Quiz 604: Current Affairs for Civil Services Exams

1. Which among the following is the only major democracy which uses the same type of Alternative Voting, which was proposed for UK in recent times?
[A]United States of America
[B]Brazil
[C]Australia
[D]Germany

Australia
Australia is the only major democracy to use the same type of AV system as the one being proposed for the UK, but voting is compulsory there. Papua New Guinea and Fiji also use AV – but most democracies use versions of proportional representation or first-past-the-post. {BBC}

2. Consider the following statements in context with the Kashmir issue:
1. Under the partition plan provided by the Indian Independence Act of 1947, Kashmir was free to accede to India or Pakistan
2. Currently, the LoC is monitored by the UN Military Observer Group in India and Pakistan.
Which among the above statements is/ are correct?
[A]Only 1
[B]Only 2
[C]Both 1 & 2
[D]Neither 1 nor 2

Both 1 & 2
Kindly go thru the this article


3. Some countries like Switzerland and Norway have opted out of the EU. Why these countries don’t join EU?
1. Because these countries have closed economies
2. Because the Government in these countries is socialistic and majority of the trade is controlled by Government
3. Because people there don’t want to be a part of EU
4. Because these countries have only bilateral treaties with all multinational organizations
Choose the correct option:
[A]Only 1 & 2
[B]Only 2 & 3
[C]Only 3
[D]Only 3 & 4

Only 3
Switzerland has not joined EU nor EEA. The reason is that the people out there think that they can manage at their own. Switzerland had discussed in 1992 to accede to European Economic Area but then in a referendum in the country, the people out there voted that they don’t want EEA membership. The government decided to suspend the discussions regarding both EU as well as EEA. Almost same reason applies to Norway too. The other reason is that the Swiss people don’t think that EU is here to stay.


4. Consider the following statements in context with New Start Treaty:
1. Under the New Start treaty each side is allowed a maximum of 1,550 warheads.
2. This is about 30% lower than the figure of 2,200 that each side was meant to reach by 2012 under the Start treaty (as revised in the 2002 Strategic Offensive Reductions Treaty).
3. Each country is allowed, in total, no more than 700 deployed intercontinental ballistic missiles, submarine-launched ballistic missiles, and heavy bombers equipped for nuclear arms.
Which among the above are the provisions of the NewSTART Treaty?
[A]Only 1
[B]Only 1 & 2
[C]Only 2 & 3
[D]1, 2 & 3

1, 2 & 3
All are correct statements and notable points.


5. A few times back, The Asian Development Bank and International Monetary Fund have warned against the growing risks of economic overheating for emerging Asian countries, including India. What are features of this economic overheating?
1. High Economic growth
2. High Production
3. Low demand
4. Rise in wages
Choose the correct option:
[A]1 Only
[B]1 & 2
[C]1, 2 & 3
[D]1, 2, 3 & 4

1 & 2
Overheating refers to a situation where an economy is growing close to its potential growth with the resources at its disposal, but this rate of growth is not enough to meet the demand. In other words, the productive capacity of the economy is unable to keep pace with the aggregate demand. The demand I usually stoked by expansionary monetary and fiscal policies. The first sign of overheating is usually a fast rise in prices. An economy growing above its potential rate may not find enough inputs to meet the demand leading to an increase in prices. But more than a generalized rise in prices, it is the rise in wages that is a better indicator of overheating. Stretched physical infrastructure such as heavy demand for electricity, transport and ports also indicate overheating. High credit growth and rapid rise in asset prices are other signs. Since overheating refers to a situation of an economy growing above a sustainable rate, bringing the growth down a bit should cool things. This is usually done through monetary and fiscal tightening. The government tries to reduce expenditure while the monetary authorities raise interest rates to curb credit growth. In specific situations of asset bubbles, curbs on lending to some sectors could also be imposed. These measures usually help curb demand and slow down the economy. If overheating goes unchecked, growth could rise in the short term, leading to a hard landing later. This could depress growth till the time excesses are removed. High inflation would tend to discourage investments and create uncertainty. System could be saddled with excess capacity to meet the spike in demand. The banking system could be saddled with non-performing loans when asset bubbles burst. Excess borrowing by consumers could depress spending for a long period.

6. Consider the following statements about Foreign Military Sales Route in context with India’s Defence Procurement Policy:
1.Foreign Military Sales Route is one of the means of the Defence Procurement policy of India to procure tools and equipments.
2.The procurements done under the Foreign Military Sales Route come under the category of Business to Government (B2G) Procurement.
3.There is highest possible transparency and competition in procurement via Foreign Military Sales Route
Which among the above statements is/ are correct?
[A]Only 1
[B]Only 1 & 2
[C]Only 2 & 3
[D]None of them

None of them
FMS refers to the Government to Government (G2G) route. The FMS procedure is NOT an Indian procedure but is a procedure of the US Government. (statement 1 & 2 in above question is incorrect) . As per India’s Defence Procurement Procedure, there are 4 major categories of Capital Acquisitions as follows:
1.Acquisitions Covered under the ‘Buy’ Decision. Buy would mean an outright purchase of equipment. Based on the source of procurement, this category would be classified as ‘Buy (Indian)’ and ‘Buy (Global)’. ‘Indian’ would mean Indian vendors only and ‘Global’ would mean foreign as well as Indian vendors. ‘Buy Indian’ must have minimum 30 % indigenous content if the systems are being integrated by an Indian vendor.
2.Acquisitions Covered under the ‘Buy & Make’ Decision. Acquisitions covered under the ‘Buy & Make’ decision would mean purchase from a foreign vendor followed by licensed production / indigenous manufacture in the country.
3.Acquisitions Covered under the ‘Buy & Make (Indian)’ Decision. Acquisitions covered under the ‘Buy & Make (Indian)’ decision would mean purchase from an Indian vendor including an Indian company forming joint venture / establishing production arrangement with OEM followed by licensed production / indigenous manufacture in the country. ‘Buy & Make (Indian)’ must have minimum 50 % indigenous content on cost basis.
4.Acquisitions Covered under the ‘Make’ Decision. Acquisitions covered under the ‘Make’ decision would include high technology complex systems to be designed, developed and produced indigenously. The above categories and the Defence Procurement Policy of the Indian Government “advocate” the multi-vendor process but in recent times we see an increasing trend of government concluding Defence deals through the Foreign Military Sales route. The biggest concern raised about the FMS Route is that it avoids competition. (Statement 3 in above question is incorrect)


7. Consider the following statements in context with the internet kiosks known as Common Service Centers (CSCs) started in rural areas of India:
1.Common Service Centres (CSCs) are being installed as a part of CSC scheme which is financed by the Union Government
2.The CSC scheme is the largest internet kiosk initiative in the world
3.Common Service Centres (CSCs) are allowed to work as Banking Correspondents
Which among the above statements is/ are correct?
[A]Only 1 & 2
[B]Only 2 & 3
[C]1, 2 & 3
[D]Only 3

Only 2 & 3
The correct answer of above question is d i.e. 2 & 3 only. The first statement is incorrect because CSC scheme is working on PPP (Public Private
Partnership Model).


8. Consider the following statements in context with the Gliese 581g that was making news in recent times:
1. Gliese 581g is a planet recently discovered in the Virgo Constellation
2. It is being considered to be the best candidate for extra solar life, as it seems to be located in a habitable zone.
Which among the above statements is / are correct?
[A]Only 1 is correct
[B]Only 2 is correct
[C]Both 1 & 2 are correct
[D]Both 1 & 2 are incorrect

Only 2 is correct The First statement is incorrect. Libra constellation is located between Virgo and Scorpion. in Libra, there is a red dwarf known as Gliese 581. Gliese 581is located 20.3 light years from Earth. This Red dwarf is special because, several planets revolve around this Red Dwarf. These planets are called Gliese 581a, Gliese 581b , Gliese 581c, Gliese 581d and so on…. Latest discovery is Gliese 581g. Some of these planets are said to be located in habitable zones and they are Earth Like planets. The Gliese 581g is making news because, it is the best candidate planet for human habitability and extra- solar life yet discovered. The scientists at University of California have discovered Gliese 581g in September 2010 and believe that it might be the first habitable planet outside Earth’s solar system.


9. Consider the following statements:
1.Genetic Engineering Approval Authority is one of the five competent authorities for handling of various aspects of the “Rules for Manufacture, Use, Import, Export and Storage of Hazardous Micro-organisms/Genetically Engineered Organisms or Cells 1989”
2.Genetic Engineering Approval Authority was constituted by an Act of Parliament
Which among the above statements is/ are correct?
[A]Only 1
[B]Only 2
[C]Both 1 & 2
[D]Neither 1 nor 2

Only 1
At present GEAC has NO legal backing and is constituted in the Ministry of Environment and Forests under ‘Rules for Manufacture, Use, Import, Export and Storage of Hazardous Microorganisms/Genetically Engineered Organisms or Cells 1989’, under the Environment Protection Act, 1986.


10. Consider the following statements:
1. All Eurozone members are also members of European Union (EU)
2. All ASEAN members are also members of the East Asia Summit
Which among the above statements is/ are correct?
[A]Only 1
[B]Only 2
[C]Both 1 & 2
[D]Neither 1 nor 2

Both 1 & 2
Both are correct “observations”. Kindly surf the web and find out more.

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Comments

  • Adarsh singh
    Reply

    thank you sir. for this quiz :-)

  • abhishek singh
    Reply

    sir please explain economic overheating a bit more.whether rise in wages is any symptom of economic overheating.in the explanations it has been said so the wage hike is a sign but the same has not been given as a correct choice

  • maggie
    Reply

    Sir

    In Q No 5 the explanation given for economic overheating clearly refers to rise in wages as a better indicator ,why has it been missed in the answer ?

  • maggie
    Reply

    One possible explanation mite be option 4 which includes all the symptoms also includes option 3 i.e low demand which at any cost cant be an indicator ; hence the next best answer to the question is B