UPSC Prelims 2002 · General Studies

Question 46: Economy and Social Development

Which one of the following committees recommended the abolition of reservation of items for the small-scale sector in industry?

aAbid Hussain Committee

bNarasimham Committee

cNayak Committee

dRakesh Mohan Committee

AnswerThe answer is (a).

The Abid Hussain Committee on small-scale industries (1997) recommended that the reservation of items for the small-scale sector be abolished. Remember the other committees by their subjects: Narasimham, banking and financial-sector reform; Nayak, credit for small-scale industry; Rakesh Mohan, infrastructure. The Abid Hussain Committee's report was part of the push in the late 1990s to open small-scale industry to larger investment and competition.

Why each option is right or wrong

(a) Right: Abid Hussain Committee on the small-scale sector.
(b) The Narasimham Committees dealt with the financial and banking sector.
(c) The Nayak Committee looked at bank credit for small-scale industry.
(d) The Rakesh Mohan Committee dealt with infrastructure.

Explanation: written by UPSC Grade, not by UPSC.

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Source: UPSC, Civil Services (Preliminary) Examination 2002, General Studies. UPSC's own paper isn't online; the words are from a published compilation. The paper on upsc.gov.in.