02 Nov 2022: UPSC Exam Comprehensive News Analysis

CNA 02 Nov 2022:- Download PDF Here

TABLE OF CONTENTS

A. GS 1 Related
B. GS 2 Related
C. GS 3 Related
ECONOMY
1. The C-295 and India’s aircraft industry
D. GS 4 Related
E. Editorials
ENVIRONMENT
1. The weakest link in the air pollution fight
ECONOMY
1. The truth about β€˜the India story’
F. Prelims Facts
1. Invasive tree spreading in Mudumalai Tiger Reserve
G. Tidbits
1. Mulling remote vote facility for NRIs, govt. tells SC
2. Saffron fields turn stage for tourist shots
3. At SCO meet, Jaishankar targets BRI
4. Modi calls for road map to develop Mangarh Dham as a global tribal destination
H. UPSC Prelims Practice Questions
I. UPSC Mains Practice Questions
FIP Magazine

Category: ECONOMY

1. The truth about β€˜the India story’

Syllabus: GS3, Indian economy.

Mains: India’s economic performance

Context: India’s declining growth rate.

India’s economic performance in the past few years:

  • Indian economy is somewhere β€˜in between’, implying that it is neither doing too well nor performing badly.
  • Though the exchange rate of the Indian rupee is very poor and inflation is at 7.41%, these are due to global phenomena and nearly all currencies are losing out against the U.S. dollar.
  • India is performing poorly in terms of employment generation. The unemployment rate is as high as 7.8%. According to International Labour Organization (ILO) data, collated and presented by the World Bank, youth unemployment in India (for the age group 15 – 24 years) is at 28.3%. This places India in the group of troubled West Asian countries like Iran (27.2%), Egypt (24.3%), and Syria (26.2%), and in a much worse situation in comparison to many Asian countries like Indonesia (16%), Malaysia (15.6%), and Bangladesh (14.7%).
  • The GDP growth of India in 2021-22 was 8.7%, which was among the highest in the world. But it should be noted that this growth is relative to the growth during the pandemic. In 2020-21, it was minus 6.6%, placing India in the bottom half of the global growth chart.Β 
  • The International Monetary Fund has cut India’s growth forecast to 6.1% for the year 2022-23. Two concerns associated with this are:Β 
    • Most of the growth is happening at the top end. With a high unemployment rate, it is very likely that large segments of the population are actually experiencing negative growth.Β 
    • Another concern is India’s own sliding performance in comparison to its previous performance.

India’s economic growth story:

  • Post-independence, India experienced slow growth for nearly four decades. Its growth rose significantly in the 1990s due to the economic reforms of 1991-93.Β 
  • In 2003, it rose further, and India joined the ranks of the Asian super performers. From 2005 to 2008, it achieved top positions in most of the charts and grew at, 9.3%, 9.2%, and 10.2% for three consecutive years. However, the official Indian estimates about the growth for these years have been revised downwards. The latest Economic Survey has cut these growth rates to 7.9%, 8.0%, and 8.0% respectively.Β 
  • Despite this downward revision, India stood out in global rankings from 2003 to 2011 (except for the great recession of 2008-09).Β 
  • The economic slowdown in India began much before the COVID-19 pandemic. It started in 2016 and for four consecutive years, the year-on-year growth rate was lower than the previous year. The following table shows the growth rate of India from 2016 to 2021.
Year Growth Rate of India
2016-17 8.3%
2017-18 6.9%
2018-19 6.6%
2019-20 4.8%
2020-21 -6.6%
  • This downward spiralling of growth rates for four consecutive years has happened for the first time since 1947.

For more information on economic reforms, read here: Economic Reforms of 1991

Investment rate of India:

  • One of the major reasons behind India’s poor performance over the last six years is the low investment rate.
    • The investment rate is the fraction of the national income that is spent on infrastructure development like roads, bridges, factories, and also human capital.Β 
  • For many years India had a low investment rate translating into slow growth. The investment rate gradually rose and crossed the 30% mark in the year 2004-05.Β  It reached 39.1% in the year 2007-08. This was the first time India was growing faster than the super performers.Β 
  • The investment rate remained just below 40% for 6 years and then began to drop gradually. It had fallen to 32.2% by the year 2019-20.
  • There are several drivers for the investment rate in the country like monetary and fiscal policies. It also depends on social and political factors. The level of trust in the economy also determines the investment rate.

Way Ahead:

  • The policy focus should shift from a few rich corporations to farmers, small businesses, and ordinary labourers that constitute a large section of the population.Β 
  • Moreover, there should be fiscal policy interventions that transfer income to the poor segments of society. This can be a significant step as inequality has disproportionately risen in India in the past few years.
  • It is also important to build trust among the general public and focus more on inclusive growth.Β 

Nut Graf: India has seen a mixed economic growth story in the past. It should learn from its previous experience and reverse the declining trend that it is experiencing since 2016. India has a huge economic prospect owing to its strong fundamentals and abundant talent.

F. Prelims Facts

1. Invasive tree spreading in Mudumalai Tiger Reserve

Syllabus: GS-3; Environment and Biodiversity

Prelims: About Senna spectabilis and Mudumalai Tiger Reserve

Context

An invasive species named Senna spectabilis is said to have taken over 800 to 1,200 hectares of the buffer zones of the Mudumalai Tiger Reserve in Tamil Nadu.

Details

  • In recent years, bright yellow flowers of Senna spectabilis have become more prominent in the Tiger Reserve.Β 
  • As per conservationists, the invasive plant will have adverse effects on local biodiversity as it crowds out native species and limits food availability for wildlife.
  • Senna spectabilis and Lantana camara are among five major invasive weeds that have taken over the Nilgiri forests and are affecting the local biodiversity.
    • Eucalyptus and pine are also considered exotic and invasive but do not spread as fast as the other species and are considered easier to manage.
  • According to the Forest Department officials, policy-level discussions are taking place on the prospects of Tamil Nadu Newsprint and Papers Limited (TNPL) using the wood from Senna spectabilis for paper-making and efforts are underway by the Forest Department to devise a 10-year-plan to systematically remove Lantana camara.

Learn more about – Alien or Invasive species

Senna spectabilis

Senna spectabilis

Image Source: india.wcs.org

  • Senna spectabilis is an exotic tree species belonging to the Fabaceae family.
  • Senna spectabilis is native to South and Central America and other parts of tropical America.
  • Senna spectabilis is used as an ornamental tree and is also used for firewood.
  • The species is known for its bright yellow flowers that bloom during the summer months and hence it is also regarded as β€œgolden wonder tree”.
  • Senna spectabilis has been commonly used in traditional medicine and it is known to have antibacterial, antibiofilm, antifungal and antioxidant properties.
  • However, Senna spectabilis is considered an invasive species in places like India, Australia, Uganda, and Cuba as it is very hardy, survives under extreme conditions, and eradicating it from a landscape is a challenging task which can take years.
  • It is considered an environmental weed by the Global Compendium of Weeds as it grows extremely fast, flowers and sets seed profusely, and re-sprouts immediately when cut.

G. Tidbits

1. Mulling remote vote facility for NRIs, govt. tells SC

  • The Central government has said that it was considering various ways to facilitate non-resident Indians (NRI) to cast their votes remotely while ensuring the integrity of the electoral process.
  • The Supreme Court Bench initially had said that providing the postal ballot facility to soldiers deployed in far-flung areas across the country was different from giving similar options to individuals who had chosen to reside abroad. However, the court acknowledged that it is difficult for migrant labourers to fly in just to cast their votes.
  • The apex court said that the government was aware of the issue and had introduced a Bill to amend the Representation of the People Act which facilitates overseas citizens to vote by proxy but the bill lapsed with the dissolution of the 16th Lok Sabha.
  • The move to allow the NRIs to vote from abroad can help several migrant labourers, mostly from Kerala, Tamil Nadu and northern parts of the country become a decisive force in the electoral politics of the country.

Know more about – Electronically Transmitted Postal Ballot System or ETPBS

2. Saffron fields turn stage for tourist shots

  • The Tourism Department of Jammu and Kashmir has invited students and local farmers to join the saffron festival organised in Pampore’s Ladoo area to highlight the process of saffron cultivation.Β 
  • Saffron is a powerful spice that is rich in antioxidants and over 30,000 families living in about 226 villages in J&K are associated with the spice business.Β 
  • Students from Pampore in south Kashmir wore traditional attire and recreated the look of 16th-century Kashmiri poet and queen Habba Khatoon to attract tourists for social media reels and unique experiences.
  • The karewasΒ in the Pampore region are known for being one of the costliest spices in the country.

3. At SCO meet, Jaishankar targets BRI

  • By saying that β€œConnectivity projects must respect sovereignty issues” the External Affairs Minister of India targeted the Belt and Road Initiative (BRI) of China, at a virtual meeting of the Shanghai Cooperation Organisation (SCO).
  • The External Affairs Minister also proposed more trade through Iran’s Chabahar port and the International North South Transport (INST) Corridor that India is a part of and also said that India aims to improve bilateral trade with Central Asian countries.Β 
    • India had refused to join the BRI and has been promoting the Shahid Beheshti terminal at Chabahar and the link through the INSTC as an alternative to both the BRI and to transit trade through Pakistan.
  • The Minster further said that the total trade between India and SCO Members is only $141 billion and has the potential to increase manifold. He added that fair market access will be mutually beneficial and the only way forward.
  • The Minister also held that India will foster greater cooperation with SCO member states to combat the food crisis, especially with millets.Β 
  • It is to be noted that all the SCO countries also criticised the imposition of unilateral economic sanctions not endorsed by the UN Security Council and said the sanctions adversely affect the global economy.

4. Modi calls for road map to develop Mangarh Dham as a global tribal destination

  • The Prime Minister of India urged for preparing a road map to develop Mangarh Dham as a tribal destination with a prominent identity at the global level.
  • Mangarh Dham is located near the Rajasthan-Gujarat boundary and is known for the massacre of tribal people by the British Indian Army in 1913.
  • Over 1,500 Bhil tribals and forest dwellers were killed in Mangarh on November 17, 1913, when the British Indian Army openly fired on the protesters who were demanding the abolition of the bonded labour system and relaxation of agricultural taxes imposed by the rulers of princely states.Β 
  • The tribes in the southern Rajasthan region were led by Govind Guru who was a tribal leader and social reformer.

H. UPSC Prelims Practice Questions

Q1. Consider the following statements about the Mangarh massacre of 1913: 
(Level – Difficult)
  1. Nearly 1,500 Bhil tribals and forest dwellers were killed, when the British Indian Army opened fire on the protesters who were demanding the abolition of bonded labour system and relaxation from high agricultural taxes.
  2. Govind Guru was a prominent leader of the protest.

Which of the above statements is/are correct?Β 

  1. 1 only
  2. 2 only
  3. Both the statements
  4. Neither of the two statements
CHECK ANSWERS:-

Answer: c

Explanation:

  • Statement 1 is correct, Nearly 1,500 Bhil tribals and forest dwellers were killed, when the British Indian Army opened fire on the protesters who were demanding the abolition of the bonded labour system and relaxation from high agricultural taxes.
  • Statement 2 is correct, The tribes in the southern Rajasthan region were led by Govind Guru who was a tribal leader and social reformer.
Q2. Consider the following statements about the Senna spectabilis tree. (Level 
– Difficult)
  1. It is an exotic species found in India and native to Central and South America.
  2. It is most known for ornamental purposes and is also used as shade trees and is cultivated for fuel wood in some regions.
  3. It has become an invasive species in many parts of South India.

Which of the above statements is/are correct?Β 

  1. 1 and 2 only
  2. 2 and 3 only
  3. 1 and 3 only
  4. 1, 2 and 3
CHECK ANSWERS:-

Answer: d

Explanation:

  • Statement 1 is correct, Senna spectabilis is an exotic tree species found in India which is native to Central and South America.
  • Statement 2 is correct, Senna spectabilis is most known for ornamental purposes and is also used as shade trees and is cultivated for fuel wood in some regions.
  • Statement 3 is correct, In recent years the bright yellow flowers of Senna spectabilis have become more prominent in the Mudumalai Tiger Reserve and the invasive plant is having adverse effects on local biodiversity.
Q3. India has signed the Economic Cooperation and Trade Agreement with which of the 
following countries? (Level – Medium)
  1. Japan
  2. U.S.
  3. AustraliaΒ 
  4. Israel
CHECK ANSWERS:-

Answer: c

Explanation:

  • On April 2nd 2022, India and Australia signed an Economic Cooperation and Trade Agreement (ECTA).Β 
  • This landmark bilateral trade pact is the second trade agreement India has signed recently after signing a similar deal with the United Arab Emirates (UAE) in February 2022.
Q4. Which of the following countries do not border the Black Sea? (Level – Medium)
  1. Bulgaria
  2. Romania
  3. Greece
  4. Georgia
CHECK ANSWERS:-

Answer: c

Explanation:

Black Sea

Image Source: World Atlas

Q5. Consider the following statements: (Level – Medium) PYQ (2019)
  1. Agricultural soils release nitrogen oxides into the environment.
  2. Cattle release ammonia into the environment.
  3. Poultry industry releases reactive nitrogen compounds into the environment.

Which of the statements given above is/are correct?

  1. 1 and 3 only
  2. 2 and 3 only
  3. 2 only
  4. 1, 2 and 3
CHECK ANSWERS:-

Answer: d

Explanation:

  • Statement 1 is correct, Agricultural soils represent a very large, and growing, global source of nitrous oxide.
  • Statement 2 is correct, Cattle release ammonia into the environment. Cattle account for 80% of ammonia production.
  • Statement 3 is correct, Poultry industry releases reactive nitrogen compounds into the environment.

CNA 02 Nov 2022:- Download PDF Here

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