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RC Practice Exercise - 4

Description: RC CLASSROOM PRACTICE EXERCISE– 4
Number of Questions: 14
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Tags: RC CLASSROOM PRACTICE EXERCISE– 4 Specific Details Inference Main Idea Figure of Speech
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The passage deals mainly with

Directions: Read the passage below and answer the question that follows:

Alleviation of rural poverty has been one of the primary objectives of planned development in India. Ever since the inception of planning, the policies and the programmes have been designed and redesigned with this aim.  The problem of rural poverty was brought into a sharper focus during the Sixth Plan. The Seventh Plan too emphasised growth with social justice. It was realised that a sustainable strategy of poverty alleviation has to be based on inversing the productive employment opportunities in the process of growth itself. However, to the extent the process of growth bypasses some sections of the population, it is necessary to formulate specific poverty alleviation programmes for generation of a certain minimum level of income for the rural poor.

Rural development implies both the economic betterment of people as well as greater social transformation.  Increased participation of people in the rural development process, decentralisation of planning, better enforcement of land reforms and greater access to credit and inputs go a long way in providing the rural people with better prospects of economic development. Improvements in health, education, drinking water, energy supply sanitation and housing couple with attitudinal changes also facilitate their social development.

Rural poverty is inextricably linked with low rural productivity and unemployment, including underemployment.  Hence, it is imperative to improve productivity and increase employment in rural areas. Moreover, more employment needs to be generated at higher levels of productivity in order to generate higher output.  Employment at miserably low levels of productivity and incomes is already a problem of far greater magnitude than unemployment as such.  It was around 5 percent.  As per the currently used methodology in the Planning Commission, poverty for the same year was estimated to be 30 percent.  This demonstrates that even though a large proportion of the rural population was ‘working’ it was difficult for them to eke out a living even at subsistence levels from it. It is true that there has been a considerable decline in the incidence of rural poverty over time.  In terms of absolute numbers of poor, the decline has been much less. While this can be attributed to the demographic factor, the fact remains that after 40 years of planned development about 200 million are still poor in rural India.

  1. shortcomings in the implementation of poverty alleviation

  2. improvement in industrial growth strategies

  3. alleviation of rural poverty

  4. methodology of Planning Commission

  5. transition of Indian economy


Correct Option: C
Explanation:

The whole passage revolves around this central idea.

Which of the following inferences can be drawn form the passage?

Directions: Read the passage below and answer the question that follows:

Alleviation of rural poverty has been one of the primary objectives of planned development in India. Ever since the inception of planning, the policies and the programmes have been designed and redesigned with this aim.  The problem of rural poverty was brought into a sharper focus during the Sixth Plan. The Seventh Plan too emphasised growth with social justice. It was realised that a sustainable strategy of poverty alleviation has to be based on inversing the productive employment opportunities in the process of growth itself. However, to the extent the process of growth bypasses some sections of the population, it is necessary to formulate specific poverty alleviation programmes for generation of a certain minimum level of income for the rural poor.

Rural development implies both the economic betterment of people as well as greater social transformation.  Increased participation of people in the rural development process, decentralisation of planning, better enforcement of land reforms and greater access to credit and inputs go a long way in providing the rural people with better prospects of economic development. Improvements in health, education, drinking water, energy supply sanitation and housing couple with attitudinal changes also facilitate their social development.

Rural poverty is inextricably linked with low rural productivity and unemployment, including underemployment.  Hence, it is imperative to improve productivity and increase employment in rural areas. Moreover, more employment needs to be generated at higher levels of productivity in order to generate higher output.  Employment at miserably low levels of productivity and incomes is already a problem of far greater magnitude than unemployment as such.  It was around 5 percent.  As per the currently used methodology in the Planning Commission, poverty for the same year was estimated to be 30 percent.  This demonstrates that even though a large proportion of the rural population was ‘working’ it was difficult for them to eke out a living even at subsistence levels from it. It is true that there has been a considerable decline in the incidence of rural poverty over time.  In terms of absolute numbers of poor, the decline has been much less. While this can be attributed to the demographic factor, the fact remains that after 40 years of planned development about 200 million are still poor in rural India.

  1. The number of rural poor people in India is quite substantial.

  2. The development activities during the past 40 years had all been futile.

  3. Alleviation of rural poverty needs strong political will.

  4. The unemployment situation in the country has been worsening year after year.

  5. There has been no progress in the lot of the rural poor.


Correct Option: A
Explanation:

''The fact remains that after 40 years of planned development about 200 million are still poor in rural India.'' Moreover such importance and attention is being paid to alleviation of rural poverty, because of the great numbers.

What is the desired probable impact of the formulation of specific poverty alleviation programmes?

Directions: Read the passage below and answer the question that follows:

Alleviation of rural poverty has been one of the primary objectives of planned development in India. Ever since the inception of planning, the policies and the programmes have been designed and redesigned with this aim.  The problem of rural poverty was brought into a sharper focus during the Sixth Plan. The Seventh Plan too emphasised growth with social justice. It was realised that a sustainable strategy of poverty alleviation has to be based on inversing the productive employment opportunities in the process of growth itself. However, to the extent the process of growth bypasses some sections of the population, it is necessary to formulate specific poverty alleviation programmes for generation of a certain minimum level of income for the rural poor.

Rural development implies both the economic betterment of people as well as greater social transformation.  Increased participation of people in the rural development process, decentralisation of planning, better enforcement of land reforms and greater access to credit and inputs go a long way in providing the rural people with better prospects of economic development. Improvements in health, education, drinking water, energy supply sanitation and housing couple with attitudinal changes also facilitate their social development.

Rural poverty is inextricably linked with low rural productivity and unemployment, including underemployment.  Hence, it is imperative to improve productivity and increase employment in rural areas. Moreover, more employment needs to be generated at higher levels of productivity in order to generate higher output.  Employment at miserably low levels of productivity and incomes is already a problem of far greater magnitude than unemployment as such.  It was around 5 percent.  As per the currently used methodology in the Planning Commission, poverty for the same year was estimated to be 30 percent.  This demonstrates that even though a large proportion of the rural population was ‘working’ it was difficult for them to eke out a living even at subsistence levels from it. It is true that there has been a considerable decline in the incidence of rural poverty over time.  In terms of absolute numbers of poor, the decline has been much less. While this can be attributed to the demographic factor, the fact remains that after 40 years of planned development about 200 million are still poor in rural India.

  1. Provision of good sanitation and housing for the rural poor.

  2. Ensuring certain minimum income for the rural poor.

  3. Alleviation of rural poverty needs strong political will.

  4. The unemployment situation in the country has been worsening year after year.

  5. Streamlining of the administrative structure


Correct Option: B
Explanation:

''It is necessary to formulate specific poverty alleviation programmes for generation of a certain minimum level of income for the rural poor''.

Which of the following is NOT mentioned in the passage as an important factor for rural development?

Directions: Read the passage below and answer the question that follows:

Alleviation of rural poverty has been one of the primary objectives of planned development in India. Ever since the inception of planning, the policies and the programmes have been designed and redesigned with this aim.  The problem of rural poverty was brought into a sharper focus during the Sixth Plan. The Seventh Plan too emphasised growth with social justice. It was realised that a sustainable strategy of poverty alleviation has to be based on inversing the productive employment opportunities in the process of growth itself. However, to the extent the process of growth bypasses some sections of the population, it is necessary to formulate specific poverty alleviation programmes for generation of a certain minimum level of income for the rural poor.

Rural development implies both the economic betterment of people as well as greater social transformation.  Increased participation of people in the rural development process, decentralisation of planning, better enforcement of land reforms and greater access to credit and inputs go a long way in providing the rural people with better prospects of economic development. Improvements in health, education, drinking water, energy supply sanitation and housing couple with attitudinal changes also facilitate their social development.

Rural poverty is inextricably linked with low rural productivity and unemployment, including underemployment.  Hence, it is imperative to improve productivity and increase employment in rural areas. Moreover, more employment needs to be generated at higher levels of productivity in order to generate higher output.  Employment at miserably low levels of productivity and incomes is already a problem of far greater magnitude than unemployment as such.  It was around 5 percent.  As per the currently used methodology in the Planning Commission, poverty for the same year was estimated to be 30 percent.  This demonstrates that even though a large proportion of the rural population was ‘working’ it was difficult for them to eke out a living even at subsistence levels from it. It is true that there has been a considerable decline in the incidence of rural poverty over time.  In terms of absolute numbers of poor, the decline has been much less. While this can be attributed to the demographic factor, the fact remains that after 40 years of planned development about 200 million are still poor in rural India.

  1. Better enforcement of land reformation

  2. Greater access to credit and input

  3. Transferring planning from central to local authorities

  4. Enhancing production in the various new industries in rural areas

  5. None of the above


Correct Option: D
Explanation:

(4) can be directly derived from: ''decentralisation of planning, better enforcement of land reforms and greater access to credit and inputs''.

Which of the following necessitates formulation of specific poverty alleviation programmes?

Directions: Read the passage below and answer the question that follows:

Alleviation of rural poverty has been one of the primary objectives of planned development in India. Ever since the inception of planning, the policies and the programmes have been designed and redesigned with this aim.  The problem of rural poverty was brought into a sharper focus during the Sixth Plan. The Seventh Plan too emphasised growth with social justice. It was realised that a sustainable strategy of poverty alleviation has to be based on inversing the productive employment opportunities in the process of growth itself. However, to the extent the process of growth bypasses some sections of the population, it is necessary to formulate specific poverty alleviation programmes for generation of a certain minimum level of income for the rural poor.

Rural development implies both the economic betterment of people as well as greater social transformation.  Increased participation of people in the rural development process, decentralisation of planning, better enforcement of land reforms and greater access to credit and inputs go a long way in providing the rural people with better prospects of economic development. Improvements in health, education, drinking water, energy supply sanitation and housing couple with attitudinal changes also facilitate their social development.

Rural poverty is inextricably linked with low rural productivity and unemployment, including underemployment.  Hence, it is imperative to improve productivity and increase employment in rural areas. Moreover, more employment needs to be generated at higher levels of productivity in order to generate higher output.  Employment at miserably low levels of productivity and incomes is already a problem of far greater magnitude than unemployment as such.  It was around 5 percent.  As per the currently used methodology in the Planning Commission, poverty for the same year was estimated to be 30 percent.  This demonstrates that even though a large proportion of the rural population was ‘working’ it was difficult for them to eke out a living even at subsistence levels from it. It is true that there has been a considerable decline in the incidence of rural poverty over time.  In terms of absolute numbers of poor, the decline has been much less. While this can be attributed to the demographic factor, the fact remains that after 40 years of planned development about 200 million are still poor in rural India.

  1. Certain sections are not covered in the process of growth

  2. The sharper focus given in the Sixth Plan

  3. Extension of social justice to rural areas

  4. To keep the rural population outside the periphery of growth

  5. The large number of rural poor


Correct Option: A
Explanation:

(1) is directly stated in ''to the extent the process of growth bypasses some sections of the population, it is necessary to formulate specific poverty alleviation programmes''.

Which of the following statements is/are TRUE in the context of the passage?(i) There has been a significant increase in the number of rural poor. (ii) Before the Sixth Plan, the policies regarding alleviation of rural poverty were almost non-existent. (iii) Social change coupled with financial uplift is implied in rural development.

Directions: Read the passage below and answer the question that follows:

Alleviation of rural poverty has been one of the primary objectives of planned development in India. Ever since the inception of planning, the policies and the programmes have been designed and redesigned with this aim.  The problem of rural poverty was brought into a sharper focus during the Sixth Plan. The Seventh Plan too emphasised growth with social justice. It was realised that a sustainable strategy of poverty alleviation has to be based on inversing the productive employment opportunities in the process of growth itself. However, to the extent the process of growth bypasses some sections of the population, it is necessary to formulate specific poverty alleviation programmes for generation of a certain minimum level of income for the rural poor.

Rural development implies both the economic betterment of people as well as greater social transformation.  Increased participation of people in the rural development process, decentralisation of planning, better enforcement of land reforms and greater access to credit and inputs go a long way in providing the rural people with better prospects of economic development. Improvements in health, education, drinking water, energy supply sanitation and housing couple with attitudinal changes also facilitate their social development.

Rural poverty is inextricably linked with low rural productivity and unemployment, including underemployment.  Hence, it is imperative to improve productivity and increase employment in rural areas. Moreover, more employment needs to be generated at higher levels of productivity in order to generate higher output.  Employment at miserably low levels of productivity and incomes is already a problem of far greater magnitude than unemployment as such.  It was around 5 percent.  As per the currently used methodology in the Planning Commission, poverty for the same year was estimated to be 30 percent.  This demonstrates that even though a large proportion of the rural population was ‘working’ it was difficult for them to eke out a living even at subsistence levels from it. It is true that there has been a considerable decline in the incidence of rural poverty over time.  In terms of absolute numbers of poor, the decline has been much less. While this can be attributed to the demographic factor, the fact remains that after 40 years of planned development about 200 million are still poor in rural India.

  1. Only (i)

  2. Only (ii)

  3. Only (iii)

  4. Only (i) and (ii)

  5. Only (ii) and (iii)


Correct Option: C
Explanation:

Statement (i) directly contradicts the lines ''It is true that there has been a considerable decline in the incidence of rural poverty over time. In terms of absolute numbers of poor, the decline has been much less. ''. Statement (ii) cannot be derived from the line: ''The problem of rural poverty was brought into a sharper focus during the Sixth Plan.''. Statement (iii) is true as per: ''Rural development implies both the economic betterment of people as well as greater social transformation.''

Which one or more of the following statements show(s) a striking paradox?(i) In 1987-88, the rate of unemployment was only 3 per cent and inclusive of underemployment it was 5%. (ii) Unemployment together with underemployment was 5% whereas the poverty was 30%. (iii) More employment needs to be generated at higher levels of productivity in order to generate higher output.

Directions: Read the passage below and answer the question that follows:

Alleviation of rural poverty has been one of the primary objectives of planned development in India. Ever since the inception of planning, the policies and the programmes have been designed and redesigned with this aim.  The problem of rural poverty was brought into a sharper focus during the Sixth Plan. The Seventh Plan too emphasised growth with social justice. It was realised that a sustainable strategy of poverty alleviation has to be based on inversing the productive employment opportunities in the process of growth itself. However, to the extent the process of growth bypasses some sections of the population, it is necessary to formulate specific poverty alleviation programmes for generation of a certain minimum level of income for the rural poor.

Rural development implies both the economic betterment of people as well as greater social transformation.  Increased participation of people in the rural development process, decentralisation of planning, better enforcement of land reforms and greater access to credit and inputs go a long way in providing the rural people with better prospects of economic development. Improvements in health, education, drinking water, energy supply sanitation and housing couple with attitudinal changes also facilitate their social development.

Rural poverty is inextricably linked with low rural productivity and unemployment, including underemployment.  Hence, it is imperative to improve productivity and increase employment in rural areas. Moreover, more employment needs to be generated at higher levels of productivity in order to generate higher output.  Employment at miserably low levels of productivity and incomes is already a problem of far greater magnitude than unemployment as such.  It was around 5 percent.  As per the currently used methodology in the Planning Commission, poverty for the same year was estimated to be 30 percent.  This demonstrates that even though a large proportion of the rural population was ‘working’ it was difficult for them to eke out a living even at subsistence levels from it. It is true that there has been a considerable decline in the incidence of rural poverty over time.  In terms of absolute numbers of poor, the decline has been much less. While this can be attributed to the demographic factor, the fact remains that after 40 years of planned development about 200 million are still poor in rural India.

  1. only (i)

  2. only (ii)

  3. only (iii)

  4. only (i) and (ii)

  5. only (ii) and (iii)


Correct Option: B
Explanation:

Paradox is a statement that seems contradictory. Only (ii) shows such contradiction. Although unemployment was only 5%, poverty was as high as 30%.

According to the passage, rural poverty is associated with which of the following one or more factors? (i) Want of effectiveness of productive efforts (ii) Dearth of employment opportunities (iii) Absence of sanitation and housing facilities

Directions: Read the passage below and answer the question that follows:

Alleviation of rural poverty has been one of the primary objectives of planned development in India. Ever since the inception of planning, the policies and the programmes have been designed and redesigned with this aim.  The problem of rural poverty was brought into a sharper focus during the Sixth Plan. The Seventh Plan too emphasised growth with social justice. It was realised that a sustainable strategy of poverty alleviation has to be based on inversing the productive employment opportunities in the process of growth itself. However, to the extent the process of growth bypasses some sections of the population, it is necessary to formulate specific poverty alleviation programmes for generation of a certain minimum level of income for the rural poor.

Rural development implies both the economic betterment of people as well as greater social transformation.  Increased participation of people in the rural development process, decentralisation of planning, better enforcement of land reforms and greater access to credit and inputs go a long way in providing the rural people with better prospects of economic development. Improvements in health, education, drinking water, energy supply sanitation and housing couple with attitudinal changes also facilitate their social development.

Rural poverty is inextricably linked with low rural productivity and unemployment, including underemployment.  Hence, it is imperative to improve productivity and increase employment in rural areas. Moreover, more employment needs to be generated at higher levels of productivity in order to generate higher output.  Employment at miserably low levels of productivity and incomes is already a problem of far greater magnitude than unemployment as such.  It was around 5 percent.  As per the currently used methodology in the Planning Commission, poverty for the same year was estimated to be 30 percent.  This demonstrates that even though a large proportion of the rural population was ‘working’ it was difficult for them to eke out a living even at subsistence levels from it. It is true that there has been a considerable decline in the incidence of rural poverty over time.  In terms of absolute numbers of poor, the decline has been much less. While this can be attributed to the demographic factor, the fact remains that after 40 years of planned development about 200 million are still poor in rural India.

  1. Only (i)

  2. Only (ii)

  3. Only (iii)

  4. Only (i) and (ii)

  5. Only (ii) and (iii)


Correct Option: D
Explanation:

Statements (i) and (ii) can be directly derived from: ''Rural poverty is inextricably linked with low rural productivity and unemployment, including underemployment.''

Why do small and medium scale industries look for help from India's machine tool industry?

Directions: Read the passage below and answer the question that follows:

Now another aspect of the complete scenario: imports.
Today the import duty on a complete machine is 30% for all practical purpose, whereas the import duty on raw materials and components ranges from 35.85%. The story does not end here. After paying such high import duties on component, once a machine is made, it suffers excise duty from 5% – 10% (including on the customs duty already paid). At the time of sale, the machine tools suffer further taxation, i.e. central sales tax or State sales taxes which range from 4% – 16%. This much for the tax angle. Another factor, which pushes the cost of manufacture of machine tools, is the very high rate of interest payable to banks ranging up to 22%, as against 4%–7% prevailing in advanced countries.

The production of machine tools in India being not of the same scale as it is in other countries, the price which India\'s machine tool builders have to pay for components is more or less based on pattern of high pricing applicable to the prices of spares.

The machines tool industry in India has an enviable record of very quick technology absorption, assimilation and development. There are a number of success stories about how machine tool builders were of help at the most critical times. It will be a pity, in fact a tragedy, if we allow this industry to die and disappear from the scene.

It is to be noted that India is at least 6500 km away from any dependable source of supply of machine tools. The Government of India has always given a great deal of importance to the development of small scale and medium scale industries. This industry has also performed pretty well. Today, they are in need of help from India\'s machine tool industry to enable them to produce quality components at reduced costs. Is it anybody\'s case that the needs of the fragile sector (which needs tender care) will be met from 6500 km away?

Then, what is it that the industry request from the Government? It wants a level playing field. In fact, all of us must have a deep introspection and recognize the fact that the machine tool industry has a very special place in the country from the point of strategic and vital interest of the nation. Most important, it requests for the Government\'s consideration and understanding. It is therefore high time that the government gives the due attention to this industry which has a good potential.

 

  1. To produce low cost components without dilution in quality

  2. To produce cheaper components notwithstanding the poor quality

  3. To come in the focus of attention of the government

  4. To improve their poor financial status


Correct Option: A
Explanation:

The answer to this question is evident from following lines of the fourth paragraph “Today, they are in need of help from India's machine tool industry to enable them to produce quality components at reduced costs”. The view expressed above is paraphrased in option (1), which makes it the most appropriate choice for an answer.

Which of the following statements is TRUE in the context of the passage?

Directions: Read the passage below and answer the question that follows:

Now another aspect of the complete scenario: imports.
Today the import duty on a complete machine is 30% for all practical purpose, whereas the import duty on raw materials and components ranges from 35.85%. The story does not end here. After paying such high import duties on component, once a machine is made, it suffers excise duty from 5% – 10% (including on the customs duty already paid). At the time of sale, the machine tools suffer further taxation, i.e. central sales tax or State sales taxes which range from 4% – 16%. This much for the tax angle. Another factor, which pushes the cost of manufacture of machine tools, is the very high rate of interest payable to banks ranging up to 22%, as against 4%–7% prevailing in advanced countries.

The production of machine tools in India being not of the same scale as it is in other countries, the price which India\'s machine tool builders have to pay for components is more or less based on pattern of high pricing applicable to the prices of spares.

The machines tool industry in India has an enviable record of very quick technology absorption, assimilation and development. There are a number of success stories about how machine tool builders were of help at the most critical times. It will be a pity, in fact a tragedy, if we allow this industry to die and disappear from the scene.

It is to be noted that India is at least 6500 km away from any dependable source of supply of machine tools. The Government of India has always given a great deal of importance to the development of small scale and medium scale industries. This industry has also performed pretty well. Today, they are in need of help from India\'s machine tool industry to enable them to produce quality components at reduced costs. Is it anybody\'s case that the needs of the fragile sector (which needs tender care) will be met from 6500 km away?

Then, what is it that the industry request from the Government? It wants a level playing field. In fact, all of us must have a deep introspection and recognize the fact that the machine tool industry has a very special place in the country from the point of strategic and vital interest of the nation. Most important, it requests for the Government\'s consideration and understanding. It is therefore high time that the government gives the due attention to this industry which has a good potential.

 

  1. India's machine tool industry has a praiseworthy record of performance

  2. In critical times, the machine tool builders allowed the industry to perish

  3. In the case of machines, the excise duty is levied only on the cost price

  4. India's quantum of production of machine tools is more than that of other advanced countries

  5. The machine tool industry in India runs the risk of steep decline in the absence of incentives from the government


Correct Option: A
Explanation:

Option (2) is incorrect because there is no reference available in the passage. Option 3 is also not true as it is mentioned in the passage that - 'excise duty from 5% – 10% (including on the customs duty already paid)'. Option (4) is incorrect because the term ‘not of the same scale’ indicates that the numbers are larger in advanced countries. Option 5 is incorrect as per the line - 'The Government of India has always given a great deal of importance to the development of small scale and medium scale industries.' Option (1) has support in the line ‘an enviable record’; hence it is the correct answer. 

Which of the following inferences can be drawn from the content of the passage?

Directions: Read the passage below and answer the question that follows:

Now another aspect of the complete scenario: imports.
Today the import duty on a complete machine is 30% for all practical purpose, whereas the import duty on raw materials and components ranges from 35.85%. The story does not end here. After paying such high import duties on component, once a machine is made, it suffers excise duty from 5% – 10% (including on the customs duty already paid). At the time of sale, the machine tools suffer further taxation, i.e. central sales tax or State sales taxes which range from 4% – 16%. This much for the tax angle. Another factor, which pushes the cost of manufacture of machine tools, is the very high rate of interest payable to banks ranging up to 22%, as against 4%–7% prevailing in advanced countries.

The production of machine tools in India being not of the same scale as it is in other countries, the price which India\'s machine tool builders have to pay for components is more or less based on pattern of high pricing applicable to the prices of spares.

The machines tool industry in India has an enviable record of very quick technology absorption, assimilation and development. There are a number of success stories about how machine tool builders were of help at the most critical times. It will be a pity, in fact a tragedy, if we allow this industry to die and disappear from the scene.

It is to be noted that India is at least 6500 km away from any dependable source of supply of machine tools. The Government of India has always given a great deal of importance to the development of small scale and medium scale industries. This industry has also performed pretty well. Today, they are in need of help from India\'s machine tool industry to enable them to produce quality components at reduced costs. Is it anybody\'s case that the needs of the fragile sector (which needs tender care) will be met from 6500 km away?

Then, what is it that the industry request from the Government? It wants a level playing field. In fact, all of us must have a deep introspection and recognize the fact that the machine tool industry has a very special place in the country from the point of strategic and vital interest of the nation. Most important, it requests for the Government\'s consideration and understanding. It is therefore high time that the government gives the due attention to this industry which has a good potential.

 

  1. To levy heavy custom duty on the machine tool industry is quite necessary for its upliftment.

  2. Banks in other countries are running in loss owing to a low interest rate.

  3. The Government of India was not considerate to the difficulties faced by the machine tool industry.

  4. The Government of India has duly recognized the role of the machine tool industry.

  5. The government has refused to pamper the machine tool industry.


Correct Option: C
Explanation:

The correct answer is option (3) because the passage brings to light the Government’s apathy towards the machine tool industry and calls upon it to help improve its present state of affairs. 

Which of the following is the principal focus of the content of the passage?

Directions: Read the passage below and answer the question that follows:

Now another aspect of the complete scenario: imports.
Today the import duty on a complete machine is 30% for all practical purpose, whereas the import duty on raw materials and components ranges from 35.85%. The story does not end here. After paying such high import duties on component, once a machine is made, it suffers excise duty from 5% – 10% (including on the customs duty already paid). At the time of sale, the machine tools suffer further taxation, i.e. central sales tax or State sales taxes which range from 4% – 16%. This much for the tax angle. Another factor, which pushes the cost of manufacture of machine tools, is the very high rate of interest payable to banks ranging up to 22%, as against 4%–7% prevailing in advanced countries.

The production of machine tools in India being not of the same scale as it is in other countries, the price which India\'s machine tool builders have to pay for components is more or less based on pattern of high pricing applicable to the prices of spares.

The machines tool industry in India has an enviable record of very quick technology absorption, assimilation and development. There are a number of success stories about how machine tool builders were of help at the most critical times. It will be a pity, in fact a tragedy, if we allow this industry to die and disappear from the scene.

It is to be noted that India is at least 6500 km away from any dependable source of supply of machine tools. The Government of India has always given a great deal of importance to the development of small scale and medium scale industries. This industry has also performed pretty well. Today, they are in need of help from India\'s machine tool industry to enable them to produce quality components at reduced costs. Is it anybody\'s case that the needs of the fragile sector (which needs tender care) will be met from 6500 km away?

Then, what is it that the industry request from the Government? It wants a level playing field. In fact, all of us must have a deep introspection and recognize the fact that the machine tool industry has a very special place in the country from the point of strategic and vital interest of the nation. Most important, it requests for the Government\'s consideration and understanding. It is therefore high time that the government gives the due attention to this industry which has a good potential.

 

  1. Exorbitant sales tax for the Indian machine tool industry.

  2. Strategy of development of technology most helpful to the machine tool industry in India.

  3. Reduction in rate of interest on loans to machine industry.

  4. Indian machine tool industry and its vital role in the country's development.

  5. The future of the machine tool industry in India.


Correct Option: D
Explanation:

Options (1), (2) and (3) have support in the passage. But the central theme of this passage is to explain the Indian machine tool industry and its vital role in the country's development. Option (5) is rather sweeping. Therefore option (4) is the correct choice for the question.

Directins: Which of the following statements are true?

Statement (I) The vital role of India's machine tool industry has not been duly recognized by the Government.Statement (II) Small–scale industry's performance can be further improved with the help from the Indian machine tool industry. Statement (III) The author of the passage has not discussed all the factors which are responsible for high cost of Indian machines.

Directions: Read the passage below and answer the question that follows:

Now another aspect of the complete scenario: imports.
Today the import duty on a complete machine is 30% for all practical purpose, whereas the import duty on raw materials and components ranges from 35.85%. The story does not end here. After paying such high import duties on component, once a machine is made, it suffers excise duty from 5% – 10% (including on the customs duty already paid). At the time of sale, the machine tools suffer further taxation, i.e. central sales tax or State sales taxes which range from 4% – 16%. This much for the tax angle. Another factor, which pushes the cost of manufacture of machine tools, is the very high rate of interest payable to banks ranging up to 22%, as against 4%–7% prevailing in advanced countries.

The production of machine tools in India being not of the same scale as it is in other countries, the price which India\'s machine tool builders have to pay for components is more or less based on pattern of high pricing applicable to the prices of spares.

The machines tool industry in India has an enviable record of very quick technology absorption, assimilation and development. There are a number of success stories about how machine tool builders were of help at the most critical times. It will be a pity, in fact a tragedy, if we allow this industry to die and disappear from the scene.

It is to be noted that India is at least 6500 km away from any dependable source of supply of machine tools. The Government of India has always given a great deal of importance to the development of small scale and medium scale industries. This industry has also performed pretty well. Today, they are in need of help from India\'s machine tool industry to enable them to produce quality components at reduced costs. Is it anybody\'s case that the needs of the fragile sector (which needs tender care) will be met from 6500 km away?

Then, what is it that the industry request from the Government? It wants a level playing field. In fact, all of us must have a deep introspection and recognize the fact that the machine tool industry has a very special place in the country from the point of strategic and vital interest of the nation. Most important, it requests for the Government\'s consideration and understanding. It is therefore high time that the government gives the due attention to this industry which has a good potential.

 

  1. Only (I) and (II) are true

  2. Only (I) and (III)

  3. Only (II) and (III) are true

  4. All the statements are true

  5. None of the statements is true


Correct Option: A
Explanation:

Statement (I) is justified from the last paragraph where the author writes, “In fact, all of us must have a deep introspection and recognize the fact…” Statement (II) is justified from the 4th paragraph which says. “Need of help from India’s machine tool industry to enable them to produce quality components at reduced costs…".

Which of the following best explains the sentence It wants a level playing field as used in the passage?

Directions: Read the passage below and answer the question that follows:

Now another aspect of the complete scenario: imports.
Today the import duty on a complete machine is 30% for all practical purpose, whereas the import duty on raw materials and components ranges from 35.85%. The story does not end here. After paying such high import duties on component, once a machine is made, it suffers excise duty from 5% – 10% (including on the customs duty already paid). At the time of sale, the machine tools suffer further taxation, i.e. central sales tax or State sales taxes which range from 4% – 16%. This much for the tax angle. Another factor, which pushes the cost of manufacture of machine tools, is the very high rate of interest payable to banks ranging up to 22%, as against 4%–7% prevailing in advanced countries.

The production of machine tools in India being not of the same scale as it is in other countries, the price which India\'s machine tool builders have to pay for components is more or less based on pattern of high pricing applicable to the prices of spares.

The machines tool industry in India has an enviable record of very quick technology absorption, assimilation and development. There are a number of success stories about how machine tool builders were of help at the most critical times. It will be a pity, in fact a tragedy, if we allow this industry to die and disappear from the scene.

It is to be noted that India is at least 6500 km away from any dependable source of supply of machine tools. The Government of India has always given a great deal of importance to the development of small scale and medium scale industries. This industry has also performed pretty well. Today, they are in need of help from India\'s machine tool industry to enable them to produce quality components at reduced costs. Is it anybody\'s case that the needs of the fragile sector (which needs tender care) will be met from 6500 km away?

Then, what is it that the industry request from the Government? It wants a level playing field. In fact, all of us must have a deep introspection and recognize the fact that the machine tool industry has a very special place in the country from the point of strategic and vital interest of the nation. Most important, it requests for the Government\'s consideration and understanding. It is therefore high time that the government gives the due attention to this industry which has a good potential.

 

  1. It needs more attention and consideration as compared to the other industries from various fields

  2. It needs freedom to import the desired components at a low cost

  3. It seeks to have the small-scale industry as its patron

  4. It wants to adopt novel marketing strategies for scale promotion

  5. It wants the same incentives that are given to some other industries


Correct Option: B
Explanation:

Option (2) has found mention in the first paragraph when the author compares the import duties on complete machinery and various tariffs on import of components. Thus by specifying the difference between the two, the author prepares the case to advocate level playing field for machine tool industry.

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