AIR 55 · CSE 2024 · GS3 · 58 pages

Ritika Chitlangia: GS3 answer copy

20 answers by Ritika Chitlangia, as written in the test. Each question opens a page with how other toppers answered it.

The questions

  1. Q1How do household savings contribute to the growth of the Indian economy? Do you think that the recent fall in household savings rate marks a rise in indebtedness and distress among Indian households?10 marks
  2. Q2India's FDI sector is seeing a significant downward trend. What factors are causing apprehensions among the foreign investors to invest in India? Suggest some corrective measures that must be taken by the Government to reverse the falling trend.10 marks
  3. Q3How do farm subsidies impact crop diversity, cropping patterns and agricultural sustainability in India?10 marks
  4. Q4While discussing the principles of "precision agriculture", elaborate on the uses of "Internet of Things" in precision agriculture.10 marks
  5. Q5What are Small Modular Nuclear Reactors (SMRs)? Why are SMRs considered a safer alternative to conventional Nuclear Power Plants?10 marks
  6. Q6What factors have contributed to the sudden rise in the incidences of zoonotic diseases across the globe? Highlight the recent examples of pandemics caused by zoonotic pathogens.10 marks
  7. Q7Discuss the major challenges of crowd control in large socio-religious gatherings and congregations in India. In the light of NDMA's "Suggestive Framework for Preparation of Crowd Management Plan for Events Venues of Mass Gathering", suggest measures to prevent stampede incidents.10 marks
  8. Q8'The UN High Seas Treaty is comparable to the 2015 Paris Agreement's importance and significance'. In the context of this, discuss the importance of the UN High Seas Treaty for the conservation of marine biodiversity and fair and equitable resource-sharing.10 marks
  9. Q9What are the new cyber threats posed by the illicit use of Generative AI? In the light of recently signed Bletchley Declaration, how can India beef up its cybersecurity structure against threats raised by AI?10 marks
  10. Q10India's border security is under severe pressure due to the rising political crisis in neighbouring countries. Elaborate.10 marks
  11. Q11"A person without skill is not an asset but a liability on the nation's growth". How infusion of relevant skills contribute to the demographic dividend of India? What recent initiatives have been undertaken by the Government to reduce the skill gap among young Indians?15 marks
  12. Q12The Indian aviation sector has immense potential to become the primary mode of transportation in the country. What are the factors propelling growth in India's aviation sector? Highlight the challenges that the sector faces and suggest measures for improvement.15 marks
  13. Q13Farmer Producers' Organizations (FPOs) are engines of agri-innovation. In this context, discuss the role of FPOs in addressing the issue of fragmentation and lack of modernization in agriculture. Highlight the initiatives the Government took to promote the participation of FPOs in agriculture.15 marks
  14. Q14Despite being one of the strongest growth engines of the Indian economy, there are certain upstream and downstream issues ailing the growth of food processing industries in India. Discuss. Suggest measures to strengthen the overall growth of food processing industries in India.15 marks
  15. Q15How was India benefitted from the contributions of Dr M.S. Swaminathan and Dr C.R. Rao in the fields of agricultural science and statistics respectively?15 marks
  16. Q16How is Artificial Intelligence (AI) challenging the overall intellectual property paradigm? How can AI be balanced with intellectual property to foster innovation and incentivize creations and inventions?15 marks
  17. Q17Highlighting the significance of "Western Ghats" in preserving and conserving the biodiversity of India, discuss the threats faced by this fragile and ecologically sensitive Region. Elaborate on the measures taken by the Government of India to protect the Western Ghats ecosystem.15 marks
  18. Q18Describe the major outcomes of the 28th session of the Conference of the Parties (COP) to the United Nations Framework Convention on Climate Change (UNFCCC). What are the features of the Green Credit Initiative launched by India on the sidelines of COP-28?15 marks
  19. Q19How shell companies has contributed to the menace of money laundering in India? Do you think recent amendments to the Prevention of Money Laundering Act, 2005 will help address the problem of the transactional nature of clients with such shell companies?15 marks
  20. Q20Discuss how the crime-insurgency nexus has contributed to the rise in ethnic conflicts and insurgencies in North-East India. What institutional measures can be undertaken to address this challenge?15 marks

The answers

Question 1 · 10 marks · 156 words written

How do household savings contribute to the growth of the Indian economy? Do you think that the recent fall in household savings rate marks a rise in indebtedness and distress among Indian households?

Opening

Household savings comprises an important segment of the domestic sovereign debt, contributing nearly 40% of the debt profile.

components of household savings

Body · points

Diagram
+----------------+ +-----------------------+ | Financial | | Physical assets | | assets | | eg: gold, real estate | +----------------+ +-----------------------+

contributions to growth

  1. supplements to the government debt profile → nearly 60%.
  2. Provides the financial flows towards the real estate market → 55% of household debt.
  3. Reduces reliance on the foreign borrowings → eases pressure on capital account.
  4. increases productive capacity of economy → stocks & bonds.
  5. Responsible for healthy bank deposits rates → creation of capital assets.

fall in Household savings Rate

Nearly 40% of the households are indebted → worrying sign: (1) vulnerability to income shocks and inflation risks. (2) Rise in bank NPA's. (3) due to reduced Household rates banks are facing the worst deposit crunch in 20 years. (4) lesser capital creation → recessionary tendencies.

Close · a way forward

Thus, reforms by RBI to regulate household debt is needed, by increasing interest rates, high premiums and bank resolution mechanisms.