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Industry & Infrastructure — UPSC Prelims Economy previous year questions — page 2

57 solved previous year questions on Industry & Infrastructure, papers from 1994 to 2023, drawn from UPSC CSE Prelims, UPSC CDS, State PCS. Each carries the printed answer key and the explanation from the source compilation.

1. #41Practice set
   In the context of Make in India policy, consider the following statements: 1. The policy aims at improving India's rank on the Ease of Doing Business index. 2. The focus of Make in India programme is on manufacturing sector only.Which of the above statements is/are incorrect?
   • A1 only
   • B2 only
   • CBoth 1 and 2
   • DNeither 1 nor 2
   Answer: (B) 2 only
   Explanation

   Option bis the correct l is correct. The Make iu programme improving India's rank on the Ease of Doing Business eliminating the unnecessary laws and regulations, processes easier, making the government responsive and 2 is incorrect. The focus of Make in is not just on Manufacturing sector but other sectors. There are 25 thrust areas manufacturing and services under make in These include hospitality, education, Ivianagement, Defence manufacturing etc

2. #42Practice set
   With respect to National Investment and Infrastructure Fund (NIIF), consider the following statement:l. It's a category-II Alternate Investment Fund. 2. Indian government owns of the stake in NIIF, rest held by foreign and domestic investors.Which of the statements given above is/are correct?
   • A1 only
   • B2 only
   • CNeither 1 nor 2
   • DBoth 1 and 2
   Answer: (A) 1 only
   Explanation

   Option a is the correct l is correct: The Rs 40,000-crore NIIF was set up Alternative Investment Fund (AIF) in as an institution for enhancing infrastructure investing in greenfield (new), brownfield (existing) 2 is incorrect: The Indian government has in NIIF with the rest held by foreign and

3. #43Practice set
   With reference to Special Economic Zones (SEZ) Act, 2005, consider the following statement. 1. It extends to the whole of India. 2. It is deemed to be a foreign territory for the purposes of trade operations, duties and tariffs. 3. It can be set up for manufacturing of goods but not for services. 4. Baba Kalyani committee was constituted to look into SEZ policy in India.How many of the statements given above are correct?
   • AOnly one
   • BOnly two
   • COnly three
   • DAll four
   Answer: (C) Only three
   Explanation

   Option c is the correct Special Economic Zones (SEZ) Act, 2005 extends whole of India. Special Economic Zone is a duty-free enclave and shall be deemed to territory for the purposes of trade operations and can be set up for manufacturing of goods as well as services. The Baba Kalyani led committee by the Ministry of Commerce and Industry the SEZ policy of India and had submitted in November icebook

4. #44Practice set
   With reference to new definition of MSME which of the following pairs is/ are correctly matched? 53. Unit 1. Micro A. Companies with Invest- Units ments up to Rs 1 crore Turnover of below Rs 5 crore 2. Small Units Companies with Investment of up to Rs 100 crore Turnover of below 500 crores 3. Medium Companies with Units Investment of up to Rs 500 crore Turnover of below Rs croreSelect the correct answer using the code given below
   • A1 only
   • B2 and 3 only
   • C2 only
   • D1, 2 and 3
   Answer: (A) 1 only
   Explanation

   Option a is the correct 1 is correctly matched. Micro units: MSMEs will called Micro units if they have investments upto Rs 1 and turnover of less than Rs 5 crore. The was on investment criteria of up to Rs 10 lakh MSMEs earlier and Rs 25 lakh or 2 is incorrectly matched. Small units: For an be defined as a Small unit, its investment limit has from Rs 5 crore to Rs 10 crore with a turnover than 50 crore. This applies to all MSMEs including enterprises which earlier came under investment to Rs 2 3 is incorrectly matched. Medium units: investments up to Rs 20 crore with a turnover of Rs 100 crore will now be called Medium units. investment limit for Medium units was up to Rs 10 Service enterprises up to Rs 5 crore

5. #45Practice set
   With reference to Companies amendment act 2020, consider the following statements: 1. It decriminalizes certain including fraud and injury to public interest. 2. It seeks to establish benches of the National Company Law Appellate Tribunal in New Delhi. 3. The central government can allow certain companies to list securities in foreign jurisdictions. 55.How many of the statements given above are correct?
   • AOnly one
   • BOnly two
   • CAll three
   • DNone
   Answer: (B) Only two
   Explanation

   Option b is the correct l is incorrect. The company's amendment removes the penalty, imprisonment for 9 relate to non-compliance with orders of the law tribunal (NCLT) and reduces the amount payable in certain cases. However, there will be for serious offences, including fraud and cause injury to public 2 is correct. The Act provides to. of the National Company Law Appellate New 3 is correct. The Act empowers the to allow certain classes of public companies classes of securities in foreign jurisdictions

6. #46Practice set
   Consider the following statements with reference to National Monetisation Pipeline (NMP): 1. Under the NMP, the transfer of the revenue rights is done and not the ownership in the projects. 2. In the NMP, only the assets of Central Government and Central Public Sector Enterprises (CPSEs) in infrastructure sectors have been included. 3. The amount raised through National Monetisation Pipeline would aid the National Infrastructure Pipeline.How many of the statements given above are correct?
   • AOnly one
   • BOnly two
   • CAll three
   • DNone
   Answer: (C) All three
   Explanation

   Option c is the corred 1 is correct: NMP aims to unlock value projects by engaging the private to them revenue rights and not ownership in and using the funds so generated for across the 2 is coi'fed: Budgel 2021 22 has of operating public infrastructure assets as means for sustainable infrastructure financing. assets of central government line ministries and Sector Enterprises (CPSEs) in infrastructure been 3 is correct: As per the NMP, it would be aiding Infrastructure Pipeline (NIP) by getting the infrastructure creation across the country. The to be raised through monetization under Pipeline is around of the proposed the Centre of Rs 43 lakh crore under NIP

7. #47Practice set
   With reference to the National Pharmaceutical Pricing Authority (NPPA), consider the following statements: 1. It is an independent office functioning under the Ministry of Health and Family Welfare. 2. It monitors the prices of both controlled and decontrolled drugs in India. 3. If the consumers have been overcharged for controlled drugs, NPPA can recover these overcharged amounts from manufacturers.How many of the statements given above are correct?
   • AOnly one
   • BOnly two
   • CAll three
   • DNone
   Answer: (B) Only two
   Explanation

   Option bis the correct l is incorrect: The National Authority was set up as an attached office of of Pharmaceuticals, Ministry of chemicals (not the ministry of Health and 2 is correct. It can fix/ revise the prices bulk drugs and formulations and to enforce availability of the medicines in the country, under (Prices Control) Order, 1995. It can also prices of decontrolled drugs in order to keep them 3 is correct: The National Pharmaceutical Is also entrusted with the task of overcharged by manufacturers for the from the consumers

8. #48Practice set
   Which of the following pairs are correctly matched? 1. Industrial Policy It provided that Resolution, 1948 India is going to have a Mixed Economic Model. 2. Industrial Policy The provision of Resolution, 1956 industrial licensing was introduced. 3. Industrial Policy This policy set Statement, 1973 up Central Public Sector Undertakings (CPSUs) for the first time. k 4. Industrial Policy The equity holding Resolution, 1985 of the MNCs in the Indian subsidiaries could be up to 49 per cent.Select the correct answer using the code given below
   • A1 and 2 only
   • B2 and 3 only
   • C1, 2 and 4 only
   • D1 and 4 only
   Answer: (C) 1, 2 and 4 only
   Explanation

   Option c is the correct a better understanding of the Indian economy, it to investigate the various industrial polices. Industrial Policy Description Industrial Policy It was the first economic policy of Resolution, 1948 the country. Under this, it was provided that India will be a mixed economy. (Hence, pair l is correct.) Industrial Policy The provision of compulsory Resolution, 1956 licensing for industries was introduced in this policy. (Hence, pair 2 is correct.) The industries set up under Schedule A of this policy were known as the Central Public Sector Undertakings (CPSUs) later getting popularity as 'PSUs'. There was emphasis on small industries as well as the khadi and village industries. Industrial Policy A new class i.e., core industries Statement, 1973 was created. In the future, these industries came to be known as basic industries, infrastructure industries in the country.

9. #49Practice set
   Consider the following statements regarding National Productivity Council (NPC) and National Start-up Advisory Council (NSAC): 1. Non-official members are allowed in NPC, but not in NSAC. 2. Unlike NPC, NSAC functions under the Department for Promotion of Industry and Internal Trade. 3. The NPC aims to increase productivity in all spheres of industries, and NSAC will advise measures to foster a culture of innovation amongst citizens and students.How many of the statements given above are correct?
   • AOnly one
   • BOnly two
   • CAll three
   • DNone
   Answer: (A) Only one
   Explanation

   Option a is the correct National Productivity Council is an under the Ministry of Commerce The Department for Promotion of Industry Trade (DPIIT) had set up the National Council to advise the government on to build an ecosystem for nurturing innovation in the l is incorrect: The central government to nominate the non-official members on Start-up Advisory Council representing The NPC also consists of non-official scholars, research workers, consultants, industries, technician and other 2 is incorrect: NPC functions under for Promotion of Industry and Internal of Commerce 3 is correct: The NPC aims to in all spheres of industries including scale, medium and large-scale industries; and the way for launching productivity drive in all economic activity of the country. The NSAC council measures to foster a culture of innovation and students in particular, promote innovation sectors and across

10. #50Practice set
    Consider the following statements regarding Micro, Small and Medium Enterprises (MSMEs) sector in India: 1. Higher number of MSMEs are present in the Manufacturing sector, than in Services sector. 2. Retail and wholesale trades are now included under MSMEs.Which of the statements given above is/are correct?
    • A1 only
    • B2 only
    • CBoth 1 and 2
    • DNeither 1 nor 2
    Answer: (C) Both 1 and 2
    Explanation

    Option c is the correct answer. Micro, Small and Medium Enterprises (MSMEs) form of the Indian economy. The MSME sector has exhibited a strong performance and protected from global adversities and l is correct: Out of total registered MSMEs -- arc manufacturing while are 2 is correct: In July 2021, the Indian inclusion of retail and wholesale trades to strengthen the sector and boost economic can henefit?. 5 Crore Retail and Wholevalc Traders As a result of this move, retail and wholesale trade benefits of priority sector lending under RBI

11. #51Practice set
    Consider the following types of micro irrigation and their description:39. irrigation 1. Surge Plow Application of water through small trenches 2. Furrow Application of water in the field in an intermittent series of on and off. 3. Subsurface Application of water through buried drip tubes 4. Bubbler Application of water in a small stream or fountain 40.How many of the above pairs are correctly matched?
    • AOnly one
    • BOnly two
    • CAll three
    • DNone
    Answer: (B) Only two
    Explanation

    Option b is the correct refers to application of water at low frequent intervals under low pressure to plant root are various types of micro-irrigation 1 and 2 are incorrect: In Surge flow irrigation there is an intermittent application of water series of on and off modes of constant or variable has the potential of reducing intake and increasing the irrigation efficiencies and water. Furrow irrigation (not surge flow) is where water is applied to furrows (small small discharges to favour water infiltration down the 3 is correct: Subsurface Drip Irrigation (SDI) is a low pressure, low volume irrigation system that uses buried emitters to apply water. The applied water moves out tubes by soil matrix suction. Wetting occurs around and water moves out in the soil in all 4 is correct: In Bubbler system of water is applied to the soil surface in a small fountain. The discharge rate for point

12. #52Practice set
    Consider the following statements regarding Sugarcane Industry in India: 1. It is a footloose industry spread all over India. 76. 2. Maharashtra is the largest sugarcane producing state of India. 3. India is the largest producer of sugar in the world.How many of the statements given above are correct?
    • AOnly one
    • BOnly two
    • CAll three
    • DNone
    Answer: (D) None
    Explanation

    Option d is the correct l is incorrect - Sugarcane is a The ratio of sugar to sugarcane varies between 9 to depending on its variety. Its sucrose content dry during haulage after it has been harvested from Better recovery of sugar is dependent upon its within 24 hours of its harvesting. Sugar are located within the cane-producing 2 is incorrect - Uttar Pradesh is the producing state, way ahead of 3 is incorrect - India is the of sugar in the world after Brazil

13. #53Practice set
    Consider the following statements with reference to the Bio-pesticides: 1. Biopesticides are pesticides derived from natural sources. 2. Bio-pesticides are not harmful to humans. 3. Virus, bacteria, and protozoa, all three can be used as biopesticides.How many of the statements given above are correct?
    • AOnly one
    • BOnly two
    • CAll three
    • DNone
    Answer: (B) Only two
    Explanation

    Option b is the correct due to high toxicity of conventional have attractell lol of I is Biopestiddes are certain types derived from such natural materials as bacteria, and certain minerals. Por example, and baking soda have pesticidal applications and 2 is incorrect: While biopesticides are to be safer and more environmentally synthetic pesticides, they can still have harmful certain circumstances, and some biopesticides health effects in humans if they are not handled 3 is Viruses, bacteria, and protozoa used as hiopesticides. microorganisms can be control pests in agricultural crops, foresls, and settings

14. #54Practice set
    to the National Beekeeping Honey Mission (NBHM), consider the following statements: 1. It aims for the overall promotion development of scientific beekeeping in the country to achieve the goal of 'Sweet Revolution'. 2. It is being implemented through National Bee Board (NBB). 3. Madhu Kranti Portal has been recently launched under this mission to check adulteration of honey.How many of the statements given above are correct?
    • AOnly one
    • BOnly two
    • CAll three
    • DNone
    Answer: (C) All three
    Explanation

    Option c is the correct 1 is correct: National Beekeeping (NBHM) is a 2 year central sector overall promotion and development of in mission mode to achieve the goal of in the country by giving thrust on trainings, specific focus on women, input promotion production, setting up of Development Centres (IBDCs) and building Infrastructures. The mission was announced as part Atma Nirbhar Bharat 2 is cotrect: It is being implemented Bee Board (NBB) which is registered by the Agribusiness Consortium (SFAC) as a the Societies Registration Act, 1860. It aims for development of beekeeping by promoting in India to increase the productivity of pollination and increase the honey production the income of the 3 is correct: Madhu Kranti Portal is an National Bee Board (NBB), Ministry of Agriculture Welfare under National Beekeeping (NBHM). This portal is being developed for to achieve a traceability sou

15. #55Practice set
    Which of the following statements is/ are upstream and downstream stage in agriculture sector? 1. Manufacturing of bread, textile spinning are upstream industries, whereas leather tanning, rice and flour milling are downstream industries. 2. Upstream includes inputs to agriculture, such as seeds, fertiliser, machinery and technology for new areas such as precision agriculture, while downstream is the food processing industry.Select the correct answer using the code given below
    • A1 only
    • B2 only
    • CBoth 1 and 2
    • DNeither 1 nor 2
    Answer: (B) 2 only
    Explanation

    Option b is the correct l is incorrect: Rice and flour milling; cotton ginning; oil pressing, fish canning etc industries whereas manufacturing of textile spinning and weaving; paper and footwear manufacturing are 2 is correct: Upstream includes inputs such as seeds, fertiliser, machinery for new areas such as precision downstream is the food processing industry

16. #56Practice set
    Which of the following are the components of Pradhan Mantri Kisan Yojana (PMKSY)? 1. Integrated Cold Chain and Value Addition Infrastructure 2. Development of Food Fortification Resource Centre 3. Creation of Backward and Forward Linkages 4. Infrastructure for Agro-Processing Clusters 5. Mega Food Parks 6. Targeted Public Distribution SystemSelect the correct answer using the codes given below
    • A1, 2 and 4 only
    • B1, 3, 4 and 5 only
    • C2, 3, 4 and 6 only
    • D1, 2, 3, 4 and 5 only
    Answer: (B) 1, 3, 4 and 5 only
    Explanation

    Option b is the correct Central Sector Scheme - (Scheme for Processing and Development of has now been renamed as the "Pradhan Sampada Yojana (PMKS The objective of to supplement agriculture, modernize processing Agri- l is correct: Integrated Cold Chain and Infrastructure component aims to create a infrastructure to transport perishable food as fruits, vegetables, dairy, and meat products farm to the market. The goal is to reduce increase the shelf life of the products, and 2 is incorrect: The Food Fortification is a Resource and Support Centre to promote large scale fortification of food across India. It is launched It is not the component of Pradhan Mantri 3 is correct: Creation of Backward and component aims to create backward and between the farm and the market, to ensure flow of products from the farm to the market and post-harvest 4 is correct: Infrastructure for component aims to

17. #57Full-length test
    With reference to India Stack, consider the following statements: 1. It refers to the set of Open Application Programme Interfaces and digital public goods. 2. It aims to eliminate the need for storing biometric details online. 3. Digital locker and Unified Payment Interface (UPI) are some of the apps included in India Stack.How many of the above given statements are correct?
    • AOnly one
    • BOnly two
    • CAll three
    • DNone
    Answer: (B) Only two
    Explanation

    Option b is the correct 1 is correct: It is true that India Stack refers to of open and digital public goods that aim to economic primitives of identity, data, and payments scale. AP Is is a software intermediary that applications to talk to each other and they are a share and extract data between two means that the source code of such can by anyone to enhance their 2 is incorrect: India Stack aims to store online; thus, it aims to eliminate is not correct. the four distinct technology layers provided in India the Presence-less layer. Thus, it aims at creating digital identity that allows people to any service from anywhere in the 3 is correct: The other technological in India Stack are Paperless layer, Cashless Consent layer. In these, the Paperless layer aims { eliminating the need for a massive amount of and storage and Digital locker was included Stack to fulfil this purpose. The Cas

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