UPSC Prelims 2023 · GS Paper I

Question 88: Economy and Social Development

Consider the following statements :

Statement-IIndia accounts for 3·2% of global export of goods.
Statement-IIMany local companies and some foreign companies operating in India have taken advantage of India's 'Production-linked Incentive' scheme.

Which one of the following is correct in respect of the above statements?

aBoth Statement-I and Statement-II are correct and Statement-II is the correct explanation for Statement-I

bBoth Statement-I and Statement-II are correct and Statement-II is not the correct explanation for Statement-I

cStatement-I is correct but Statement-II is incorrect

dStatement-I is incorrect but Statement-II is correct

AnswerUPSC’s answer is (d).

Statement II is correct: many Indian companies, and some foreign firms operating in India, have availed Production-Linked Incentive benefits in electronics, pharmaceuticals, auto parts and other sectors. Statement I is wrong: India's share of global merchandise exports is under 2 percent (about 1.8 percent in 2022), not 3.2 percent.

I. India's share of global goods exports is under 2 percent.
II. Domestic and foreign firms have used PLI incentives.

How you could have got this

If you were sure Statement-I is not correct, only (d) is left: every other option says it is correct.

What you needed to know: India's share of global goods exports is under 2 percent.

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) Statement I is false, so both cannot be correct.
(b) Statement I is false, so 'both correct' fails.
(c) Statement I is false and Statement II is true, so this reverses it.
(d) Correct: Statement I is false, Statement II is true.

Answer: UPSC’s key. Explanation: written by UPSC Grade, not by UPSC.

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Source: UPSC, Civil Services (Preliminary) Examination 2023, General Studies Paper I, Series A. The paper on upsc.gov.in.