DAY – 4 : Insta 75 Days Revision Plan-2026 : ECONOMY
Kartavya Desk Staff
Read about Insights IAS INSTA 75 Days Revision Plan for UPSC Civil Services Prelims – 2026 [ HERE ] :
DOWNLOAD THE INSTA 75 DAYS REVISION TIMETABLE(GS) [HERE] :
DOWNLOAD THE INSTA 75 DAYS REVISION TIMETABLE(CSAT) [HERE] :
Download MITRA booklet (My Insta Tests Revision and Assessment) – It’s for to track your daily progress while following Insta 75 Days plan. [ CLICK HERE ] :
#### Quiz-summary
0 of 15 questions completed
Questions:
#### Information
Wish you Good Luck! 🙂
You have already completed the quiz before. Hence you can not start it again.
Quiz is loading...
You must sign in or sign up to start the quiz.
You have to finish following quiz, to start this quiz:
0 of 15 questions answered correctly
Your time:
Time has elapsed
You have reached 0 of 0 points, (0)
Average score |
Your score |
#### Categories
• Not categorized 0%
Pos. | Name | Entered on | Points | Result
Table is loading
No data available
| | | |
• Question 1 of 15 1. Question 1 points Consider the following factors: Cost of production. Demand and supply situation of the crop. Inter-crop price parity. Effect on the general cost of living (inflation). How many of the above are criteria considered by the Commission for Agricultural Costs and Prices (CACP) while recommending the Minimum Support Price (MSP)? (a) Only two (b) Only three (c) All four (d) None Correct Answer: (c) Explanation The CACP considers a wide range of factors to ensure that the MSP is fair and sustainable. All the factors listed in the question are primary criteria: 1. Cost of production: This is the most fundamental factor. The CACP calculates different levels of costs: A2 (actual paid-out costs), A2+FL (includes value of family labor), and C2 (comprehensive cost including land rent and interest). The government has mandated that the MSP should be at least 1.5 times the A2+FL cost. 2. Demand and supply situation: The CACP analyzes market trends. If there is a chronic shortage of a particular crop (like pulses or oilseeds), the MSP may be raised more aggressively to incentivize farmers to shift away from surplus crops (like wheat or rice). 3. Inter-crop price parity: It is crucial that the price of one crop doesn’t become so high that it encourages farmers to stop growing other essential crops. The CACP ensures a balanced price structure across different crop groups to maintain food security. 4. Effect on general cost of living (Inflation): Since food is a major component of the Consumer Price Index (CPI), any hike in MSP can lead to food inflation. The CACP must ensure that while the farmer gets a fair price, the cost of the “food basket” remains affordable for the general public, especially the poor. Currently, MSP is recommended for 23 crops, comprising 7 cereals, 5 pulses, 7 oilseeds, and 4 commercial crops (Copra, Sugarcane, Cotton, and Raw Jute). Note that for Sugarcane, the government announces a Fair and Remunerative Price (FRP) instead of an MSP. Incorrect Answer: (c) Explanation The CACP considers a wide range of factors to ensure that the MSP is fair and sustainable. All the factors listed in the question are primary criteria: 1. Cost of production: This is the most fundamental factor. The CACP calculates different levels of costs: A2 (actual paid-out costs), A2+FL (includes value of family labor), and C2 (comprehensive cost including land rent and interest). The government has mandated that the MSP should be at least 1.5 times the A2+FL cost. 2. Demand and supply situation: The CACP analyzes market trends. If there is a chronic shortage of a particular crop (like pulses or oilseeds), the MSP may be raised more aggressively to incentivize farmers to shift away from surplus crops (like wheat or rice). 3. Inter-crop price parity: It is crucial that the price of one crop doesn’t become so high that it encourages farmers to stop growing other essential crops. The CACP ensures a balanced price structure across different crop groups to maintain food security. 4. Effect on general cost of living (Inflation): Since food is a major component of the Consumer Price Index (CPI), any hike in MSP can lead to food inflation. The CACP must ensure that while the farmer gets a fair price, the cost of the “food basket” remains affordable for the general public, especially the poor. Currently, MSP is recommended for 23 crops, comprising 7 cereals, 5 pulses, 7 oilseeds, and 4 commercial crops (Copra, Sugarcane, Cotton, and Raw Jute). Note that for Sugarcane, the government announces a Fair and Remunerative Price (FRP) instead of an MSP.
#### 1. Question
Consider the following factors:
• Cost of production.
• Demand and supply situation of the crop.
• Inter-crop price parity.
• Effect on the general cost of living (inflation).
How many of the above are criteria considered by the Commission for Agricultural Costs and Prices (CACP) while recommending the Minimum Support Price (MSP)?
• (a) Only two
• (b) Only three
• (c) All four
Answer: (c)
Explanation
The CACP considers a wide range of factors to ensure that the MSP is fair and sustainable. All the factors listed in the question are primary criteria:
• 1. Cost of production: This is the most fundamental factor. The CACP calculates different levels of costs: A2 (actual paid-out costs), A2+FL (includes value of family labor), and C2 (comprehensive cost including land rent and interest). The government has mandated that the MSP should be at least 1.5 times the A2+FL cost.
• 2. Demand and supply situation: The CACP analyzes market trends. If there is a chronic shortage of a particular crop (like pulses or oilseeds), the MSP may be raised more aggressively to incentivize farmers to shift away from surplus crops (like wheat or rice).
• 3. Inter-crop price parity: It is crucial that the price of one crop doesn’t become so high that it encourages farmers to stop growing other essential crops. The CACP ensures a balanced price structure across different crop groups to maintain food security.
• 4. Effect on general cost of living (Inflation): Since food is a major component of the Consumer Price Index (CPI), any hike in MSP can lead to food inflation. The CACP must ensure that while the farmer gets a fair price, the cost of the “food basket” remains affordable for the general public, especially the poor.
Currently, MSP is recommended for 23 crops, comprising 7 cereals, 5 pulses, 7 oilseeds, and 4 commercial crops (Copra, Sugarcane, Cotton, and Raw Jute).
Note that for Sugarcane, the government announces a Fair and Remunerative Price (FRP) instead of an MSP.
Answer: (c)
Explanation
The CACP considers a wide range of factors to ensure that the MSP is fair and sustainable. All the factors listed in the question are primary criteria:
• 1. Cost of production: This is the most fundamental factor. The CACP calculates different levels of costs: A2 (actual paid-out costs), A2+FL (includes value of family labor), and C2 (comprehensive cost including land rent and interest). The government has mandated that the MSP should be at least 1.5 times the A2+FL cost.
• 2. Demand and supply situation: The CACP analyzes market trends. If there is a chronic shortage of a particular crop (like pulses or oilseeds), the MSP may be raised more aggressively to incentivize farmers to shift away from surplus crops (like wheat or rice).
• 3. Inter-crop price parity: It is crucial that the price of one crop doesn’t become so high that it encourages farmers to stop growing other essential crops. The CACP ensures a balanced price structure across different crop groups to maintain food security.
• 4. Effect on general cost of living (Inflation): Since food is a major component of the Consumer Price Index (CPI), any hike in MSP can lead to food inflation. The CACP must ensure that while the farmer gets a fair price, the cost of the “food basket” remains affordable for the general public, especially the poor.
Currently, MSP is recommended for 23 crops, comprising 7 cereals, 5 pulses, 7 oilseeds, and 4 commercial crops (Copra, Sugarcane, Cotton, and Raw Jute).
Note that for Sugarcane, the government announces a Fair and Remunerative Price (FRP) instead of an MSP.
• Question 2 of 15 2. Question 1 points Consider the following statements: Inland Waterway Authority of India was established under an Act of Parliament and is responsible for the regulation and development of all major ports in India. The Jal Marg Vikas Project is a World Bank-funded initiative to develop NW-1, including dredging and terminal infrastructure. The Jalvahak Cargo Promotion Scheme provides financial incentives to cargo movers using IWT routes. Which of the statements given above are correct? (a) 1 and 2 only (b) 2 and 3 only (c) 1 and 3 only (d) 1, 2 and 3 Correct Answer: (b) Explanation: Statement 1 is incorrect. The Inland Waterways Authority of India (IWAI) was established under the IWAI Act, 1985 and focuses on the development of inland waterways, not major ports, which fall under the Major Port Authorities Act and are regulated by a different authority. Statements 2 and 3 are correct. The Jal Marg Vikas Project (JMVP) is a flagship World Bank-funded project focusing on NW-1 (Ganga). It includes dredging, multimodal terminals, and navigational aids. Jalvahak Scheme (2024) incentivizes modal shift to waterways by providing up to 35% reimbursement of operational costs, promoting eco-friendly transport. About Inland Waterways Authority of India (IWAI): Established: 1986 under IWAI Act, 1985 Nodal Ministry: Ministry of Ports, Shipping and Waterways (MoPSW) Headquarters: Noida, Uttar Pradesh Objectives: Develop and regulate national waterways Enhance infrastructure for navigation Ensure eco-friendly and cost-effective logistics and transport solutions Promote PPP models and private sector investment in IWT. Incorrect Answer: (b) Explanation: Statement 1 is incorrect. The Inland Waterways Authority of India (IWAI) was established under the IWAI Act, 1985 and focuses on the development of inland waterways, not major ports, which fall under the Major Port Authorities Act and are regulated by a different authority. Statements 2 and 3 are correct. The Jal Marg Vikas Project (JMVP) is a flagship World Bank-funded project focusing on NW-1 (Ganga). It includes dredging, multimodal terminals, and navigational aids. Jalvahak Scheme (2024) incentivizes modal shift to waterways by providing up to 35% reimbursement of operational costs, promoting eco-friendly transport. About Inland Waterways Authority of India (IWAI): Established: 1986 under IWAI Act, 1985 Nodal Ministry: Ministry of Ports, Shipping and Waterways (MoPSW) Headquarters: Noida, Uttar Pradesh Objectives: Develop and regulate national waterways Enhance infrastructure for navigation Ensure eco-friendly and cost-effective logistics and transport solutions Promote PPP models and private sector investment in IWT.
#### 2. Question
Consider the following statements:
• Inland Waterway Authority of India was established under an Act of Parliament and is responsible for the regulation and development of all major ports in India.
• The Jal Marg Vikas Project is a World Bank-funded initiative to develop NW-1, including dredging and terminal infrastructure.
• The Jalvahak Cargo Promotion Scheme provides financial incentives to cargo movers using IWT routes.
Which of the statements given above are correct?
• (a) 1 and 2 only
• (b) 2 and 3 only
• (c) 1 and 3 only
• (d) 1, 2 and 3
Answer: (b)
Explanation: Statement 1 is incorrect. The Inland Waterways Authority of India (IWAI) was established under the IWAI Act, 1985 and focuses on the development of inland waterways, not major ports, which fall under the Major Port Authorities Act and are regulated by a different authority.
Statements 2 and 3 are correct. The Jal Marg Vikas Project (JMVP) is a flagship World Bank-funded project focusing on NW-1 (Ganga). It includes dredging, multimodal terminals, and navigational aids. Jalvahak Scheme (2024) incentivizes modal shift to waterways by providing up to 35% reimbursement of operational costs, promoting eco-friendly transport.
About Inland Waterways Authority of India (IWAI):
• Established: 1986 under IWAI Act, 1985
• Nodal Ministry: Ministry of Ports, Shipping and Waterways (MoPSW)
• Headquarters: Noida, Uttar Pradesh
• Objectives: Develop and regulate national waterways Enhance infrastructure for navigation Ensure eco-friendly and cost-effective logistics and transport solutions Promote PPP models and private sector investment in IWT.
• Develop and regulate national waterways
• Enhance infrastructure for navigation
• Ensure eco-friendly and cost-effective logistics and transport solutions
• Promote PPP models and private sector investment in IWT.
Answer: (b)
Explanation: Statement 1 is incorrect. The Inland Waterways Authority of India (IWAI) was established under the IWAI Act, 1985 and focuses on the development of inland waterways, not major ports, which fall under the Major Port Authorities Act and are regulated by a different authority.
Statements 2 and 3 are correct. The Jal Marg Vikas Project (JMVP) is a flagship World Bank-funded project focusing on NW-1 (Ganga). It includes dredging, multimodal terminals, and navigational aids. Jalvahak Scheme (2024) incentivizes modal shift to waterways by providing up to 35% reimbursement of operational costs, promoting eco-friendly transport.
About Inland Waterways Authority of India (IWAI):
• Established: 1986 under IWAI Act, 1985
• Nodal Ministry: Ministry of Ports, Shipping and Waterways (MoPSW)
• Headquarters: Noida, Uttar Pradesh
• Objectives: Develop and regulate national waterways Enhance infrastructure for navigation Ensure eco-friendly and cost-effective logistics and transport solutions Promote PPP models and private sector investment in IWT.
• Develop and regulate national waterways
• Enhance infrastructure for navigation
• Ensure eco-friendly and cost-effective logistics and transport solutions
• Promote PPP models and private sector investment in IWT.
• Question 3 of 15 3. Question 1 points Consider the following statements: Statement–I: The Government promotes the use of Neem Coated Urea over normal urea. Statement–II: Neem coating slows down the rate of dissolution of urea in the soil, thereby increasing nitrogen use efficiency and preventing diversion for industrial use. Which one of the following is correct in respect of the above statements? (a) Both Statement-I and Statement-II are correct and Statement-II is the correct explanation for Statement-I (b) Both Statement-I and Statement-II are correct and Statement-II is not the correct explanation for Statement-I (c) Statement-I is correct but Statement-II is incorrect (d) Statement-I is incorrect but Statement-II is correct Correct Answer: (a) Explanation The Government of India promotes Neem Coated Urea (NCU) as part of its broader fertilizer reform and sustainable agriculture strategy. Conventional urea dissolves rapidly in the soil, leading to significant nitrogen losses through leaching, volatilization, and runoff. This not only reduces nitrogen use efficiency (NUE) but also contributes to soil degradation and environmental pollution. Neem coating acts as a nitrification inhibitor. It slows down the conversion of urea into nitrate form, ensuring gradual release of nitrogen in sync with crop demand. As a result, crops absorb nitrogen more efficiently, farmers require lower quantities of urea, and overall fertilizer use becomes more balanced and cost-effective. Further, neem coating has an important governance dimension. Subsidized urea was earlier diverted for non-agricultural industrial uses such as manufacturing of adhesives, resins, and paints. Neem oil renders urea unsuitable for such purposes, effectively curbing diversion and leakages in fertilizer subsidy management. The reasons listed in Statement-II (increased efficiency and prevention of illegal diversion) are the direct justifications for the government’s policy decision described in Statement-I. Therefore, Statement-II is the correct explanation for Statement-I. Incorrect Answer: (a) Explanation The Government of India promotes Neem Coated Urea (NCU) as part of its broader fertilizer reform and sustainable agriculture strategy. Conventional urea dissolves rapidly in the soil, leading to significant nitrogen losses through leaching, volatilization, and runoff. This not only reduces nitrogen use efficiency (NUE) but also contributes to soil degradation and environmental pollution. Neem coating acts as a nitrification inhibitor. It slows down the conversion of urea into nitrate form, ensuring gradual release of nitrogen in sync with crop demand. As a result, crops absorb nitrogen more efficiently, farmers require lower quantities of urea, and overall fertilizer use becomes more balanced and cost-effective. Further, neem coating has an important governance dimension. Subsidized urea was earlier diverted for non-agricultural industrial uses such as manufacturing of adhesives, resins, and paints. Neem oil renders urea unsuitable for such purposes, effectively curbing diversion and leakages in fertilizer subsidy management. The reasons listed in Statement-II (increased efficiency and prevention of illegal diversion) are the direct justifications for the government’s policy decision described in Statement-I. Therefore, Statement-II is the correct explanation for Statement-I.
#### 3. Question
Consider the following statements:
Statement–I: The Government promotes the use of Neem Coated Urea over normal urea. Statement–II: Neem coating slows down the rate of dissolution of urea in the soil, thereby increasing nitrogen use efficiency and preventing diversion for industrial use.
Which one of the following is correct in respect of the above statements?
• (a) Both Statement-I and Statement-II are correct and Statement-II is the correct explanation for Statement-I
• (b) Both Statement-I and Statement-II are correct and Statement-II is not the correct explanation for Statement-I
• (c) Statement-I is correct but Statement-II is incorrect
• (d) Statement-I is incorrect but Statement-II is correct
Answer: (a)
Explanation
The Government of India promotes Neem Coated Urea (NCU) as part of its broader fertilizer reform and sustainable agriculture strategy. Conventional urea dissolves rapidly in the soil, leading to significant nitrogen losses through leaching, volatilization, and runoff. This not only reduces nitrogen use efficiency (NUE) but also contributes to soil degradation and environmental pollution.
Neem coating acts as a nitrification inhibitor. It slows down the conversion of urea into nitrate form, ensuring gradual release of nitrogen in sync with crop demand. As a result, crops absorb nitrogen more efficiently, farmers require lower quantities of urea, and overall fertilizer use becomes more balanced and cost-effective.
Further, neem coating has an important governance dimension. Subsidized urea was earlier diverted for non-agricultural industrial uses such as manufacturing of adhesives, resins, and paints. Neem oil renders urea unsuitable for such purposes, effectively curbing diversion and leakages in fertilizer subsidy management.
The reasons listed in Statement-II (increased efficiency and prevention of illegal diversion) are the direct justifications for the government’s policy decision described in Statement-I. Therefore, Statement-II is the correct explanation for Statement-I.
Answer: (a)
Explanation
The Government of India promotes Neem Coated Urea (NCU) as part of its broader fertilizer reform and sustainable agriculture strategy. Conventional urea dissolves rapidly in the soil, leading to significant nitrogen losses through leaching, volatilization, and runoff. This not only reduces nitrogen use efficiency (NUE) but also contributes to soil degradation and environmental pollution.
Neem coating acts as a nitrification inhibitor. It slows down the conversion of urea into nitrate form, ensuring gradual release of nitrogen in sync with crop demand. As a result, crops absorb nitrogen more efficiently, farmers require lower quantities of urea, and overall fertilizer use becomes more balanced and cost-effective.
Further, neem coating has an important governance dimension. Subsidized urea was earlier diverted for non-agricultural industrial uses such as manufacturing of adhesives, resins, and paints. Neem oil renders urea unsuitable for such purposes, effectively curbing diversion and leakages in fertilizer subsidy management.
The reasons listed in Statement-II (increased efficiency and prevention of illegal diversion) are the direct justifications for the government’s policy decision described in Statement-I. Therefore, Statement-II is the correct explanation for Statement-I.
• Question 4 of 15 4. Question 1 points Consider the following Schemes and their Nodal Implementing Agency/Ministry: Scheme Implementing Agency/Parent A. e-NAM 1. APEDA B. Soil Health Card 2. Small Farmers Agribusiness Consortium (SFAC) C. Agri-Export Zones 3. Department of Agriculture & Farmers Welfare How many of the above pairs is/are correctly matched? (a) Only one (b) Only two (c) All three (d) None Correct Answer: (d) Explanation: None of the pairs are correctly matched. e-NAM (National Agriculture Market): Correct Agency: Small Farmers Agribusiness Consortium (SFAC). SFAC is the lead implementing agency for e-NAM under the aegis of the Ministry of Agriculture and Farmers’ Welfare. It is not implemented by APEDA. Soil Health Card Scheme: Correct Agency/Parent: Department of Agriculture, Cooperation & Farmers Welfare (Ministry of Agriculture). This is a Centrally Sponsored Scheme implemented by State Agriculture Departments under the guidance of the Union Department of Agriculture. SFAC is not the nodal agency for this. Agri-Export Zones (AEZ): Correct Agency: APEDA (Agricultural and Processed Food Products Export Development Authority). AEZs are notified under the Export Import (EXIM) Policy. The nodal agency for coordinating and monitoring AEZs is APEDA, which functions under the Ministry of Commerce and Industry, not the Department of Agriculture directly. Incorrect Answer: (d) Explanation: None of the pairs are correctly matched. e-NAM (National Agriculture Market): Correct Agency: Small Farmers Agribusiness Consortium (SFAC). SFAC is the lead implementing agency for e-NAM under the aegis of the Ministry of Agriculture and Farmers’ Welfare. It is not implemented by APEDA. Soil Health Card Scheme: Correct Agency/Parent: Department of Agriculture, Cooperation & Farmers Welfare (Ministry of Agriculture). This is a Centrally Sponsored Scheme implemented by State Agriculture Departments under the guidance of the Union Department of Agriculture. SFAC is not the nodal agency for this. Agri-Export Zones (AEZ): Correct Agency: APEDA (Agricultural and Processed Food Products Export Development Authority). AEZs are notified under the Export Import (EXIM) Policy. The nodal agency for coordinating and monitoring AEZs is APEDA, which functions under the Ministry of Commerce and Industry, not the Department of Agriculture directly.
#### 4. Question
Consider the following Schemes and their Nodal Implementing Agency/Ministry:
Scheme | Implementing Agency/Parent
A. e-NAM | 1. APEDA
B. Soil Health Card | 2. Small Farmers Agribusiness Consortium (SFAC)
C. Agri-Export Zones | 3. Department of Agriculture & Farmers Welfare
How many of the above pairs is/are correctly matched?
• (a) Only one
• (b) Only two
• (c) All three
Answer: (d)
Explanation:
None of the pairs are correctly matched.
• e-NAM (National Agriculture Market): Correct Agency: Small Farmers Agribusiness Consortium (SFAC). SFAC is the lead implementing agency for e-NAM under the aegis of the Ministry of Agriculture and Farmers’ Welfare. It is not implemented by APEDA.
• Correct Agency: Small Farmers Agribusiness Consortium (SFAC).
• SFAC is the lead implementing agency for e-NAM under the aegis of the Ministry of Agriculture and Farmers’ Welfare. It is not implemented by APEDA.
• Soil Health Card Scheme: Correct Agency/Parent: Department of Agriculture, Cooperation & Farmers Welfare (Ministry of Agriculture). This is a Centrally Sponsored Scheme implemented by State Agriculture Departments under the guidance of the Union Department of Agriculture. SFAC is not the nodal agency for this.
• Correct Agency/Parent: Department of Agriculture, Cooperation & Farmers Welfare (Ministry of Agriculture).
• This is a Centrally Sponsored Scheme implemented by State Agriculture Departments under the guidance of the Union Department of Agriculture. SFAC is not the nodal agency for this.
• Agri-Export Zones (AEZ): Correct Agency: APEDA (Agricultural and Processed Food Products Export Development Authority). AEZs are notified under the Export Import (EXIM) Policy. The nodal agency for coordinating and monitoring AEZs is APEDA, which functions under the Ministry of Commerce and Industry, not the Department of Agriculture directly.
• Correct Agency: APEDA (Agricultural and Processed Food Products Export Development Authority).
• AEZs are notified under the Export Import (EXIM) Policy. The nodal agency for coordinating and monitoring AEZs is APEDA, which functions under the Ministry of Commerce and Industry, not the Department of Agriculture directly.
Answer: (d)
Explanation:
None of the pairs are correctly matched.
• e-NAM (National Agriculture Market): Correct Agency: Small Farmers Agribusiness Consortium (SFAC). SFAC is the lead implementing agency for e-NAM under the aegis of the Ministry of Agriculture and Farmers’ Welfare. It is not implemented by APEDA.
• Correct Agency: Small Farmers Agribusiness Consortium (SFAC).
• SFAC is the lead implementing agency for e-NAM under the aegis of the Ministry of Agriculture and Farmers’ Welfare. It is not implemented by APEDA.
• Soil Health Card Scheme: Correct Agency/Parent: Department of Agriculture, Cooperation & Farmers Welfare (Ministry of Agriculture). This is a Centrally Sponsored Scheme implemented by State Agriculture Departments under the guidance of the Union Department of Agriculture. SFAC is not the nodal agency for this.
• Correct Agency/Parent: Department of Agriculture, Cooperation & Farmers Welfare (Ministry of Agriculture).
• This is a Centrally Sponsored Scheme implemented by State Agriculture Departments under the guidance of the Union Department of Agriculture. SFAC is not the nodal agency for this.
• Agri-Export Zones (AEZ): Correct Agency: APEDA (Agricultural and Processed Food Products Export Development Authority). AEZs are notified under the Export Import (EXIM) Policy. The nodal agency for coordinating and monitoring AEZs is APEDA, which functions under the Ministry of Commerce and Industry, not the Department of Agriculture directly.
• Correct Agency: APEDA (Agricultural and Processed Food Products Export Development Authority).
• AEZs are notified under the Export Import (EXIM) Policy. The nodal agency for coordinating and monitoring AEZs is APEDA, which functions under the Ministry of Commerce and Industry, not the Department of Agriculture directly.
• Question 5 of 15 5. Question 1 points Consider the following statements regarding the economic cost of food grains in India: The economic cost includes the Minimum Support Price (MSP) paid to farmers along with procurement incidentals such as labour, handling, storage, transportation and distribution expenses. The difference between the economic cost of food grains and the Central Issue Price (CIP) at which they are supplied through the Public Distribution System constitutes the food subsidy. Which of the statements given above is/are correct? (a) 1 only (b) 2 only (c) Both 1 and 2 (d) Neither 1 nor 2 Correct Answer: (c) Both 1 and 2 Explanation Statement 1 is correct: The Economic Cost represents the total cost incurred by the Food Corporation of India (FCI) to make food grains available for public distribution. It is calculated as the sum of three components: Pooled Cost of Grain: Primarily the Minimum Support Price (MSP) and any bonus paid to farmers. Procurement Incidentals: These include expenses incurred during procurement such as state-level taxes (mandi tax), cost of gunny bags, labour charges, and transportation to storage depots. Distribution Cost: These include storage charges, interest on loans, and the cost of transporting grain from procurement centres to consuming states. Statement 2 is correct: The Union Government supplies food grains to states under the National Food Security Act (NFSA) at a highly subsidized rate known as the Central Issue Price (CIP). The relationship is expressed as: Since the Economic Cost increases over time due to higher MSP and inflation, while the CIP has remained very low (₹3/kg for rice, ₹2/kg for wheat, and ₹1/kg for coarse grains for many years), the government pays the difference to the FCI. This payment constitutes the Food Subsidy. Shanta Kumar Committee (2015) recommended restructuring the FCI to reduce its economic cost by outsourcing grain handling and encouraging private storage. Incorrect Answer: (c) Both 1 and 2 Explanation Statement 1 is correct: The Economic Cost represents the total cost incurred by the Food Corporation of India (FCI) to make food grains available for public distribution. It is calculated as the sum of three components: Pooled Cost of Grain: Primarily the Minimum Support Price (MSP) and any bonus paid to farmers. Procurement Incidentals: These include expenses incurred during procurement such as state-level taxes (mandi tax), cost of gunny bags, labour charges, and transportation to storage depots. Distribution Cost: These include storage charges, interest on loans, and the cost of transporting grain from procurement centres to consuming states. Statement 2 is correct: The Union Government supplies food grains to states under the National Food Security Act (NFSA) at a highly subsidized rate known as the Central Issue Price (CIP). The relationship is expressed as: Since the Economic Cost increases over time due to higher MSP and inflation, while the CIP has remained very low (₹3/kg for rice, ₹2/kg for wheat, and ₹1/kg for coarse grains for many years), the government pays the difference to the FCI. This payment constitutes the Food Subsidy. Shanta Kumar Committee (2015) recommended restructuring the FCI to reduce its economic cost by outsourcing grain handling and encouraging private storage.
#### 5. Question
Consider the following statements regarding the economic cost of food grains in India:
• The economic cost includes the Minimum Support Price (MSP) paid to farmers along with procurement incidentals such as labour, handling, storage, transportation and distribution expenses.
• The difference between the economic cost of food grains and the Central Issue Price (CIP) at which they are supplied through the Public Distribution System constitutes the food subsidy.
Which of the statements given above is/are correct?
• (a) 1 only
• (b) 2 only
• (c) Both 1 and 2
• (d) Neither 1 nor 2
Answer: (c) Both 1 and 2
Explanation
Statement 1 is correct: The Economic Cost represents the total cost incurred by the Food Corporation of India (FCI) to make food grains available for public distribution. It is calculated as the sum of three components:
• Pooled Cost of Grain: Primarily the Minimum Support Price (MSP) and any bonus paid to farmers.
• Procurement Incidentals: These include expenses incurred during procurement such as state-level taxes (mandi tax), cost of gunny bags, labour charges, and transportation to storage depots.
• Distribution Cost: These include storage charges, interest on loans, and the cost of transporting grain from procurement centres to consuming states.
Statement 2 is correct: The Union Government supplies food grains to states under the National Food Security Act (NFSA) at a highly subsidized rate known as the Central Issue Price (CIP).
The relationship is expressed as:
Since the Economic Cost increases over time due to higher MSP and inflation, while the CIP has remained very low (₹3/kg for rice, ₹2/kg for wheat, and ₹1/kg for coarse grains for many years), the government pays the difference to the FCI. This payment constitutes the Food Subsidy.
Shanta Kumar Committee (2015) recommended restructuring the FCI to reduce its economic cost by outsourcing grain handling and encouraging private storage.
Answer: (c) Both 1 and 2
Explanation
Statement 1 is correct: The Economic Cost represents the total cost incurred by the Food Corporation of India (FCI) to make food grains available for public distribution. It is calculated as the sum of three components:
• Pooled Cost of Grain: Primarily the Minimum Support Price (MSP) and any bonus paid to farmers.
• Procurement Incidentals: These include expenses incurred during procurement such as state-level taxes (mandi tax), cost of gunny bags, labour charges, and transportation to storage depots.
• Distribution Cost: These include storage charges, interest on loans, and the cost of transporting grain from procurement centres to consuming states.
Statement 2 is correct: The Union Government supplies food grains to states under the National Food Security Act (NFSA) at a highly subsidized rate known as the Central Issue Price (CIP).
The relationship is expressed as:
Since the Economic Cost increases over time due to higher MSP and inflation, while the CIP has remained very low (₹3/kg for rice, ₹2/kg for wheat, and ₹1/kg for coarse grains for many years), the government pays the difference to the FCI. This payment constitutes the Food Subsidy.
Shanta Kumar Committee (2015) recommended restructuring the FCI to reduce its economic cost by outsourcing grain handling and encouraging private storage.
• Question 6 of 15 6. Question 1 points Consider the following statements: The first Livestock Census in India was conducted during 1919–1920, and since then it has been carried out once every five years. The Livestock Census is conducted by the Department of Animal Husbandry, Dairying and Fisheries under the Ministry of Agriculture. Which of the statements given above is/are correct? (a) 1 only (b) 2 only (c) Both 1 and 2 (d) Neither 1 nor 2 Correct Answer: (a) Explanation The Livestock Census is an important source of data for planning, implementation and monitoring of programmes in the livestock sector. It provides detailed statistics on the population of various livestock species across the country. Statement 1 – Correct: The first Livestock Census was conducted in 1919–1920, and it has been conducted once every five years since then. Statement 2 – Incorrect: The Livestock Census is conducted by the Department of Animal Husbandry and Dairying, which functions under the Ministry of Fisheries, Animal Husbandry and Dairying, Government of India. It is not conducted under the Ministry of Agriculture. The 21st Livestock Census was formally notified in 2024, with counting beginning in December 2024 and going on till mid-2025. For the first time, the exercise also covered animals owned by pastoral communities. Incorrect Answer: (a) Explanation The Livestock Census is an important source of data for planning, implementation and monitoring of programmes in the livestock sector. It provides detailed statistics on the population of various livestock species across the country. Statement 1 – Correct: The first Livestock Census was conducted in 1919–1920, and it has been conducted once every five years since then. Statement 2 – Incorrect: The Livestock Census is conducted by the Department of Animal Husbandry and Dairying, which functions under the Ministry of Fisheries, Animal Husbandry and Dairying, Government of India. It is not conducted under the Ministry of Agriculture. The 21st Livestock Census was formally notified in 2024, with counting beginning in December 2024 and going on till mid-2025. For the first time, the exercise also covered animals owned by pastoral communities.
#### 6. Question
Consider the following statements:
• The first Livestock Census in India was conducted during 1919–1920, and since then it has been carried out once every five years.
• The Livestock Census is conducted by the Department of Animal Husbandry, Dairying and Fisheries under the Ministry of Agriculture.
Which of the statements given above is/are correct?
• (a) 1 only
• (b) 2 only
• (c) Both 1 and 2
• (d) Neither 1 nor 2
Answer: (a)
Explanation
The Livestock Census is an important source of data for planning, implementation and monitoring of programmes in the livestock sector. It provides detailed statistics on the population of various livestock species across the country.
• Statement 1 – Correct: The first Livestock Census was conducted in 1919–1920, and it has been conducted once every five years since then.
• Statement 2 – Incorrect: The Livestock Census is conducted by the Department of Animal Husbandry and Dairying, which functions under the Ministry of Fisheries, Animal Husbandry and Dairying, Government of India. It is not conducted under the Ministry of Agriculture.
The 21st Livestock Census was formally notified in 2024, with counting beginning in December 2024 and going on till mid-2025.
• For the first time, the exercise also covered animals owned by pastoral communities.
Answer: (a)
Explanation
The Livestock Census is an important source of data for planning, implementation and monitoring of programmes in the livestock sector. It provides detailed statistics on the population of various livestock species across the country.
• Statement 1 – Correct: The first Livestock Census was conducted in 1919–1920, and it has been conducted once every five years since then.
• Statement 2 – Incorrect: The Livestock Census is conducted by the Department of Animal Husbandry and Dairying, which functions under the Ministry of Fisheries, Animal Husbandry and Dairying, Government of India. It is not conducted under the Ministry of Agriculture.
The 21st Livestock Census was formally notified in 2024, with counting beginning in December 2024 and going on till mid-2025.
• For the first time, the exercise also covered animals owned by pastoral communities.
• Question 7 of 15 7. Question 1 points According to the Economic Survey 2025-26, which sub-sector of agriculture has registered the highest annual growth rate over the last decade? (a) Crop Sector (b) Livestock Sector (c) Forestry and Logging (d) Fishing and Aquaculture Correct Answer: (d) Explanation According to the Economic Survey 2025-26, Over the last five years, the average annual growth rate in the agriculture and allied sector has been around 4.4 per cent at constant prices. In Q2 of FY 2025-26, the agriculture sector registered a growth of 3.5 per cent. The decadal growth of 4.45 per cent (FY16-FY25), the highest in comparison to previous decades, has primarily resulted from the strong performance in livestock (7.1 per cent) and fishing and aquaculture (8.8 per cent), followed by the crop sector at 3.5 per cent. Incorrect Answer: (d) Explanation According to the Economic Survey 2025-26, Over the last five years, the average annual growth rate in the agriculture and allied sector has been around 4.4 per cent at constant prices. In Q2 of FY 2025-26, the agriculture sector registered a growth of 3.5 per cent. The decadal growth of 4.45 per cent (FY16-FY25), the highest in comparison to previous decades, has primarily resulted from the strong performance in livestock (7.1 per cent) and fishing and aquaculture (8.8 per cent), followed by the crop sector at 3.5 per cent.
#### 7. Question
According to the Economic Survey 2025-26, which sub-sector of agriculture has registered the highest annual growth rate over the last decade?
• (a) Crop Sector
• (b) Livestock Sector
• (c) Forestry and Logging
• (d) Fishing and Aquaculture
Answer: (d)
Explanation
According to the Economic Survey 2025-26, Over the last five years, the average annual growth rate in the agriculture and allied sector has been around 4.4 per cent at constant prices. In Q2 of FY 2025-26, the agriculture sector registered a growth of 3.5 per cent.
The decadal growth of 4.45 per cent (FY16-FY25), the highest in comparison to previous decades, has primarily resulted from the strong performance in livestock (7.1 per cent) and fishing and aquaculture (8.8 per cent), followed by the crop sector at 3.5 per cent.
Answer: (d)
Explanation
According to the Economic Survey 2025-26, Over the last five years, the average annual growth rate in the agriculture and allied sector has been around 4.4 per cent at constant prices. In Q2 of FY 2025-26, the agriculture sector registered a growth of 3.5 per cent.
The decadal growth of 4.45 per cent (FY16-FY25), the highest in comparison to previous decades, has primarily resulted from the strong performance in livestock (7.1 per cent) and fishing and aquaculture (8.8 per cent), followed by the crop sector at 3.5 per cent.
• Question 8 of 15 8. Question 1 points Consider the following receipts in the Union Budget of India: Market borrowings. Recovery of loans from State Governments. Disinvestment proceeds from the sale of shares in Public Sector Enterprises. Income tax collections. How many of the above are classified as Capital Receipts? (a) Only two (b) Only three (c) All four (d) None Correct Answer: (b) Explanation In the Government of India’s accounting system, Capital Receipts are those that either create a liability for the government or lead to a reduction in its financial assets. The distinction between Revenue and Capital receipts depends on their impact on the government’s balance sheet (Assets and Liabilities). 1. Market Borrowings: (Capital Receipt) When the government borrows money from the market (through G-Secs or T-Bills), it creates a future repayment obligation. Since this creates a liability, it is a Debt Capital Receipt. 2. Recovery of Loans from State Governments: (Capital Receipt) When the Union government gives a loan to a State, that loan is an “Asset” on the Union’s balance sheet. When the State pays back the principal, that specific asset is reduced. Therefore, it is classified as a Non-Debt Capital Receipt. Note: The interest received on these loans is a Revenue Receipt, as it is regular income that doesn’t reduce the asset itself. 3. Disinvestment Proceeds: (Capital Receipt) Disinvestment involves selling the government’s equity (shares) in Public Sector Enterprises (PSEs). Since the government is selling an asset it owns, this results in a reduction of assets. Thus, it is a Non-Debt Capital Receipt. 4. Income Tax Collections: (Revenue Receipt) Taxes (Direct like Income Tax, or Indirect like GST) are regular, recurring sources of income for the government. They neither create a liability nor reduce any asset. Therefore, all tax collections are classified under Revenue Receipts. Value Addition Debt vs. Non-Debt Capital Receipts: Debt Receipts must be repaid in the future (Borrowings). Non-Debt Receipts do not create a repayment burden (Disinvestment, Recovery of Loans). Article 112: The Constitution of India requires the Annual Financial Statement (Budget) to distinguish expenditure on the revenue account from other expenditures, which naturally necessitates a similar distinction in receipts. Incorrect Answer: (b) Explanation In the Government of India’s accounting system, Capital Receipts are those that either create a liability for the government or lead to a reduction in its financial assets. The distinction between Revenue and Capital receipts depends on their impact on the government’s balance sheet (Assets and Liabilities). 1. Market Borrowings: (Capital Receipt) When the government borrows money from the market (through G-Secs or T-Bills), it creates a future repayment obligation. Since this creates a liability, it is a Debt Capital Receipt. 2. Recovery of Loans from State Governments: (Capital Receipt) When the Union government gives a loan to a State, that loan is an “Asset” on the Union’s balance sheet. When the State pays back the principal, that specific asset is reduced. Therefore, it is classified as a Non-Debt Capital Receipt. Note: The interest received on these loans is a Revenue Receipt, as it is regular income that doesn’t reduce the asset itself. 3. Disinvestment Proceeds: (Capital Receipt) Disinvestment involves selling the government’s equity (shares) in Public Sector Enterprises (PSEs). Since the government is selling an asset it owns, this results in a reduction of assets. Thus, it is a Non-Debt Capital Receipt. 4. Income Tax Collections: (Revenue Receipt) Taxes (Direct like Income Tax, or Indirect like GST) are regular, recurring sources of income for the government. They neither create a liability nor reduce any asset. Therefore, all tax collections are classified under Revenue Receipts. Value Addition Debt vs. Non-Debt Capital Receipts: Debt Receipts must be repaid in the future (Borrowings). Non-Debt Receipts do not create a repayment burden (Disinvestment, Recovery of Loans). Article 112: The Constitution of India requires the Annual Financial Statement (Budget) to distinguish expenditure on the revenue account from other expenditures, which naturally necessitates a similar distinction in receipts.
#### 8. Question
Consider the following receipts in the Union Budget of India:
• Market borrowings.
• Recovery of loans from State Governments.
• Disinvestment proceeds from the sale of shares in Public Sector Enterprises.
• Income tax collections.
How many of the above are classified as Capital Receipts?
• (a) Only two
• (b) Only three
• (c) All four
Answer: (b)
Explanation
In the Government of India’s accounting system, Capital Receipts are those that either create a liability for the government or lead to a reduction in its financial assets.
The distinction between Revenue and Capital receipts depends on their impact on the government’s balance sheet (Assets and Liabilities).
• 1. Market Borrowings: (Capital Receipt) When the government borrows money from the market (through G-Secs or T-Bills), it creates a future repayment obligation. Since this creates a liability, it is a Debt Capital Receipt.
• 2. Recovery of Loans from State Governments: (Capital Receipt) When the Union government gives a loan to a State, that loan is an “Asset” on the Union’s balance sheet. When the State pays back the principal, that specific asset is reduced. Therefore, it is classified as a Non-Debt Capital Receipt.
Note: The interest received on these loans is a Revenue Receipt, as it is regular income that doesn’t reduce the asset itself.
• 3. Disinvestment Proceeds: (Capital Receipt) Disinvestment involves selling the government’s equity (shares) in Public Sector Enterprises (PSEs). Since the government is selling an asset it owns, this results in a reduction of assets. Thus, it is a Non-Debt Capital Receipt.
• 4. Income Tax Collections: (Revenue Receipt) Taxes (Direct like Income Tax, or Indirect like GST) are regular, recurring sources of income for the government. They neither create a liability nor reduce any asset. Therefore, all tax collections are classified under Revenue Receipts.
Value Addition
• Debt vs. Non-Debt Capital Receipts: Debt Receipts must be repaid in the future (Borrowings). Non-Debt Receipts do not create a repayment burden (Disinvestment, Recovery of Loans).
• Debt Receipts must be repaid in the future (Borrowings).
• Non-Debt Receipts do not create a repayment burden (Disinvestment, Recovery of Loans).
• Article 112: The Constitution of India requires the Annual Financial Statement (Budget) to distinguish expenditure on the revenue account from other expenditures, which naturally necessitates a similar distinction in receipts.
Answer: (b)
Explanation
In the Government of India’s accounting system, Capital Receipts are those that either create a liability for the government or lead to a reduction in its financial assets.
The distinction between Revenue and Capital receipts depends on their impact on the government’s balance sheet (Assets and Liabilities).
• 1. Market Borrowings: (Capital Receipt) When the government borrows money from the market (through G-Secs or T-Bills), it creates a future repayment obligation. Since this creates a liability, it is a Debt Capital Receipt.
• 2. Recovery of Loans from State Governments: (Capital Receipt) When the Union government gives a loan to a State, that loan is an “Asset” on the Union’s balance sheet. When the State pays back the principal, that specific asset is reduced. Therefore, it is classified as a Non-Debt Capital Receipt.
Note: The interest received on these loans is a Revenue Receipt, as it is regular income that doesn’t reduce the asset itself.
• 3. Disinvestment Proceeds: (Capital Receipt) Disinvestment involves selling the government’s equity (shares) in Public Sector Enterprises (PSEs). Since the government is selling an asset it owns, this results in a reduction of assets. Thus, it is a Non-Debt Capital Receipt.
• 4. Income Tax Collections: (Revenue Receipt) Taxes (Direct like Income Tax, or Indirect like GST) are regular, recurring sources of income for the government. They neither create a liability nor reduce any asset. Therefore, all tax collections are classified under Revenue Receipts.
Value Addition
• Debt vs. Non-Debt Capital Receipts: Debt Receipts must be repaid in the future (Borrowings). Non-Debt Receipts do not create a repayment burden (Disinvestment, Recovery of Loans).
• Debt Receipts must be repaid in the future (Borrowings).
• Non-Debt Receipts do not create a repayment burden (Disinvestment, Recovery of Loans).
• Article 112: The Constitution of India requires the Annual Financial Statement (Budget) to distinguish expenditure on the revenue account from other expenditures, which naturally necessitates a similar distinction in receipts.
• Question 9 of 15 9. Question 1 points Consider the following statements regarding the Rural Infrastructure Development Fund (RIDF): It is maintained by NABARD and is funded by the “shortfall” in Priority Sector Lending by commercial banks. It provides low-cost loans to State Governments to complete irrigation, rural road, and bridge projects. Which of the statements given above is/are correct? (a) 1 only (b) 2 only (c) Both 1 and 2 (d) Neither 1 nor 2 Correct Answer: (c) Explanation Statement 1 is correct: The RIDF was established by the Government of India in 1995-96 and is maintained by NABARD (National Bank for Agriculture and Rural Development). Its primary source of funding is the shortfall in Priority Sector Lending (PSL). If domestic commercial banks (public or private) fail to meet their target of lending 40% of their Adjusted Net Bank Credit (ANBC) to priority sectors, they are required to deposit the shortfall amount into the RIDF. Statement 2 is correct: The main objective of the fund is to provide low-cost, long-term credit to State Governments and State-owned corporations. This capital is specifically intended for the quick completion of ongoing and new projects in the “rural” domain, which are currently categorized into three major areas: Agriculture and Related Sectors (Irrigation, soil conservation, forest development). Rural Social Sectors (Schools, health centers, drinking water). Rural Connectivity (Rural roads and bridges). Value Addition Priority Sector Lending (PSL) Connection: For foreign banks with 20 or more branches, the same rule applies. If they fail to hit their targets, their shortfall is also diverted to the RIDF or other small-scale funds. Impact on Irrigation: A massive portion of RIDF funding historically goes into Minor Irrigation projects, as these provide the quickest return on investment for rural productivity. Incorrect Answer: (c) Explanation Statement 1 is correct: The RIDF was established by the Government of India in 1995-96 and is maintained by NABARD (National Bank for Agriculture and Rural Development). Its primary source of funding is the shortfall in Priority Sector Lending (PSL). If domestic commercial banks (public or private) fail to meet their target of lending 40% of their Adjusted Net Bank Credit (ANBC) to priority sectors, they are required to deposit the shortfall amount into the RIDF. Statement 2 is correct: The main objective of the fund is to provide low-cost, long-term credit to State Governments and State-owned corporations. This capital is specifically intended for the quick completion of ongoing and new projects in the “rural” domain, which are currently categorized into three major areas: Agriculture and Related Sectors (Irrigation, soil conservation, forest development). Rural Social Sectors (Schools, health centers, drinking water). Rural Connectivity (Rural roads and bridges). Value Addition Priority Sector Lending (PSL) Connection: For foreign banks with 20 or more branches, the same rule applies. If they fail to hit their targets, their shortfall is also diverted to the RIDF or other small-scale funds. Impact on Irrigation: A massive portion of RIDF funding historically goes into Minor Irrigation projects, as these provide the quickest return on investment for rural productivity.
#### 9. Question
Consider the following statements regarding the Rural Infrastructure Development Fund (RIDF):
• It is maintained by NABARD and is funded by the “shortfall” in Priority Sector Lending by commercial banks.
• It provides low-cost loans to State Governments to complete irrigation, rural road, and bridge projects.
Which of the statements given above is/are correct?
• (a) 1 only
• (b) 2 only
• (c) Both 1 and 2
• (d) Neither 1 nor 2
Answer: (c)
Explanation
• Statement 1 is correct: The RIDF was established by the Government of India in 1995-96 and is maintained by NABARD (National Bank for Agriculture and Rural Development). Its primary source of funding is the shortfall in Priority Sector Lending (PSL). If domestic commercial banks (public or private) fail to meet their target of lending 40% of their Adjusted Net Bank Credit (ANBC) to priority sectors, they are required to deposit the shortfall amount into the RIDF.
• Statement 2 is correct: The main objective of the fund is to provide low-cost, long-term credit to State Governments and State-owned corporations. This capital is specifically intended for the quick completion of ongoing and new projects in the “rural” domain, which are currently categorized into three major areas: Agriculture and Related Sectors (Irrigation, soil conservation, forest development). Rural Social Sectors (Schools, health centers, drinking water). Rural Connectivity (Rural roads and bridges).
• Agriculture and Related Sectors (Irrigation, soil conservation, forest development).
• Rural Social Sectors (Schools, health centers, drinking water).
• Rural Connectivity (Rural roads and bridges).
Value Addition
• Priority Sector Lending (PSL) Connection: For foreign banks with 20 or more branches, the same rule applies. If they fail to hit their targets, their shortfall is also diverted to the RIDF or other small-scale funds.
• Impact on Irrigation: A massive portion of RIDF funding historically goes into Minor Irrigation projects, as these provide the quickest return on investment for rural productivity.
Answer: (c)
Explanation
• Statement 1 is correct: The RIDF was established by the Government of India in 1995-96 and is maintained by NABARD (National Bank for Agriculture and Rural Development). Its primary source of funding is the shortfall in Priority Sector Lending (PSL). If domestic commercial banks (public or private) fail to meet their target of lending 40% of their Adjusted Net Bank Credit (ANBC) to priority sectors, they are required to deposit the shortfall amount into the RIDF.
• Statement 2 is correct: The main objective of the fund is to provide low-cost, long-term credit to State Governments and State-owned corporations. This capital is specifically intended for the quick completion of ongoing and new projects in the “rural” domain, which are currently categorized into three major areas: Agriculture and Related Sectors (Irrigation, soil conservation, forest development). Rural Social Sectors (Schools, health centers, drinking water). Rural Connectivity (Rural roads and bridges).
• Agriculture and Related Sectors (Irrigation, soil conservation, forest development).
• Rural Social Sectors (Schools, health centers, drinking water).
• Rural Connectivity (Rural roads and bridges).
Value Addition
• Priority Sector Lending (PSL) Connection: For foreign banks with 20 or more branches, the same rule applies. If they fail to hit their targets, their shortfall is also diverted to the RIDF or other small-scale funds.
• Impact on Irrigation: A massive portion of RIDF funding historically goes into Minor Irrigation projects, as these provide the quickest return on investment for rural productivity.
• Question 10 of 15 10. Question 1 points The “Blue Ports Initiative” in India has been launched by the Government of India in partnership with which international organization? (a) World Bank (b) United Nations Environment Programme (UNEP) (c) International Maritime Organization (IMO) (d) Food and Agriculture Organization (FAO) Correct Answer: (d) Explanation Blue Ports Initiative: Launched by: Government of India in partnership with FAO. Under: Pradhan Mantri Matsya Sampada Yojana (PMMSY). Objective: To establish model fishing harbours that integrate blue economy principles for sustainable marine growth. Key Features: Three Pilot Harbours: Vanakbara (Daman & Diu), Karaikal (Puducherry), and Jakhau (Gujarat). Smart Technologies: Use of AI, data analytics, and remote sensing for efficient port management. Eco-Infrastructure: Emphasis on energy-efficient lighting, electric equipment, composting, and waste recycling. Value Chain Enhancement: Improves fish landing, processing, storage, and market linkage to boost coastal livelihoods. International Collaboration: Aligns with FAO’s Blue Growth agenda to leverage global best practices in marine conservation. Incorrect Answer: (d) Explanation Blue Ports Initiative: Launched by: Government of India in partnership with FAO. Under: Pradhan Mantri Matsya Sampada Yojana (PMMSY). Objective: To establish model fishing harbours that integrate blue economy principles for sustainable marine growth. Key Features: Three Pilot Harbours: Vanakbara (Daman & Diu), Karaikal (Puducherry), and Jakhau (Gujarat). Smart Technologies: Use of AI, data analytics, and remote sensing for efficient port management. Eco-Infrastructure: Emphasis on energy-efficient lighting, electric equipment, composting, and waste recycling. Value Chain Enhancement: Improves fish landing, processing, storage, and market linkage to boost coastal livelihoods. International Collaboration: Aligns with FAO’s Blue Growth agenda to leverage global best practices in marine conservation.
#### 10. Question
The “Blue Ports Initiative” in India has been launched by the Government of India in partnership with which international organization?
• (a) World Bank
• (b) United Nations Environment Programme (UNEP)
• (c) International Maritime Organization (IMO)
• (d) Food and Agriculture Organization (FAO)
Answer: (d)
Explanation
Blue Ports Initiative:
• Launched by: Government of India in partnership with FAO.
• Under: Pradhan Mantri Matsya Sampada Yojana (PMMSY).
• Objective: To establish model fishing harbours that integrate blue economy principles for sustainable marine growth.
• Key Features: Three Pilot Harbours: Vanakbara (Daman & Diu), Karaikal (Puducherry), and Jakhau (Gujarat). Smart Technologies: Use of AI, data analytics, and remote sensing for efficient port management. Eco-Infrastructure: Emphasis on energy-efficient lighting, electric equipment, composting, and waste recycling. Value Chain Enhancement: Improves fish landing, processing, storage, and market linkage to boost coastal livelihoods. International Collaboration: Aligns with FAO’s Blue Growth agenda to leverage global best practices in marine conservation.
• Three Pilot Harbours: Vanakbara (Daman & Diu), Karaikal (Puducherry), and Jakhau (Gujarat).
• Smart Technologies: Use of AI, data analytics, and remote sensing for efficient port management.
• Eco-Infrastructure: Emphasis on energy-efficient lighting, electric equipment, composting, and waste recycling.
• Value Chain Enhancement: Improves fish landing, processing, storage, and market linkage to boost coastal livelihoods.
• International Collaboration: Aligns with FAO’s Blue Growth agenda to leverage global best practices in marine conservation.
Answer: (d)
Explanation
Blue Ports Initiative:
• Launched by: Government of India in partnership with FAO.
• Under: Pradhan Mantri Matsya Sampada Yojana (PMMSY).
• Objective: To establish model fishing harbours that integrate blue economy principles for sustainable marine growth.
• Key Features: Three Pilot Harbours: Vanakbara (Daman & Diu), Karaikal (Puducherry), and Jakhau (Gujarat). Smart Technologies: Use of AI, data analytics, and remote sensing for efficient port management. Eco-Infrastructure: Emphasis on energy-efficient lighting, electric equipment, composting, and waste recycling. Value Chain Enhancement: Improves fish landing, processing, storage, and market linkage to boost coastal livelihoods. International Collaboration: Aligns with FAO’s Blue Growth agenda to leverage global best practices in marine conservation.
• Three Pilot Harbours: Vanakbara (Daman & Diu), Karaikal (Puducherry), and Jakhau (Gujarat).
• Smart Technologies: Use of AI, data analytics, and remote sensing for efficient port management.
• Eco-Infrastructure: Emphasis on energy-efficient lighting, electric equipment, composting, and waste recycling.
• Value Chain Enhancement: Improves fish landing, processing, storage, and market linkage to boost coastal livelihoods.
• International Collaboration: Aligns with FAO’s Blue Growth agenda to leverage global best practices in marine conservation.
• Question 11 of 15 11. Question 1 points A, B, and C are employed to do a piece of work for ₹5,290. A and B together are supposed to do 19/23 of the work and B and C together 8/23 of the work. What amount should be paid to A? (a) ₹2,250 (b) ₹3,450 (c) ₹3,750 (d) ₹4,150 Correct Correct Answer: (b) Explanation: Wages are distributed in the ratio of work done. Total work = 23 units. Work done by (A + B) = 19 units → Work done by C = 23 − 19 = 4 units. Work done by (B + C) = 8 units → Work done by B = 8 − Work of C = 8 − 4 = 4 units. Work done by A = 23 − (Work of B + Work of C) = 23 − (4 + 4) = 15 units. Ratio of work A:B:C = 15 : 4 : 4. A’s share = (15/23) × 5290. 5290 / 23 = 230. 15 × 230 = 3,450. Incorrect Correct Answer: (b) Explanation: Wages are distributed in the ratio of work done. Total work = 23 units. Work done by (A + B) = 19 units → Work done by C = 23 − 19 = 4 units. Work done by (B + C) = 8 units → Work done by B = 8 − Work of C = 8 − 4 = 4 units. Work done by A = 23 − (Work of B + Work of C) = 23 − (4 + 4) = 15 units. Ratio of work A:B:C = 15 : 4 : 4. A’s share = (15/23) × 5290. 5290 / 23 = 230. 15 × 230 = 3,450.
#### 11. Question
A, B, and C are employed to do a piece of work for ₹5,290. A and B together are supposed to do 19/23 of the work and B and C together 8/23 of the work. What amount should be paid to A?
• (a) ₹2,250
• (b) ₹3,450
• (c) ₹3,750
• (d) ₹4,150
Correct Answer: (b)
Explanation:
Wages are distributed in the ratio of work done.
Total work = 23 units.
Work done by (A + B) = 19 units → Work done by C = 23 − 19 = 4 units.
Work done by (B + C) = 8 units → Work done by B = 8 − Work of C = 8 − 4 = 4 units.
Work done by A = 23 − (Work of B + Work of C) = 23 − (4 + 4) = 15 units.
Ratio of work A:B:C = 15 : 4 : 4.
A’s share = (15/23) × 5290.
5290 / 23 = 230.
15 × 230 = 3,450.
Correct Answer: (b)
Explanation:
Wages are distributed in the ratio of work done.
Total work = 23 units.
Work done by (A + B) = 19 units → Work done by C = 23 − 19 = 4 units.
Work done by (B + C) = 8 units → Work done by B = 8 − Work of C = 8 − 4 = 4 units.
Work done by A = 23 − (Work of B + Work of C) = 23 − (4 + 4) = 15 units.
Ratio of work A:B:C = 15 : 4 : 4.
A’s share = (15/23) × 5290.
5290 / 23 = 230.
15 × 230 = 3,450.
• Question 12 of 15 12. Question 1 points Three pipes A, B, and C can fill a tank in 12 hours, 15 hours, and 20 hours respectively. Pipe A remains open throughout, while B and C are opened for one hour each alternately, starting with B. In how many hours will the tank be completely filled? (a) 6 hours (b) 7 hours (c) 8 hours (d) 10 hours Correct Correct Answer: (b) Explanation Let the total capacity of the tank be the LCM of 12, 15, and 20 = 60 units. Efficiency of pipes: Pipe Work per hour A 60/12 = 5 units B 60/15 = 4 units C 60/20 = 3 units Since B and C work alternately, the work pattern will be: Hour 1: A + B → 5 + 4 = 9 units Hour 2: A + C → 5 + 3 = 8 units Thus, in 2 hours, total work done: 9+ 8 = 17 units In 6 hours (3 such cycles):17×3 = 51 units Remaining work:60-51= 9units During the 7th hour, pipes A + B are working. Work done in 1 hour: 5+4 = 9 units Thus, the remaining 9 units will be completed exactly in 1 hour. Total time = 6+1= 7 hours Incorrect Correct Answer: (b) Explanation Let the total capacity of the tank be the LCM of 12, 15, and 20 = 60 units. Efficiency of pipes: Pipe Work per hour A 60/12 = 5 units B 60/15 = 4 units C 60/20 = 3 units Since B and C work alternately, the work pattern will be: Hour 1: A + B → 5 + 4 = 9 units Hour 2: A + C → 5 + 3 = 8 units Thus, in 2 hours, total work done: 9+ 8 = 17 units In 6 hours (3 such cycles):17×3 = 51 units Remaining work:60-51= 9units During the 7th hour, pipes A + B are working. Work done in 1 hour: 5+4 = 9 units Thus, the remaining 9 units will be completed exactly in 1 hour. Total time = 6+1= 7 hours
#### 12. Question
Three pipes A, B, and C can fill a tank in 12 hours, 15 hours, and 20 hours respectively. Pipe A remains open throughout, while B and C are opened for one hour each alternately, starting with B.
In how many hours will the tank be completely filled?
• (a) 6 hours
• (b) 7 hours
• (c) 8 hours
• (d) 10 hours
Correct Answer: (b)
Explanation
Let the total capacity of the tank be the LCM of 12, 15, and 20 = 60 units.
Efficiency of pipes:
Pipe | Work per hour
A | 60/12 = 5 units
B | 60/15 = 4 units
C | 60/20 = 3 units
Since B and C work alternately, the work pattern will be:
Hour 1: A + B → 5 + 4 = 9 units Hour 2: A + C → 5 + 3 = 8 units
Thus, in 2 hours, total work done: 9+ 8 = 17 units
In 6 hours (3 such cycles):17×3 = 51 units
Remaining work:60-51= 9units
During the 7th hour, pipes A + B are working.
Work done in 1 hour: 5+4 = 9 units
Thus, the remaining 9 units will be completed exactly in 1 hour. Total time = 6+1= 7 hours
Correct Answer: (b)
Explanation
Let the total capacity of the tank be the LCM of 12, 15, and 20 = 60 units.
Efficiency of pipes:
Pipe | Work per hour
A | 60/12 = 5 units
B | 60/15 = 4 units
C | 60/20 = 3 units
Since B and C work alternately, the work pattern will be:
Hour 1: A + B → 5 + 4 = 9 units Hour 2: A + C → 5 + 3 = 8 units
Thus, in 2 hours, total work done: 9+ 8 = 17 units
In 6 hours (3 such cycles):17×3 = 51 units
Remaining work:60-51= 9units
During the 7th hour, pipes A + B are working.
Work done in 1 hour: 5+4 = 9 units
Thus, the remaining 9 units will be completed exactly in 1 hour. Total time = 6+1= 7 hours
• Question 13 of 15 13. Question 1 points A can do a piece of work in 20 days and B in 30 days. They work together for 7 days and then both leave. Then C alone finishes the remaining work in 10 days. In how many days will C finish the full work? (a) 12 days (b) 15 days (c) 20 days (d) 24 days Correct Correct Answer: (d) Explanation: Total work = 60 units (LCM of 20, 30). Efficiencies: A = 3 units/day B = 2 units/day Together (A+B) = 5 units/day. In 7 days, they complete 5 × 7 = 35 units. Remaining work = 60 − 35 = 25 units. C finishes 25 units in 10 days → C’s efficiency = 25 / 10 = 2.5 units/day. Time for C to finish full work = 60 / 2.5 = 24 days. Incorrect Correct Answer: (d) Explanation: Total work = 60 units (LCM of 20, 30). Efficiencies: A = 3 units/day B = 2 units/day Together (A+B) = 5 units/day. In 7 days, they complete 5 × 7 = 35 units. Remaining work = 60 − 35 = 25 units. C finishes 25 units in 10 days → C’s efficiency = 25 / 10 = 2.5 units/day. Time for C to finish full work = 60 / 2.5 = 24 days.
#### 13. Question
A can do a piece of work in 20 days and B in 30 days. They work together for 7 days and then both leave. Then C alone finishes the remaining work in 10 days. In how many days will C finish the full work?
• (a) 12 days
• (b) 15 days
• (c) 20 days
• (d) 24 days
Correct Answer: (d)
Explanation:
Total work = 60 units (LCM of 20, 30).
Efficiencies: A = 3 units/day B = 2 units/day
Together (A+B) = 5 units/day.
In 7 days, they complete 5 × 7 = 35 units.
Remaining work = 60 − 35 = 25 units.
C finishes 25 units in 10 days → C’s efficiency = 25 / 10 = 2.5 units/day.
Time for C to finish full work = 60 / 2.5 = 24 days.
Correct Answer: (d)
Explanation:
Total work = 60 units (LCM of 20, 30).
Efficiencies: A = 3 units/day B = 2 units/day
Together (A+B) = 5 units/day.
In 7 days, they complete 5 × 7 = 35 units.
Remaining work = 60 − 35 = 25 units.
C finishes 25 units in 10 days → C’s efficiency = 25 / 10 = 2.5 units/day.
Time for C to finish full work = 60 / 2.5 = 24 days.
• Question 14 of 15 14. Question 1 points Consider the following statements about a project involving workers: If 10 men can do a work in 10 days, 1 man will take 100 days. If the number of workers is doubled and the work is halved, the time taken becomes one-fourth. Which of the statements given above is/are correct? (a) 1 only (b) 2 only (c) Both 1 and 2 (d) Neither 1 nor 2 Correct Correct Answer: (c) Explanation: Statement 1 – Correct Total work = Men × Days 10 men × 10 days = 100 man-days So if only 1 man does the same work: 1 man × Days = 100 Days = 100 Thus, 1 man will take 100 days. Statement 2 – Correct Basic relation: Work = Workers × Time × Efficiency Assume efficiency is constant. If workers double (2M) and work becomes half (W/2): W/2 = 2M × Tnew × E Original equation: W = M × Told × E Dividing both equations: (W/2) / W = (2M × Tnew × E) / (M × Told × E) 1/2 = 2 × (Tnew / Told) Tnew / Told = 1/4 So new time becomes one-fourth of the original time. Therefore, both statements are correct. Incorrect Correct Answer: (c) Explanation: Statement 1 – Correct Total work = Men × Days 10 men × 10 days = 100 man-days So if only 1 man does the same work: 1 man × Days = 100 Days = 100 Thus, 1 man will take 100 days. Statement 2 – Correct Basic relation: Work = Workers × Time × Efficiency Assume efficiency is constant. If workers double (2M) and work becomes half (W/2): W/2 = 2M × Tnew × E Original equation: W = M × Told × E Dividing both equations: (W/2) / W = (2M × Tnew × E) / (M × Told × E) 1/2 = 2 × (Tnew / Told) Tnew / Told = 1/4 So new time becomes one-fourth of the original time. Therefore, both statements are correct.
#### 14. Question
Consider the following statements about a project involving workers:
• If 10 men can do a work in 10 days, 1 man will take 100 days.
• If the number of workers is doubled and the work is halved, the time taken becomes one-fourth.
Which of the statements given above is/are correct?
• (a) 1 only
• (b) 2 only
• (c) Both 1 and 2
• (d) Neither 1 nor 2
Correct Answer: (c)
Explanation:
Statement 1 – Correct Total work = Men × Days
10 men × 10 days = 100 man-days
So if only 1 man does the same work:
1 man × Days = 100 Days = 100
Thus, 1 man will take 100 days.
Statement 2 – Correct Basic relation:
Work = Workers × Time × Efficiency
Assume efficiency is constant.
If workers double (2M) and work becomes half (W/2):
W/2 = 2M × Tnew × E
Original equation:
W = M × Told × E
Dividing both equations:
(W/2) / W = (2M × Tnew × E) / (M × Told × E)
1/2 = 2 × (Tnew / Told)
Tnew / Told = 1/4
So new time becomes one-fourth of the original time.
Therefore, both statements are correct.
Correct Answer: (c)
Explanation:
Statement 1 – Correct Total work = Men × Days
10 men × 10 days = 100 man-days
So if only 1 man does the same work:
1 man × Days = 100 Days = 100
Thus, 1 man will take 100 days.
Statement 2 – Correct Basic relation:
Work = Workers × Time × Efficiency
Assume efficiency is constant.
If workers double (2M) and work becomes half (W/2):
W/2 = 2M × Tnew × E
Original equation:
W = M × Told × E
Dividing both equations:
(W/2) / W = (2M × Tnew × E) / (M × Told × E)
1/2 = 2 × (Tnew / Told)
Tnew / Told = 1/4
So new time becomes one-fourth of the original time.
Therefore, both statements are correct.
• Question 15 of 15 15. Question 1 points Read the following passage and answer the items that follow the passages. Your answer to these items should be based on the passages only. Passage In recent years, urban India has witnessed a remarkable surge in start-ups, particularly in the digital and service sectors. This entrepreneurial wave has been celebrated as a driver of innovation, job creation, and global competitiveness. However, concerns remain about its sustainability. Many start-ups rely heavily on venture capital and are pressured into prioritizing rapid expansion over long-term stability. This often leads to unsustainable business models, excessive spending on customer acquisition, and high employee turnover. Furthermore, the benefits of this start-up boom are unevenly distributed, concentrated in metropolitan hubs, while smaller towns and rural areas remain largely excluded. The challenge lies in balancing innovation with stability and inclusivity, ensuring that entrepreneurship contributes to broad-based economic development rather than deepening regional disparities. Which one of the following statements best reflects the central idea of the passage? (a) Venture capital funding should be completely stopped to ensure sustainability of start-ups. (b) Start-ups in India have generated more inequality than innovation. (c) The start-up ecosystem must focus not just on growth but also on stability and inclusivity. (d) The success of start-ups is confined only to metropolitan cities. Correct Correct Answer: (c) Explanation: Option (a) is incorrect because the passage does not advocate stopping venture capital but highlights over-dependence on it. Option (b) is misleading since the passage recognizes innovation and job creation; it does not reduce the start-up story only to inequality. Option (d) is partially true — benefits are indeed concentrated in metros, but the passage’s central idea is broader: not just location, but the balance between growth, stability, and inclusivity. Option (c) is correct because the passage explicitly calls for balancing innovation with long-term sustainability and ensuring that entrepreneurship contributes to inclusive development, rather than remaining metro-centric. Hence, option (c) best captures the central idea. Incorrect Correct Answer: (c) Explanation: Option (a) is incorrect because the passage does not advocate stopping venture capital but highlights over-dependence on it. Option (b) is misleading since the passage recognizes innovation and job creation; it does not reduce the start-up story only to inequality. Option (d) is partially true — benefits are indeed concentrated in metros, but the passage’s central idea is broader: not just location, but the balance between growth, stability, and inclusivity. Option (c) is correct because the passage explicitly calls for balancing innovation with long-term sustainability and ensuring that entrepreneurship contributes to inclusive development, rather than remaining metro-centric. Hence, option (c) best captures the central idea.
#### 15. Question
Read the following passage and answer the items that follow the passages. Your answer to these items should be based on the passages only.
Passage
In recent years, urban India has witnessed a remarkable surge in start-ups, particularly in the digital and service sectors. This entrepreneurial wave has been celebrated as a driver of innovation, job creation, and global competitiveness. However, concerns remain about its sustainability. Many start-ups rely heavily on venture capital and are pressured into prioritizing rapid expansion over long-term stability. This often leads to unsustainable business models, excessive spending on customer acquisition, and high employee turnover. Furthermore, the benefits of this start-up boom are unevenly distributed, concentrated in metropolitan hubs, while smaller towns and rural areas remain largely excluded. The challenge lies in balancing innovation with stability and inclusivity, ensuring that entrepreneurship contributes to broad-based economic development rather than deepening regional disparities.
Which one of the following statements best reflects the central idea of the passage?
• (a) Venture capital funding should be completely stopped to ensure sustainability of start-ups.
• (b) Start-ups in India have generated more inequality than innovation.
• (c) The start-up ecosystem must focus not just on growth but also on stability and inclusivity.
• (d) The success of start-ups is confined only to metropolitan cities.
Correct Answer: (c)
Explanation:
Option (a) is incorrect because the passage does not advocate stopping venture capital but highlights over-dependence on it. Option (b) is misleading since the passage recognizes innovation and job creation; it does not reduce the start-up story only to inequality. Option (d) is partially true — benefits are indeed concentrated in metros, but the passage’s central idea is broader: not just location, but the balance between growth, stability, and inclusivity. Option (c) is correct because the passage explicitly calls for balancing innovation with long-term sustainability and ensuring that entrepreneurship contributes to inclusive development, rather than remaining metro-centric. Hence, option (c) best captures the central idea.
Correct Answer: (c)
Explanation:
Option (a) is incorrect because the passage does not advocate stopping venture capital but highlights over-dependence on it. Option (b) is misleading since the passage recognizes innovation and job creation; it does not reduce the start-up story only to inequality. Option (d) is partially true — benefits are indeed concentrated in metros, but the passage’s central idea is broader: not just location, but the balance between growth, stability, and inclusivity. Option (c) is correct because the passage explicitly calls for balancing innovation with long-term sustainability and ensuring that entrepreneurship contributes to inclusive development, rather than remaining metro-centric. Hence, option (c) best captures the central idea.
Join our Official Telegram Channel HERE
Please subscribe to Our podcast channel HERE
Follow our Twitter Account HERE
Follow our Instagram ID HERE