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IASbaba ’60 Day Plan- Prelims Test 2016 SCIENCE & TECHNOLOGY & CURRENT AFFAIRS [DAY 59]

Click here to get all the Tests– Archives Hello Friends Hope you are enjoying Daily questions. The link for Day 58 solution is active now.  Why we asked you to comment? Now go back to check your answers that you posted with honest effort. Edit your answers with marks. Everyday like this you can self monitor your progress for all 60 days. Accountability to self is the only way for success IASbaba '60 Day Plan' - Prelims Test 2016 [Day 59] Q.1) Consider the following about Viruses They evolve by metabolism They do not possess genes They cannot replicate Select the correct code 1 and 2 Only 2 1, 2 and 3 None Q.2) Consider the following about Phosphorous White Phosphorous is crystalline Red Phosphorous is polymeric Black Phosphorous is a semiconductor Select the correct code 1 and 2 Only 3 1 and 3 1, 2 and 3 Q.3) Consider the following about Geostationary Orbits There are various geostationary orbits The orbit’s inclination with earth is not zero The orbit is in equatorial plane Select the incorrect code 1 and 2 Only 1 2 and 3 Only 1 Q.4) Cholesterols provide strengths and flexibility to cell membranes. Consider the following w.r.t Cholesterols They are highly soluble in water They are subclass of lipids known as steroids It is an important precursor molecule for the synthesis of Vitamin D Select the correct code 1 and 2 2 and 3 1, 2 and 3 1 and 3 Q.5) Consider the following Antifreeze Antiseptics Preservatives Fuels Which of the above can be the application of an Alcohol? 1, 3 and 4 2, 3 and 4 1, 2 and 4 1, 2, 3 and 4 Q.6) Exomars is the Mars Mission launched jointly by Russia and China USA and Russia Europe and Russia Europe and USA Q.7) Consider the following about Goldilocks Zone Habitable zone in the planetary system where temperature is neither too high nor too low Habitable zone in the planetary system where temperature is very high Habitable zone in the planetary system where temperature is very low None Q.8) Coke is one of the materials of the charge added to blast furnace for the production of steel/iron. Its function is to Act as a reducing agent. Function as fuel, to supply heat. Act as an oxidizing agent. Of these statements 1 and 2 2 and 3 None All are correct Q.9) Consider the following statements Pinaka is Multi Barrel Rocket Launcher developed by DRDO INSAS is a small satellite developed by ISRO Nag is an antitank missile Select the correct statement/s 1 and 3 2 and 3 1 and 2 All Q.10) Consider the following A person having blood group, B+ can donate blood to B- and O+ A person having blood group AB+ can receive blood from everyone A person having blood group O- can donate blood to everyone Select the correct answer using codes 1, 2 and 3 1 and 3 2 and 3 Only 3 Q.11) Consider the following statements with respect to Transformative Carbon Asset Facility (TCAP) It is launched by United Nations Environment Programme It will help developing countries pay for emission reductions and combat climate change Germany, Norway, Sweden, and Switzerland are part of TCAP Which of the following statements is/are correct? 1 and 2 Only 2 2 and 3 All of the above Q.12) Consider following statements with respect to LCA Tejas It is jointly developed by Aeronautical Development Agency and DRDO It is the smallest lightweight, multi-role, single-engine tactical fighter aircraft in the world Select the correct statement(s) Only 1 Only 2 Both 1 and 2 None Q.13) Which of the following is referred to as “Wasting’? Low weight-for-height Low height-for-age Low weight-for-age High weight-for-height Q.14) Consider the following statements with respect to ‘Google Street View’? It provides panoramic views from positions along many streets across the world It uses image stitching technology India denied permission for the service citing security issues Select the correct statement(s) Only 1 1 and 3 1 and 2 All of the above Q.15) Consider the following statements concerning Astrobiology Mission India is part of the Spaceward Bound programme for the first time Ladakh has been selected as the first site because it offers high UV (ultra-violet) exposed, dry ecosystem with Mars analogue topological features Select the incorrect statement(s) Only 1 Only 2 Both 1 and 2 None of the above Q.16) In which country did ‘Jasmine Revolution’ take place? Kenya Libya Tunisia Sri Lanka Q.17) Which organization publishes the ‘Global Money Laundering Report’? World Bank IMF Bank for International Settlements Financial Action Task Force Q.18) Identify the first mission amongst the following to have successfully landed a fully operational spacecraft on Mars: Viking I Voyager I Voyager II Apollo II Q.19) Pellet guns are very much in news in the state of Jammu & Kashmir. Identify the substance from the following, which makes up the pellets in a pellet gun— Granite Lead Cadmium Mercury Q.20) Consider the following statements: In a preferential trade agreement, the tariff between the countries in the trading bloc, is completely abolished. India-Mercosur Preferential Trade Agreement (PTA) was formally referred to as the Bangkok Agreement. Choose the option indicating the incorrect statement/s— Only 1 Only 2 Both 1 and 2 None of the above Download the Solution- Click here P.S- Attempt these questions within 20 minutes with full honesty and write your results in the comment box. Next day, come back and check your result. You can also discuss the important concepts and issues, in case of doubts (among peers) All the best IASbaba

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IASbaba’s Daily Current Affairs – 22nd July, 2016

ArchivesIASbaba’s Daily Current Affairs – 22nd July, 2016 ECONOMICS  TOPIC: General Studies 3 Indian economy and issues relating to planning, mobilization of resources, growth, development and employmentGeneral Studies 2 Important International institutions, agencies and fora- their structure, mandate.How misinvoicing is robbing developing countries of export earningsAbout: According to Global Financial Integrity (GFI) December 2015 report Trade misinvoicing was revealed to be the largest component of illicit financial flows (IFF) from developing countries It accounted for 83.4% of all illicit flowsFigures say it all:$1.1 trillion that flowed illicitly out of developing countries in 2013 was greater than what they received by the combined foreign direct investment (FDI) and net official development assistance (ODA).Context: Increasing exports form one of the most important routes to develop fortunes of a developing country. But, there is a possibility that what the developing countries might rightfully gain through trade may get usurped by others through various means and methods. Trade misinvoicing is an important route contributing to it.Hence, UNSDGs has incorporated curbing IFFs into its framework.What is trade misinvoicing?Invoice: An invoice shows what a buyer has to pay to the seller.Misinvoicing: The amount actually paid or obtained may be higher or lower than the amount indicated in the invoice.How it works?Country A exports $100 item to Country B.Country B shows amount in its books after making adjustments as there would be a calculating differenceDifference would exist as: Export calculated on Free on Board (fob) basis Import calculated on Cost, Insurance and Freight (cif) basisTrade misinvoicing happens when there is a difference in the amount even after factoring the basic calculations.There might be underinvoicing by exporters or overinvoicing by importers. Export underinvoicing- value of exports for exporting country is less than what the importing country reports as imports after adjusting for cif. Exporter reports invoice of $100 for goods worth $120. In reality, he will deposit the $100 officially and $20 will go into his personal account. Import overinvoicing- adjusted value of imports for importing country is more than what the exporting country reports as exports. Importer reports invoice of $120 for goods worth $100. He pays $100 in reality and the remaining amount is deposited in his foreign accounts.Another example Picture Credit http://www.gfintegrity.org/issue/trade-misinvoicing/ Although the Indian importer is buying $1 million worth of cars from the U.S. exporter, he uses a Mauritius intermediary to re-invoice the amount up to $1,500,000. The U.S. exporter gets paid $1 million. The $500,000 that is left over is then diverted to an offshore bank account owned by the Indian importer. This is case of import overinvoicingReasons for trade misinvoicing Money laundering Tax evasion-To maximise the profits by tax evasion in either of the countries. Dodging Capital Controls- Many developing countries have restrictions on the amount of capital that a person or business can bring in or out of their economies. Investors attempting to break these capital controls often misinvoice trade transactions as an illegal alternative to getting money in or out of the country. Bureaucratic bypass- To circumvent bureaucratic hurdles to speed up execution and settlement of transactionsSuch activities often take place along with legitimate trade, which provides a good cover.Extent of trade misinvoicing in developing countries Preventing trade misinvoicing requires to first identify the countries and its exact products.UNCTAD study: Developing countries exporting primary products have reportedly high levels of trade misinvoicing.Study countries: Chile, Côte d’Ivoire, Nigeria, South Africa and ZambiaPrimary products exported: Oil and gas Minerals, ores and metals (copper, gold, iron ore, silver and platinum) Agricultural commodities (cocoa).Why these countries: exports of these commodities constitute a large part of their total exports. They are also called Commodity Dependent Developing Countries (CDDCs).UNCTAD study results: Though significant export misinvoicing was reported, there was extreme variations across countries and trading patterns.South Africa’s gold export: For 14 selected partners, South Africa’s official trade data shows gold exports worth just $3.17 billion (in 2014 constant dollars), Whereas partners’ data shows the value of exports from South Africa to be $ 117.12 billion. India is the biggest trade partner of South Africa in gold exports. China is present on almost every selected country’s export misinvoicing list which suggests that many countries are losing a lot of money in exports to it. Picture credit: http://www.livemint.com/Opinion/HVUzpEnYbahL5CAd1la8TJ/How-misinvoicing-is- robbing-developing- countries-of-export-e.html India not immune to trade misinvoicing The IFF outflows via trade misinvoicing is not confined to African countries A 2014 report estimated that a total of $186 billion worth of IFF went out from India through trade misinvoicing route. For comparison: India’s total exports in 2015-16 were worth $262 billionConclusion These statistics show how despite significant exports, developing countries are failing to realise the gains from trade. Nearly 90 developing countries are losing commodity export earnings worth billions of dollars in valuable foreign exchange earnings, taxes and income that might otherwise be spent on development. In India, through encouraging exports via Make in India, there seems to be considerable scope for tapping illegal flow of funds. India has been a recent signatory to the agreements facilitating autonomous exchange of tax information between countries and is much better placed to tackle the menace.Connecting the dots: Curbing trade misinvoicing is imperative to stop global illicit financial flows. ExplainRelated Articles:Illicit Financial FlowsTackling off Shore Tax Evasion MUST READLengthening shadow over South AsiaHinduLiving in a warmer countryHinduDrugged to denialIndian ExpressRelated Articles:The grip of ‘Drug’ HurricaneA strategic diaspora security policyLivemintWhat Swachh Bharat should have addressedLivemintThe name’s bond, Gold BondBusiness LineRelated Articles:Gold Monetisation Scheme

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All India Radio - Tax on Junk Food

ARCHIVES   Tax on Junk Food   Kerala has announced 14.5% ‘fat tax’ on food like burgers, pizza, pasta, sandwich, donuts sold in fast food chain. This is analysed as a two-pronged strategy for Increasing revenue Move to promote healthy food habits and hence preventing obesity and health related issues   Effect of ‘fat tax’ on various stakeholders The children and new generation are more addicted to fast food. Typically, fast food are luxury products which display conspicuous consumption pattern and seen as style statement or glamorous for youth. Short term effects A disincentive for youth, so there might be decline in consumption Increase in revenue for government Impact on employment in fast food chain sector and also on volume of business Local vendors can grab the opportunity to sell healthy food products Long term effects The impact on the consumption might not be significant Reason: even these food companies may try to reduce their prices. They will work on their cost of production. Encourage research and development for nutritional food products and less suagary saturated food. The challenge will be to maintain the taste the moment companies start playing with ingredients Rise in Start-ups in healthy food/ organic food business. However, if there is not much decline in consumption, there might be rise in inflation. Context of decision To increase revenue and encourage healthy food habits. It is an innovative initiative of the government to encourage MNCs and fast food chains to work upon the nutritional content of the food products and come up with better nutritionist food. This will provide them bargaining power to ask for tax incentives in future. Five fronts Significant increase in government revenue. India has traditionally been a nutritional food lifestyle country. It has potential to increase production and access to healthy organic food. New startups can venture into healthy lifestyle products to provide better service to people. It will help economy in big way. Fattening food companies to come with good products Local vendors benefiting   Other examples Demark and Hungary have also tried for similar kind of taxation. Bihar in January had ‘samosa tax’. The other states may follow the footsteps. The decision has to be taken as ultimately it is a good decision that any product not good for health be attached to higher taxes. Potential for value added products It is not going to have negative impact on food processing industry with heathy products. However, the fattening food products industry will have to incur more expenditure on increased taxes as well as research. India’s food processing industries are at a very nascent stage. The product offering should be such that can be sold in domestic or export market. It is not a disincentive to the FDI as India has a large market and their products can be catered to large population. Thus, there are lot of lucrative options for them to innovate in healthy food option. Standardisation of nutritional content and food It is a broader objective in the broader parlance of WHO. All this is done in sync with advocacy of WHO. Healthy food is necessity of the present and generations to come. This is the rationale behind such decision. The only challenge facing is that how to bring change in the eating habits of the young people. It is a win-win situation for various stakeholders in the value chain:- government, consumers, MNCs. Conclusion Taxes on products like alcohol or cigarette is to dissuade the consumption of such products. If young generation has to be encouraged with healthy options, such decisions can be helpful in short run. In long run, comprehensive and holistic approach is needed. Time management is big issue at present. Not only young generation but children and adults chose food that is quick, tasty and easily available. Hence, it is now highly crucial to launch a mission in form of ‘Healthy India’. Talking to new generation, creating the environment and making them understand the importance of healthy body and healthy mind for a healthy life. It is especially important to sensitise the young generation. Healthy food must become part of the curriculum. Negative impacts of such fast foods have to be known and spread. No country is allowed to mess with health and education. If such is the case, the country has unsustainable future. Connecting the dots: ‘Taxing is not a permanent solution, behavioural change is the way ahead’. Consider the statement’s validity wrt to ‘fast food taxes’ levied. Search 9th July here http://newsonair.com/Main_Audio_Bulletins_Search.aspx

IASbaba’s Daily Current Affairs – 21st July, 2016

Archives   IASbaba’s Daily Current Affairs – 21st July, 2016   ECONOMICS   TOPIC: General Studies 2 Government policies and interventions for development in various sectors and issues arising out of their design and implementation General Studies 3 Indian economy and issues relating to planning, mobilization of resources, growth, development and employment   Benami Transactions (Prohibition) (Amendment) Bill 2015 What is a ‘benami’ transaction? When a transaction is done in name of a person other than the one who finances, is called benami transaction. (Benami literally means without name) If person A pays the money for Property X, but the property is transferred in name of person B, person B is benamdar and Property X is called benami property. Person A is the real owner Does the benami holder benefits? The ultimate beneficiary is the person who pays for it, i.e. the real owner Benami transactions act as escape-valve for the financers. No benefit is intended upon the benamdar. He/She/It is just an alias Purpose of benami transaction The purposes are mostly illegal ones They were made to find a way with land ceiling laws (the real owner had more property than legally mentioned due to benami transactions) The land owner would transfer property in name of family and relatives or other fictitious/ghost names to evade taxation as provided by tax laws To circulate black money in the market Benami Transaction Act 1988 To put an end to such benami transactions To empower government to recover benami properties Loopholes Lack of proper machinery for proper and strict implementation Absence of appellate mechanism Lack of provision with centre for vesting confiscated property Excluded Buying property through known source of income in names of spouse or children and others as specified A karta of the Hindu Undivided Family A person standing in fiduciary capacity for the benefit of another person such as a trustee, executor, partner or director of a company   Why in news? The Union Cabinet has given approval to amend the Benami Transactions Act 1988 vide Benami Transaction (Provision) (Amendment) Bill 2015 It is in continuation with government’s efforts to curb black money. Provides for: confiscation of assets held in name of another person or a fictitious name to avoid taxation or obtain wealth illegally. Similar scheme to curb black money: Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015 to catch those with undisclosed foreign assets. Benami Transaction Bill Flashback: It was tabled in 2015 and was referred to Parliament’s standing committee on finance. Aim: to curb domestic black money Fine: upto 25% of fair value of assets and 7 years of imprisonment. (Earlier bill had either fine or imprisonment) Property: will cover movable, immovable, tangible and intangible properties. If joint ownership, tax payer will have to show financing sources Other changes: Providing more time to allow property holders to furnish information, A time-bound process for initiating investigation and for filing appeals. Amendments aims at Strengthening the bill in terms of legal and administrative procedure so that practical difficulties be overcome Prohibiting benami transactions and consequently prevent circumvention of law through unfair practices Immunity to: those who declare their benami properties under income declaration scheme. Details of The bill is expected to be tabled in Monsoon session of Parliament in 2016   Curbing Black Money Benami Transaction Bill can also be complemented by various government initiatives to curb black money. One of it is making a cashless Indian society. A vast network of off-the-book transaction and unbanked money lies beyond the reach of tax authorities, anti-corruption investigators and creditors. Estimated Figure: Around $460 billion a year. Bigger than GDP of Argentina Reasons for black money More than half of India’s output comes from small, informal sector. Dealing in cash is a norm Taxes are cumbersome to pay, easy to avoid Direct tax contributes only 35% of the total tax collected. (OECD ideal is two-thirds). The upper class is benefited most by existing tax benefits Indirect taxes are distortionary and regressive due to excess dependence on indirect levies such as sales tax and excise tax. Banking revolution: Can push up the need of cashless transaction. It already provides for most sophisticated public payments infrastructure in the world. Introduction of Unified Payment Interface by RBI- easier for consumers to use mobile phones for money transfer The ideas is to shift from Low-volume, high-value, high-cost and high fees à high-volume, low-value, low cost and no fees money transactions Thus, concentrated efforts of government to barricade black money transactions from all sides viz. domestic laws, foreign agreements, banking reforms etc. is the need of the hour. Connecting the dots: The fight against black money is expected to be intensified post the enactment of new changes in Benami Transaction law. Identify the steps taken by government to curb the menace of black money.   Refer: Black Money Law-will it act as deterrent? No immunity for wealth generated from graft Measures taken by the Government to Curb Black Money in the Country INTERNATIONAL/ECONOMY   TOPIC: General Studies 2 India and its neighborhood - relations, India-Pakistan economic trade relations Bilateral, regional and global groupings and agreements involving India and/or affecting India’s interests. Effect of policies and politics of developed and developing countries on India’s interests, Indian diaspora.   The dynamics of India-Pakistan trade In News: A recent study by Delhi-based research institute Indian Council for Research on International Economic Relations (ICRIER) shows that informal trade between India and Pakistan is almost twice the value of formal trade between the two countries. What is informal trade? Informal trade is broadly defined as all trade between two countries that should be included in the national income statistics, according to conventional national income accounting, but is not. What drives informal trade? Factors such as high tariffs, political tension, infrastructure impediments, ease of trading goods via third countries have generated a thriving industry for informal trade between the two South Asian giants. Pakistan’s negative list of 1,209 items is the most important factor pushing informal exports from India. Items on the negative list are those that are not allowed to be imported from India. More than one in every two items exported informally to Pakistan were on Pakistan’s negative list. Clearly, the restriction has fuelled indirect trade. 58% of the traders cited ease of sending goods via a third country as the second biggest important reason. This highlights weaknesses in infrastructure for formal trade, consequently leading to high transport costs. The third biggest reason was seen to be high tariffs. Compliance to the tariff liberalization plan of South Asian Free Trade Area (SAFTA) is expected to bring down tariff rates. The agreement on SAFTA is a trade agreement to promote trade and economic growth in South Asia by reducing tariffs for intra-regional export. India also maintains a sensitive list of 614 items on which no tariff concessions are granted. The fact that Pakistan has refrained from according the Most Favoured Nation (MFN) title to India has also hindered barrier-free trade, say trade analysts. According to the World Trade Organisation, MFN means that every time a country lowers a trade barrier or opens up a market, it has to do so for the same goods or services from all its trading partners—whether rich or poor, weak or strong. Which commodities are traded? Real jewellery, including gold, diamond and precious stones, accounted for the largest share of 23% of informal exports from India to Pakistan. About 30% of items on India’s current sensitive list comprise of textiles, indicating that shift to formal trade can be expected once India relaxes its tariffs. While India’s imports from Pakistan included items such as dry fruits and spices, informal exports from India included chemicals, tyres, alcohol and tobacco products, among several others. Informal exports from India to Pakistan in 2012-13 stood at $3.9 billion, much higher than the just over $2 billion worth of formal exports. Informal imports, on the other hand, from Pakistan valued $0.7 billion, slightly more than formal imports of $0.5 billion. How does informal trade take place? Most of informal trade between the two countries were also found to be via a third country, in particular Dubai. About 68% of India’s informal export to Pakistan was found to be routed via Dubai. 59% of informal import from Pakistan was accounted for by passengers travelling by bus or rail. 24% of informal import from Pakistan was via Line of Control trade routes, while 17% was via Dubai.   India and Pakistan trade potential is huge Experts say that trade via a circuitous route is itself an indication of the potential of bilateral trade between the two countries. However, “the cost of non-cooperation is huge. People in third countries know what India has and what Pakistan wants, and their business thrives on the lack of information and hesitation of these two countries. The benefits of direct trade need to be explored.” Formal trade routes are inefficient The survey, which measured the efficiency of transport of goods via two routes—the Delhi-Lahore route and the Delhi-Mumbai-Dubai-Karachi-Lahore route—found that the latter route was 2.75 times more efficient in terms of transport per transaction cost incurred per container-kilometre. Higher transaction cost per-tonne-per-kilometre on the direct route is because of factors such as limited number of items that can be exported via road route, cumbersome customs checks at Attari/Wagah customs station, transaction costs in the form of bribes incurred in getting customs clearances, physical examination of goods and poor infrastructure, among others. While the total cost of shipping would still be lower in the formal channel, given the fact that the distance is one-tenth of the route via Dubai, predictability and comfort encourages traders to incur these high costs The study highlights that – “if appropriate measures are taken, a significant share of informal trade can be diverted to formal channels”. Informal trade between India and Pakistan, though, is unlikely to be totally eliminated as ethnic networks between the two countries would continue to facilitate it at cheaper costs. Connecting the dots: Recent studies have shown that informal trade between India and Pakistan is almost twice the value of formal trade between the two countries. Discuss what factors are driving this informal trade and also suggest appropriate measures to be taken to convert this significant share of informal trade to formal trade.   MUST READ Governing the Governor Hindu Related Articles: Article 356—Arunachal Pradesh: Is President’s rule being misused? Harking back to an interventionist era – Article 356   Combat-ready but lightweight Hindu   Empowering women through JAM Indian Express   India should become world’s first cashless country Livemint   Government adds stents to NLEM, to come under price control Livemint   High growth ahead, conditions apply Business Line

IASbaba ’60 Day Plan- Prelims Test 2016 ECONOMIS & CURRENT AFFAIRS [DAY 58]

Click here to get all the Tests– Archives Hello Friends Hope you are enjoying Daily questions. The link for Day 57 solution is active now.  Why we asked you to comment? Now go back to check your answers that you posted with honest effort. Edit your answers with marks. Everyday like this you can self monitor your progress for all 60 days. Accountability to self is the only way for success IASbaba '60 Day Plan' - Prelims Test 2016 [Day 58] Q.1) Consider the following about Pradhan Mantri Kaushal Vikas Yojana (PMKVY). Pradhan Mantri Kaushal Vikas Yojana (PMKVY) is the flagship outcome-based skill training scheme of the new Ministry of Skill Development & Entrepreneurship (MSDE). The scheme will be implemented by the Labour Bureau of India. Select the correct answer about PMKVY: 1 only 2 only Both 1 and 2 None of the above Q.2) Minimum Support Price (MSP) is a form of market intervention by the Government of India to insure agricultural producers against any sharp fall in farm prices. Which of the following is true about MSP? The minimum support prices are announced by the Government of India at the end of the sowing season for certain crops on the basis of the recommendations of the Commission for Agricultural Costs and Prices (CACP). In case the market price for the commodity falls below the announced minimum price due to bumper production and glut in the market, government agencies purchase a minimum quantity specified at the announced minimum price. Minimum support prices are currently announced for 25 commodities. Government announces two types of administered prices: Minimum Support Prices (MSP) and Procurement Prices. Q.3)  Which of the following is correctly matched? Lorenz Curve – Poverty estimation J Curve – Taxation Laffer Curve – Devalutaion Philip’s Curve – Inflation and unemployment Q.4) Consider the following about inflation. When the government doesn’t attempt to curb price rise allowing the free market mechanism to function it is said to be open inflation. When international bodies interrupts a price rise in a country through price control measures and subsidies it is said to be suppressed or controlled inflation. Select the correct answer: 1 only 2 only Both 1 and 2 None of the above Q.5) Consider the following about revenue and capital receipts. Interest receipts, dividends and profits are parts of revenue receipts. Article 112 of the constitution mandates expenditure is shown in revenue and other categories. Disinvestment proceeds are part of capital receipts. Select the correct answer 1 and 2 only 1, 2 and 3 only 1 and 3 only All of the above Q.6) The Government of India has approved a policy framework for private participation in rail connectivity and capacity augmentation projects, put forward by the Ministry of Railways. The policy contains which of the following models? Non-Government Railway Build/Operate/Transfer (BOT) Maintenance Management Contract Joint Venture with equity participation by Railways Design-Build-Operate (DBO) Select the correct answer using the codes given below: 2, 3 and 4 only 1, 2 and 4 only 2, 3, 4 and 5 only 1, 2, 3, 4 and 5 Q.7) Consider the following about Agroforestry. It is a dynamic, ecologically based, natural resource management system that, diversifies and sustains production and builds social institutions. Its objective is to Encourage and expand tree plantation in complementarity and integrated manner with crops and livestock to improve productivity, employment, income and livelihoods of rural households, especially the small holder farmers. Agroforestry has a lot in common with intercropping. Both have two or more plant species (such as nitrogen-fixing plants) in close interaction, both provide multiple outputs. National Agroforestry Policy is under the nodal ministry of Environment Forests and Climate Change. Which of the following are correct about Agroforestry 2, 3 and 4 only 1 and 4 only 1, 2 and 3 only All of the above Q.8) Consider the following: Department of Industrial Policy and Promotion (DIPP) has  permitted investments from Pakistan in sectors/activities other than defence, space and atomic energy. Recently Pakistan has moved from a Positive List regime to a Negative List regime and now subsequently awarded MFN status to India. Select the correct answer from the codes given below: Only 1 Only 2 Both 1 and 2 Neither 1 nor 2 Q.9) To check the menace of counterfeiting of banknotes, the RBI has initiated several measures. Which of the following are parts of these measures? New security features were added to banknotes in all denominations during the year 2005-06. Instructions have been issued to banks to disburse only sorted and genuine notes through their counters/ATMs RBI regularly conducts training programmes on detection of counterfeit notes for employees/officers of banks and other organizations handling large amount of cash. Posters on Know Your Banknotes are also displayed at the bank branches. Select the correct answer from the codes given below: 1 and 2 2 and 4 1, 2 and 3 1, 2, 3 and 4 Q.10) With reference to the concept of Food Security as enunciated in the FAO – World Food Summit-1996, which of the following are the integral components of Food Security? The availability of sufficient quantities of food of appropriate quality, supplied through domestic production or imports, including food aid. Access by individuals to adequate resources for acquiring appropriate foods for a nutritious diet. Utilization of food through adequate diet, clean water, sanitation and health care to reach a state of nutritional well-being where all physiological needs are met. The freedom to choose personally and culturally acceptable foods Select the correct answer from the codes given below: 1 and 2 1 and 3 1, 2 and 3 All the above Q.11) Consider the following statements regarding Regional rural Banks (RRBs): They provide direct loans to small and marginal farmers. They are co-sponsored by the Reserve Bank of India. They also perform other banking operations. State Governments are share holders in RRBs. Which of the above statements are correct about RRBs? 1,2 and 3 2,3 and 4 1,3 and 4 All of the above Q.12) Ultra Mega Power projects are a Government of India initiatives. Consider the following statements regarding UMPP? Every Ultra Mega Power Plant will have a capacity to generate more than 10,000 MW. They are all hydro power projects. Which of the above statements are correct? 1 only 2 only Both 1 and 2 Neither 1 nor 2 Q.13) ‘Disguised Unemployment’ refers to: Persons with no jobs More people employed for a job which a few can accomplish. Unemployment amongst women Unemployment of people above 60 years of age Q.14) India has ….. % of world’s geographical area and …… % of the world’s population(according to 2011 census). 4.8, 16 2.1, 18 2.4, 17 1.8, 15 Q.15) Consider the following statements: The theory that says that the growth will percolate down to all sectors is called ‘Decentralised Growth theory’. The growth will percolate by creation of jobs and increase in demand for labour. Which of the above statements are correct? 1 only 2 only Both 1 and 2 Neither 1 nor 2 Q.16) Which of the below given statements is/are true about Value Added Tax (VAT)? VAT is a type of consumption tax. The amount of value-added tax that the user pays is the cost of the product, less any of the costs of materials used in the product that have already been taxed. Select the correct code: 1 only 2 only Both None Q.17) Which among the following definition(s) is/are incorrectly matched? Revenue Deficit : : difference between the revenue receipts and the revenue expenditure Budget Deficit : : when total expenditure exceeds total receipts, where, total expenditure includes aggregate of both revenue expenditure and capital expenditure. Like wise, total receipts includes both revenue receipts and capital receipts. Fiscal Deficit : : determined by arriving at the gap between the government’s total income and expenditure after excluding interest savings as well as interest payments None of the above Q.18) Which of the following are correctly matched? Government borrowings from the Reserve Bank and treasury bills­ Capital Account Different proceeds of taxes levied by the government ­ Revenue Account Market loans raised by the government ­ Capital Account Divestment of equity holding in public sector enterprises ­ Revenue Account Select the correct code: 1 and 2 only 1, 2 and 4 only 1, 2 and 3 only All of the above Q.19) What is the difference between quaternary and quinary activities? While, quaternary activities are related to IT enabled services, quinary activities are related to financial services. Quaternary activities pertain to information processing. Whereas, quinary activities pertain to decision making. Both a and b None of the above Q.20) Which of the following factors determine the location of an industry? Market Population density Industrial policy Climate of a region Select the correct code: 1 and 2 only 2 and 3 only 1, 3 and 4 only All of the above Q.21) Identify the state that witnessed the lowest services growth in India— Jharkhand Odisha Bihar Jammu & Kashmir Q.22) Consider the following: Interest and dividend receipts External grants and receipts from fiscal services External grants and receipts from the Union Public Service Disinvestment receipts Choose the correct option that together constitutes Non-tax revenue in the economy— Only 1 and 2 1, 2, and 3 1, 2 , 3 and 4 All of the above Q.23) Consider the following statements: CSS funds are released only as central assistance to state plans The ‘plan’ expenditure of the Centre is greater than the ‘non-plan’ expenditure. Choose the correct option from the following— Only 1 Only 2 Both 1 and 2 None of the above Q.24) Identify the country practicing the following type of agriculture: Farmers here have developed a unique hydroponics system in which plants can be grown on the water—on the floating organic bed of water hyacinth, algae and other plant residues. This environmentally friendly traditional cultivation technique utilizes the natural resources of wetlands to grow vegetables and other crops almost all year round and provides social, economic, agricultural and ecological benefits to the local population. Recently, it was designated by FAO as “Globally Important Agricultural Heritage Systems” for innovation, sustainability and adaptability. Choose the correct option— India Bangladesh Myanmar Japan Q.25) Identify the lake: It is a freshwater lake. It hosts the only floating national park in the world. It is also famous for its floating phumdis. Choose the correct lake exhibiting the above-mentioned characteristics: Renuka Lake Kolleru lake Loktak Lake Pong Dam Lake Download the Solution- Click here P.S- Attempt these questions within 20 minutes with full honesty and write your results in the comment box. Next day, come back and check your result. You can also discuss the important concepts and issues, in case of doubts (among peers) All the best IASbaba

IASbaba's FREE PRELIMS MOCK TEST: COMPETE WITH ALL INDIA RANKING!!

  Hello Friends,    Following our intent to assist you at every stage of preparation, we have come up with the idea of conducting FREE ONLINE MOCKS for all our followers. The idea is to give you the real exam like environment where you compete with lakhs of fellow aspirants. Here, surely you will compete with the best among thousands. Initially these Mocks were to be like 60 Days format but then realizing, why cannot we let you compete with the best of minds who irrespective of paid or unpaid are our followers? This is solely to check your preparedness and quality competition will push you harder. At this stage, your sole focus should be competition and better performance. And with the idea to merge and make the Mocks of ILP open to all will surely push you to compete in real. One will know where exactly he/she stands!  Procedure to Register Our ILP users You do not have to register separately. You can use your ID and Password as before and take the exam If you have forgot your password- Click here Do not feel cheated that we shared the Mocks for which you have paid. You also get so many assistance and quality services from our side for which you have not paid. Take it as a challenge since there will be many more competitors who will take this exam to kick you out of the final list :)   Non-ILP users/ New Registration   Others who have not registered before can register using the link: Click Here Once you register, check email where a link will be sent to activate your account and click on the link to activate it. Once the Mock is uploaded, students can attend the test by logging in using their username and password.   Activation of 1st MOCK First Mock will be activated on 21st July between 9 to 10 PM You can take the mock till 26 th of July after which the AIR will be published.   Request from IASbaba It is our earnest request to take these mocks with utter sincerity At this stage you are prepared enough both psychologically and in reality! So, register and appear for it with full honesty.   Solution and Doubts after the Mock We will not allow clarification on these Mocks. We have made sure to keep minimum ambiguity and clear explanations. PDF of solution will be posted on the website itself within 3-4 days. You can then discuss it with your peers. And in case some genuine error or clarification is required, we will pitch in :)   All India Rank AIR will be given on 26th July We will also put Top 20 Performers with their Names and Marks on the website :)   P.S- You will be notified about 2nd Mock soon.   REGISTER SOON!!

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All India Radio - BRICS Conference on Negation of Drug Abuses

ARCHIVESBRICS Conference on Negation of Drug AbusesWhy in news?The Home minister of India inaugurated the BRICS Heads of Drug Control Agencies Working Group Meeting. It comprised of Heads of Anti-narcotic bureaus of the countries. Drug abuse is a major problem affecting all BRICS countries.Background In accordance with the ‘eThekwani Declaration’ adopted during the BRICS summit in March 2013 at Durban, South Africa, it was decided to explore, besides economic issues, various new areas of cooperation among the member States, including drug related issues. It was decided that the heads of anti-drug agencies of the five member countries may meet regularly under the aegis of the BRICS anti-drug working group meeting.The likely outcome of such meeting can be from two angles.BRICS angle: BRICS has been existing for a decade, but there was a feeling that the outcome had not been really tangible. And there was a danger that it may just become a talking shop. The 2013 BRICS meeting at Durban saw some very important decisions like the establishment of BRICS bank.Anti-Drugs angle: Drug was also becoming major problem for BRICS member as well as other countries. It was decided that one of the areas where BRICS members could focus their attention was drugs and anti-drugs policy.Various actions can be taken in this area such as drugs prevention rehabilitation how to win people away, money laundering, Information exchangeThe international trade in drugs is estimated to be about 500billion dollars and more.Aim of the meetingTo evaluate the drug abuse situation in the member countries and analyze the legislations of BRICS member states as well as devise modalities to share the best practices of enforcement.This is one of the tangible outcome that BRICS as an entity has managed, other than BRICS Bank.This tackles the problem of dealing with narcotics and drug trafficking but it is also hugely related to terrorism aspect which is affecting each of BRICS country.Each country has its own uniqueness of suffering the problem. Brazil has Columbia drug trade which is perhaps the worst in world. (Coca bush) Afghanistan, Laos and Myanmar in India’s neighbourhood (UN report 2014- 60% growth in Afghan land for opium poppy cultivation since 2011) China has terrorism in Xinjiang Russia- has through Pakistan and Europe South Africa had instances of synthetic drugs, party drugs, cocktail drugs where people of Indian origin were also involvedAs per an estimate by western writer, almost 25 % of the ISI (Pakistan) funding to terrorists is through drug trafficking. Recently, in Pathankot attack, there were allegations that it was mixed up with drug trade and drug mafia and that is how they could enter India. However, an inquiry is still going on.India is poorly situated in the sense that, west is ‘golden crescent’ and east is ‘golden triangle’. The usage in India is increasing, particularly in the border areas due to their porous nature, especially in Punjab and North East states.Areas of cooperationGiven the geography and lack of continuity geographically, BRICS’s cooperation is important through focusing on synthetic drugs and money laundering, banking channel, information exchange etc. Terrorism is direct outcome of this industry. Focus area 1: The synthetic drugs move as pharmaceuticals. India has lot of exports of pharmaceuticals and chemicals etc. to African and other countries. Such Focus area 2: Money laundering channels should be targeted. The black money is converted to white money which is detrimental to economy.The fact that such meeting happens show the level of pressure the governments of the BRICS nations face. All the countries have a large youth component, below 35 years. This group is more vulnerable to such areas.Kinds of best practices usedIntelligence sharingLast point peddlers get in police net. The real movers or illegal trade get away. So to identify those people and isolate them, the countries have to go after them.Drug rehabilitationTransmission of infectious diseases such as HIV and Hepatitis ‘C’ and occurrence of drug overdose are potential risk factors that lead to a high level of mortality. The drug abused people have to be put into rehab camps so that they are not vulnerable to more life threatening diseases and in addition, improve their lives.Society awareness programmes Global cooperation for AIDS has been successful. It is not a menace now as it was a decade back due to the focused attention it got. The cause of spread, the prevention mechanism, taking care of patients etc. was targeted. Africa had a big problem, but now it has been contained due to education and preventive methods.Similar tactics can be used to contain drug abuse.Composition of membersMultipronged effort to contain narcotics problem. Hence, a plethora of dynamic representation was visible to understand the problem holistically. Ambassadors of all countries Officers from Department of Revenue (money laundering) Ministry of Social justice and Empowerment (rehabilitation) Ministry of Health and Family welfare (resettlement) Ministry of home affairs (protection of border areas) Narcotics Control Bureau (Anti-drug) DG of all border areas Heads of Intelligence Bureau and the Central Bureau of InvestigationReport of the meetingLaw and order:  The modus operandi of drug carriers and masterminds, how they have been caught, what are his/her links, travel literature can be shared.Revenue intelligence:  Huge amount of money is getting transferred across borders and somehow it is getting done through banking channels. Hawala money is also there. However, Indian efforts to curb that money is increasing. Wherever there are tax havens holes, they need to be plugged.Awareness programmes: To spread awareness with help of NGOs and other dedicated trusts/organisations, through counselling, rallying, media support, personal experiences etc. Also conduct lectures in schools and universitiesSocial welfare: Rehabilitation of drug addicts as most of them are poor and to bring them into society. Though not all are poor, it is important that correct examples are set for future generations.Capacity building and training of personnel of enforcement agencies as well as rehabilitation and re-socialization of persons who were addicted to drugs.A dedicated team for this issue from BRICS where they will be nodal people to monitor the drug routes. It is a global fight which requires coordination and cooperation by all member countries.If such an initiative becomes successful, it can be represented on other international forums with greater voiceWay forwardIndia and United Nations Office on Drugs and Crime Regional Office for South Asia are in the advanced stages of setting up a South Asian Regional Intelligence and Coordination Centre (SARICC) to further step up the international cooperation efforts in the region.Connecting the dots:Narco-terrorism is a global threat which has to be neutralised through dedicated approach by international platforms. Comment.Key wordsBRICS: an association of five major emerging economies. It started as a forum for future economic cooperation and for reforming Financial Institutions.Asia’s two principal areas of illicit opium production Golden crescent: Afghanistan, Iran and Pakistan Golden Triangle: Thailand, Burma and LaosSearch 8th July here http://newsonair.com/Main_Audio_Bulletins_Search.aspx

IASbaba’s Daily Current Affairs – 20th July, 2016

Archives   IASbaba’s Daily Current Affairs – 20th July, 2016   NATIONAL   TOPIC: General Studies 1 Salient features of Indian Society, Diversity of India Social empowerment, communalism, regionalism & secularism   Why caste matters less in urban India Marriage outside caste has not found social approval traditionally. Reason: Honour killings continue to be reported across the country. However, young people of urban middle-class India are no longer limiting their search for partners within their own caste. Ambiguous outcomes Social outcomes are an unreliable indicator of social attitudes as they do not necessarily reflect people’s actual preferences. For instance In US, of all marriages, approx. 1% consists of black and white marriages. But, the social acceptance of these marriages has increased dramatically. In India, a report suggests that interest in intercaste marriage is higher than the actual reported rate A 2004 Indian National Election Study was conducted by Centre for the Study of Developing Societies Sample: asked 27,000 respondents if intercaste marriage should be banned. Result: Though 60% approved of such proposition, only 47% of urban residents were in favour. Also Study: of more than 10,000 matrimonial advertisements in major national dailies was conducted between 1970 to 2010 Result: requests for within-caste proposals fell from 30% during 1970-1980 to 19% for 2000-10 Motivations that drive intercaste marriage To understand intercaste marriages, a study was conducted which focused on Dalit and upper caste women in urban middle class Arranged marriage institution Uttar Pradesh, Maharashtra and Tamil Nadu were targeted states Women’s behaviour- because the taboos against intercaste marriage are stronger for women than men. (Woman adopts husband’s caste) Sample 1070 women were studied. They were given choice of three matrimonial matches who had high-income potential high status similarity in height, age, skin tone and educational status Only difference: each belonged to upper caste, backward caste and Dalit Findings 62% women willing to look beyond their caste to find suitable matches 71% Dalit women and 54% upper caste women expressed interest in intercaste matches Thoughts behind it The marriage market, like any other market, works on principle of exchange. To get something, one has to offer something too. Women approached marriage with a view to upgrade either economic status or caste status. Middle class upper caste woman would consider marrying a wealthier lower caste man (Trade of caste status) Lower caste woman from wealthy family would consider marrying middle class higher caste man (Trade of class status) Wealthier Dalit women, in comparison to lower middle and middle class Dalit women, were more likely to respond to other two out-of-caste matrimonial interests Notable: Although an expression of matrimonial interest does not consequentially translate into marriage, yet considering the inter-caste match is transformative. Discrimination persists For upward mobility, significant number of people consider crossing caste boundaries in marriage. Yet, stigma associated with Dalits ensures discrimination against them Upper caste women: For an identical profile of a groom, 52.1% showed interest for backward caste match and 28.7% for a Dalit match.   Future? By 2030, 40 per cent of Indians are predicted to live in urban areas Urban areas have relative anonymity of individual’s identity This doesn’t allow strict observation and enforcement of rules of ‘purity’ or ‘pollution’ Fewer activities are related caste identity The urban middle class which was dominated by upper caste has now become more diverse with entry of backward castes and Dalits. Thus, Urbanisation has high probability of undermining caste Marriage market Matrimonial ads published in the national dailies belonging to backward castes and Dalits- 1970- 1.5% à 2010- 10% Networks: In cities, middle class people shift from family and caste network to friends and professional networks. Reliance on technology: Though online matrimonial websites bundle caste with personal profile, new dating apps are different from it. Obstacles Families run after such marriages with threat of humiliation, boycott and in extreme cases, honour killing. Caste based political parties and leaders may lose influence if intercaste marriages take place. Thus they incite violence as well as threaten the boycott of entire family.   Role of State State has to protect individual’s freedom to marry Few states have encouraged intercaste marriage by providing cash rewards or preferential access to government programs to intercaste couples. (Rajasthan and Haryana) Public campaigns in favour of intercaste marriages will encourage such practice and also slowly change people’s mind-set. Caste based politics has to be policed. Acting swiftly against instigators and propagators of honour killings will deter such future practices. Conclusion Genetic studies: Before disappearing 1900 years ago, practice of intercaste marriages was prevalent in Indian subcontinent. B.R. Ambedkar had extensively propagated intercaste marriages. He observed that rules of caste and marriage were socially constructed, and what societies can build, can also be undone. Though caste fault lines remain strong in social and political arena, they are not set in stone. Openness to intercaste marriages indicate silent and gradual transformation of social behaviour. Connecting the dots: Critically analyse if caste boundaries in urban areas are more blur than in rural areas. Integrating Dalits into Hindu society without upsetting the caste system is a far cry from Ambedkar’s call for annihilation of caste. Discuss. (HOT question)   Refer: Babasaheb Ambedkar – 125th Birth Anniversary Socio Economic and Caste Census (SECC) 2011 data   ECONOMICS TOPIC: General Studies 3 Indian Economy and issues relating to planning, mobilization of resources, growth, development and employment. General Studies 2 Bilateral, regional and global groupings and agreements involving India and/or affecting India's interests Important International institutions, agencies and fora- their structure, mandate.   India’s role in a changing global economy Introduction: India has become the fastest-growing country even as the global economy has weakened. This is because – India got benefitted from a confluence of factors — such as the reduced international price of energy and resilience in domestic private consumption. However, if India has to continue its sustained growth leadership, it should carefully study and assess the global outlook and international policy agenda impacts. Concerns: We have earlier read that - Global growth has been underperforming in recent years Since 2008 financial crisis, the cyclical nature of industrial country growth has been deeper than expected This underperformance is increasingly structural in nature, i.e. it will affect emerging markets as well Therefore, this article gives a solution for above concern – It advocates for an urgent requirement for a global policy agenda to address the rising structural weaknesses. And the article also discusses that India must play a key role in helping to build and implement such a global agenda, as part of the process in sustaining its own growth. Factors that affect Indian Economy: Global structural weaknesses deserve to be looked at carefully. They arise from both supply-side factors and demand constraints, affecting global trade, a critical growth engine in recent decades: Low productivity: Productivity has clearly been falling in industrialised countries, and in emerging markets, leading to supply shortages. Spillover effects: China’s slowing growth has had significant spillover effects on other countries. Falling investments and innovations: There is rising consensus that the spillover effects led to falling investment returns, perhaps from slowing innovation that has reduced investment. (Greater research and increased competition, especially in the service sector, would help raise investment and productivity.) Poor demand and rising inequalities: The imbalances slowing growth possibly also reflect an overall demand shortfall. Why has demand slowed down? Demand was likely boosted by debt in many advanced and emerging market countries, sequentially, and capital is now at the risk of moving out of emerging markets. Additionally, many believe rising inequalities in advanced countries and key emerging markets have reduced the propensity to consume and produced what is called a “savings glut” in many countries—the counterpart of a demand-side constraint which feeds the fear of deflation. Global trade has stalled far below the long-term annual average trade growth of at least 5% until the start of the financial crisis, and even more, in emerging markets. It is not just cyclical in nature: there is evidence that trade elasticity to income has fallen, especially in the United States and China. Of course, trade liberalisation has slowed significantly with the collapse of the Doha Development Round. India is and will be affected by all these factors. Especially on the investment side, corporate investment remains low and higher levels of public infrastructure are needed to meet supply bottlenecks and crowd in private investment. On the demand side, inequalities have clearly increased in recent years and exports remain weak though India has been relatively protected from the factors affecting China’s reduced trade.   What India should do? While each of above mentioned factors require concerted domestic policy reforms, India also needs to be fully engaged in the emerging G20-led international policy agenda being developed to deal with global structural weaknesses and raise public investment where fiscal space is available. Indian markets should remain attractive: India and many other emerging markets clearly offer higher investment returns—partly on account of their demographics—and should remain attractive to the global savings glut with their deepening international integration. India should reap the benefits out of WTO trade facilitation and reduced trade costs: With the failure of the Doha Round to move ahead with multilateral trade liberalisation, other efforts are being proposed to revive trade. Thus far, India has not benefited as much as others like China (as it did after securing World Trade Organization (WTO) membership), from the trade booms in recent decades. But India has ratified the deal reached by the WTO on trade facilitation, which should, potentially, significantly reduce trade costs. India should increase its trade integration through more regional and bilateral trade agreements: A number of regional and bilateral trade agreements have been proposed, some going beyond manufacturing, to cover agriculture, investment, business, and other services where India has comparative strength. In any case, steps to raise India’s trade integration more quickly in the South Asia region would help catalyse new investment and competition. India must play a key role in helping to build and implement a global policy agenda There is the issue of the international monetary system and how it manages the volatility of global liquidity. Also at stake are the spillovers from domestic monetary policies, especially from the industrialised countries, and their implications for global liquidity. Therefore, there is an urgent requirement for a global policy agenda to address the rising structural weaknesses and better manage the volatility of global liquidity. The International Monetary Fund (IMF) is now discussing a road map for strengthening the international monetary system, and India needs to be part of the brainstorming behind it; how to better manage liquidity shocks and deal with external financing needs. India’s increased role India’s role is especially important as tomorrow’s key financial players—official and private—will come from emerging markets and their rising financial integration will impact global liquidity. In order to better manage the volatility of global liquidity, there is a need for a global mechanism. In the absence of such mechanism, the world will continue to be vulnerable to the sudden drying up of liquidity or of disorderly acceleration in capital flows. This risk, in particular, is now a major concern in the current international monetary situation.   Need of the hour: A transformed and strengthened IMF India has advocated that the role of IMF should be transformed to act as the global mechanism, with the mandate and instruments that would allow it to regulate global liquidity in addition to its other functions. IMF should be provided with a stronger governance framework that reflects the rising role of emerging markets, a mandate for effective surveillance, stabilisation of global liquidity and exchange rates, mechanisms for reducing the risk of disorderly spillovers, and for dealing with debt restructuring. Eventually, the IMF would need to be better equipped with a monetary asset instrument to deal with changing global liquidity. Such a transformed IMF could be charged, in cooperation with national and international central banks, with continuously monitoring global liquidity flows and taking the regulatory decisions needed to manage the same. Undoubtedly, it will take time to build the necessary global consensus. To achieve it, international public opinion needs to be better informed of the ongoing risks of instability inherent in the current system. In fact, in today’s climate, it is highly desirable for major stakeholders to take this initiative forward and convene a new Bretton Woods II conference to consider the necessary changes in the Articles of Agreement of the IMF. Connecting the dots: Highlight the factors and global structural weaknesses that affect Indian Economy and examine why there is an urgent requirement for India to fully engage in the emerging G20-led international policy agenda to address the rising structural weaknesses. Highlight why there is an urgent requirement for a transformed and strengthened IMF in a changing global economy.     MUST READ Supreme Court verdict on Lodha Panel recommendations SC stands by Lodha panel report to revamp cricket Hindu   Keeping up with the required rate Hindu   Cleaning up cricket Hindu   A moment of truth for cricket in India Livemint   Will data do us apart? Hindu   The coming revolution in Indian Banking Indian Express   Why the exchange rate is always subordinate to inflation Livemint   The economics of GST Livemint   India’s masked policy confusion Livemint   Bank crisis calls for twin-track approach Business Line

IASbaba ’60 Day Plan- Prelims Test 2016 ECONOMIS & CURRENT AFFAIRS [DAY 57]

Click here to get all the Tests– Archives Hello Friends Hope you are enjoying Daily questions. The link for Day 56 solution is active now.  Why we asked you to comment? Now go back to check your answers that you posted with honest effort. Edit your answers with marks. Everyday like this you can self monitor your progress for all 60 days. Accountability to self is the only way for success IASbaba '60 Day Plan' - Prelims Test 2016 [Day 57] Q.1) Which of the following are part of World bank group? The International Bank for Reconstruction and Development The International Development Association The International Finance Corporation The Department of International Development The Multilateral Investment Guarantee Agency The World Intellectual Property Organisation The International Centre for Settlement of Investment Disputes Select the correct answer. 1, 3, 4, 5 and 7 only 1, 2 ,3, 5 and 7 only 1, 2, 4, 5 and 7 only All of the above Q.2) Consider the following about World Intellectual Property Organisation (WIPO). World Intellectual Property Organisation is a member of the World Bank group. WIPO was created in 1967 "to encourage creative activity, to promote the protection of intellectual property throughout the world. The predecessor to WIPO was the BIRPI (Bureaux Internationaux Réunis pour la Protection de la Propriété Intellectuelle, French acronym for United International Bureaux for the Protection of Intellectual Property) WIPO's member states and stakeholders share a common goal: an efficient and accessible intellectual property system that provides benefits to all. Select the correct answer 1 and 2 only 1, 2 and 4only 2, 3 and 4 only All of the above Q.3) Consider the following. Protectionism refers to government actions and policies that restrict or restrain international trade, often done with the intent of protecting local businesses and jobs from foreign competition. Import substitution industrialization (ISI) is a theory of economics typically utilized by developing countries or emerging market nations seeking to decrease dependence on developed countries and to increase self-sufficiency. Select the correct answer: 1 only 2 only Both 1 and 2 None of the above Q.4) Which of the following is not correctly matched w.r.t. modes of supply? Mode 1 – Cross Border Supply Mode 2 – service delivered within the territory of the member through presence of the supplier Mode 3 – Commercial presence Mode 4 – Presence of the natural person Q.5) Consider the following about WTO. With GATS the multilateral trading system includes services for the first time as its predecessor GATT didn’t include services. The Anti Counterfeiting Trading Agreement is under the arrangement of WTO and establishes international standards w.r.t. IPRs. Select the correct answer: 1 only 2 only Both 1 and 2 None of the above Q.6) Which of the following states were recently granted GI for Basmati rice? Jammu and Kashmir Madhya Pradesh Haryana Western Uttar Pradesh Punjab Himachal Pradesh Select the correct answer. 1, 2 ,3, 4 and 6 only 2 ,3, 4, 5 and 6 only 1, 3, 4, 5 and 6 only 1, 2, 3, 5 and 6 only Q.7) Consider the following. The Asian Development Bank(ADB) is an Asia regional development organization dedicated to reducing poverty in Asia and the Pacific through loans, grants with headquarters in Beijing. The Asian Infrastructure Investment Bank(AIIB) is an international financial institution that aims to support the building of infrastructure in the Asia-Pacific region with headquarters in Manila, Philippines. The New Development Bank (NDB), formerly referred to as the BRICS Development Bank, is a multilateral development bank established by the BRICS states with head quarters in Shanghai, China. Select the incorrect answer 1 and 2 only 1 and 3 only 2 and 3only All of the above Q.8) Which of the following is correct? The UN Monetary and Financial Conference held post Second World War established the international trading regime called General Agreement on Trade and Tariffs. WTO is part of whole set up of UNO and thus is guided by the actions its member bodies. IMF follow voting by consensus pattern by which each member gets to ensure their idea is considered. WTO doesn’t have weighted voting as the World Bank or the IMF and goes by the system of one member one vote. Q.9) Which of the following are correct w.r.t. Trans Pacific Partnership? The Trans-Pacific Partnership(TPP) is a trade agreement among twelve Pacific Rim countries. Historically, the TPP is an expansion of the Trans-Pacific Strategic Economic Partnership Agreement (TPSEP or P4) signed by Brunei, Chile, New Zealand, and Singapore in 2005. The TPP contains measures to raise trade barriers, such as tariffs to rogue nations and establish an investor-state dispute settlement mechanism (but states can opt out from tobacco-related measures). South Korea is not part of the TPP deal. Select the correct answer 1, 2 and 3 only 1, 2 and 4 only 1, 3 and 4 only All of the above Q.10) Which of the following is not correctly matched? TATP – Europe and America RCEP – ASEAN FTTA – APEC NAFTA – Eurasian Union Q.11) Consider the following factors: Declining prices of a number of commodities Turbulent financial markets Volatile exchange rates Horizontal distribution of divisible pool among the States Choose the correct option which signifies being a factor towards the disturbed economic landscape of the world: 1, 2 and 4 1, 2 and 3 1 and 2 only 3 and 4 only Q.12) To which factor can the recent growth-revival of India be attributed to? Fixed Capital Formation Net Exports Net Imports Private Consumption Q.13) What does Gross fixed capital formation refer to? Difference between exports and imports of goods and non-factor services Difference between private and public expenditure Value of new machinery and equipment plus the value of new construction activity undertaken during the year Both (a) and (b) Q.14) The Baltic Dry Index measures— The expenditure component of various sectors to the GDP A freight index and an indicator of shipping services The performance and contribution of the core industries in the Infrastructure of the country The difference between Foreign Tourist Arrivals and Foreign Exchange Earnings by the country Q.15) Consider the following statements: The Labour Force Participation Rate (LFPR) of women is higher than that of males in rural areas but lower in urban areas. The Worker Population Ratio (WPR) reflects exactly opposite pattern w.r.t the pattern exhibited by the LFPR. Choose the correct option: Only 1 Only 2 Both 1 and 2 None of the above Q.16) Which of the following taxes come under Direct Tax Collections? Personal Income Tax Corporate Tax Security Transaction Tax Wealth Tax Select the correct code: All of the above 1, 2 and 3 only 1, 2 and 4 only 1 and 2 only Q.17) Consider the following statements with regard to India and IMF: India is the founder member of the IMF and also among the top 10 members of IMF India was among the first five nations having the highest quota with IMF and due to this status India was allotted a permanent place in Executive Board of Directors. Which of the statements given above is/are correct? 1 only 2 only Both None Q.18) Ulaanbaatar Declaration deals with the 11th edition of the Asia-Europe Meeting Summit - "20 Years of ASEM: Partnership for the Future through Connectivity” a prescription on how “a duty-centred system, which had been the origin of Indian philosophy of life, has become the most relevant today.” 51 sacred points for betterment of mankind that will start new discourse not only in India but around the world. Both (b) and (c) Q.19) Consider the following statements: UDAY or Ujwal Discom Assurance Yojna was launched to help loss-making discoms turn around financially, with support from their State governments. Under the scheme, States will take over three-fourths of the debt of their respective discoms. The governments will then issue ‘UDAY bonds’ to banks and other financial institutions to raise money to pay off the banks. Which of the statements given above is/are correct? 1 only 2 only Both None Q.20) Which of the below statement(s) is/are correct about Minimum Alternate Tax (MAT) in India? The MAT is the means through which the government makes companies that do not pay any tax cough up some money to the exchequer. Only domestic companies in India, including non-corporate entities, fall under the MAT provision. Select the correct code: 1 only 2 only Both None Q.21) ‘Vinicius’ is the mascot for Rio Olympics 2016. Consider the following statements regarding Vinicius: Vinicius is a mix of different Brazilian animals. The name of the Olympic mascot pays tribute to Brazilian musician Vinicius de Moraes. Which of the above statements are correct? 1 only 2 only Both 1 and 2 Neither 1 nor 2 Q.22) Which of the following Indian lakes have saline water? Wular Chilka Sambhar Pangyong Loktak Select the code from below: 1,2 and 3 2,3 and 4 3,4 and 5 2 and 3 Q.23) Consider the following statements: German Government has recently introduced an initiative ‘One World, no Hunger’. NABARD has entered into collaboration with German Government for a special programme on ‘Soil Protection and Rehabilitation for Food Security‘. Which of the above statements are correct? 1 only 2 only Both 1 and 2 Neither 1 nor 2 Q.24) Consider the following statements: ‘Order of the Rising Sun’ is the highest civilian award of Japan. Former bureaucrat and Parliamentarian, N K Singh, has been selected for this prestigious award. Which of the above statements are correct? 1 only 2 only Both 1 and 2 Neither 1 nor 2 Q.25) Consider the following statements: Brazilian Selvas are not included in the list of Biodiversity hotspots of the world. They do not satisfy the condition of having at least 1500 species of vascular plants (>0.5% of the world’s total) as endemic. Which of the above statements are incorrect? 1 only 2 only Both 1 and 2 Neither 1 nor 2 Download the Solution- Click here P.S- Attempt these questions within 20 minutes with full honesty and write your results in the comment box. Next day, come back and check your result. You can also discuss the important concepts and issues, in case of doubts (among peers) All the best IASbaba