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Read the passage given below and answer the questions that follows:
At the most simple level, globalisation results in an erosion of state capacity, that is, the ability of government to do what they do. All over the world, the old ‘welfare state’ is now giving way to a more minimalist state that performs certain core functions such as the maintenance of law and order and the security of its citizens. However, it withdraws from many of its earlier welfare functions directed at economic and social wellbeing. In place of the welfare state, it is the market that becomes the prime determinant of economic and social priorities. The entry and the increased role of multinational companies all over the world leads to a reduction in the capacity of governments to take decisions on their own. What is important is for people in different parts of the world to recognise these interconnections with the rest of the world. Currently, we are aware of the fact that events taking place in one part of the world could have an impact on another part of the world. The Bird flu or tsunami is not confined to any particular nation. It does not respect national boundaries. Similarly, when major economic events take place, their impact is felt outside their immediate local, national or regional environment at the global level.
Q. The increase in the MNCs all over the world has resulted in ....................... .
  • a)
    the governments’ inability to cater to their needs.
  • b)
    the capacity of the nations to incorporate these MNCs.
  • c)
    poverty to the population where these companies are set up.
  • d)
    reduction in the capacity of governments to take decisions on their own.
Correct answer is option 'D'. Can you explain this answer?
Most Upvoted Answer
Read the passage given below and answer the questions that follows:At...
The entry and the increased role of multinational companies all over the world leads to a reduction in the capacity of governments to make decisions on their own. At the same time, globalisation does not always reduce state capacity.
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Read the passage given below and answer the questions that follows:At...
Explanation:

Increase in MNCs and Government Decision Making Capacity:
- The passage explains that the increase in multinational companies (MNCs) all over the world has resulted in a reduction in the capacity of governments to take decisions on their own.
- MNCs operate on a global scale and have significant economic power, often surpassing that of individual nations.
- Governments may find themselves influenced or even pressured by MNCs in their decision-making processes, especially in matters that affect the companies' interests.

Impact on State Capacity:
- With the growing influence of MNCs, governments may face challenges in regulating or controlling the activities of these powerful entities.
- The presence of MNCs can limit the autonomy of governments in making policy decisions, particularly in areas related to economic regulations, trade agreements, and taxation.
- This reduction in the capacity of governments to act independently can lead to a shift in priorities, where economic considerations driven by market forces become more dominant than social welfare concerns.

Conclusion:
- In conclusion, the increase in MNCs globally has had a significant impact on the capacity of governments to make decisions autonomously.
- This trend highlights the interconnected nature of the global economy and the need for governments to navigate complex relationships with powerful multinational corporations while balancing the welfare of their citizens.
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Read the passage given below and answer the questions that follows:At the most simple level, globalisation results in an erosion of state capacity, that is, the ability of government to do what they do. All over the world, the old ‘welfare state’ is now giving way to a more minimalist state that performs certain core functions such as the maintenance of law and order and the security of its citizens. However, it withdraws from many of its earlier welfare functions directed at economic and social wellbeing. In place of the welfare state, it is the market that becomes the prime determinant of economic and social priorities. The entry and the increased role of multinational companies all over the world leads to a reduction in the capacity of governments to take decisions on their own. What is important is for people in different parts of the world to recognise these interconnections with the rest of the world. Currently, we are aware of the fact that events taking place in one part of the world could have an impact on another part of the world. The Bird flu or tsunami is not confined to any particular nation. It does not respect national boundaries. Similarly, when major economic events take place, their impact is felt outside their immediate local, national or regional environment at the global level.Q. The increase in the MNCs all over the world has resulted in ....................... .a)the governments’ inability to cater to their needs.b)the capacity of the nations to incorporate these MNCs.c)poverty to the population where these companies are set up.d)reduction in the capacity of governments to take decisions on their own.Correct answer is option 'D'. Can you explain this answer? for Humanities/Arts 2025 is part of Humanities/Arts preparation. The Question and answers have been prepared according to the Humanities/Arts exam syllabus. Information about Read the passage given below and answer the questions that follows:At the most simple level, globalisation results in an erosion of state capacity, that is, the ability of government to do what they do. All over the world, the old ‘welfare state’ is now giving way to a more minimalist state that performs certain core functions such as the maintenance of law and order and the security of its citizens. However, it withdraws from many of its earlier welfare functions directed at economic and social wellbeing. In place of the welfare state, it is the market that becomes the prime determinant of economic and social priorities. The entry and the increased role of multinational companies all over the world leads to a reduction in the capacity of governments to take decisions on their own. What is important is for people in different parts of the world to recognise these interconnections with the rest of the world. Currently, we are aware of the fact that events taking place in one part of the world could have an impact on another part of the world. The Bird flu or tsunami is not confined to any particular nation. It does not respect national boundaries. Similarly, when major economic events take place, their impact is felt outside their immediate local, national or regional environment at the global level.Q. The increase in the MNCs all over the world has resulted in ....................... .a)the governments’ inability to cater to their needs.b)the capacity of the nations to incorporate these MNCs.c)poverty to the population where these companies are set up.d)reduction in the capacity of governments to take decisions on their own.Correct answer is option 'D'. Can you explain this answer? covers all topics & solutions for Humanities/Arts 2025 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Read the passage given below and answer the questions that follows:At the most simple level, globalisation results in an erosion of state capacity, that is, the ability of government to do what they do. All over the world, the old ‘welfare state’ is now giving way to a more minimalist state that performs certain core functions such as the maintenance of law and order and the security of its citizens. However, it withdraws from many of its earlier welfare functions directed at economic and social wellbeing. In place of the welfare state, it is the market that becomes the prime determinant of economic and social priorities. The entry and the increased role of multinational companies all over the world leads to a reduction in the capacity of governments to take decisions on their own. What is important is for people in different parts of the world to recognise these interconnections with the rest of the world. Currently, we are aware of the fact that events taking place in one part of the world could have an impact on another part of the world. The Bird flu or tsunami is not confined to any particular nation. It does not respect national boundaries. Similarly, when major economic events take place, their impact is felt outside their immediate local, national or regional environment at the global level.Q. The increase in the MNCs all over the world has resulted in ....................... .a)the governments’ inability to cater to their needs.b)the capacity of the nations to incorporate these MNCs.c)poverty to the population where these companies are set up.d)reduction in the capacity of governments to take decisions on their own.Correct answer is option 'D'. Can you explain this answer?.
Solutions for Read the passage given below and answer the questions that follows:At the most simple level, globalisation results in an erosion of state capacity, that is, the ability of government to do what they do. All over the world, the old ‘welfare state’ is now giving way to a more minimalist state that performs certain core functions such as the maintenance of law and order and the security of its citizens. However, it withdraws from many of its earlier welfare functions directed at economic and social wellbeing. In place of the welfare state, it is the market that becomes the prime determinant of economic and social priorities. The entry and the increased role of multinational companies all over the world leads to a reduction in the capacity of governments to take decisions on their own. What is important is for people in different parts of the world to recognise these interconnections with the rest of the world. Currently, we are aware of the fact that events taking place in one part of the world could have an impact on another part of the world. The Bird flu or tsunami is not confined to any particular nation. It does not respect national boundaries. Similarly, when major economic events take place, their impact is felt outside their immediate local, national or regional environment at the global level.Q. The increase in the MNCs all over the world has resulted in ....................... .a)the governments’ inability to cater to their needs.b)the capacity of the nations to incorporate these MNCs.c)poverty to the population where these companies are set up.d)reduction in the capacity of governments to take decisions on their own.Correct answer is option 'D'. Can you explain this answer? in English & in Hindi are available as part of our courses for Humanities/Arts. Download more important topics, notes, lectures and mock test series for Humanities/Arts Exam by signing up for free.
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Currently, we are aware of the fact that events taking place in one part of the world could have an impact on another part of the world. The Bird flu or tsunami is not confined to any particular nation. It does not respect national boundaries. Similarly, when major economic events take place, their impact is felt outside their immediate local, national or regional environment at the global level.Q. The increase in the MNCs all over the world has resulted in ....................... .a)the governments’ inability to cater to their needs.b)the capacity of the nations to incorporate these MNCs.c)poverty to the population where these companies are set up.d)reduction in the capacity of governments to take decisions on their own.Correct answer is option 'D'. Can you explain this answer? defined & explained in the simplest way possible. Besides giving the explanation of Read the passage given below and answer the questions that follows:At the most simple level, globalisation results in an erosion of state capacity, that is, the ability of government to do what they do. All over the world, the old ‘welfare state’ is now giving way to a more minimalist state that performs certain core functions such as the maintenance of law and order and the security of its citizens. However, it withdraws from many of its earlier welfare functions directed at economic and social wellbeing. In place of the welfare state, it is the market that becomes the prime determinant of economic and social priorities. The entry and the increased role of multinational companies all over the world leads to a reduction in the capacity of governments to take decisions on their own. What is important is for people in different parts of the world to recognise these interconnections with the rest of the world. Currently, we are aware of the fact that events taking place in one part of the world could have an impact on another part of the world. The Bird flu or tsunami is not confined to any particular nation. It does not respect national boundaries. Similarly, when major economic events take place, their impact is felt outside their immediate local, national or regional environment at the global level.Q. The increase in the MNCs all over the world has resulted in ....................... .a)the governments’ inability to cater to their needs.b)the capacity of the nations to incorporate these MNCs.c)poverty to the population where these companies are set up.d)reduction in the capacity of governments to take decisions on their own.Correct answer is option 'D'. 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Currently, we are aware of the fact that events taking place in one part of the world could have an impact on another part of the world. The Bird flu or tsunami is not confined to any particular nation. It does not respect national boundaries. Similarly, when major economic events take place, their impact is felt outside their immediate local, national or regional environment at the global level.Q. The increase in the MNCs all over the world has resulted in ....................... .a)the governments’ inability to cater to their needs.b)the capacity of the nations to incorporate these MNCs.c)poverty to the population where these companies are set up.d)reduction in the capacity of governments to take decisions on their own.Correct answer is option 'D'. Can you explain this answer? has been provided alongside types of Read the passage given below and answer the questions that follows:At the most simple level, globalisation results in an erosion of state capacity, that is, the ability of government to do what they do. All over the world, the old ‘welfare state’ is now giving way to a more minimalist state that performs certain core functions such as the maintenance of law and order and the security of its citizens. However, it withdraws from many of its earlier welfare functions directed at economic and social wellbeing. In place of the welfare state, it is the market that becomes the prime determinant of economic and social priorities. The entry and the increased role of multinational companies all over the world leads to a reduction in the capacity of governments to take decisions on their own. What is important is for people in different parts of the world to recognise these interconnections with the rest of the world. Currently, we are aware of the fact that events taking place in one part of the world could have an impact on another part of the world. The Bird flu or tsunami is not confined to any particular nation. It does not respect national boundaries. Similarly, when major economic events take place, their impact is felt outside their immediate local, national or regional environment at the global level.Q. The increase in the MNCs all over the world has resulted in ....................... .a)the governments’ inability to cater to their needs.b)the capacity of the nations to incorporate these MNCs.c)poverty to the population where these companies are set up.d)reduction in the capacity of governments to take decisions on their own.Correct answer is option 'D'. Can you explain this answer? theory, EduRev gives you an ample number of questions to practice Read the passage given below and answer the questions that follows:At the most simple level, globalisation results in an erosion of state capacity, that is, the ability of government to do what they do. All over the world, the old ‘welfare state’ is now giving way to a more minimalist state that performs certain core functions such as the maintenance of law and order and the security of its citizens. However, it withdraws from many of its earlier welfare functions directed at economic and social wellbeing. In place of the welfare state, it is the market that becomes the prime determinant of economic and social priorities. The entry and the increased role of multinational companies all over the world leads to a reduction in the capacity of governments to take decisions on their own. What is important is for people in different parts of the world to recognise these interconnections with the rest of the world. Currently, we are aware of the fact that events taking place in one part of the world could have an impact on another part of the world. The Bird flu or tsunami is not confined to any particular nation. It does not respect national boundaries. Similarly, when major economic events take place, their impact is felt outside their immediate local, national or regional environment at the global level.Q. The increase in the MNCs all over the world has resulted in ....................... .a)the governments’ inability to cater to their needs.b)the capacity of the nations to incorporate these MNCs.c)poverty to the population where these companies are set up.d)reduction in the capacity of governments to take decisions on their own.Correct answer is option 'D'. Can you explain this answer? tests, examples and also practice Humanities/Arts tests.
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