Passage: “Economic Growth may be defined as a sustained increase in its population and product per capita”. But economic development is not the same thing as economic growth. Economic development implies progressive changes in the socio-economic structure of a country. Economic growth implies not only more outputs, but also more inputs and more efficiency, i.e. an increase in output per unit of input, or in other words, an increasing productive capacity of the economy. Development, however, is something more than that. It is ‘growth plus change’. Development implies changes in the structure of output and in the allocation of inputs by sectors.

1. The author’s viewpoint can be best summed up in which of the following statements?

(a) Economic growth and economic development are interrelated but is not the same thing.

(b) Economic development is directly proportional to economic growth. Increase in a country’s economy generally improves the life of that country’s people.

(c) Economic growth is sustained increase in the amount of goods and services produced, keeping in mind the inflation at a particular time, but economic development is usually indicated by an increase in quality of life.

(d) Economic growth and economic development are the same thing. Growth in economy leads to the betterment of people’s life.

 Answer: (c)

Passage: Modern climate change is dominated by human influences, which are now large enough to exceed the bounds of natural variability. The main source of global climate change is human-induced changes in atmospheric composition. These perturbations primarily result from emissions associated with energy use, but on local and regional scales, urbanization and land use changes are also important. Although, there has been progress in monitoring and understanding climate change, there remain many scientific, technical and institutional impediments to precisely planning for, adapting to, and mitigating the effects of climate change. There is still considerable uncertainty about the rates of change that can be expected, but it is clear that these changes will be increasingly manifested in important and tangible ways, such as changes in extremes of temperature and precipitation, decreases in seasonal and perennial snow, ice extent and sea level rise.

2. With reference to the above passage, the following assumptions have been made

1. Many scientific and institutional impediments are still prevalent to plan, to adapt, or to mitigate the effects of climate change.

2. Climate change is not the result of human activities alone.

Which of the above is/are valid assumptions(s)?

(a) 1 only  (b) Both  (c) 2 only   (d) None

Answer: (a)

Passage: The possible effects of Chinese slowdown on the Indian economy seems less alarming, mainly because of India’s relatively lower export dependence on China. On the other hand, China’s slowdown has aided and partially driven the global fall in commodity prices, since mid-2014 which has helped India, since it is a large commodity importer. In fact, India’s economic fundamentals as of now appear better poised for faster growth when compared with China.

3. What is the most logical, rational and crucial message that is implied from the above passage?

(a) Indian economy has suffered due to Chinese slowdown

(b) Indian economy is in much better fundamentals after Chinese slowdown

(c) The effect of Chinese slowdown on Indian economy has been of lesser consequence because of India’s lower export dependence on china and being a large commodity importer, whose prices have gone down globally

(d) India can expect a faster growth and better economic front after the Chinese economy slowdown.

Answer: (c)

Passage: Micro Finance Institutions (MFIs) dominated the second set of differentiated and small finance banks announced by RBI on Wednesday 17^th September, 2015. The entry of Micro Finance Institutions in the small finance banks segment is a revolutionary step, since these entities are well-familiar with the nuances of banking with the poor borrowers. MFIs were so far not allowed to accept deposits and engaged in extending credit after sourcing money from commercial banks. By tapping public deposits, these institutions can lower their cost of borrowing and bring don their rate of interest on loans. This is a golden opportunity to microlenders to reinvent themselves after facing major crisis in 2010.

4. Which of the following best sums up the above passage?

(a) The decision of RBI to give licenses to Micro Finance Institutions is a revolutionary step.

(b) RBI has understood these MFIs ability to provide banking facilities to the masses in Asia’s third largest economy, i.e. India

(c) This decision is a golden opportunity for MFIs to reinvent themselves after their almost collapse, just 5 years ago.

(d) RBI has revolutionized banking by granting license to the MFIs as it recognized their ability to offer banking services to the neediest and the neglected lot.

Answer: (d)

Passage: Right to privacy has come to its existence after widening up the dimension of Article 21 of Indian Constitution. This right includes the right to be let alone, to be free from any unwarranted publicity, the right to live without any unwarranted interference by the public in personal matter. Like everything mankind achieved, there has been a positive and a negative side to it. Technology has invaded every part of our lives whether it was desired or not. In today’s world, whatever you may do, the world will get to know before you realize it. Surveillance by any agency must be to stop crime not to invade in the totally personal matters of an individual.

5. Which one of the following statements is the most convincing explanations for the above passage?

(a) The Right to privacy is a natural right which is duly supported by Article 21 of the constitution.

(b) Under Indian Constitution, right to privacy negates the idea of living in a democratic set-up.

(c) The Right to Privacy allows a person the right to be let alone and safeguard the privacy of his own family, marriage, procreation, child bearing and education; and his right should not be encroached upon unless state’s security comes under threat or a crime is to be averted.

(d) An addition of Right to Privacy in Article 21 of the constitution as an advancement in technology has invaded, every part of our lives whether it was desired or not.

Answer: (c)