Economic Development Archives

41. Which one of the following organizations is the capital market regulat

Which one of the following organizations is the capital market regulator ?

[amp_mcq option1=”NSE” option2=”RBI” option3=”SEBI” option4=”IRDAI” correct=”option3″]

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UPSC Combined Section Officer – 2024

The Securities and Exchange Board of India (SEBI) is the statutory regulatory body established under the SEBI Act, 1992, responsible for regulating the securities market in India.

SEBI’s primary objectives include protecting the interests of investors in securities, promoting the development of the securities market, and regulating it.

NSE (National Stock Exchange) is a stock exchange, a platform within the capital market regulated by SEBI. RBI (Reserve Bank of India) is the central bank and regulates the banking system and monetary policy. IRDAI (Insurance Regulatory and Development Authority of India) regulates the insurance sector.

42. LEADS Programme 2024 is launched by which one of the following organiz

LEADS Programme 2024 is launched by which one of the following organizations ?

[amp_mcq option1=”Federation of Indian Chambers of Commerce and Industry (FICCI) and Reserve Bank of India (RBI)” option2=”Indian Space Research Organisation (ISRO)” option3=”Indian National Science Academy (INSA) and National Centre for Good Governance (NCGG)” option4=”National Bank for Agriculture and Rural Development (NABARD)” correct=”option1″]

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UPSC Combined Section Officer – 2024

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The LEADS (Logistics Ease Across Different States) report and associated initiatives are primarily driven by the Ministry of Commerce and Industry. However, industry bodies often partner in its launch and promotion. FICCI (Federation of Indian Chambers of Commerce and Industry) is a prominent industry body that actively engages with the government on logistics issues and participates in events related to the LEADS index. While the inclusion of RBI is unusual for the standard LEADS report launch, it’s possible a specific “LEADS Programme 2024” event or initiative involving both was launched by FICCI. Based on the provided options, FICCI’s involvement makes option A the most plausible choice, despite the confusing pairing with RBI.

The LEADS initiative assesses and ranks states based on their logistics ecosystem.

The LEADS index is a government initiative by the Ministry of Commerce and Industry to evaluate the efficiency of logistics infrastructure and services across states, aiming to improve India’s logistics performance. Industry associations like FICCI play a role in providing feedback and promoting the findings. The pairing with RBI in option A is unconventional for this specific initiative, potentially indicating a specific joint program or an error in the question/options as presented.

43. The world’s largest floating solar power plant is located in

The world’s largest floating solar power plant is located in

[amp_mcq option1=”Madhya Pradesh” option2=”Rajasthan” option3=”Chhattisgarh” option4=”Andhra Pradesh” correct=”option1″]

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UPSC Combined Section Officer – 2021-22

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The world’s largest floating solar power plant under development is located in Madhya Pradesh.

A large-scale floating solar power plant with a planned capacity of 600 MW is being developed on the Omkareshwar reservoir on the Narmada river in Khandwa district, Madhya Pradesh. This project is often cited as set to become the world’s largest floating solar plant upon completion.

Floating solar plants offer advantages such as reduced land use, lower water evaporation from the reservoir, and increased efficiency due to cooler temperatures. The Omkareshwar project is being developed in phases.

44. Which one of the following policies/programmes refers to ‘Self-reliant

Which one of the following policies/programmes refers to ‘Self-reliant India’ or ‘Self-sufficient India’ for making India a bigger and more important part of the global economy ?

[amp_mcq option1=”Sarva Shiksha Abhiyan” option2=”National Health Mission” option3=”Mahatma Gandhi National Rural Employment Guarantee Scheme” option4=”Atmanirbhar Bharat” correct=”option4″]

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UPSC Combined Section Officer – 2021-22

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The correct answer is D. The term ‘Self-reliant India’ or ‘Self-sufficient India’ directly refers to the Atmanirbhar Bharat Abhiyan.

Atmanirbhar Bharat Abhiyan (Self-Reliant India Movement) is a policy initiative launched by the Government of India in response to the COVID-19 pandemic. Its objective is to make the country and its citizens independent and self-sufficient across various sectors of the economy by boosting domestic production and reducing reliance on imports, while also aiming to integrate India more strongly into the global economy.

Sarva Shiksha Abhiyan is a program aimed at universalizing elementary education. The National Health Mission is a comprehensive health program encompassing rural and urban health missions. The Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) guarantees 100 days of wage employment in a financial year to adult members of rural households willing to do unskilled manual work. None of these directly translate to or primarily focus on ‘Self-reliant India’ in the broad economic sense intended by the question.

45. The “Marginal Standing Facility” is a window for banks to borrow funds

The “Marginal Standing Facility” is a window for banks to borrow funds from the Reserve Bank of India at

[amp_mcq option1=”the repo rate” option2=”a rate lower than the repo rate” option3=”a rate higher than the repo rate” option4=”zero interest rate” correct=”option3″]

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UPSC Combined Section Officer – 2021-22

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The correct answer is C. The Marginal Standing Facility (MSF) rate is higher than the repo rate.

The Marginal Standing Facility (MSF) is a facility under which scheduled commercial banks can borrow additional funds overnight from the Reserve Bank of India (RBI) by dipping into their Statutory Liquidity Ratio (SLR) portfolio up to a limit. It was introduced as a safety valve against unanticipated liquidity shocks. The rate charged under MSF is a penal rate, typically higher than the prevailing repo rate.

The MSF rate is usually pegged 25 or 50 basis points above the repo rate. For instance, if the repo rate is 6.50%, the MSF rate might be 6.75%. This higher rate discourages banks from using MSF frequently and encourages them to manage their liquidity prudently. The repo rate is the rate at which commercial banks borrow money from the RBI by selling their securities to the central bank under a repurchase agreement.

46. Consider the following objectives : 1. Control inflation 2. Control

Consider the following objectives :

1. Control inflation
2. Control fiscal deficit
3. Regulate foreign exchange rates
4. Regulate interest rates

Which of the above objectives are correct ?

[amp_mcq option1=”1 and 2 only” option2=”3 and 4 only” option3=”1, 2 and 4 only” option4=”1, 2, 3 and 4″ correct=”option4″]

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UPSC Combined Section Officer – 2021-22

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The correct answer is 1, 2, 3 and 4.

All the listed objectives (Control inflation, Control fiscal deficit, Regulate foreign exchange rates, Regulate interest rates) are standard and correct objectives typically pursued through macroeconomic policies by governments and central banks.

Inflation control and interest rate regulation are primarily within the domain of monetary policy, usually managed by the central bank. Fiscal deficit control is a key objective of fiscal policy, managed by the government. Regulation of foreign exchange rates can involve interventions by both the central bank and the government, depending on the exchange rate regime. These objectives are interconnected and crucial for economic stability and growth.

47. The “National Investment and Manufacturing Zones” aim to promote

The “National Investment and Manufacturing Zones” aim to promote

[amp_mcq option1=”Agricultural development” option2=”Manufacturing industries” option3=”Information technology sector” option4=”Tourism and hospitality sector” correct=”option2″]

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UPSC Combined Section Officer – 2021-22

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The correct answer is Manufacturing industries.

National Investment and Manufacturing Zones (NIMZs) are integrated industrial townships proposed by the Government of India to promote manufacturing activities. They are part of the National Manufacturing Policy.

NIMZs are envisaged as large areas (typically minimum 5000 hectares) with world-class infrastructure, land use on the basis of zoning, clean and energy-efficient technology, and requisite social infrastructure, aimed at attracting domestic and foreign investment in manufacturing.

48. Which index is used to measure the performance of the Bombay Stock Exc

Which index is used to measure the performance of the Bombay Stock Exchange ?

[amp_mcq option1=”NIFTY” option2=”Sensex” option3=”NASDAQ” option4=”Dow Jones Industrial Average” correct=”option2″]

This question was previously asked in

UPSC Combined Section Officer – 2021-22

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Sensex, short for Sensitive Index, is the benchmark stock market index for the Bombay Stock Exchange (BSE). It comprises 30 large and well-established companies listed on the BSE.

Sensex is the oldest stock index in India and represents the performance of the BSE.

NIFTY 50 is the benchmark index for the National Stock Exchange (NSE). NASDAQ and Dow Jones Industrial Average are major stock market indices in the United States.

49. Which one of the following economic reforms was introduced in India in

Which one of the following economic reforms was introduced in India in 1991 to liberalize and open up the economy ?

[amp_mcq option1=”New Industrial Policy” option2=”Nationalization of Banks” option3=”Green Revolution” option4=”Education Policy” correct=”option1″]

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UPSC Combined Section Officer – 2021-22

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The year 1991 is marked by significant economic reforms in India. The New Industrial Policy of 1991 was the cornerstone of these reforms, which aimed at liberalizing, privatizing, and globalizing the Indian economy. It dismantled the complex ‘License Raj’ system, liberalized foreign trade and investment policies, and reduced the role of the public sector.

The 1991 New Industrial Policy initiated the shift towards a market-oriented economy in India.

Nationalization of Banks occurred primarily in 1969 and 1980. The Green Revolution, related to agricultural reforms, took place from the late 1960s. While education policies are regularly reviewed, the reforms of 1991 were specifically economic in nature.

50. The Economic Survey of India is published annually by

The Economic Survey of India is published annually by

[amp_mcq option1=”Reserve Bank of India” option2=”Ministry of Finance” option3=”Planning Commission of India” option4=”Ministry of Commerce and Industry” correct=”option2″]

This question was previously asked in

UPSC Combined Section Officer – 2021-22

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The Economic Survey of India is an annual report presented by the Government of India to the Parliament. It is prepared by the Chief Economic Adviser (CEA) to the Government and published by the Ministry of Finance. It reviews the country’s economic performance over the past year and provides an outlook for the future.

The Economic Survey is the flagship annual document of the Ministry of Finance.

The Reserve Bank of India (RBI) publishes various reports like the Monetary Policy Report and the Report on Currency and Finance. The Planning Commission (now NITI Aayog) previously published documents related to five-year plans and reviews. The Ministry of Commerce and Industry deals with trade and industrial policies but doesn’t publish the Economic Survey.