Oct 24, 2017 PIB

IASbaba PIB Weekly : Press Information Bureau - 16th Oct to 21st Oct, 2017

IASbaba Press Information Bureau 16th to 21st October, 2017 ARCHIVES GS-2 Indian Food Recovery Alliance (IFRA) (Topic: Issues relating to poverty and hunger) A coalition of food recovery partners in country to fight the issue of hunger and also prevent food loss and food wastage in India. The food recovery partners showcased their existing models of food recovery and showcased an integrated web-based platform that is being developed. This web based platform, released on a pilot level, allows interested donors, individuals and volunteers to register themselves to be a part of this initiative. The donors will be able to track all the data, information and the status of the food they donate through their personal logins. This platform will also provide guidance to citizens, food businesses and various food recovery agencies on prevention of food loss and food waste, and safe recovery of surplus food. Signing of MoC on Technical Intern Training Programme (TITP) between India & Japan (Topic: India and its neighborhood- relations) Objective: To significantly expand the bilateral cooperation between India and Japan in the field of skill development The synergy between Japan’s advanced technology and India’s rich human resources can transform both countries into new centres of production in the global industrial network. The MoC on TITP paves the way for sending Indian technical interns to Japan for on-the-job training for a period of three to five years. First Investment Agreement signed between NIIF and a wholly owned subsidiary of Abu Dhabi Investment Authority (Topic: India and its neighborhood- relations) Objective: To mobilise long term investment into National Investment and Infrastructure Fund (NIIF) – paves way for creating significant economic impact through investment in commercially viable infrastructure development projects. As a part of the agreement, ADIA will become the first institutional investor in NIIF’s Master Fund and a shareholder in the NIIF’s investment management Company. GS-2 Project CHAMAN (Topic: Major crops cropping patterns in various parts of the country, e-technology in the aid of farmers) Objective: To provide strategic development to the horticulture sector, so as to increase farmer’s income By: Mahalanob is National Crop Forecast Centre (MNCFC) using remote sensing technology (gives methodology for preparing reliable estimates) and is likely to be completed in March 2018 Horticulture Sector: Provides nutrient rich crops to the people and better remunerative prices to the farmers thereby augmenting their income Provides higher employment opportunities in the primary, secondary and tertiary sectors Post-Harvest damages of farmers would be significantly reduced by creation of desired Post Harvest Infrastructures like cold storages etc. thereby increasing their income In addition the Geo-Spatial Studies like crop intensification, orchard rejuvenation and aqua-horticulture would further help the farmers’ to grow their horticultural crops in a profitable manner which will help doubling their income. India is the Second largest producer of Vegetables and Fruits in the world and is First in the production of Banana, Mango, Lime and Lemon, Papaya and Okra. Must Read: Link 1 Must Solve: Link 1 + Link 2 Note: ‘Sushruta Samhita’ – talks of surgery while Charak describes hundreds of diseases, their causes and treatment methods. ‘MAGUDAM AWARDS’ – Awarded to people from Tamil Nadu who have excelled in the field of Sports, Entertainment, Public Service, Literature, Technology and Start-Ups. India has the second highest number of US Food and Drug Administration (USFDA) approved plants after the USA and is the largest producer of recombinant Hepatitis B vaccine. In the field of Science and Technology and Entrepreneurship, Indian women have had a major presence over the last 100 years – The first women to receive a medical doctorate degree was Anandibai Joshee in 1885 The first Indian women Doctorate in Basic Science was Janaki Ammal in 1931 India’s first woman to get a doctorate of science from an Indian university was Asima Chatterjee in 1944. The Jaipur and Srinagar Airport got First and Second rank respectively in the category of 2-5 million passengers in ACI-ASQ Survey. The Airport Service Quality (ASQ) Awards are the aviation industry's most prestigious accolades recognizing the airports which have achieved the highest passenger satisfaction ratings in the ASQ Survey - the world's benchmark measure of airport excellence. It is the only worldwide programme to survey passengers at the airports on their day of travel. INDRA: India and Russia’s annual military exercise. INDRA-2017 is the first tri-service bilateral exercise between the two countries. Under the provisions of Drugs (Prices Control) Order, 2013 (DPCO), the prices of only those medicines are fixed which are in the National List of Essential Medicines (NLEM), numbering about 850 against more than 6,000 medicines available in the market of various strengths and dosages. This constitutes approximately 17% of the total pharmaceuticals market, in value terms. There is an Expert Committee which continuously evaluates the list of Essential Medicines. Government makes Revised Quality Standards for Caustic Soda mandatory – The revised quality standards, compliant with Bureau of India Standards (BIS) specifications, would necessitate the industry to produce caustic soda using the modern and more energy efficient membrane based technology. Mandating compliance to revised BIS specifications will allow superior grade caustic soda to be produced and imported in the country which would be beneficial to human health and environment. The first ever All India Institute of Ayurveda (AIIA) is set up in New Delhi along the lines of AIIMS. As an apex institute under the Ministry of AYUSH, the AIIA will bring synergy between the traditional wisdom of Ayurveda and modern diagnostic tools and technology. PM laid the Foundation Stone for five infrastructure and development projects in Kedarnath– Development of retaining wall and ghat on the Mandakini River; Development of retaining wall and ghat on Saraswati River; Construction of main approach to Kedarnath Temple; Development of Shankaracharya Kutir and Shankaracharya Museum; Development of houses for Kedarnath Purohits

Oct 24, 2017 RSTV Video

RSTV- The Big Picture : Economic Challenges for Government

Economic Challenges for Government Archives TOPIC: General Studies 3 Indian Economy and issues relating to planning, mobilization of resources, growth, development and employment. The Indian economy is experiencing a slowdown. The debate is no longer whether demonetisation and GST have impacted the economy adversely. The debate is now what the government should do to kick-start the economic growth. A stimulus of Rs. 40000-50000 is expected to be put in which can boost exports and encourage domestic investments, supporting SMEs and providing more money for rural infrastructure and affordable housing. But the stimulus won’t come without its cost. The government doesn’t have the kind of fiscal space it is trying to explore. The stimulus is a conventional increase in deficit and it is not wise. Possible hiccups There is a large holding of government debt by foreigners of over 75 billion dollars. It is borrowed from parent country at 2% and invested in India at 6%. This is hot money which is quick money making, carry trade type activity. If they react to an increase in fiscal deficit or decline in exchange rate, there is chance of creating instability in the economy. Investments in equity come with more stable approach as people who invest in equity are taking long term view. There is no evidence that government spending is going to solve the basic problem of absolute free or near free private sector intention for investments. In 2016, there was significant boost in public spending and public investment but it has not stimulated private sector investments due to factors such as lack of demand growth, NPA problem and huge fall in investment in non-corporate sector. The investments have fallen by 5% in last 5 years relative to GDP. They have been seriously affected by demonetisation and GST that at this point simply pushing a larger deficit will not help the economy. In the first four months of current fiscal year 2017-18, there was enough stimulus to the economy due to passing of budget in March. There is 2 lakh crore extra revenue expenditure including Rs. 20000 crore of capital expenditure that has come into economy compared to last year. If this has not been able to give the higher growth, then any more stimulus will give the desired outcome is not expected. On the contrary, the message is that the fiscal should be under strict control because there are serious pressure on the revenues and on expenditures- due to shortfall in disinvestment, dividend and spectrum money. (Disinvestment was supposed to be Rs. 72500 crore, but till now, only Rs. 19000 crore mobilised. Rs. 44000 of spectrum earnings that well may be stretched and RBI dividends are down by 27000 crore) Possible measures Decline in interest rates for savings, decline in real estate has created discontent in market. But all is not bad in the economy. The number of IPOs coming out shows that economy has green shoots. There are high expectations of high growth post the settlement of more rationalised GST rates. Hence, there is a need of policy changes which will resolve the problems like improving implementation of GST. The government should focus more on fundamental principle of single tax rate across the country working. The system was over complicated with compliance mode where invoices got inter-linked, online filing of returns and no paper work. This should now be done in phases. Everything in one year shouldn’t be attempted. The small sector has been paralysed. If the filing conditions are relaxed for them with the intention that down the line in three years, everybody will be brought in same integrated system. The stimulus effect of public spending in investment depends on effectiveness on PPP model. The problem is that lot of institutions that government is looking forward to do partnerships with are entangled in NPAs. Thus, risk sharing has to be fixed quickly. It has been done in highways and helped in getting investments back. Together with it, working on flexibility of labour law rigidities, sector wise- textile reforms, revamping exchange rate policy where the rupee is overvalued have to be looked upon. The exchange rate policy is hitting exports and bringing in flood of imports. The voters are watching what is happening in the economy right now. From politico-economic point of view, in last one half years, the tax net has been widened. Demonetisation caused pain and disruption, GST implementation had its own challenges. The net result of these actions on economy and middle class (7.7 million tax payers between 5-50 lakh annual income) has been visible. This is the most vocal community which is contributing to lot of anguish in market. If the government wants to improve voter sentiment, there should be a concession like tax rebates which can lift the spirits. The government can push the public sector into more efficiency mode. Many PSUs have resources but they are not investing. Government is a shareholder and it should push these public sector companies to invest. The government’s job is not to sit on cash but to use it. This will enhance the spending in the economy which will give push to desirable outcomes. Liquid mutual funds investments have seen rise of 60% in last two years which is good. Connecting the dots: The worst for the economy seem to be over post the critical structural changes. Do you agree with the statement? Discuss.

Oct 24, 2017 IASbaba's Daily Current Affairs

IASbaba’s Daily Current Affairs 24th Oct, 2017

IASbaba’s Daily Current Affairs – 24th Oct 2017 Archives ENVIRONMENT TOPIC: General Studies 3: Conservation, Environmental pollution and degradation, environmental impact assessment. Determining environmentally-desirable growth rate Background: There is a silver lining to a lower growth rate from the perspective of the sustainability of the economy in the long run. It can bring significant economic welfare through improvements in environmental quality. Economists concerned about sustainable development advocate low levels of economic growth since with large expansions in national income come negative environmental consequences such as pollution. These adversely affect the environmental quality and economic welfare of individuals and households dependent on the environment for their basic livelihood. The Environmental Kuznets Curve (EKC) hypothesis: It appears that it is the Environmental Kuznets Curve (EKC) hypothesis that underlines almost all our development policies, which are directed towards pushing double-digit income growth with little concern for environmental capital. The EKC hypothesis is shown in an inverted U-shaped curve depicting the relationship between per capita income and environmental deterioration. It suggests that during the initial period of economic development, where per capita income is low, deterioration of environmental quality caused by rapid industrialisation and urbanisation is inevitable. Society will have to accept a certain level of environmental damage arising from income-generating activities because large-scale income growth is essential for achieving other development goals such as generation of mass employment and poverty reduction. Once per capita income reaches a higher level, the trade-off between income growth and environmental quality will cease to exist. With increased financial and technological capabilities, we can restore the environmental quality to desired levels. So, income growth on a higher path brings a win-win outcome in the long run where poverty is reduced and environmental quality is improved. Issue with the EKC hypothesis: In reality, the EKC is a near myth since an increase in per capita income does not bring desirable levels of improvement to the environment. In fact, empirical evidence across countries reveals that various attempts to increase per capita income causes more environmental deterioration. The Indian context: Studies that have attempted to estimate the economic costs of environmental damages in India have revealed some striking findings. For example, a 2013 World Bank study highlighted that in India, a higher level of economic growth maintained in the past imposed Rs. 3.75 trillion worth of environmental damage cost, which is equivalent to 5.7% of the country’s GDP at 2009 prices. Another study by the World Bank found that India’s air pollution alone caused welfare loss equivalent to 7.69% (approximately Rs. 31,316.2 billion) of its GDP in 2013. Issues: The values reported by the above studies are underestimates since they do not capture the wide range of economic impacts on the environment due to non-availability of data. For example, the environment generates a range of ecosystem services such as provisioning services (food, irrigation, drinking water), regulating services (climate regulation, water quality regulation), cultural services (recreational and religious services) and supporting services (nutrient recycling, soil formation). Identifying and quantifying them for the purpose of damage assessment is a difficult task in the absence of relevant data. In India, millions of households and economic activities utilise these ecosystem services for production and consumption. Though economically highly valuable, ecosystem services are not traded in the markets and, therefore, their true values are not reflected in the system. Therefore, the actual value of economic welfare lost due to loss of ecosystem services will be much higher than what is being currently estimated. Another issue is that the current method of GDP estimation treats environmental damage costs as income. Since development policies give more priority to income and employment generation, implementation of pollution control policies are very poor. For example, pollution control measures implemented in the bleaching and dying units in Tiruppur, Tamil Nadu, for more than 25 years did not achieve any pollution reduction. In fact, the measures led to not only the closure of these units in 2011 but had already caused significant irreversible damage to the health, agriculture and livestock sectors in that region. Regional poverty and inequality in income are caused by such ineffective policies. Adequate reforms in the area of pollution control with a larger role for market-based instruments such as pollution tax and tradable pollution permits are yet to be carried out in India. At present, the price of a commodity from a polluting unit covers only the private cost of production, not the damage cost. This makes the commodity relatively cheaper leading to more demand and output, and more pollution and environmental damage cost. Increased output and demand increases the value of GDP, but the corresponding environmental damage cost is not adjusted in the GDP estimation. More environmental damage may lead to an increased level of purchase of market goods contributing to expansion of the GDP. When individuals become sick due to water pollution, the demand for medical services will rise; increase in the purchase of these market goods and services will expand the GDP size. So, more pollution damage leads to higher GDP. The size of environmental social costs is significantly higher than the social benefits being brought about by GDP growth. This means, if we try to increase income and employment in traditional sectors, we lose them in other sectors that are dependent on the environment. Sometimes, the economic losses are much higher than the gains of income growth. Conclusion: Since GDP growth and environmental damage have a strong positive relationship, lower growth in GDP could afford benefits. Though there is an uncertainty in determining environmentally desirable growth rate. Maintaining 5-6% growth rate with strict environmental regulation is supposed to reduce environmental damage significantly. A proper assessment of environmental social benefits and social costs of income growth is warranted so that policies can be directed towards setting environmentally sustainable growth rates. Efforts to develop environmental accounting and green GDP for India can help us achieve sustainable development in future. Connecting the dots: What is the Environmental Kuznets Curve (EKC) hypothesis. Do you agree that income per capita and environmental degradation relationship can be depicted by an inverted U-curve? In this light discuss the need of determining environmentally desirable growth rate. GOVERNANCE / WELFARE TOPIC: General Studies 2: Government policies and interventions for development in various sectors and issues arising out of their design and implementation. Welfare schemes for vulnerable sections of the population by the Centre and States and the performance of these schemes. Solving the issue of homelessness Background: One of the most challenging problems of our times is homelessness. The challenges for India are daunting: An estimated 65 million people, or 13.6 million households, are housed in urban slums, according to the 2011 Census which estimated that an additional 1.8 million people in India were homeless. India is urbanising fast. Around 38 per cent of India will be urbanised by 2025. This would mean some 540 million people will be living in urban areas by 2025. Experts estimate that 18 million households in India are in need of low-income housing. This paired with a shrinking supply of land and high construction costs is leading to a growing slum population. Experts estimate that by 2025 more than 42 per cent of India’s population will be urban. Currently, the level of public services offered in slums is seriously deficient. An estimated 58 per cent of slum areas have open or no drainage, 43 per cent transport water from outside communities, 34 per cent have no public toilets, and an average of two power outages occurs each day. Owning a house: Bedrock of possibilities Providing stable, affordable housing is a major first step to establishing and sustaining a basic standard of living for every household. Many who live in slums have little to no control over or ownership of the property they live on. The formal financial sector is unable to serve them. Once titled, they could obtain access to several public benefits including loans. Housing is often the bedrock of other development interventions: owning land boosts health profiles, educational outcomes and gender equality. The converse is equally true. A decent habitat for the poorer sections of society will not only contribute towards their well-being and real asset creation, but also catalyze overall social and economic growth. The priority for housing ought to be higher than education and health. For many people in the developing world, the land on which they live is their only asset. If that property is not publicly recognised as belonging to them, they lose out on social benefits. Giving slum-residents basic property rights would encourage residents to invest in home improvement and encourage municipalities to provide infrastructure and better services. Way ahead: Upgradation rather relocation should be an option. Several attempts to relocate slum dwellers to the city’s fringes have failed because the location restricts the access of residents to employment, schools and other amenities. Slum-dwellers favour upgradation of existing facilities and secure tenancy. The Government should improve the legal and regulatory environment and increase the supply of affordable, legal shelter with tenure security and access to basic services and amenities. The Government should undertake physical upgradation of informal settlements sometimes accompanied by the provision of public services, such as access to roads, electricity, water supply and sanitation. These services create a high level of perceived tenure security. There is extensive need for repair of dilapidated housing stock and the provision of essential services. Property rights: Conventionally, property rights mean the right to use, develop and transfer property. However, a different set of property rights for informal housing, one that gives the owner-occupant mortgageable status can be provided. The Government could also permit the owner-occupant to have only the right to use the property and access basic services as in public housing. Alternatively, it could give property rights on lease. It could restrict use and exchange of such property to only between low-income groups. This can bring unplanned settlement into acceptable relation with the planning norms. Titles could be regularised in exchange for acceptance agreed urban planning guidelines. Case study: The Odisha government recently took a revolutionary decision by providing urban poor residing in 3,000 slums land rights for residential use that are heritable, mortgageable and non-transferable. Endowing slum dwellers with mortgaeable titles can open the gates to many opportunities for improving health, education, employment and providing entitlements to social programmes. Conclusion: The stresses on account of homelessness are mounting. Solutions will come from pairing passion with entrepreneurship and digging deep into the challenge at hand. Connecting the dots: Homelessness is a serious challenge in India. Discuss the importance of owning a house and the ways government can ensure ownership rights for maximum population including those living in slums. MUST READ A different trajectory The Hindu Brinkmanship in Spain The Hindu With or without veto The Hindu The road to partnership Indian Express Colonial Rajasthan Indian Express Turning the poor's assets into capital Livemint  

Oct 24, 2017 Daily Prelims CA Quiz

UPSC Quiz- 2017 : IASbaba's Daily Current Affairs Quiz [Day 67]

UPSC Quiz- 2017 : IASbaba's Daily Current Affairs Quiz [Day 67] Archives Q.1) Recently, a molecule E2D was in news. Consider the following statements It is found in mammalian blood It gives blood its characteristic metallic odour It is used by predators to locate blood or prey Select the correct statements 1 and 2 2 and 3 1 and 3 All of the above Q.2) Consider the following statements about ‘Paika Rebellion’ It was led by Bakshi Jagabandhu Bidyadhar It took place when the British East India company wrested the rent-free land that had been given to the Paiks for their military service to the Kingdom of Khurda Select the correct statements 1 Only 2 Only Both 1 and 2 Neither 1 nor 2 Q.3) Consider the following statements about Water fluoridation Low levels of fluoride in drinking water (0.5 to 1 mg/l) protect against dental caries High levels of fluoride in drinking water (above 1.5 mg/l) lead to dental and skeletal fluorosis Select the correct statements 1 Only 2 Only Both 1 and 2 Neither 1 nor 2 Q.4) Singur, a rural block in West Bengal's Hooghly district was in news recently due to Butterfly and Frogs Diversity New butterfly species 'Banded Tit' New species of Zingiber with medicinal properties None of the above Q.5) Which of the following statements about Particulate Matter is INCORRECT? It is the sum of all solid and liquid particles suspended in air including both organic and inorganic particles Particulate matter present in air is divided into different categories depending on the size of the particles. PM 2.5 is an atmospheric particulate matter of diameter of fewer than 2.5 micrometres, which is around 3 per cent the diameter of a human hair None of the above To Download the Solution - Click here All The Best  IASbaba

Oct 24, 2017 AIR

All India Radio (AIR) : SC Decision on NOTA

SC Decision on NOTA ARCHIVES Search 4th August 2017- http://www.newsonair.com/Main_Audio_Bulletins_Search.aspx TOPIC: General Studies 2 Appointment to various Constitutional posts, powers, functions and responsibilities of various Constitutional Bodies. Structure, organization and functioning of the Executive and the Judiciary The Supreme Court has asked the Election Commission of India (ECI) to include NOTA on ballot paper in a recent Rajya Sabha elections. NOTA order came in 2013 and since 2014, it became a part of several assembly election as well as Lok Sabha election. Once Art 324 is enacted and ECI takes over conduct of election, and no court interferes in process of elections. Background: NOTA was concept which meant that any other candidate by political party was not to be acceptable to the voter and he/she may reject it as none of above. NOTA was an issue in 2013. Till then, there was an existing rule in 49(O) of Representation of People Act- voter can go to the voting booth and give it in writing the election officer that he/she will not cast the vote and the vote gets cancelled. There was a need to change it as there was no secrecy. The anonymity of voter is an important concept of democracies. There is nothing called as an open voting per se. Earlier, one could exercise NOTA in different form where his identity was known to electoral officer in the booth and then by summation when he exercises it. SC said in the direction that India has a secret ballot and there cannot be any compromise in it. In 2001, The Election Commission of India (ECI) moved the Law Ministry for an amendment to the rules to provide for a button in electronic voting machines in order to protect the identity and secrecy of a voter who does not want to vote for any candidate. That was the equivalent of the unmarked ballot paper of the earlier era. Later, People’s Union for Civil Liberties (PUCL) an NGO had already moved the Supreme Court to have a button as ‘none of the above’. In 2013, NOTA option was made mandatory by the Supreme Court of India. ECI clarified that if the number of electors who had utilized the NOTA (None of the above candidates) option in the EVM or Ballot paper exceeded the votes polled by any of the candidates, the candidate with the highest number of votes would be declared winner. Long way to go There was a larger perception that this will play a role of cleansing politics. Their expectation was that if the candidates are not upto the certain standard than the large number of voters may exercise their negativity and by that put pressure in the political process. Though it was a noble idea, unfortunately till now, it did not happen in a very large scale. SC called NOTA a fundamental right. In the context of voting right and NOTA, they have virtually equal status. Till now, NOTA averages 1.5% of votes but it is important realm of electoral reform. The voting process today has become largely fair yet nitty gritty of elections remain. Anti-defection and NOTA Anti defection law was enacted when the defection rate was high. It was thought to solve it. But even today, before and after the election, many defections take place. There are all kinds of contradictions involved in running a democratic system. A violation of a whip for election doesn’t amount to defection. At best, the party can expel the member for having voted against party direction, but he/she remains an unattached member of legislature. In this scenario, efficacy of NOTA is being questioned.  SC said that MP can abstain and it is legal and permissible not voting or NOTA should be legally considered. Conclusion NOTA has a moral dimension but also a long term reformative aspect. Presently, it will only enable a voter not to vote in favour of any candidate. So the votes recorded against this button will have the same effect as the ‘invalid’ votes of the ballot paper time and would have no role in determining the winner. However, this may result in parties nominating better candidates which strengthens the democracy further. The other forms of democracies like referendum, recall are yet to be exercised in India. Yet, next course of action can be raising the status of the button to that of “negative vote” wherein the political parties are made aware that electorate is no longer going to fall for tainted candidates. Declaration of assets, stopping of fake news, exit polls are monitored by ECI. The process of politics should be made as transparent as possible with time. Connecting the dots: Critically analyse the importance of NOTA in Indian democracy.  

Oct 23, 2017 AIR

All India Radio (AIR) : Review of GST Implementation

Review of GST implementation ARCHIVES Search 17th July 2017 http://www.newsonair.com/Main_Audio_Bulletins_Search.aspx 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. The GST implementation has become a reality. The centre and states have lost their sovereignty in the capacity of power to levy and collect indirect taxes and now are entwined through a unified taxation system. There is a single revenue, neutral rate across the board in every state all over the country. However, the implementation so far has been an issue of turmoil. The GST Council has held the meetings time to time which confronted various views of end users, industrialists, workers, traders to rationalise the rate structure. GST has been framed as a law. It has a common pool of taxes. It is going to have a removal of the cascading effect of tax. In today’s date, the value added tax would be added by the intermediaries. Each person as a contributory will be taken as an intermediary. Any time the government has shifted or changed from a structural set of norms to another structure, that transition has had original kind of hiccups. The small traders are still hesitant and shy of coming into the GST portal. Some problems faced Territorial questions Product classification Rate at which products are to be charged The reverse charge mechanism Goods produced in one state consumed in another state Goods sold through e-commerce How they help small traders? The threshold exemption is 20 lakh for traders. There are 80000 small traders still hesitant to enter the GST. Maybe they are not aware of computer or the taxation or are not willing to leave the traditional way of doing things or are not willing to be transparent. If a trader has business of more than 20 lakhs, but he would be not wiling to make an analytical kind of disclosure, there is a composition scheme which has an ad hoc levy. It doesn’t go into detailed classification and makes a flat payment. With transparency, the supply of GST will increase the output as well. Boost to economy Indian economy closely resembles to Canada. Canada had similar structure and post GST, it reduced taxes by about 40% by rationalising and restructuring. This had generated a jump of 27% in GDP in Canada. Thus, GDP in India is also going to rise more than before. This will happen because taxes are going down eventually and the economy will build up. Once the taxes are going down, the central and state government are collecting less taxes and the business profits are staying in economy. These profits can be rolled into the same productivity and products and services. If there is compliance and transparency, the unorganized economy will soon be brought into the regular economy. Rationalization of tax rates in textile sectors. Textile employs highest number of employees, including handicrafts sector also. Government announced GST roll out, the strike started in various sectors. This was not an organized but a genuine strike which made the government look into the matter. There was a genuine problem so government has been flexible and open to suggestions. The issue was not politicized and constantly tried to find way ahead to reduce taxes. Agriculture Agricultural equipment was up for modernization. That will stimulate the manufacturing sector. There cannot be high tax rate on this sector. So the tax rate on tractors had reduced its demand. Sprinklers, irrigation modes, nuanced agricultural products will see a reduction in taxes. This will stimulate the manufacturing, banking and credit sector. It will create a modernized concept of agriculture. e-way bill Government has granted exemption for any bill or any tax on certain items of mass consumptions including vegetables, fruits, food grains, meat, bread, curd, books and jewellery. Also, e-way bill will also not be required if goods are transported by a non-motorised conveyance and if the goods are being transported from a port, airport, air cargo complex and land customs station to an inland container depot or a container freight station for clearance by customs. E-way bill concerns the ferrying of goods worth more than Rs 50,000 within or outside a state under the GST regime, whereby, transportation of goods will require securing an e-way bill by prior online registration of the consignment. The taxes will have to be paid eventually. How best to use the modern technology to make it easy on daily basis is more important. This will help in faster movement of goods and help keep check on movement of goods. Lower transport costs means lower prices. Cost of production will automatically come down. Removal of octrois and check posts will push the economy to work at a faster pace. If goods and services are able to be transported at a faster rate, that increases pace of development in economy and thus GST can push up GDP by 1-2% in near future. Anti-profiteering law It has come to notice of government that the traders were not passing the benefit of GST to the consumers. The anti-profiteering law is being taken care of. The central and the state government will together start the awareness campaign to educate the traders as well as industry about the measures intended to bring and also pass on the credit to the customer. The government has taken a decision of supplying answer through FAQs. Government should bring more enforcement to make the consumer the bigger gainer. More awareness is the key to have positive effects of GST. The technology is going to drive GST regime. There will not be any interfacing with officers and it will have much impact on the cost of transactions. As long as it is technology driven, there will be confidence in the system. National anti-profiteering authority- All regulatory bodies should have centralized body which will give directions to the state. Unless there is a regulator at centralized level with a clear mandate, they cannot advise anyone and bring strictness into implementation. Connecting the dots: GST is prime example of cooperative federalism. Do you agree? Give reasons for your analysis.

Oct 23, 2017 IASbaba's Daily Current Affairs

IASbaba’s Daily Current Affairs 23rd Oct, 2017

IASbaba’s Daily Current Affairs – 23rd Oct 2017 Archives ENVIRONMENT TOPIC: General Studies 3: Conservation, environmental pollution and degradation, environmental impact assessment 'Negative Emissions': Too much stress is not good Background: Human activities, the collective choices we have made to deploy fossil fuels and change land uses, are responsible for the release of greenhouse gases (GHGs) and associated global warming. In 2016, the earth’s temperature was 1.3°C warmer than in pre-industrial times. More dishearteningly, even if countries take the action they promised at the Paris climate change conference in 2015, the world would be about 3°C warmer by 2100, well above the 2°C temperature limit to avoid dangerous climate change. Negative emissions: The current pattern of increasing emissions (which reportedly grew at the rate of 2.6% per year during 2000-2015) needs a rapid phase down. The Fifth Assessment Report of the Intergovernmental Panel on Climate Change (IPCC) indicates that the earth can stay below 2°C. The world would somehow make use of significant amounts of ‘negative emissions’. These are ways to remove carbon dioxide from the atmosphere, or even change the earth’s radiation balance through geoengineering. These negative emissions in the models are used in addition to increasing use of renewables and improving the efficiency of energy services. Methods for 'negative emissions': Sequestering Carbon dioxide: Some of the approaches that could remove or absorb carbon dioxide in the atmosphere are better agricultural practices that leave carbon in the ground, use of biochar, undertaking afforestation and reforestation. One method that is bioenergy for fuel in combination with carbon capture and storage (BECCS). This involves the use of plants as fuel. The released carbon dioxide is then captured and safely stored indefinitely. Challenge: Competition for land for food and other purposes, and due to technological limitations, this approach is believed to be inappropriate for extensive use. Other methods to suck carbon dioxide from the atmosphere and increase carbon dioxide absorption by the oceans are also being explored, but their long-term implications are not clear. Some scientists have been discussing the possibility of injecting cooling aerosols at a large scale in the atmosphere, but these geoengineering technologies pose huge risks and are also not long-term solutions. Other issues: If approaches for negative emissions fail, we are likely to see a 4°C increase in global temperatures. These models also fail to consider equity dimensions and social and technological barriers. As a result, they pose a severe risk to society, especially to the poorest countries, which will experience the worst impacts of climate change. Negative emissions also create a moral hazard problem, where we expect (future) others to bail us out while we continue to lead profligate lives. If negative emissions become feasible in future, they could help the world stay on course in reducing warming, but this cannot be assumed while we are running short of the carbon space available to dodge dangerous climate change. Way ahead: Scientists need to speak openly and freely about the dangers of climate change without leaning on euphemisms. Policies therefore to support practices that successfully keep carbon in the ground, prevent deforestation, support agricultural practice that sequesters carbon and promote sustainable land use practices that reduce emissions. We also need a carbon tax. ‘Lifestyle’ and other consumption activities that may have hitherto been outside the radar of climate policy because they disturb the status quo or are difficult would have to be considered. Policies should nudge especially the more prosperous communities towards less carbon intensive lifestyles, either through taxes or incentives or both. Conclusion: Climate change is already in evidence all over the world with several seasons of intense storms, droughts, floods, fires and their aftermath, meaning that any further delay in reducing emissions would put at risk many more lives, livelihoods and investments for decades to come. Thus, priority action is needed to check GHGs emissions in the first place. Otherwise, today’s largely policies would merely shift current problems on to the shoulders of future generations. Connecting the dots: What do you mean by the term 'negative emission'. Discuss why too much stress on it is not a good option and instead the focus should be on checking greenhouse gases emissions in the first place. 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: Effects of liberalization on the economy, changes in industrial policy and their effects on industrial growth; Intellectual Property & Patent related issues Making Indian an innovation hub: Protecting IP rights Background: The government has expressed desire to make India a hub of innovations at several for a. In PM Modis's words: “Innovation is life. When there is no innovation, there is stagnation”. In his budget speech in 2015, the finance minister announced the setting up of the Atal Innovation Mission. But the progress in this respect has been tardy. Efforts taken in past: The UPA government, which constituted the National Innovation Council (NIC) in 2010 under Sam Pitroda, then adviser to the prime minister on innovations. The NIC’s key mandate was to draw a roadmap for innovations between 2010 and 2020. The council submitted three annual reports to the government, the last of which was in 2013. Sectoral innovation councils were set up in 25 major departments of the Union government, including in the ministry of agriculture. State Innovation Councils were also set up. The idea behind the setting up of these councils was to mainstream the idea of innovation in the functioning of the Union and state governments. However, it soon became evident that despite the government’s best intentions, there were hardly any innovative ideas which could be scaled up to the national level. This shows that government organisations are not ideally suited to devise game-changing innovations as they are mired in routine work. The work of the councils proves that innovations are designed in a supporting environment, irrespective of the size or nature of an organisation. The most important support that the government can provide is to protect the innovation itself. Way ahead: The priority task for the government should be to create an enabling environment to safeguard the intellectual property of individuals, private and public companies that develop new products and ideas using their own investments. Poor record on IP protection: India is placed 60th among 127 countries according to the Global Innovation Index of 2017 — an index prepared by Cornell University, INSEAD and the World Intellectual Property Organisation. Switzerland tops the list followed by Sweden, the Netherlands, the US and UK. Singapore is ranked seventh, Japan is at the 14th position, Israel is ranked 17th, and China 22nd. In the Forbes list of the 10 most innovative companies in the world, six come from the US. Interestingly, in a recently released International intellectual property (IP) index that studied 45 countries, India ranked a poor 43rd. It is this poor record on IP protection that is holding India back from being a leading nation when it comes to innovations. Innovations in agriculture: A case study One of the biggest innovations in Indian agriculture in the past 15 years was the introduction of Bt cotton in 2002. The innovation made India one of the top producers of cotton and the second largest exporter of the crop. Mahyco Monsanto Biotech, which released Bt cotton through its 40 or so odd licencees, wanted to release HT Bt cotton as well and applied to the Genetic Engineering Approval Committee (GEAC). HT cotton is an innovation on Bt cotton, as it takes care of the problem of weeds at a cost much lower than that incurred by farmers in employing labour to take out weeds. But before Mahyco Monsanto Biotech could be granted permission for HT cotton, some unscrupulous elements pirated this cotton variety, probably from countries like the US and Australia, where HT cotton had already been released. These pirated seeds were multiplied in the country and this kharif season, several companies have sold an estimated 35 to 45 lakh packets of HT Bt cotton seeds. About 7 per cent to 10 per cent of the area under cotton in the country is now under this counterfeit crop. In view of the blatant violation of its IPR, Mahyco Monsanto Biotech withdrew its application in 2016. The government of the day did not take action to stop these activities. Conclusion: India cannot aspire to be an innovation hub, if such clandestine activities flourish and innovators suffer. Stern and exemplary action is required in case of violation of IPR rights. Also, regulatory bodies need to clear applications for innovative products on time, lest they are introduced by pirates. Making India an innovation hub will become difficult if piracy is not tackled on war-foot basis. Connecting the dots: For India to become an innovation hub, protecting Intellectual Property Rights is a must. Critically analyze. MUST READ A new vision for India The Hindu In a foreign policy haze The Hindu How to clean air? Indian Express The balancing act that is GAAR Livemint Donald Trump's Iran folly and India's dilemma Livemint Why urban planning is such a joke? Business Line The gap between intent and outcomes Business Line  

Oct 23, 2017 MindMaps

IASbaba’s MINDMAP : Issue - Global Hunger Index and India

IASbaba’s MINDMAP : Issue - Global Hunger Index and India Archives NOTE – Instructions to download Mind Maps/Images Right Click on the image and ‘Open in a new tab’ Remove/Delete the resolution part from the URl. Eg. “-1024×869” and Press Enter/Load Again Afterwards the URL will look something like this – “iasbaba.com/..../.../..-IASbaba.jpg” Right Click and Save As/Download (You’ll get the maximum resolution)

Oct 23, 2017 Daily Prelims CA Quiz

UPSC Quiz- 2017 : IASbaba's Daily Current Affairs Quiz [Day 66]

UPSC Quiz- 2017 : IASbaba's Daily Current Affairs Quiz [Day 66] Archives Q.1) Consider the following statements about Tawny lark They are found in the arid grasslands and scrub lands of central and west-central India They imitate the calls of other bird species Select the correct statements 1 Only 2 Only Both 1 and 2 Neither 1 nor 2 Q.2) ______________ is the first state to formulate an Organic Farming Policy. Sikkim Karnataka Maharashtra Tamil Nadu Q.3) Which of the following is a Russian Ice Shelf? Ward Hunt Ice Shelf Milne Ice Shelf Alfred Ernest Ice Shelf None of the above Q.4) ‘Thermohaline Circulation’ controls large-scale movement of oceanic flow. Thermohaline circulation is driven by which of the following gradients? Temperature Salinity Both (a) and (b) Neither (a) nor (b) Q.5) Hydraulic conductivity is primarily controlled by? Porosity Hydraulic gradient Potentiometric surface Permeability To Download the Solution - Click here All The Best  IASbaba

Oct 23, 2017 RSTV Video

RSTV- The Big Picture : New Cyber Law: A Wishlist

New Cyber Law: A Wishlist Archives 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 Science and Technology- developments and their applications and effects in everyday life Achievements of Indians in science & technology; indigenization of technology and developing new technology. The government plans to bring a digital payment bill to strengthen legal framework and enhance surveillance to check cybercrimes in finance sector including frauds, targeting cards and e-wallets. According to reports of inter-ministerial committee, the existing laws will be studied on cybercrimes and then propose a legislation. The need to do this was felt after rising number of complaints especially after demonetisation. The proposed legislation will deal with punishments, fines for those who dupe online and also measures for fixing responsibilities in cases where digital transaction land in any dispute. In last three years, 1,44,496 cyber security attacks were observed in the country. There is a need of strengthening of the surveillance and legal frameworks to check the menace. It was noted that both legal and technological steps need to be taken to address this situation. The types of cyber security incidents included phishing, scanning/probing, website intrusions and defacements, virus/malicious code and denial of service attacks. New cybercrime bill 3 challenges Under which law to make the necessary changes or make new law, especially after privacy challenges Different stakeholders to consult and coordinate with With the law, how to enforce it with the technology In the 21st century, especially after demonetisation, there is a push towards digitisation of everything- government documents, bank accounts, RBI, SEBI details etc. Electronic form is encouraged so as to save paper as well as keep a proper track record. In this scenario, the cyber security set up has to be beefed. Tackling the updates There is always a gap between technology and law. Technology changes very fast, the law takes its own time to change and the gap creates problem. This is the area where criminal elements take advantage of it. The need is to bridge the gap and that to fast. It shouldn’t happen that government brings the law and there is already a technology change. In the past it has so happen that 66A was struck down. However, in that case, the legislation was passed without any discussion in parliament. This is a serious flaw when it comes to making legislations when requisite discussion eludes the process of decision-making. The IT Act was passed to deal specifically with the cybercrimes. It gave legal sanctity to something that was exchanged over internet. From that standpoint, the cybercrimes only dealt with those. It did not include everything. To stay updated, the government should continuously receive feedback from the stakeholders and understand what is the demand and challenges. After law making, there is law enforcement which has to keep pace with law and technology. The government is currently focussing on capacity building in this regard. Even if the law is good but people don’t know how to use it or take its benefit, there is no point in having such a legislation. Non-applicability and non-enforcement of existing laws is another issues. As per the existing rules of RBI and SEBI, there cannot be a financial transaction company without their license. Yet there exist many institutions which donot adhere to them. Many feel that digital platform is beyond law. If there is censor board for movies, the digital shows are not under it even though they have adult / anti-social content. 66A was a bridge between IPC and IT Act. It was struck down because police and enforcement agencies were misusing the IPC provisions. Once there are laws, they should be applicable across the mediums. An ever updating field IT Act of 2000 was a part of initiative by UNGA. There was requirement by the member states to enact the law in accordance to model law provided to facilitate electronic commerce and e-governance. Then there was punishment for those who violated this law. The problem is that India has not gone beyond the model law and the basic. In past 20 years, many things have changed. Cybercrimes are now new threats. Recently, SC is hearing a PIL where rape videos should be blocked online. All the online stakeholders (Google, FB etc.) along with government are deliberating to enforce it. It is a complicated issue from technology standpoint. While drafting these laws, there should be inputs from industry experts those who know technology side of the law. This is not simple IPC or CrPC issue. If there is no knowledge of technical intricacies of law, the law will seem to be obsolete or un-implementable or toothless. The reaction of certain sections shouldn’t guide the framework of certain legislation. Each time responding to one feedback from one sector develops a very narrow vision. We are dealing with information which has many intermediaries. They are subject to your understanding how the industry works. The law may say something, the SC may say something but its application by the layman may not be in consonance with how SC interpreted or law intended. For instance, many policemen still book people under sec 66A of IT Act. Accountability fixation Who is going to enforce the law and against whom is a great challenge In uber rape matter, the Delhi police was not able to locate the office of the company. When google was doing earth mapping, government rejected it on the basis of national security Many developed countries are facing similar problems and may be on larger scale. Yet India cannot adapt much due to nature of cybersecurity law. Indigenous laws and measures have to be taken to establish cybersecurity. Conclusion The easiest way to understand the problem is to come out with a special legislation.  But there is a need to justify why there should be a special legislation all the time as after few years, there will be new things and then new legislations will constantly be created which will create unnecessary law-webs. Majority of people are not well versed in technology, there is need to customise the solutions accordingly. Until there is heavy penalty or criminal prosecution, there will be little respect for Indian laws. Each stakeholder in the entire industry should be made accountable and responsible for the actions they initiate. Investigation and trial courts have to be strengthened. Cyber education should start in schools. Get updated about changes in law and technology and pitfalls of it. Connecting the dots: What are the challenges and solutions to cyber security in India? Critically examine.