Which among the following is/are the objective/objectives of the NITI Aayog? 1. Imposing policies on the States/UTs 2. Allocation of funds at National and State levels 3. Design strategies and long-term policies and programme frameworks Select the correct answer using the code given below.
- A.1 and 2 only
- B.2 and 3 only
- C.1, 2 and 3
- D.3 only
Correct answer
Explanation
The correct answer is D, 3 only. NITI Aayog is a policy think tank that designs strategies and long-term policy and programme frameworks; it neither imposes policies on states nor allocates funds.
NITI Aayog (National Institution for Transforming India) replaced the Planning Commission on 1 January 2015 through a Union Cabinet resolution, so it is neither a constitutional nor a statutory body. The Prime Minister is its chairperson, and its Governing Council includes all Chief Ministers and the Lieutenant Governors of Union Territories. Its approach is cooperative federalism: it works with states as partners, advises on policy, monitors programmes and ranks states on indices to encourage competitive federalism.
Option A is wrong because both statements 1 and 2 describe what NITI Aayog was designed not to do. Option B is wrong because allocating funds, once done by the Planning Commission, now rests with the Finance Ministry. Option C is wrong because imposing policies goes against its bottom-up, cooperative approach.
Exam tip: NITI Aayog, 1 January 2015, Cabinet resolution, think tank, no fund allocation, Prime Minister as chairperson.
Practice Questions
View allA country's fiscal deficit stands at ₹50,000 crores. It is receiving ₹10,000 crores through non-debt creating capital receipts. The country's interest liabilities are ₹1,500 crores. What is the gross primary deficit?
- A.₹48,500 crores
- B.₹51,500 crores
- C.₹58,500 crores
- D.None of the above
Show answer
Gross primary deficit is the fiscal deficit minus interest payments: 50,000 − 1,500 = ₹48,500 crores. The fiscal deficit is total expenditure minus total receipts other than borrowings, so it already takes account of non-debt capital receipts such as recovery of loans and disinvestment proceeds.
Read the full explanation →Which one of the following statements correctly describes the meaning of legal tender money ?
- A.The money which is tendered in courts of law to defray the fee of legal cases
- B.The money which a creditor is under compulsion to accept in settlement of his claims
- C.The bank money in the form of cheques, drafts, bills of exchange, etc.
- D.The metallic money in circulation in a country
Show answer
Legal tender is money that the law says must be accepted in payment of a debt. In India, banknotes issued by the Reserve Bank under the RBI Act, 1934 are unlimited legal tender: no one can refuse them for any amount.
Read the full explanation →Under the Kisan Credit Card scheme, short-term credit support is given to farmers for which of the following purposes ?
1. Working capital for maintenance of farm assets
2. Purchase of combine harvesters, tractors and mini trucks
3. Consumption requirements of farm households
4. Post-harvest expenses
5. Construction of family house and setting up of village cold storage facility
Select the correct answer using the code given below:
- A.1, 2 and 5 only
- B.1, 3 and 4 only
- C.2, 3, 4 and 5 only
- D.1, 2, 3, 4 and 5
Show answer
The short-term part of the Kisan Credit Card covers working capital for farm assets, household consumption needs and post-harvest expenses.
Read the full explanation →Which of the following factors/policies were affecting the price of rice in India in the recent past ?
1. Minimum Support Price
2. Government's trading
3. Government's stockpiling
4. Consumer subsidies
Select the correct answer using the code given below :
- A.1, 2 and 4 only
- B.1, 3 and 4 only
- C.2 and 3 only
- D.1, 2, 3 and 4
Show answer
All four policies shape the market price of rice in India, because the government is the biggest buyer, holder and seller of the grain.
Read the full explanation →Consider the following statements regarding Industrial Corridors in India :
1. They are linear development zones.
2. They connect all major State capitals through an integrated network of roads, railways, ports and airports.
3. They promote acceleration of industrial growth.
Which of the statements given above is/are correct?
- A.1 and 2
- B.1 and 3
- C.3 only
- D.1 only
Show answer
Industrial corridors are linear development belts built along a transport spine to speed up industrial growth, but they do not link all State capitals.
Read the full explanation →