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UPSC Previous Year question paper – 2011-2015- General Comprehension

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PREVIOUS YEAR QUESTION PAPERS

UPSC previous year question paper of subject General Comprehension from the year 2011-2015 with answers.

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Results

#1. discretionary power. Government work must be conducted within a framework of recognised rules and principles, and decisions should be similar and predictable.discretionary power. Government work must be conducted within a framework of recognised rules and principles, and decisions should be similar and predictable. Which among the following is the most logical assumption that can be made from the above passage?[2015]

#2. The existence/establishment of formal financial institutions that offer safe, reliable and alternative financial instruments is fundamental in mobilising savings. To save, individuals need access to safe and reliable financial institutions, such as banks, and to appropriate financial instruments and reasonable financial incentives. Such access is not always available to all people in developing countries like India and more so, in rural areas. Savings help poor households manage volatility in cash flow, smoothen consumption, and build working capital. Poor households without access to a formal savings mechanism encourage immediate spending temptations.With reference to the above passage, consider the following statements: 1. Indian financial institutions do not offer any financial instruments to rural households to mobilise their savings. 2. Poor households tend to spend their earnings/savings due to lack of access to appropriate financial instruments. Which of the statements given above is/are correct?[2015]

#3. The existence/establishment of formal financial institutions that offer safe, reliable and alternative financial instruments is fundamental in mobilising savings. To save, individuals need access to safe and reliable financial institutions, such as banks, and to appropriate financial instruments and reasonable financial incentives. Such access is not always available to all people in developing countries like India and more so, in rural areas. Savings help poor households manage volatility in cash flow, smoothen consumption, and build working capital. Poor households without access to a formal savings mechanism encourage immediate spending temptations.What is the crucial message conveyed in the passage?[2015]

#4. We generally talk about democracy but when it comes to any particular thing, we prefer a belonging to our caste or community or religion. So long as we have this kind of temptation, our democracy will remain a phoney kind of democracy. We must be in a position to respect a man as a man and to extend opportunities for development to those who deserve them and not to those who happen to belong to our community or race. This fact of favouritism has been responsible for much discontent and ill-will in our country. Which one of the following statements best sums up the above passage?[2015]

#5. Open defecation is disastrous when practised in very densely populated areas, where it is impossible to keep away human faeces from crops, wells, food and children's hands. Groundwater is also contaminated by open defecation. Many ingested germs and worms spread diseases. They prevent the body from absorbing calories and nutrients. Nearly one-half of India's children remain malnourished. Lakhs of them die from preventable conditions. Diarrhoea leaves Indians' bodies smaller on average than those of people in some poorer countries where people eat fewer calories. Underweight mothers produce stunted babies prone to sickness who may fail to develop their full cognitive potential. The germs released into environment harm rich and poor alike, even those who use latrines.Which among the following is the most critical inference that can be made from the above passage?[2015]

#6. The Global Financial Stability Report finds that the share of portfolio investments from advanced economies in the total debt and equity investments in emerging economies has doubled in the past decade to 12 percent. The phenomenon has implications for Indian policy makers as foreign portfolio investments in the debt and equity markets have been on the rise. The phenomenon is also flagged as a threat that could compromise global financial stability in a chain reaction, in the event of United States Federal Reserve's imminent reversal of its "Quantitative Easing" policy.Which among the following is the most rational and critical inference that can be made from the above passage?[2015]

#7. Climate change is already making many people hungry all over the world, by disrupting crop yields and pushing up prices. And it is not just food but nutrients that are becoming scarcer as the climate changes. It is the poorest communities that will suffer the worst effects of climate change, including increased hunger and malnutrition as crop production and livelihoods are threatened. On the other hand, poverty is a driver of climate change, as desperate communities resort to unsustainable use of resources to meet current needs.Which among the following is the most logical corollary to the above passage?[2015]

#8. Climate change is a complex policy issue with major implications in terms of finance. All actions to address climate change ultimately involve costs. Funding is vital for countries like India to design and implement adaptation and mitigation plans and projects. Lackof funding is a large impediment to implementing adaptation plans. The scale and magnitude of the financial support required by developing countries to enhance their domestic mitigation and adaptation actions are a matter of intense debate in the multilateral negotiations under the United Nations Framework Convention on Climate Change (UNFCCC). The Convention squarely puts the responsibility for provision of financial support on the developed countries, taking into account their contribution to the stock of greenhouse gases (GHGs) in the atmosphere. Given the magnitude of the task and the funds required, domestic finances are likely to fall short of the current and projected needs of the developing countries. Global funding through the multilateral mechanism of the Convention will enhance their domestic capacity to finance the mitigation efforts. [2015] Which one of the following is essentially discussed in the passage?

#9. Climate change is a complex policy issue with major implications in terms of finance. All actions to address climate change ultimately involve costs. Funding is vital for countries like India to design and implement adaptation and mitigation plans and projects. Lack of funding is a large impediment to implementing adaptation plans. The scale and magnitude of the financial support required by developing countries to enhance their domestic mitigation and adaptation actions are a matter of intense debate in the multilateral negotiations under the United Nations Framework Convention on Climate Change (UNFCCC). The Convention squarely puts the responsibility for provision of financial support on the developed countries, taking into account their contribution to the stock of greenhouse gases (GHGs) in the atmosphere. Given the magnitude of the task and the funds required, domestic finances are likely to fall short of the current and projected needs of the developing countries. Global funding through the multilateral mechanism of the Convention will enhance their domestic capacity to finance the mitigation efforts. [2015] With regards to developing countries, it can be inferred from the passage that climate change is likely to have implications on their 1. domestic finances. 2. capacity for multilateral trade. Select the correct answer using the code given below:

#10. Climate change is a complex policy issue with major implications in terms of finance. All actions to address climate change ultimately involve costs. Funding is vital for countries like India to design and implement adaptation and mitigation plans and projects. Lack of funding is a large impediment to implementing adaptation plans. The scale and magnitude of the financial support required by developing countries to enhance their domestic mitigation and adaptation actions are a matter of intense debate in the multilateral negotiations under the United Nations Framework Convention on Climate Change (UNFCCC). The Convention squarely puts the responsibility for provision of financial support on the developed countries, taking into account their contribution to the stock of greenhouse gases (GHGs) in the atmosphere. Given the magnitude of the task and the funds required, domestic finances are likely to fall short of the current and projected needs of the developing countries. Global funding through the multilateral mechanism of the Convention will enhance their domestic capacity to finance the mitigation efforts. [2015]In this passage, the Convention puts the responsibility for the provision of financial support on the developed countries because of 1. their higher level of per capita incomes. 2. their large quantum of GDP. 3. their large contribution to the stock of GRGs in the atmosphere. Select the correct answer using the code given below:

#11. Climate change is a complex policy issue with major implications in terms of finance. All actions to address climate change ultimately involve costs. Funding is vital for countries like India to design and implement adaptation and mitigation plans and projects. Lack of funding is a large impediment to implementing adaptation plans. The scale and magnitude of the financial support required by developing countries to enhance their domestic mitigation and adaptation actions are a matter of intense debate in the multilateral negotiations under the United Nations Framework Convention on Climate Change (UNFCCC). The Convention squarely puts the responsibility for provision of financial support on the developed countries, taking into account their contribution to the stock of greenhouse gases (GHGs) in the atmosphere. Given the magnitude of the task and the funds required, domestic finances are likely to fall short of the current and projected needs of the developing countries. Global funding through the multilateral mechanism of the Convention will enhance their domestic capacity to finance the mitigation efforts. [2015]According to the passage, which of the following is/are a matter of intense debate in the multilateral negotiations under UNFCCC regarding the role of developing countries in climate change? 1. The scale and size of required financial support. 2. The crop loss due to climate change in the developing countries. 3. To enhance the mitigation and adaptation actions in the developing countries. Select the correct answer using the code given below:

#12. The conflict between man and State is as old as State history. Although attempts have been made for centuries to bring about a proper adjustment between the competing claims of State and the individual, the solution seems to be' still far off. This is primarily because of the dynamic nature of human society where old values and ideas constantly yield place to new ones. It is obvious that if individuals are allowed to have absolute freedom of speech and action, the result would be chaos, ruin and anarchy. [2015] The author's viewpoint can be best summed up in which of the following statements?

#13. No Right is absolute, exclusive or inviolable. The Right of personal property, similarly, has to be perceived in the larger context of its assumed legitimacy. The Right of personal property should unite the principle of liberty with that of equality, and both with the principle of cooperation.[2015]In the light of the argument in the above passage, which one of the following statements is the most convincing explanation?

#14. India has suffered from persistent high inflation. Increase in administered prices, demand and supply imbalances, imported inflation aggravated by rupee depreciation, and speculation - have combined to keep high inflation going. If there is an element common to all of them, it is that many of them are the outcomes of economic reforms. India's vulnerability to the effects of changes in international prices has increased with trade liberalisation. The effort to reduce subsidies has resulted in a continuous increase in the prices of commodities that are administered.[2015]What is the most logical, rational and crucial message that is implied in the above passage?

#15. I must say that, beyond occasionally exposing me to laughter, my constitutional shyness has been of no disadvantage whatever. In fact I can see that, on the contrary, it has been all to my advantage. My hesitancy in speech, which was once an annoyance, is now a pleasure. Its greatest benefit has been that it has taught me the economy of words. I have naturally formed the habit of restraining my thoughts. And I can now give myself the certificate that a thoughtless word hardly ever escapes my tongue or pen. I do not recollect ever having had to regret anything in my speech or writing. I have thus been spared many a mishap and waste of time. Experience has taught me that silence is part of the spiritual discipline of a votary of truth. Proneness to exaggerate, to suppress or modify the truth, wittingly or unwittingly, is a natural weakness of man, and silence is necessary in order to surmount it. A man of few words will rarely be thoughtless in his speech; he will measure every word. We find so many people impatient to talk. There is no chairman of a meeting who is not pestered with notes for permission to speak. And whenever the permission is given the speaker generally exceeds the time-limit, asks for more time, and keeps on talking without permission. All this talking can hardly be said to be of any benefit to the world. It is so much waste of time. My shyness has been in reality my shield and buckler. It has allowed me to grow. It has helped me in my discernment of truth.[2015] For the author, silence is necessary in order to surmount

#16. I must say that, beyond occasionally exposing me to laughter, my constitutional shyness has been of no disadvantage whatever. In fact I can see that, on the contrary, it has been all to my advantage. My hesitancy in speech, which was once an annoyance, is now a pleasure. Its greatest benefit has been that it has taught me the economy of words. I have naturally formed the habit of restraining my thoughts. And I can now give myself the certificate that a thoughtless word hardly ever escapes my tongue or pen. I do not recollect ever having had to regret anything in my speech or writing. I have thus been spared many a mishap and waste of time. Experience has taught me that silence is part of the spiritual discipline of a votary of truth. Proneness to exaggerate, to suppress or modify the truth, wittingly or unwittingly, is a natural weakness of man, and silence is necessary in order to surmount it. A man of few words will rarely be thoughtless in his speech; he will measure every word. We find so many people impatient to talk. There is no chairman of a meeting who is not pestered with notes for permission to speak. And whenever the permission is given the speaker generally exceeds the time-limit, asks for more time, and keeps on talking without permission. All this talking can hardly be said to be of any benefit to the world. It is so much waste of time. My shyness has been in reality my shield and buckler. It has allowed me to grow. It has helped me in my discernment of truth.[2015] The most appropriate reason for the author to be spared many a mishap is that

#17. I must say that, beyond occasionally exposing me to laughter, my constitutional shyness has been of no disadvantage whatever. In fact I can see that, on the contrary, it has been all to my advantage. My hesitancy in speech, which was once an annoyance, is now a pleasure. Its greatest benefit has been that it has taught me the economy of words. I have naturally formed the habit of restraining my thoughts. And I can now give myself the certificate that a thoughtless word hardly ever escapes my tongue or pen. I do not recollect ever having had to regret anything in my speech or writing. I have thus been spared many a mishap and waste of time. Experience has taught me that silence is part of the spiritual discipline of a votary of truth. Proneness to exaggerate, to suppress or modify the truth, wittingly or unwittingly, is a natural weakness of man, and silence is necessary in order to surmount it. A man of few words will rarely be thoughtless in his speech; he will measure every word. We find so many people impatient to talk. There is no chairman of a meeting who is not pestered with notes for permission to speak. And whenever the permission is given the speaker generally exceeds the time-limit, asks for more time, and keeps on talking without permission. All this talking can hardly be said to be of any benefit to the world. It is so much waste of time. My shyness has been in reality my shield and buckler. It has allowed me to grow. It has helped me in my discernment of truth.[2015] The author says that a thoughtless word hardly ever escapes his tongue or pen. Which one of the following is not a valid reason for this?

#18. Foods travel more than the people who eat them. Grocery stores and supermarkets are loaded with preserved and processed foods. This, however, often leads to environmental threats, such as pollution generated by long distance food transportation and wastage of food during processing and transportation, destruction of rain forests, reduced nutritional content, increased demand for preservation and packaging. Food insecurity also increases as the produce comes from regions that are not feeding their own population properly. [2015] With reference to the above passage, which of the following statements is/are true? 1. Consuming regionally grown food and not depending on long travelled food is a part of eco-friendly behaviour. 2. Food processing industry puts a burden on our natural resources. Select the correct answer using the code given below:

#19. India accounts for nearly a fifth of the world's child deaths. In terms of numbers, it is the highest in the world - nearly 16 lakhs every year. Of these, more than half die in the first month of life. Officials believe that the reason for this is the absence of steps to propagate basic health practices relating to breast feeding and immunisation. Also the large reproductive population of 2.6 crore remains bereft of care during the critical phases of pregnancy and post-delivery. Added to this is the prevalence of child marriages, anaemia among young women and lack of focus on adolescent sanitation, all of which impact child death rates. [2015] Which is the critical inference that can be made from the above passage?

#20. Many people in India feel that if we cut our defence expenditure on weapon-building, we can create a climate of peace with our neighbours, subsequently reducing the conflict or creating a no-war situation. People who proclaim such ideas are either the victims of war or the propagators of false argument. [2015] With reference to the above passage, which of the following is the most valid assumption?

#21. By 2050, the Earth's population will likely have swelled from seven to nine billion people. To fill all those stomachs - while accounting for shifting consumption patterns, climate change, and a finite amount of arable land and potable water – some experts say food production will have to double. How can we make the numbers add up? Experts say higher yielding crop varieties and more efficient farming methods will be crucial. So will waste reduction.[2015] Experts urge cities to reclaim nutrients and water from waste streams and preserve farmland. Poor countries, they say, can improve crop storage and packaging and rich nations could cut back on resource-intensive foods like meat. Which one of the following statements best sums up the above passage?

#22. Human history abounds in claims and theories confining the right of governing to a few select citizens. Exclusion of the many is justified on the ground that human beings may be rightfully segregated for the good of society and viability of the political process. [2015] Which one of the following statements is least essential as a part of the argument in the above passage?

#23. Individuals, groups and leaders who promote human development operate under strong institutional, structural and political constraints that affect policy options. But experience suggests broad principles for shaping an appropriate agenda for human development. One important finding from several decades of human development experience is that focusing exclusively on economic growth is problematic. While we have good knowledge about how to advance health and education, the causes of growth are much less certain and growth is often elusive. Further, an unbalanced emphasis on growth is often associated with negative environmental consequences and adverse distributional effects. The experience of China, with its impressive growth record, reflects these broader concerns and underlines the importance of balanced approaches that emphasize investments in the non-income aspects of human development.[2015] With reference to the above passage, the following assumptions have been made: 1. Higher economic growth is essential to ensure reduction in economic disparity. 2. Environmental degradation is sometimes a consequence of economic growth Which of the above is/are valid assumption/assumptions?

#24. Individuals, groups and leaders who promote human development operate under strong institutional, structural and political constraints that affect policy options. But experience suggests broad principles for shaping an appropriate agenda for human development. One important finding from several decades of human development experience is that focusing exclusively on economic growth is problematic. While we have good knowledge about how to advance health and education, the causes of growth are much less certain and growth is often elusive. Further, an unbalanced emphasis on growth is often associated with negative environmental consequences and adverse distributional effects. The experience of China, with its impressive growth record, reflects these broader concerns and underlines the importance of balanced approaches that emphasize investments in the non-income aspects of human development. [2015] With reference to the above passage, consider the following statements: 1. In developing countries, a strong institutional framework is the only requirement for human development and policy options 2. Human development and economic growth are not always positively inter-related. 3. Focusing only on human development should be the goal of economic growth Which of the above statements is/are correct ?

#25. Vast numbers of Indian citizens without bank accounts live in rural areas, are financially and functionally illiterate, and have little experience with technology. A research study was conducted in a particular area in which electronic wage payments in Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) are meant to go directly to the poor. It was observed that recipients often assume that the village leader needs to mediate the process, as was the case under the previous paper-based system. Among households under this research study area who claimed to have at least one bank account, over a third reported still receiving MGNREGS wages in cash directly from a village leader.[2015] What is the most logical, rational and crucial message that is implied in the above passage?

#26. Flamingos in large flocks in the wild are social extremely loyal. They perform group mating dances. Parents are very fond of their chicks, gathering them into crèches for protection while both males and females fly off to search for food. [2015] Which among the following is the most logical corollary to the above passage?

#27. Our municipal corporations are understaffed. The issue of skills and competencies of the staff poses an even greater challenge. Urban services delivery and infrastructure are complex to plan and execute. They require a high degree of specialization and professionalism. The current framework within which municipal employees, including senior management, are recruited does not adequately factor in the technical and managerial competencies required. Cadre and recruitment rules only specify the bare minimum in academic qualifications. There is no mention of managerial or technical competencies, or of relevant work experience. This is the case with most municipal corporations. They also suffer from weak organisation design and structure. [2015] Which among the following in the most logical and rational assumption that can be made from the above passage?

#28. The ultimate aim of government is not to rule or control by fear, nor to demand obedience, but conversely, to free every man from fear, that. he may live in all possible security. In other words, to strengthen his natural right to exist and work without injury to himself or others. The object of government is not to change men from rational beings into beasts or puppets. It should enable them to develop their minds and bodies in security, and to employ their reason unshackled. [2015] Which among the following is the most logical and rational inference that can be made from the above passage?

#29. Set against a rural backdrop, 'Stench of kerosene' is the story of a couple, Guleri and Manak, who have been happily married for several years but do not have a child. Manak's mother is desperate to have a grandchild to carry on the family name. Hence, she gets Manak remarried in Guleri's absence. Manak, who acts as a reluctant but passive spectator, is meanwhile, informed by a friend that Guleri, on hearing about her husband's second marriage, poured kerosene on her clothes and set fire to them. Manak is heartbroken and begins to live as if he were a dead man. When his second wife delivers a son, Manak stares at the child for a long time and blurts out, "Take him away ! He stinks of kerosene." [2015]This is a sensitive issue-based story which tries to sensitise the readers about

#30. The richer States have a responsibility to cut down carbon emissions and promote clean energy investments. These are the States that got electricity, grew faster and now have high per capita income, making them capable of sharing India's burden of becoming eco-friendly. Delhi, for example, can help by generating its own clean electricity using solar rooftop panels or even help poor States finance their clean energy projects. It is no secret that State Electricity Boards, which control 95% of the distribution network, are neck-deep in losses. These losses further discourage State utilities from adopting renewable energy as it is more expensive than fossil fuels. [2015] Which among the following is the most logical and rational assumption that can be made from the above passage?

#31. It is often forgotten that globalization is not only about policies on international economic relationships and transactions, but has equally to do with domestic policies of a nation. Policy changes necessitated by meeting the internationally set conditions (by WTO etc.) of free trade and investment flows obviously affect domestic producers and investors. But the basic philosophy underlying globalization emphasizes absolute freedom to markets to determine prices and production and distribution patterns, and view government interventions as processes that create distortions and bring in inefficiency. Thus, public enterprises have to be privatized through disinvestments and sales; sectors and activities hitherto reserved for the public sector have to be opened to the private sector. This logic extends to the social services like education and health. Any restrictions on the adjustments in workforce by way of retrenchment of workers should also be removed and exit should be made easier by removing any restrictions on closures. Employment and wages should be governed by free play of market forces, as any measure to regulate them can discourage investment and also create inefficiency in production. Above all, in line with the overall philosophy of reduction in the role of the State, fiscal reforms should be undertaken to have generally low levels of taxation and government expenditure should be kept to the minimum to abide by the principle of fiscal prudence. All these are policy actions on the domestic front and are not directly related to the core items of the globalization agenda, namely free international flow of goods and finance.[2014] According to the passage, in the process of globalization the State should have

#32. It is often forgotten that globalization is not only about policies on international economic relationships and transactions, but has equally to do with domestic policies of a nation. Policy changes necessitated by meeting the internationally set conditions (by WTO etc.) of free trade and investment flows obviously affect domestic producers and investors. But the basic philosophy underlying globalization emphasizes absolute freedom to markets to determine prices and production and distribution patterns, and view government interventions as processes that create distortions and bring in inefficiency. Thus, public enterprises have to be privatized through disinvestments and sales; sectors and activities hitherto reserved for the public sector have to be opened to the private sector. This logic extends to the social services like education and health. Any restrictions on the adjustments in workforce by way of retrenchment of workers should also be removed and exit should be made easier by removing any restrictions on closures. Employment and wages should be governed by free play of market forces, as any measure to regulate them can discourage investment and also create inefficiency in production. Above all, in line with the overall philosophy of reduction in the role of the State, fiscal reforms should be undertaken to have generally low levels of taxation and government expenditure should be kept to the minimum to abide by the principle of fiscal prudence. All these are policy actions on the domestic front and are not directly related to the core items of the globalization agenda, namely free international flow of goods and finance.[2014]According to the passage, which of the following is/are necessary for ensuring globalization ? 1. Privatization of public enterprises 2. Expansionary policy of public expenditure 3. Free play of market forces to determine wages and employment 4. Privatization of social services like education and health Select the correct answer using the code given below :

#33. It is often forgotten that globalization is not only about policies on international economic relationships and transactions, but has equally to do with domestic policies of a nation. Policy changes necessitated by meeting the internationally set conditions (by WTO etc.) of free trade and investment flows obviously affect domestic producers and investors. But the basic philosophy underlying globalization emphasizes absolute freedom to markets to determine prices and production and distribution patterns, and view government interventions as processes that create distortions and bring in inefficiency. Thus, public enterprises have to be privatized through disinvestments and sales; sectors and activities hitherto reserved for the public sector have to be opened to the private sector. This logic extends to the social services like education and health. Any restrictions on the adjustments in workforce by way of retrenchment of workers should also be removed and exit should be made easier by removing any restrictions on closures. Employment and wages should be governed by free play of market forces, as any measure to regulate them can discourage investment and also create inefficiency in production. Above all, in line with the overall philosophy of reduction in the role of the State, fiscal reforms should be undertaken to have generally low levels of taxation and government expenditure should be kept to the minimum to abide by the principle of fiscal prudence. All these are policy actions on the domestic front and are not directly related to the core items of the globalization agenda, namely free international flow of goods and finance.[2014] According to the passage, the basic philosophy of globalization is to

#34. It is often forgotten that globalization is not only about policies on international economic relationships and transactions, but has equally to do with domestic policies of a nation. Policy changes necessitated by meeting the internationally set conditions (by WTO etc.) of free trade and investment flows obviously affect domestic producers and investors. But the basic philosophy underlying globalization emphasizes absolute freedom to markets to determine prices and production and distribution patterns, and view government interventions as processes that create distortions and bring in inefficiency. Thus, public enterprises have to be privatized through disinvestments and sales; sectors and activities hitherto reserved for the public sector have to be opened to the private sector. This logic extends to the social services like education and health. Any restrictions on the adjustments in workforce by way of retrenchment of workers should also be removed and exit should be made easier by removing any restrictions on closures. Employment and wages should be governed by free play of market forces, as any measure to regulate them can discourage investment and also create inefficiency in production. Above all, in line with the overall philosophy of reduction in the role of the State, fiscal reforms should be undertaken to have generally low levels of taxation and government expenditure should be kept to the minimum to abide by the principle of fiscal prudence. All these are policy actions on the domestic front and are not directly related to the core items of the globalization agenda, namely free international flow of goods and finance.[2014] According to the passage, under the globalization, government interventions are viewed as processes leading to

#35. The Himalayan ecosystem is highly vulnerable to damage, both due to geological reasons and on account of the stress caused by increased pressure of population, exploitation of natural resources and other related challenges. These aspects may be exacerbated due to the impact of climate change. It is possible that climate change may adversely impact the Himalayan ecosystem through increased temperature, altered precipitation patterns, episodes of drought and biotic influences. This would not only impact the very sustenance of the indigenous communities in uplands but also the life of downstream dwellers across the country and beyond. Therefore, there is an urgent need for giving special attention to sustain the Himalayan ecosystem. This would require conscious efforts for conserving all the representative systems. Further, it needs to be emphasized that the endemics with restricted distribution, and most often with specialized habitat requirements, are among the most vulnerable elements. In this respect the Himalayan biodiversity hotspot, with rich endemic diversity, is vulnerable to climate change. The threats include possible loss of genetic resources and species, habitats and concomitantly a decrease in ecosystem services. Therefore, conservation of endemic elements in representative ecosystems/habitats assumes a great significance while drawing conservation plans for the region. Towards achieving the above, we will have to shift toward contemporary conservation approaches, which include a paradigm of landscape level interconnectivity between protected area systems. The concept advocates a shift from the species-habitat focus to an inclusive focus on expanding the biogeographic range so that natural adjustments to climate change can proceed without being restrictive.[2014] With reference to the passage, the following assumptions have been made : 1. To maintain natural ecosystems, exploitation of natural resources should be completely avoided. 2. Not only anthropogenic but also natural reasons can adversely affect ecosystems. 3. Loss of endemic diversity leads to the extinction of ecosystems. Which of the above assumptions is/are correct ?

#36. The Himalayan ecosystem is highly vulnerable to damage, both due to geological reasons and on account of the stress caused by increased pressure of population, exploitation of natural resources and other related challenges. These aspects may be exacerbated due to the impact of climate change. It is possible that climate change may adversely impact the Himalayan ecosystem through increased temperature, altered precipitation patterns, episodes of drought and biotic influences. This would not only impact the very sustenance of the indigenous communities in uplands but also the life of downstream dwellers across the country and beyond. Therefore, there is an urgent need for giving special attention to sustain the Himalayan ecosystem. This would require conscious efforts for conserving all the representative systems. Further, it needs to be emphasized that the endemics with restricted distribution, and most often with specialized habitat requirements, are among the most vulnerable elements. In this respect the Himalayan biodiversity hotspot, with rich endemic diversity, is vulnerable to climate change. The threats include possible loss of genetic resources and species, habitats and concomitantly a decrease in ecosystem services. Therefore, conservation of endemic elements in representative ecosystems/habitats assumes a great significance while drawing conservation plans for the region. Towards achieving the above, we will have to shift toward contemporary conservation approaches, which include a paradigm of landscape level interconnectivity between protected area systems. The concept advocates a shift from the species-habitat focus to an inclusive focus on expanding the biogeographic range so that natural adjustments to climate change can proceed without being restrictive. [2014] What is the most important message conveyed by the passage ?

#37. The Himalayan ecosystem is highly vulnerable to damage, both due to geological reasons and on account of the stress caused by increased pressure of population, exploitation of natural resources and other related challenges. These aspects may be exacerbated due to the impact of climate change. It is possible that climate change may adversely impact the Himalayan ecosystem through increased temperature, altered precipitation patterns, episodes of drought and biotic influences. This would not only impact the very sustenance of the indigenous communities in uplands but also the life of downstream dwellers across the country and beyond. Therefore, there is an urgent need for giving special attention to sustain the Himalayan ecosystem. This would require conscious efforts for conserving all the representative systems. Further, it needs to be emphasized that the endemics with restricted distribution, and most often with specialized habitat requirements, are among the most vulnerable elements. In this respect the Himalayan biodiversity hotspot, with rich endemic diversity, is vulnerable to climate change. The threats include possible loss of genetic resources and species, habitats and concomitantly a decrease in ecosystem services. Therefore, conservation of endemic elements in representative ecosystems/habitats assumes a great significance while drawing conservation plans for the region. Towards achieving the above, we will have to shift toward contemporary conservation approaches, which include a paradigm of landscape level interconnectivity between protected area systems. The concept advocates a shift from the species-habitat focus to an inclusive focus on expanding the biogeographic range so that natural adjustments to climate change can proceed without being restrictive.[2014] Which one of the following statements best implies the need to shift toward contemporary conservation approach?

#38. The Himalayan ecosystem is highly vulnerable to damage, both due to geological reasons and on account of the stress caused by increased pressure of population, exploitation of natural resources and other related challenges. These aspects may be exacerbated due to the impact of climate change. It is possible that climate change may adversely impact the Himalayan ecosystem through increased temperature, altered precipitation patterns, episodes of drought and biotic influences. This would not only impact the very sustenance of the indigenous communities in uplands but also the life of downstream dwellers across the country and beyond. Therefore, there is an urgent need for giving special attention to sustain the Himalayan ecosystem. This would require conscious efforts for conserving all the representative systems. Further, it needs to be emphasized that the endemics with restricted distribution, and most often with specialized habitat requirements, are among the most vulnerable elements. In this respect the Himalayan biodiversity hotspot, with rich endemic diversity, is vulnerable to climate change. The threats include possible loss of genetic resources and species, habitats and concomitantly a decrease in ecosystem services. Therefore, conservation of endemic elements in representative ecosystems/habitats assumes a great significance while drawing conservation plans for the region. Towards achieving the above, we will have to shift toward contemporary conservation approaches, which include a paradigm of landscape level interconnectivity between protected area systems. The concept advocates a shift from the species-habitat focus to an inclusive focus on expanding the biogeographic range so that natural adjustments to climate change can proceed without being restrictive. [2014] Consider the following statements : According to the passage, the adverse impact of climate change on an ecosystem can be a 1. permanent disappearance of some of its flora and fauna. 2. permanent disappearance of ecosystem itself. Which of the statements given above is/are correct ?

#39. It is easy for the government to control State-owned companies through nods and winks. So what really needs to be done as a first step is to put petrol pricing on a transparent formula - if the price of crude is x and the exchange rate y, then every month or fortnight, the government announces a maximum price of petrol, which anybody can work out from the x and the y. The rule has to be worked out to make sure that the oil-marketing companies can, in general, cover their costs. This will mean that if one company can innovate and cut costs, it will make greater profits. Hence, firms will be more prone to innovate and be efficient under this system. Once the rule is announced, there should be no interference by the government. If this is done for a while, private companies will re-enter this market. And once a sufficient number of them are in the fray, we can remove the rule-based pricing and leave it truly to the market (subject to, of course, the usual regulations of anti-trust and other competition laws). [2014] Consider the following statements : According to the passage, private oil companies re-enter the oil producing market if 1. a transparent rule-based petrol pricing exists. 2. there is no government interference in the oil producing market. 3. subsidies are given by the government 4. regulations of anti-trust are removed. Which of the statements given above are correct ?

#40. It is easy for the government to control State-owned companies through nods and winks. So what really needs to be done as a first step is to put petrol pricing on a transparent formula - if the price of crude is x and the exchange rate y, then every month or fortnight, the government announces a maximum price of petrol, which anybody can work out from the x and the y. The rule has to be worked out to make sure that the oil-marketing companies can, in general, cover their costs. This will mean that if one company can innovate and cut costs, it will make greater profits. Hence, firms will be more prone to innovate and be efficient under this system. Once the rule is announced, there should be no interference by the government. If this is done for a while, private companies will re-enter this market. And once a sufficient number of them are in the fray, we can remove the rule-based pricing and leave it truly to the market (subject to, of course, the usual regulations of anti-trust and other competition laws). [2014] Consider the following statements : According to the passage, an oil company can make greater profits, if a transparent formula for petrol pricing is announced every fortnight or month, by 1. promoting its sales. 2. undertaking innovation. 3. cutting costs. 4. selling its equity shares at higher prices. Which of the statements given above is/are correct ?

#41. In recent times, India has grown fast not only compared to its own past but also incomparison with other nations. But there cannot be any room for complacency because it is possible for the Indian economy to develop even faster and also to spread the benefits of this growth more widely than has been done thus far. Before going into details of the kinds of micro-structural changes that we need to conceptualize and then proceed to implement, it is worthwhile elaborating on the idea of inclusive growth that constitutes the defining concept behind this Government's various economic policies and decisions. A nation interested in inclusive growth views the same growth differently depending on whether the gains of the growth are heaped primarily on a small segment or shared widely by the population. The latter is cause for celebration but not the former. In other words, growth must not be treated as an end in itself but as an instrument for spreading prosperity to all. India's own past experience and the experience of other nations suggests that growth is necessary for eradicating poverty but it is not a sufficient condition. In other words, policies for promoting growth need to be complemented with policies to ensure that more and more people join in the growth process and, further, that there are mechanisms inplace to redistribute some of the gains to those who are unable to partake in the market process and, hence, get left behind. A simple way of giving this idea of inclusive growth a sharper form is to measure a nation's progress in terms of the progress of its poorest segment, for instance the bottom 20 per cent of the population. One could measure the per capita income of the bottom quintile of the population and also calculate the growth rate of income; and evaluate our economic success in terms of these measures that pertain to the poorest segment. This approach is attractive because it does not ignore growth like some of the older heterodox criteria did. It simply looks at the growth of income of the poorest sections of the population. It also ensures that those who are outside of the bottom quintile do not get ignored. If that were done, then those people would in all likelihood drop down into the bottom quintile and so would automatically become a direct target of our policies. Hence the criterion being suggested here is a statistical summing up of the idea of inclusive growth, which, in turn, leads to two corollaries : to wish that India must strive to achieve high growth and that we must work to ensure that the weakest segments benefit from the growth. [2014] Consider the following statements : According to the author, India's economy has grown but there is no room for complacency as 1. growth eradicates poverty. 2. growth has resulted in prosperity for all. Which of the statements given above is/are correct ?

#42. In recent times, India has grown fast not only compared to its own past but also incomparison with other nations. But there cannot be any room for complacency because it is possible for the Indian economy to develop even faster and also to spread the benefits of this growth more widely than has been done thus far. Before going into details of the kinds of micro-structural changes that we need to conceptualize and then proceed to implement, it is worthwhile elaborating on the idea of inclusive growth that constitutes the defining concept behind this Government's various economic policies and decisions. A nation interested in inclusive growth views the same growth differently depending on whether the gains of the growth are heaped primarily on a small segment or shared widely by the population. The latter is cause for celebration but not the former. In other words, growth must not be treated as an end in itself but as an instrument for spreading prosperity to all. India's own past experience and the experience of other nations suggests that growth is necessary for eradicating poverty but it is not a sufficient condition. In other words, policies for promoting growth need to be complemented with policies to ensure that more and more people join in the growth process and, further, that there are mechanisms inplace to redistribute some of the gains to those who are unable to partake in the market process and, hence, get left behind. A simple way of giving this idea of inclusive growth a sharper form is to measure a nation's progress in terms of the progress of its poorest segment, for instance the bottom 20 per cent of the population. One could measure the per capita income of the bottom quintile of the population and also calculate the growth rate of income; and evaluate our economic success in terms of these measures that pertain to the poorest segment. This approach is attractive because it does not ignore growth like some of the older heterodox criteria did. It simply looks at the growth of income of the poorest sections of the population. It also ensures that those who are outside of the bottom quintile do not get ignored. If that were done, then those people would in all likelihood drop down into the bottom quintile and so would automatically become a direct target of our policies. Hence the criterion being suggested here is a statistical summing up of the idea of inclusive growth, which, in turn, leads to two corollaries : to wish that India must strive to achieve high growth and that we must work to ensure that the weakest segments benefit from the growth. [2014] The author supports policies which will help

#43. In recent times, India has grown fast not only compared to its own past but also incomparison with other nations. But there cannot be any room for complacency because it is possible for the Indian economy to develop even faster and also to spread the benefits of this growth more widely than has been done thus far. Before going into details of the kinds of micro-structural changes that we need to conceptualize and then proceed to implement, it is worthwhile elaborating on the idea of inclusive growth that constitutes the defining concept behind this Government's various economic policies and decisions. A nation interested in inclusive growth views the same growth differently depending on whether the gains of the growth are heaped primarily on a small segment or shared widely by the population. The latter is cause for celebration but not the former. In other words, growth must not be treated as an end in itself but as an instrument for spreading prosperity to all. India's own past experience and the experience of other nations suggests that growth is necessary for eradicating poverty but it is not a sufficient condition. In other words, policies for promoting growth need to be complemented with policies to ensure that more and more people join in the growth process and, further, that there are mechanisms inplace to redistribute some of the gains to those who are unable to partake in the market process and, hence, get left behind. A simple way of giving this idea of inclusive growth a sharper form is to measure a nation's progress in terms of the progress of its poorest segment, for instance the bottom 20 per cent of the population. One could measure the per capita income of the bottom quintile of the population and also calculate the growth rate of income; and evaluate our economic success in terms of these measures that pertain to the poorest segment. This approach is attractive because it does not ignore growth like some of the older heterodox criteria did. It simply looks at the growth of income of the poorest sections of the population. It also ensures that those who are outside of the bottom quintile do not get ignored. If that were done, then those people would in all likelihood drop down into the bottom quintile and so would automatically become a direct target of our policies. Hence the criterion being suggested here is a statistical summing up of the idea of inclusive growth, which, in turn, leads to two corollaries : to wish that India must strive to achieve high growth and that we must work to ensure that the weakest segments benefit from the growth. [2014] The author's central focus is on.

#44. It is essential that we mitigate the emissions of greenhouse gases and thus avoid some of the worst impacts of climate change that would take place in coming years and decades. Mitigation would require a major shift in the way we produce and consume energy. A shift away from overwhelming dependence on fossil fuels is now long overdue, but unfortunately, technological development has been slow and inadequate largely because government policies have not promoted investments in research and development, myopically as a result of relatively low prices of oil. It is now, therefore, imperative for a country like India treating the opportunity of harnessing renewable energy on a large scale as a national imperative. This country is extremely well endowed with solar, wind and biomass sources of energy. Where we have lagged, unfortunately, is in our ability to develop and to create technological solutions for harnessing these resources. One particular trajectory for carryingout stringent mitigation of greenhouse gas emissions assessed by the Intergovernmental Panel on Climate Change (IPCC) clearly shows the need for ensuring that global emissions of greenhouse gases peak no later than 2015 and reduce rapidly thereafter. The cost associated with such a trajectory is truly modest and would amount, in the estimation of IPCC, to not more than 3 percent of the global GDP in 2030. In other words, the level of prosperity that the world would have reached without mitigation would at worst be postponed by a few months or a year at the most. This is clearly not a very high price to pay for protecting hundreds of millions of people from the worst risks associated with climate change. Any such effort, however, would require lifestyles to change appropriately also. Mitigation of greenhouse gas emissions is not a mere technological fix, and clearly requires changes in lifestyles and transformation of a country's economic structure, whereby effective reduction in emissions is brought about, such as through the consumption of much lower quantities of animal protein. The Food and Agriculture Organization (FAO) has determined that the emissions from the livestock sector amount to 18 percent of the total. The reduction of emissions from this source is entirely in the hands of human beings, who have never questioned the impacts that their dietary habits of consuming more and more animal protein are bringing about. Mitigation overall has huge co-benefits, such as lower air pollution and health benefits, higher energy security and greater employment. [2014] What is the essential message of the passage ?

#45. It is essential that we mitigate the emissions of greenhouse gases and thus avoid some of the worst impacts of climate change that would take place in coming years and decades. Mitigation would require a major shift in the way we produce and consume energy. A shift away from overwhelming dependence on fossil fuels is now long overdue, but unfortunately, technological development has been slow and inadequate largely because government policies have not promoted investments in research and development, myopically as a result of relatively low prices of oil. It is now, therefore, imperative for a country like India treating the opportunity of harnessing renewable energy on a large scale as a national imperative. This country is extremely well endowed with solar, wind and biomass sources of energy. Where we have lagged, unfortunately, is in our ability to develop and to create technological solutions for harnessing these resources. One particular trajectory for carryingout stringent mitigation of greenhouse gas emissions assessed by the Intergovernmental Panel on Climate Change (IPCC) clearly shows the need for ensuring that global emissions of greenhouse gases peak no later than 2015 and reduce rapidly thereafter. The cost associated with such a trajectory is truly modest and would amount, in the estimation of IPCC, to not more than 3 percent of the global GDP in 2030. In other words, the level of prosperity that the world would have reached without mitigation would at worst be postponed by a few months or a year at the most. This is clearly not a very high price to pay for protecting hundreds of millions of people from the worst risks associated with climate change. Any such effort, however, would require lifestyles to change appropriately also. Mitigation of greenhouse gas emissions is not a mere technological fix, and clearly requires changes in lifestyles and transformation of a country's economic structure, whereby effective reduction in emissions is brought about, such as through the consumption of much lower quantities of animal protein. The Food and Agriculture Organization (FAO) has determined that the emissions from the livestock sector amount to 18 percent of the total. The reduction of emissions from this source is entirely in the hands of human beings, who have never questioned the impacts that their dietary habits of consuming more and more animal protein are bringing about. Mitigation overall has huge co-benefits, such as lower air pollution and health benefits, higher energy security and greater employment.[2015] According to the passage, how does the mitigation of greenhouse gases help us ?

#46. It is essential that we mitigate the emissions of greenhouse gases and thus avoid some of the worst impacts of climate change that would take place in coming years and decades. Mitigation would require a major shift in the way we produce and consume energy. A shift away from overwhelming dependence on fossil fuels is now long overdue, but unfortunately, technological development has been slow and inadequate largely because government policies have not promoted investments in research and development, myopically as a result of relatively low prices of oil. It is now, therefore, imperative for a country like India treating the opportunity of harnessing renewable energy on a large scale as a national imperative. This country is extremely well endowed with solar, wind and biomass sources of energy. Where we have lagged, unfortunately, is in our ability to develop and to create technological solutions for harnessing these resources. One particular trajectory for carryingout stringent mitigation of greenhouse gas emissions assessed by the Intergovernmental Panel on Climate Change (IPCC) clearly shows the need for ensuring that global emissions of greenhouse gases peak no later than 2015 and reduce rapidly thereafter. The cost associated with such a trajectory is truly modest and would amount, in the estimation of IPCC, to not more than 3 percent of the global GDP in 2030. In other words, the level of prosperity that the world would have reached without mitigation would at worst be postponed by a few months or a year at the most. This is clearly not a very high price to pay for protecting hundreds of millions of people from the worst risks associated with climate change. Any such effort, however, would require lifestyles to change appropriately also. Mitigation of greenhouse gas emissions is not a mere technological fix, and clearly requires changes in lifestyles and transformation of a country's economic structure, whereby effective reduction in emissions is brought about, such as through the consumption of much lower quantities of animal protein. The Food and Agriculture Organization (FAO) has determined that the emissions from the livestock sector amount to 18 percent of the total. The reduction of emissions from this source is entirely in the hands of human beings, who have never questioned the impacts that their dietary habits of consuming more and more animal protein are bringing about. Mitigation overall has huge co-benefits, such as lower air pollution and health benefits, higher energy security and greater employment.[2014] Why do we continue to depend on the fossil fuels heavily? 1. Inadequate technological development 2. Inadequate funds for research and development 3. Inadequate availability of alternative sources of energy Select the correct answer using the code given below:

#47. It is essential that we mitigate the emissions of greenhouse gases and thus avoid some of the worst impacts of climate change that would take place in coming years and decades. Mitigation would require a major shift in the way we produce and consume energy. A shift away from overwhelming dependence on fossil fuels is now long overdue, but unfortunately, technological development has been slow and inadequate largely because government policies have not promoted investments in research and development, myopically as a result of relatively low prices of oil. It is now, therefore, imperative for a country like India treating the opportunity of harnessing renewable energy on a large scale as a national imperative. This country is extremely well endowed with solar, wind and biomass sources of energy. Where we have lagged, unfortunately, is in our ability to develop and to create technological solutions for harnessing these resources. One particular trajectory for carryingout stringent mitigation of greenhouse gas emissions assessed by the Intergovernmental Panel on Climate Change (IPCC) clearly shows the need for ensuring that global emissions of greenhouse gases peak no later than 2015 and reduce rapidly thereafter. The cost associated with such a trajectory is truly modest and would amount, in the estimation of IPCC, to not more than 3 percent of the global GDP in 2030. In other words, the level of prosperity that the world would have reached without mitigation would at worst be postponed by a few months or a year at the most. This is clearly not a very high price to pay for protecting hundreds of millions of people from the worst risks associated with climate change. Any such effort, however, would require lifestyles to change appropriately also. Mitigation of greenhouse gas emissions is not a mere technological fix, and clearly requires changes in lifestyles and transformation of a country's economic structure, whereby effective reduction in emissions is brought about, such as through the consumption of much lower quantities of animal protein. The Food and Agriculture Organization (FAO) has determined that the emissions from the livestock sector amount to 18 percent of the total. The reduction of emissions from this source is entirely in the hands of human beings, who have never questioned the impacts that their dietary habits of consuming more and more animal protein are bringing about. Mitigation overall has huge co-benefits, such as lower air pollution and health benefits, higher energy security and greater employment. [2014] According to the passage, which of the following would help in the mitigation of greenhouse gases ? 1. Reducing the consumption of meat 2. Rapid economic liberalization 3. Reducingthe consumerism 4. Modern management practices of livestock Select the correct answer using the code given below:

#48. Climate change poses potentially devastating effects on India's agriculture. While the overall parameters of climate change are increasingly accepted - a 1°C average temperature increase over the next 30 years, sea level rise of less than 10 cm in the same period, and regional monsoon variations and corresponding droughts - the impacts in India are likely to be quite site and crop specific. Some crops may respond favourably to the changing conditions, others may not. This emphasizes the need to promote agricultural research and create maximum flexibility in the system to permit adaptations. The key ingredient for “drought proofing” is the managed recharge of aquifers. To ensure continued yields of important staple crops (e.g. wheat), it may also be necessary to shift the locations where these crops are grown, in response to temperature changes as well as to water availability. The latter will be a key factor in making long term investment decisions. For example, water runoff from the Himalayas is predicted to increase over the next 30 years as glaciers melt, but then decline substantially thereafter. It will be critical to provide incentives to plan for these large-scale shifts in agro-ecological conditions. India needs to make long term investment in research and development in agriculture. India is likely to experience changed weather patterns in future. [2014] According to the passage, why is it important to promote agricultural research in India?

#49. Climate change poses potentially devastating effects on India's agriculture. While the overall parameters of climate change are increasingly accepted - a 1°C average temperature increase over the next 30 years, sea level rise of less than 10 cm in the same period, and regional monsoon variations and corresponding droughts - the impacts in India are likely to be quite site and crop specific. Some crops may respond favourably to the changing conditions, others may not. This emphasizes the need to promote agricultural research and create maximum flexibility in the system to permit adaptations. The key ingredient for “drought proofing” is the managed recharge of aquifers. To ensure continued yields of important staple crops (e.g. wheat), it may also be necessary to shift the locations where these crops are grown, in response to temperature changes as well as to water availability. The latter will be a key factor in making long term investment decisions. For example, water runoff from the Himalayas is predicted to increase over the next 30 years as glaciers melt, but then decline substantially thereafter. It will be critical to provide incentives to plan for these large-scale shifts in agro-ecological conditions. India needs to make long term investment in research and development in agriculture. India is likely to experience changed weather patterns in future. [2014] Consider the following statements : Climate change may force the shifting of locations of the existing crops due to 1. melting of glaciers. 2. water availability and temperature suitability at other locations. 3. poor productivity of crops. 4. wider adaptability of crop plants. Which of the statements given above are correct ?

#50. Net profits are only 2.2% of their total assets for central public sector undertakings, lower than for the private corporate sector. While the public sector or the State-led entrepreneurship played an important role in triggering India's industrialization, our evolving development needs, comparatively less-than-satisfactory performance of the public sector enterprises, the maturing of our private sector, a much larger social base now available for expanding entrepreneurship and the growing institutional capabilities to enforce competition policies would suggest that the time has come to review the role of public sector. What should the portfolio composition of the government be? It should not remain static all times. The airline industry works well as a purely private affair. At the opposite end, rural roads, whose sparse traffic makes tolling unviable, have to be on the balance-sheet of the State. If the government did not own rural roads, they would not exist. Similarly, public health capital in our towns and cities will need to come from the public sector. Equally, preservation and improvement of forest cover will have to be a new priority for the public sector assets. Take the example of steel. With near-zero tariffs, India is a globally competitive market for the metal. Indian firms export steel into the global market, which demonstrates there is no gap in technology. Indian companies are buying up global steel companies, which shows there is no gap in capital availability. Under these conditions, private ownership works best. Private ownership is clearly desirable in regulated industries, ranging from finance to infrastructure, where a government agency performs the function of regulation and multiple competing firms are located in the private sector. Here, the simple and clean solution - government as the umpire and the private sector as the players is what works best. In many of these industries, we have a legacy of government ownership, where productivity tends to be lower, fear of bankruptcy is absent, and the risk of asking for money from the tax payer is ever present. There is also the conflict of interest between government as an owner and as the regulator. The formulation and implementation of competition policy will be more vigorous and fair if government companies are out of action.[2014]The author prefers government as the umpire and private sector as players because

#51. Net profits are only 2.2% of their total assets for central public sector undertakings, lower than for the private corporate sector. While the public sector or the State-led entrepreneurship played an important role in triggering India's industrialization, our evolving development needs, comparatively less-than-satisfactory performance of the public sector enterprises, the maturing of our private sector, a much larger social base now available for expanding entrepreneurship and the growing institutional capabilities to enforce competition policies would suggest that the time has come to review the role of public sector. What should the portfolio composition of the government be? It should not remain static all times. The airline industry works well as a purely private affair. At the opposite end, rural roads, whose sparse traffic makes tolling unviable, have to be on the balance-sheet of the State. If the government did not own rural roads, they would not exist. Similarly, public health capital in our towns and cities will need to come from the public sector. Equally, preservation and improvement of forest cover will have to be a new priority for the public sector assets. Take the example of steel. With near-zero tariffs, India is a globally competitive market for the metal. Indian firms export steel into the global market, which demonstrates there is no gap in technology. Indian companies are buying up global steel companies, which shows there is no gap in capital availability. Under these conditions, private ownership works best. Private ownership is clearly desirable in regulated industries, ranging from finance to infrastructure, where a government agency performs the function of regulation and multiple competing firms are located in the private sector. Here, the simple and clean solution - government as the umpire and the private sector as the players is what works best. In many of these industries, we have a legacy of government ownership, where productivity tends to be lower, fear of bankruptcy is absent, and the risk of asking for money from the tax payer is ever present. There is also the conflict of interest between government as an owner and as the regulator. The formulation and implementation of competition policy will be more vigorous and fair if government companies are out of action. [2014] The portfolio composition of the government refers to

#52. Net profits are only 2.2% of their total assets for central public sector undertakings, lower than for the private corporate sector. While the public sector or the State-led entrepreneurship played an important role in triggering India's industrialization, our evolving development needs, comparatively less-than-satisfactory performance of the public sector enterprises, the maturing of our private sector, a much larger social base now available for expanding entrepreneurship and the growing institutional capabilities to enforce competition policies would suggest that the time has come to review the role of public sector. What should the portfolio composition of the government be? It should not remain static all times. The airline industry works well as a purely private affair. At the opposite end, rural roads, Net profits are only 2.2% of their total assets for central public sector undertakings, lower than for the private corporate sector. While the public sector or the State-led entrepreneurship played an important role in triggering India's industrialization, our evolving development needs, comparatively less-than-satisfactory performance of the public sector enterprises, the maturing of our private sector, a much larger social base now available for expanding entrepreneurship and the growing institutional capabilities to enforce competition policies would suggest that the time has come to review the role of public sector. What should the portfolio composition of the government be? It should not remain static all times. The airline industry works well as a purely private affair. At the opposite end, rural roads,[2014] According to the passage, rural roads should be in the domain of public sector only. Why ?

#53. Net profits are only 2.2% of their total assets for central public sector undertakings, lower than for the private corporate sector. While the public sector or the State-led entrepreneurship played an important role in triggering India's industrialization, our evolving development needs, comparatively less-than-satisfactory performance of the public sector enterprises, the maturing of our private sector, a much larger social base now available for expanding entrepreneurship and the growing institutional capabilities to enforce competition policies would suggest that the time has come to review the role of public sector. What should the portfolio composition of the government be? It should not remain static all times. The airline industry works well as a purely private affair. At the opposite end, rural roads, whose sparse traffic makes tolling unviable, have to be on the balance-sheet of the State. If the government did not own rural roads, they would not exist. Similarly, public health capital in our towns and cities will need to come from the public sector. Equally, preservation and improvement of forest cover will have to be a new priority for the public sector assets. Take the example of steel. With near-zero tariffs, India is a globally competitive market for the metal. Indian firms export steel into the global market, which demonstrates there is no gap in technology. Indian companies are buying up global steel companies, which shows there is no gap in capital availability. Under these conditions, private ownership works best. Private ownership is clearly desirable in regulated industries, ranging from finance to infrastructure, where a government agency performs the function of regulation and multiple competing firms are located in the private sector. Here, the simple and clean solution - government as the umpire and the private sector as the players is what works best. In many of these industries, we have a legacy of government ownership, where productivity tends to be lower, fear of bankruptcy is absent, and the risk of asking for money from the tax payer is ever present. There is also the conflict of interest between government as an owner and as the regulator. The formulation and implementation of competition policy will be more vigorous and fair if government companies are out of action. [2014]According to the passage, what is/are the reason/reasons for saying that the time has come to review the role of public sector ? 1. Now public sector has lost its relevance in the industrialization process. 2. Public sector does not perform satisfactorily. 3. Entrepreneurship in private sector is expanding. 4. Effective competition policies are available now. Which of the statements given above is/are correct in the given context ?

#54. Many nations now place their faith in capitalism and governments choose it as the strategy to create wealth for their people. The spectacular economic growth seen in Brazil, China and India after the liberalisation of their economies is proof of its enormous potential and success. However, the global banking crisis and the economic recession have left many bewildered. The debates tend to focus on free market operations and forces, their efficiency and their ability for self correction. Issues of justice, integrity and honesty are rarely elaborated to highlight the failure of the global banking system. The apologists of the system continue to justify the success of capitalism and argue that the recent crisis was a blip. Their arguments betray an ideological bias with the assumptions that an unregulated market is fair and competent, and that the exercise of private greed will be in the larger public interest. Few recognize the bidirectional relationship between capitalism and greed; that each reinforces the other. Surely, a more honest conceptualisation of the conflicts of interest among the rich and powerful players who have benefited from the system, their biases and ideology is needed; the focus on the wealth creation should also highlight the resultant gross inequity. [2014] The exercise of private greed will be in the larger public interest" from the passage 1. refers to the false ideology of capitalism. 2. underlies the righteous claims of the free market. 3. shows the benevolent face of capitalism. 4. ignores resultant gross inequity. Which of the statements given above is/are correct ?

#55. Many nations now place their faith in capitalism and governments choose it as the strategy to create wealth for their people. The spectacular economic growth seen in Brazil, China and India after the liberalisation of their economies is proof of its enormous potential and success. However, the global banking crisis and the economic recession have left many bewildered. The debates tend to focus on free market operations and forces, their efficiency and their ability for self correction. Issues of justice, integrity and honesty are rarely elaborated to highlight the failure of the global banking system. The apologists of the system continue to justify the success of capitalism and argue that the recent crisis was a blip. Their arguments betray an ideological bias with the assumptions that an unregulated market is fair and competent, and that the exercise of private greed will be in the larger public interest. Few recognize the bidirectional relationship between capitalism and greed; that each reinforces the other. Surely, a more honest conceptualisation of the conflicts of interest among the rich and powerful players who have benefited from the system, their biases and ideology is needed; the focus on the wealth creation should also highlight the resultant gross inequity. [2014] With reference to "ideological bias", the passage implies that

#56. Many nations now place their faith in capitalism and governments choose it as the strategy to create wealth for their people. The spectacular economic growth seen in Brazil, China and India after the liberalisation of their economies is proof of its enormous potential and success. However, the global banking crisis and the economic recession have left many bewildered. The debates tend to focus on free market operations and forces, their efficiency and their ability for self correction. Issues of justice, integrity and honesty are rarely elaborated to highlight the failure of the global banking system. The apologists of the system continue to justify the success of capitalism and argue that the recent crisis was a blip. Their arguments betray an ideological bias with the assumptions that an unregulated market is fair and competent, and that the exercise of private greed will be in the larger public interest. Few recognize the bidirectional relationship between capitalism and greed; that each reinforces the other. Surely, a more honest conceptualisation of the conflicts of interest among the rich and powerful players who have benefited from the system, their biases and ideology is needed; the focus on the wealth creation should also highlight the resultant gross inequity. [2014] The apologists of the "Free Market System", according to the passage, believe in

#57. Crude mineral oil comes out of the earth as a thick brown or black liquid with a strong smell. It is a complex mixture of many different substances, each with its own individual qualities. Most of them are combinations of hydrogen and carbon in varying proportions. Such hydrocarbons are also found in other forms such as bitumen, asphalt and natural gas. Mineral oil originates from the carcasses of tiny animals and from plants that live in the sea. Over millions of years, these dead creatures form large deposits under the sea- bed; and ocean currents cover them with a blanket of sand and silt. As this mineral hardens, it becomes sedimentary rock and effectively shuts out the oxygen, so preventing the complete decomposition of the marine deposits underneath. The layers of sedimentary rock become thicker and heavier. Their pressure produces heat, which transforms the tiny carcasses into crude oil in a process that is still going on today. [2013] Sedimentary rock leads to the formation of oil deposits because

#58. Crude mineral oil comes out of the earth as a thick brown or black liquid with a strong smell. It is a complex mixture of many different substances, each with its own individual qualities. Most of them are combinations of hydrogen and carbon in varying proportions. Such hydrocarbons are also found in other forms such as bitumen, asphalt and natural gas. Mineral oil originates from the carcasses of tiny animals and from plants that live in the sea. Over millions of years, these dead creatures form large deposits under the sea- bed; and ocean currents cover them with a blanket of sand and silt. As this mineral hardens, it becomes sedimentary rock and effectively shuts out the oxygen, so preventing the complete decomposition of the marine deposits underneath. The layers of sedimentary rock become thicker and heavier. Their pressure produces heat, which transforms the tiny carcasses into crude oil in a process that is still going on today. [2013] Mineral oil deposits under the sea do not get completely decomposed because they

#59. Financial markets in India have acquired greater depth and liquidity over the years. Steady reforms since 1991 have led to growing linkages and integration of the Indian economy and its financial system with the global economy. Weak global economic prospects and continuing uncertainties in the international financial markets therefore, have had their impact on the emerging market economies. Sovereign risk concerns, particularly in the Euro area, affected financial markets for the greater part of the year, with the contagion of Greece’s soveregin debt problem spreading to India and other economies by way of higher-than- normal levels of volatility. The funding constraints in international financial markets could impact both the availability and cost of foreign funding for banks and corporates. Since the Indian financial system is bank- dominated, banks’ ability to withstand stress is critical to overall financial stability. Indian banks, however, remain robust, notwithstanding a decline in capital to risk-weighted assets ratio and a rise in non-performing asset levels in the recent past. Capital adequacy levels remain above the regulatory requirements. The financial market infrastructure continues to function without any major disruption. With further globalization, consolidation, deregulation, and diversification of the financial system, the banking business may become m