Question Discussion & Solution

The correct answer is Minimum reserve system.

Key Points

India Currency System:

• In terms of section 22 of the reserve bank of india act, the RBI has been given the statutory function of notes issue on a monopoly basis.
• The note issue in india was originally based upon the " Proportional Reserve System ".
• When it becomes difficult to maintain the re-serve proportionately.
• It was replaced by " Minimum Reserve Systems ".

• According to the RBI amendment act of 1957, the bank should now maintain a minimum reserve of Rs.200 crore worth of gold coins.
• The gold bullion and foreign securities of which the value of gold coin and bullion should be not less than Rs.115 crore. 

The correct answer is 2011-12.

Key Points

• The Index of Industrial Production (IIP)
  • It is a short-term macroeconomic indicator widely used in measuring the industrial growth of the State.
  • The index indicates the relative change over time in the volume of production in the industrial sector and it is an effective tool to measure the trend of current industrial production.
  • Presently IIP is constructed based on the base year 2011-12. Hence, Option 3 is correct.
  • The Directorate of Economics and Statistics, Department of Planning, Rajasthan has been compiling/releasing an index of industrial production for the Rajasthan State since 1971 as per the guidelines of the Central Statistical Office (CSO), Govt. of India.
  • New base year IIP series based on 156 items/product groups for the manufacturing sector.
  • Shifting of the base year 2011-12 are in process to get monthly Production data from April 2011 onwards for a selected item for selected units in the prescribed format given by C.S.O.
  • Three major sectors in IIP 
    • Manufacturing:- For Manufacturing Sector the Production data is collecting for selected items from selected industrial units through district statistical officer’s and Now IIP web Portal has been developed for the collection of regular data from districts through an online system.
    • Mining:- Mining sector production data is supplied by the Indian Bureau of Mines, (IBM) Nagpur.
    • Electricity:- Electricity sector generation figures furnished by the Central Electricity Authority New Delhi.

The correct answer is Revenue and Forest Department.

• Revenue and Forest Department will be the nodal agency in the Ghar-Ghar Aushadhi Yojana.

Key Points

• Ghar-Ghar Aushadhi Yojana:
  • The scheme aims for medicinal plant distribution by the district administration.
  • It was launched on 29 June 2021.
  • Under this, nurseries of medicinal plants like Tulsi, Giloy, Ashwagandha, etc. will be developed.
  • The plants will be made available to the interested persons.
  • The Forest Department will be the nodal department of the scheme.
  • For the implementation of the scheme, a district-level task force will be constituted under the chairmanship of the District Collector.
  • Whereas, a monitoring committee will be constituted at the Rajasthan state level under the chairmanship of the Chief Secretary.
    • This committee will review the plan every third month.

The correct answer is Cooperative farming.

Key Points

• Efficiency and effectiveness are two wings of Productivity.
• These two are essential for a productive industry.
• Low productivity occurs due to lack of adequate machinery, lack of finances for farmers, lack of good quality seeds and fertilizers and ownership of land.
• Other factors include:
  • Inadequate inputs availability
  • Sub-division and fragmentation of land holdings
  • Poor finance and marketing facilities
• The co-operatives and other institutional agencies have not been able to eliminate the village money-lenders.
• Storage facilities for farmers are not still available to preserve their agricultural products for a better price.

The correct answer is Sales tax.

Key Points

• The principal source of State's own tax revenues is a sales tax which accounts for about 60 percent of the total.
• The taxation system in India is such that the taxes are levied by the Central Government and the State Governments. Some minor taxes are also levied by the local authorities such as the Municipality and the Local Governments.
• To run the government and manage the affairs of a state, money is required. So the government imposes taxes in many forms on the incomes of individuals and companies.
• Broadly taxes are divided into two categories:
  • Direct Taxes
  • Indirect Taxes
• Indirect Taxes:
  • The term indirect tax has more than one meaning. In the colloquial sense, an indirect tax such as sales tax, a specific tax, value-added tax (VAT), or goods and services tax (GST) is a tax collected by an intermediary (such as a retail store) from the person who bears the ultimate economic burden of the tax (such as the consumer).
  • The intermediary later files a tax return and forwards the tax proceeds to the government with the return. In this sense, the term indirect tax is contrasted with a direct tax which is collected directly by the government from the persons (legal or natural) on which it is imposed.
  • Excise duty, value-added tax, and sales tax are included under the GST.