UPSC Prelims 2000 · General Studies

Question 88: Economy and Social Development

Assertion (A): The rate of growth of India’s exports has shown an appreciable increase after 1991. Reason (R): The Government of India has resorted to devaluation.

aBoth A and R are true, and R is the correct explanation of A

bBoth A and R are true, but R is not a correct explanation of A

cA is true, but R is false

dA is false, but R is true

AnswerThe answer is (b).

India's export growth rose after 1991, and the rupee was devalued in two steps in July 1991, so both statements are true. But devaluation was only one of many measures: lower tariffs, easier import of inputs, export incentives, and a market-determined exchange rate (a dual rate in 1992 and a unified rate in 1993) mattered as well. So R is true but not the full explanation of A.

A. The growth rate of India's exports rose appreciably after 1991.
R. The rupee was devalued in July 1991, but this was one measure among many and not the full explanation.

How you could have got this

If you were sure statement 1 is correct, (d) goes. Then judge the second statement; if it is correct too, decide whether it explains the first.

This follows an unofficial answer: UPSC has not published its key for this year, and if that answer is wrong, so is this path.

Which options go is worked out from UPSC’s key and the options, not by a model.

Why each option is right or wrong

(a) R is true but is only one of many causes, so it is not the full explanation.
(b) Right: both are true, but R is not the correct explanation.
(c) R is true, so it cannot be called false.
(d) A is true, so it cannot be called false.

Explanation: written by UPSC Grade, not by UPSC.

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Source: UPSC, Civil Services (Preliminary) Examination 2000, General Studies. UPSC's own paper isn't online; the words are from a published compilation. The paper on upsc.gov.in.