5641 and this number is continuously increasing.
• Out of these bank branches, the branches of commercial banks in cities are about 1311 cooperative
banks and 72 branches of Regional Rural Banks.
• The remaining branches are in rural and semi-urban areas.
• There is a network of self-help groups in the state. E.g. Sanchi Dairy Association.
• The state of Madhya Pradesh, the money market not fully grown yet.
• It is still developing.
Q 8. Discuss the role of co-operative movements in the growth of Madhya Pradesh.
Ans
• The cooperative movement in India owes its origin to agriculture and allied sectors. Towards the end
of the 19th century, the problems of rural indebtedness and the consequent conditions of farmers
created an environment for the chit funds and cooperative societies.
• The farmers generally found the cooperative movement an attractive mechanism for pooling their
meagre resources for solving common problems relating to credit, supplies of inputs and marketing of
agricultural produce. The experience gained in the working of cooperatives led to the enactment of
Cooperative Credit Societies Act, 1904 .
• In the Constitution of India, ‘Cooperative Societies’ is a State Subject under entry No.32 of
the State List.
• Cooperative movement, after independence, cooperatives assumed a great significance in poverty
removal and faster socio-economic growth. Cooperatives were an integral part of the Five Year Plans.
There was green revolution where India got self sufficiency in food grain production. In late 1960s
there was white revolution and national dairy development board was established which created the
trusted and indigenous brand of AMUL.
Madhya Pradesh government has also palyed has made concrete efforts to streamline agriculture and rural
economy in Madhya Pradesh through cooperative institutions.
• Shri Arvind Bhadoriya: Minister Cooperatives, Public Service Management
• In the last 103 years of cooperatives in Madhya Pradesh, the Cooperative Movement has made a
significant contribution to the all-round development of the economically backward weaker sections of
the society by removing its flaws.
• The cooperative credit facility has been extended to villages in far-flung areas. Cooperatives to increase
agricultural production, farmers get the best manure, improved seeds, pesticides, plant protection,
agricultural machinery, food distribution system in the public distribution system, purchase of
farmers' produce at support price, consumers has been instrumental in housing facility, fisheries, dairy
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development, forest produce, weavers, seed production, educational training, and construction and
operation of industrial units.
• Under the efficient guidance of Chief Minister Shri Shivraj Singh Chouhan, many decisions have been
effectively implemented in the interest of farmers. Today, the cooperative movement is progressing
day by day.
• Madhya Pradesh is the fastest-growing state in terms of agriculture and infrastructure. The
percentage of villages with paved roads, bank branches, and telecommunication facilities has reduced
the distances. In agriculture, the attraction of farmers towards cash crops, per capita electricity
consumption, agricultural credit, food grains, productivity, percentage of irrigated area is also
increasing rapidly.
Short Term Co-operative Credit Structure:
• Short Term Credit Structure in Madhya Pradesh:-
Institute Number Branches Tasks being Undertaken
M.P. State Co-
operative Bank
1 24 Agricultural credit,
agricultural inputs (seed - manure),
Public Delivery System (PDS),
Procurement on support price etc.
District Co-
operative
Central Bank
38 807
Primary
Agricultural
Credit societies
Primary
Agricultural
Credit societies
4526
Other areas of cooperatives
1. Papad making business and masala making business by rural women has become successful.
2. Neem coated with urea have cooperative platform.
• Overall, the State Government is on the way to achieving goal of economic empowerment of farmers,
villagers and weaker sections through cooperative institutions by streamlining short-term cooperative
credit societies
• In the end, the first principle of the cooperative movement is to unite everyone, even while remaining
anonymous. The cooperative movement has the capacity to solve people’s problem.
Q 9. Discuss the latest steps taken by MP Govt for the development of the State.
Ans
Government of Madhya Pradesh , is responsible for all round industrial development of the State. The
department facilitates establishment of industries to achieve employment generation and utilization of
local resources. Additionally, the department acts as a catalyst to modernize and strengthen industries of
the State to make them globally competitive.
Madhya Pradesh govt By integrating key government departments such as the municipality, forest, district
collectorate, urban administration department, commercial tax, agriculture, panchayat, rural
development, social welfare, education, health, electricity and police departments, the initiative strives to
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strengthen the level of transparency and accountability into government functioning and widen the scope
of services delivered to the citizen.
Govenement of Madhya Pradesh is responsible for promotion of economic development in the State through
industrialization and private capital investment.
Promoting & Establishing ‘Brand MP’
1. Promotion through Online Portal:
Government of MP has created a Progressive Policy Framework and Conducive Business Environment for
economic activities in the state
Single Window Online System created for approvals, exemptions and reimbursements (www.invest.mp.gov.in)
All steps taken by the GoMP are promoted through web portals (www.investmp.com; www.invest.mp.gov.in)
of GoMP, along with departmental websites)
2. Promotion through Participation in IP Events
GoMP participates in various national and international exhibitions, trade fairs, investor summits and
conferences to promote Madhya Pradesh
3. Promotion through Organising Roadshows
GoMP organises national and international roadshows in order to promote its flagship investment promotion
event – Global Investors Summit
4. Promotion through Global Investors Summit (GIS)
Global Investors Summit a biennial, flagship investment promotion event of Government of Madhya Pradesh
(GoMP) provides multiple business opportunities for participating companies and individuals
EASE OF DOING BUSINESS:
• Single Window Platform – ‘INVEST Portal’
• ‘INVEST Portal’ is being developed for monitoring of entire life cycle of investment projects, right from
receipt of the ‘Intention to Invest’ to grounding and completion.
• The portal will ensure time-bound delivery of facilities and permissions through continuous review/
monitoring . The portal will provide a single sign-on platform to the investors, to procure all the approvals/
permissions and facilities.
• Creating Conducive Policy Framework:
• Tax delinked investment assistance ranging from Rs. 4 crore to Rs. 270 crores based on the amount of
investment in plant and machinery, with 1.5 times incentive for food processing industry.
• Developing tourist spots
• By dividing mp into tourism sector like Panna , Chitrakoot, Khajuraho and Orchha as tourist destination.
Below are some of the major initiatives taken by the Government to promote Madhya Pradesh as
an investment destination:
• In 2019, foreign tourist arrivals and domestic tourist visits in the state stood at 0.33 million and 88.71
million, respectively.
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• In 2020, the largest solar power project in Asia, the Rewa solar power project (new 750 MW solar power
plant) in Madhya Pradesh, was inaugurated by Prime Minister Mr. Narendra Modi.
• As of December 23, 2020, Madhya Pradesh and Andhra Pradesh have taken the lead to undertake the
urban local bodies (ULB) reforms. Madhya Pradesh has been permitted to mobilise additional Rs. 2,373
crore (US$ 323.52 million) for better public health and sanitation services.
• In 2020-21, Madhya Pradesh had a total of 644 AICTE-approved institutes.
• In December 2020, the state government partnered with IIM Indore to create video-based training for
teachers.
• In October 2020, with an investment of Rs. 150 crore (US$ 20.45 million), the 200-bedded super speciality
block (SSS) was established under the Government of India's Pradhan Mantri Swasthya Suraksha Yojana
(PMSSY). The SSB will be configured with six portable operation theatres, 200 super specialty beds, 30
ICU beds and eight fans. This facility will host 14 postgraduate students for training.
Q 10. State the importance of rail transport in the economic development of Madhya
Pradesh.
Ans
• Railway being an important part of service sector also contributing to nation's economic development
directly as well as indirectly.
• Madhya Pradesh is called the heart of India due to its geographical location in India. Madhya Pradesh
is the second largest state in the country by area. It is the sixth largest state in India by population.
• More than 455 trains transit through Madhya Pradesh daily. 220 trains transit through the State’s
capital Bhopal alone. North -South & East-West corridors cut across Madhya Pradesh. There is
convenient access to major ports such as Kandla port and Jawaharlal Nehru port in the state. Bhopal,
Indore, Jabalpur, Gwalior, Itarsi, Ratlam Bina, Katni & Guna are the main railway stations. Jabalpur
is the headquarter of West-Central Railways.
• Railway connectivity to Mines and industries play an important role in economic development of state.
The state is rich in mineral resources and has the largest reserves of diamond and copper in India.
• In Madhya Pradesh, railway construction began for the first time during the year 1865-1878 which
was for Delhi-Mumbai railway route.
• The first rail route of Madhya Pradesh was between Allahabad and Jabalpur and was started in the
year 1867.
• The railway headquarter of Madhya Pradesh is at Bhopal.
• In MP, Railway Service Commission HQ is in Bhopal. Regional Offices are at Bhopal, Ujjain and
Ratlam.
• The main stations are Bhopal station, Indore, Gwalior, Jabalpur, Katni and Khajuraho railway
stations.
• The railway administration of Madhya Pradesh has been divided into three parts-
1. West Central Railway
2. Western Railway
3. South-Eastern Railway
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Q 11. What is the structure of unemployment in Madhya Pradesh? Give your opinions with special
reference to agricultural unemployment.
Ans
• Structural unemployment is a longer-lasting form of unemployment caused by fundamental shifts in an
economy and exacerbated by extraneous factors such as technology, competition, and government policy.
Structural unemployment occurs because workers lack the requisite job skills or live too far from regions
where jobs are available and cannot move closer.
• Unemployment in Madhya Pradesh was greater than than the national rate of 23.5%
Unemployment problem of Madhya Pradesh can be classified into two categories
• Rural unemployment
• Seasonal unemployment and disguised unemployment
• Urban unemployment
Industrial unemployment, and educated unemployment
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• Agriculture sector, even today, attracts the maximum employment although its share in the GDP is a
meagre 17%. ... The agriculture sector experiences a massive unemployment in two major forms, primarily:
Seasonal Unemployment. Disguised unemployment .
• Population pressure, landlessness, environmental constraints, and technological changes in agriculture
are some of the causes of unemployment in farming.
Rural unemployment is on all time high:
• Unstable agricultural production first lowers the demand for agricultural labour and, subsequently its
supply, showing up in greater unemployment.
• To tackle the unemployment crisis, action will be needed on multiple fronts including investments in
human capital, investment in infrastructure development in agriculture sector , the revival of the
productive sectors, and programmes to stimulate small entrepreneurship, development of self help groups
linkages to market .
Q 12. State the contribution of Commercial banks to rural credit
Ans
• Commercial banks of our country have played a marginal role in advancing rural credit. commercial
banks were advised by the RBI to provide at least 10 per cent of their net bank credit or 25 per cent of
their priority sector advances to weaker sections comprising of small and marginal farmers, landless
labourers, tenant farmers and share croppers.
• With the help of “village adoption scheme” and service area approach the commercial banks
started to meet the credit and other requirements of the farmers.
• They also sponsored various regional rural banks for extending credit to small and marginal farmers
and rural artisans just to save them from the clutches of village moneylenders. Commercial
Banks(CBs) provide rural credit by establishing their branches in the rural area.
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Credit facility to farmers:
1. Kisan credit card: The Kissan Credit Card (KCC) scheme was launched in 1998 with the aim of providing
short-term formal credit to farmers. Owner cultivators, as well as tenant farmers, can avail loans to meet
their agricultural needs under this scheme at attractive rates of interest. The government has also
simplified the application process to increase interest among farmers. Repayment is also simplified and
dependent on the harvesting season, reducing the farmers’ debt burden.
2. Investment loan: Loan facility to the farmers is available for investment purposes in the areas viz.
Irrigation, Agricultural Mechanization, Land Development, Plantation, Horticulture and Post-Harvest
Management.
3. The interest subvention scheme for farmers aims at providing short term credit to farmers at the
subsidised interest rate. The policy came into force with effect from Kharif 2006-07. The scheme is being
implemented for the year 2018-19 and 2019-20.
The interest subvention will be given to Public Sector Banks (PSBs), Private Sector Banks, Cooperative Banks
and Regional Rural Banks (RRBs) on use of own funds and to NABARD for refinancing to RRBs and
Cooperative Banks.
15 MARKERS
There is also an internal option in every question. The answer no. to the internal option of the
candidates is to be made explicitly before the answer. Each question carries 15 (fifteen) marks.
Q 3.1 (a) The planning of economic development has failed in India”. Do you agree with this
statement?Evaluate.
Achievements of Five-Year Plans
Increase in National Income
• Five-year plans are able to increase the nation income level form a stagnant position at the time of
independence.
Increase in Per Capita Income
• Increase in national income resulted in increase of per capita income.
Increase in Rate of Capital Formation
• Capital formation is a key factor of economic growth. It depends on saving and investment. During
Five Year Plans, there has been a considerable increase in the rate of saving and investment. It was
around 35% by 2010-11.
Growth of Agricultural Sector
• Both crop productivity and crop production have shown a substantial rise in India. From the net
importer of foodgrains, India became net exporter.
Development of Industries
• There has been a substantial improvement of the capital goods industry including iron and steel,
machinery, chemical fertilisers, etc.
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Development of Economic Infrastructure
• Five-year plans laid the foundation for development of economic infrastructure which include
transportation, power generation, communication etc.
Development of Social Infrastructure
• Social infrastructure includes such services as education, health facilities, etc. In this area also, five
year plans able to achieve desired success.
• Other areas of achievements are in increased employment, modernization of the society and achieving
self-sufficiency.
Failures of Economic Planning
Following observations highlight failures of planning in India:
• No Substantial Increase in the Standard of Living
• Rise in Prices
• Increase in Unemployment
• Inadequate Increase in Production
• Inadequate Development of Infrastructure
• Inefficient Administration
• High Capital Output Ratio
OR
(b) Critically evaluate the current trends of India Economy. Also state your suggestions in this
Regards.
Ans
• The Indian economy has experienced a notable turnaround in recent years. Growth has rebounded,
inflation has moderated, and the budget and trade deficits have narrowed.
• The Indian Government has also initiated policies and reforms aimed at encouraging investment,
strengthening productivity and ensuring fiscal sustainability.
• Stronger growth in domestic demand has led to a recovery in India's imports, including from Australia.
The recent volatility in foreign exchange markets and the recovery in oil prices pose upside risks to
inflation and the current account deficit. However, India's strong long-term potential for growth,
driven by demographics, urbanisation and productivity-enhancing reforms, suggests there is scope for
trade between Australia and India to expand further in coming years.
Projections of growth and uncertainty
• Various institutions have assessed India’s growth prospects for 2020-21 ranging from 0.8% (Fitch)to
4.0% (Asian Development Bank).
• This wide range indicates the extent of uncertainty and tentative nature of these forecasts.
• The International Monetary Fund (IMF) has projected India’s growth at 1.9%, China’s at 1.2%, and the
global growth at (-) 3.0%.
• The actual growth outcome for India would depend on: 1) the speed at which the economy is opened up
2) the time it takes to contain the spread of virus, and, 3) the government’s policy support.
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Health of India economy before the crisis
India slid into the novel coronavirus crisis on the back of a persistent economic downslide.
There was a sustained fall in the saving and investment rates with unutilised capacity in the industrial sector.
The actual growth outcome for India would depend on:
(1). the speed at which the economy is opened up
(2). the time it takes to contain the spread of virus,
(3). the government’s policy support
Future Prospects of Indian economy
1. India is 2nd fastest growing major economy after China.
2. it is projected that by 2050, India’s economy will be the world’s second largest, behind only to China.
3. Demand in the domestic market as well as international market is picking up, which should help
the Indian economy.
Q 3.2. (a) Critically evaluate "Mahatma Gandhi National Rural Employment
Guarantee Act".
Ans 3.2
The MGNREGA stands for Mahatma Gandhi National Rural Employment Guarantee Act of 2005.
• This is labour law and social security measure that aims to guarantee the ‘Right to Work’.
• The act was first proposed in 1991 by P.V. Narasimha Rao.
Features of the Scheme
• MGNREGA is unique in not only ensuring at least 100 days of employment to the willing unskilled
workers, but also in ensuring an enforceable commitment on the implementing machinery i.e., the State
Governments, and providing a bargaining power to the labourers.
• The failure of provision for employment within 15 days of the receipt of job application from a prospective
household will result in the payment of unemployment allowance to the job seekers.
• Employment is to be provided within 5 km of an applicant’s residence, and minimum wages are to be paid.
• Thus, employment under MGNREGA is a legal entitlement
MGNREGA has truly been a game changer for the rural India since its inception. It's diverse
positive implications on the aspects of rural life can be seen as follows :
1. Economic : Considerable increase in rural wages,employment rate have brought in livelihood
development. Disposable incomes,savings rates,household expenditures have also improved. DBT
transfers have improved efficiency in service delivery and plugged leakages. Helps labourers in facing
the vagaries of agriculture
2. Social : Extensive poverty,mass rural migration has shown a decreasing trend. It has empowered the
women as a result of equal pay,gender neutral policies. Feminisation trend in rural labour,household
also decreased. Rural households now can afford better health,education expenditure. Backwards
castes,SC,ST who form a major part of rural labour have benefitted and upward mobility had resulted.
3. Political : Empowerment of women,lower castes have also encouraged them and raised confidence to
be assert their voices,participate in decision making. Dynamics of local politics have largely become
inclusive.
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Challenges
1. Timely payments are not being made due to leakages and shortage of technical staff for this purpose
2. Projects under MGNREGS during the peak seasons of farming creates problem for farmers ( Shortage of
labour, increased wages)
3. Number of work days,budget allocation face constraints.
4. - Productivity,quality of MGNREGA projects is very low.
5. Instances of fake and multiple bank accounts linked in DBT scheme.
6. . Poor wages rate: stagnation of wage rate due to delinking MGNREGA wage rates from Minimum Wages
Act, 1948
• MGNREGA wages are lower than minimum wages in most states. This could push marginalized
section to take up vulnerable and hazardous job
• State governments should take adequate measures to ensure that the 100 days of guaranteed
employment is provided to the rural household, it will lead to additional income to the rural household,
which will bear a positive impact on their development .
Q 3.2. (b) What is inclusive growth? How it has helped in poverty reduction of the
country?
Ans 3.2
o Inclusive growth means economic growth that creates employment opportunities and helps in reducing
poverty. It means having access to essential services in health and education by the poor. It includes
providing equality of opportunity, empowering people through education and skill development.
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Inclusive growth helped in poverty elevation
1. Inclusive growth generates decent jobs, gives opportunities for all segments of society, especially
the most disadvantaged, and distributes the gains from prosperity more equally.
2. the empowerment of all marginalised sections of the population like SC/ST/OBC/Minorities, women
and transgender.
3. Empowerment can be done by improving institutions of the social structure i.e. hospitals especially
primary care in the rural areas, schools, universities, etc
4. the target of becoming a $ 5 trillion economy by 2024-25 can allow India to reduce inequality,
increase social expenditure and provide employment to all.
5. The world is moving towards an era of Industrial Revolution 4.0. These technological advancements
have capabilities to both decrease or increase the inequality depending on the way these are being
used. Several initiatives have been taken by the government, eg. Digital India Mission, so that a
digitally literate population can leverage technology for endless possibilities.
Conclusion
o Indian government along with the state governments and local governments should continue to focus on
eradicating poverty and achieving sustainable development in order to improve the lives of India's people.
o Through innovative partnerships with an international organization, civil societies, and private
companies, inclusive and equitable growth can be targeted
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3.3. (a) Critically examine the recent trends of capital market in Madhya Pradesh.
o Capital market is a market where buyers and sellers engage in trade of financial securities like bonds, stocks,
etc. The buying/selling is undertaken by participants such as individuals and institutions.
o Description: Capital markets help channelise surplus funds from savers to institutions which then invest them
into productive use. Generally, this market trades mostly in long-term securities.
o Capital market consists of primary markets and secondary markets. Primary markets deal with trade of new
issues of stocks and other securities, whereas secondary market deals with the exchange of existing or
previously-issued securities. Another important division in the capital market is made on the basis of the
nature of security traded, i.e. stock market and bond market.
MPSE
o Madhya Pradesh Stock Exchange (MPSE) was a stock exchange located at Indore, Madhya Pradesh, India.
It was a SEBI recognized Permanent Stock Exchange, until its de-recognition in 2015. Established in 1919,
it was 3rd oldest stock exchange in India, and a leading stock exchange under outcry system
o MPSEL was originally set up as an association in 1919, with around 150 broking members. It was granted
permanent recognition under the provisions of the Securities Contract (Regulation) Act, 1956 ("SCRA"), by
the Government of India in 1988
o After joining hands with National Stock Exchange (NSE) in 2012 and with the Bombay Stock Exchange
(BSE) in 2013, MPSE became the only regional stock exchange in India to provide independent trading
platform for its members.[1]
o MPSE was the first regional exchange to enter into agreement with both the stock exchanges and first in
India to get SEBI's approval when it allowed regional exchanges to come out of hibernation. Prior to this
trading at the MPSE was allowed through its subsidiary.
o In 2014, SEBI asked MPSE to create its own trading platform with a net worth of ₹ 100 crore or be
derecognized.
o SEBI de-recognized MPSE in 2015.
Madhya Pradesh Stock and Capital Market Limited
• Madhya Pradesh Stock and Capital Market Limited is a Public incorporated on 04 September 2006. It is
classified as Non-govt company and is registered at Registrar of Companies, Gwalior. Its authorized share
capital is Rs. 10,000,000 and its paid up capital is Rs. 2,345,668. It is inolved in Legal, accounting, book-
keeping and auditing activities; tax consultancy; market research and public opinion polling; business and
management consultancy
• Madhya Pradesh Stock and Capital Market Limited's Annual General Meeting (AGM) was last held on 28
September 2019 and as per records from Ministry of Corporate Affairs (MCA), its balance sheet was last
filed on 31 March 2019.
OR
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3.3 (b) What is Demonetization? Discuss the recent steps undertaken by Government of India to curb
the problem of Black Money.
Ans
o Demonetization refers to the decision of RBI/Government to recall the status of a currency note to be used
as a legal tender. Demonetization is the act of stripping a currency unit of its status as legal tender. Once
the currency note is demonetized, it cannot be used anymore.
o Central banks all over the world follow a practice where older currency notes are revoked and new currency
notes with better features are issued.
o The move was taken to curb the menace of black money, fake notes and corruption by reducing the amount
of cash available in the system.
o This move led to widespread impacts across all the sectors of the economy
Steps taken by government to curb black money generation and flow
1. Tax Reforms: Rationalization of income tax with greater tax base and lower taxes. Tax deduction at
source in which the tax is deducted from the payment itself by the payee.
2. Voluntary Disclosure Schemes: The government allows reporting black money generated through
tax Evasion in a given time frame, as government has given in the Black Money Bill passed this year.
3. Removing currency after certain time: So that unaccounted wealth is either brought into economy
or Becomes useless.
4. Encouraging Cashless transactions: Government has recently announced tax benefits for making
online Payments for amount greater than twenty thousand rupees.
5. Electoral reforms are also intended to curb black money as much of the black money generated in
India is used in elections.
Legislative Framework:
1. Prevention of Money Laundering Act, 2002
2. Benami Transactions Prohibition Act, 1988
3. Lokpal and Lokayukta Act
4. Prevention of Corruption Act, 1988
5. The Undisclosed Foreign Income and Assets (Imposition of Tax) Bill, 2015
International Cooperation:
o Multilateral Convention on Mutual Administrative Assistance in Tax Matters
o Financial Action Task Force
o United Nations Convention against Corruption
• Recently parliament has passed the Undisclosed Foreign Income and Assets (Imposition of Tax) Bill, 2015 Tax
on all foreign income will have to be paid at the flat rate of 30 per cent without any exemption, deduction, set
off or carry forward losses that the Income Tax Act permits.
• Special Investigation Team (SIT) appointed by government on the directions of Supreme Court on black money.
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NOTES