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Consider the following statements regarding the Draft Digital Competition Bill:
1. The bill intends to regulate large digital enterprises such as news aggregators to ensure fair competition in the digital space.
2. Systemically Significant Digital Enterprises (SSDEs) under the bill are prohibited from practices like self-preferencing and anti-steering.
3. The bill introduces an ex-post framework similar to that of the existing Competition Act, 2002.
Which of the statements given above is/are correct?
  • a)
    1 Only
  • b)
    1 and 2 Only
  • c)
    1 and 3 Only
  • d)
    1, 2 and 3
Correct answer is option 'B'. Can you explain this answer?
Most Upvoted Answer
Consider the following statements regarding the Draft Digital Competit...
Statement 1 is correct. The Draft Digital Competition Bill aims to regulate large digital enterprises, including news aggregators, to ensure fair competition in the digital space. This includes measures to prevent tech giants from favoring their services or using collected data to benefit other business arms.
Statement 2 is correct. The bill designates Systemically Significant Digital Enterprises (SSDEs) and bars them from practices such as self-preferencing and anti-steering, with penalties of up to 10% of their global turnover for violations.
Statement 3 is incorrect. The bill introduces an ex-ante framework, not an ex-post framework like the existing Competition Act, 2002. An ex-ante framework aims to proactively address issues before they occur, in contrast to the ex-post approach which deals with issues after they have happened.
Therefore, the correct answer is Option B: 1 and 2 Only.
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PASSAGE IIIThe need for Competition Law becomes more evident when foreign direct investment (FDI) is liberalised. The impact of FDI is not always pro-competitive. Very often FDI takes the form of a foreign corporation acquiring a domestic enterprise or establishing a joint venture with one. By making such an acquisition the foreign investor may substantially lessen competition and gain a dominant position in the relevant market, thus charging higher prices. Another scenario is where the affiliates of two separate multinational companies (MNCs) have been established in competition with one another in a particular developing economy, following the liberisation of FDI. Subsequently, the parent companies overseas merge. With the affiliates no longer remaining independent, competition in the host country may be artificially inflated. Most of these adverse consequences of mergers and acquisitions by MNCs can be avoided if an effective competition law is in place. Also, an economy that has implemented an effective competition law is in a better position to attract FDI than one that has not. This is not just because most MNCs are expected to be accustomed to the operation of such a law in their home countries and know how to deal with such concerns but also that MNCs expect competition authorities to ensure a level playing field between domestic and foreign firms.Q. With reference to the passage, consider the following statements:1. It is desirable that the impact of Foreign Direct investment should be pro-competitive.2. The entry of foreign investors invariably leads to the inflated prices in domestic markets.Which of the statements given above is/are correct?

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Consider the following statements regarding the Draft Digital Competition Bill:1. The bill intends to regulate large digital enterprises such as news aggregators to ensure fair competition in the digital space.2. Systemically Significant Digital Enterprises (SSDEs) under the bill are prohibited from practices like self-preferencing and anti-steering.3. The bill introduces an ex-post framework similar to that of the existing Competition Act, 2002.Which of the statements given above is/are correct?a)1 Onlyb)1 and 2 Onlyc)1 and 3 Onlyd)1, 2 and 3Correct answer is option 'B'. Can you explain this answer?
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Consider the following statements regarding the Draft Digital Competition Bill:1. The bill intends to regulate large digital enterprises such as news aggregators to ensure fair competition in the digital space.2. Systemically Significant Digital Enterprises (SSDEs) under the bill are prohibited from practices like self-preferencing and anti-steering.3. The bill introduces an ex-post framework similar to that of the existing Competition Act, 2002.Which of the statements given above is/are correct?a)1 Onlyb)1 and 2 Onlyc)1 and 3 Onlyd)1, 2 and 3Correct answer is option 'B'. Can you explain this answer? for UPSC 2024 is part of UPSC preparation. The Question and answers have been prepared according to the UPSC exam syllabus. Information about Consider the following statements regarding the Draft Digital Competition Bill:1. The bill intends to regulate large digital enterprises such as news aggregators to ensure fair competition in the digital space.2. Systemically Significant Digital Enterprises (SSDEs) under the bill are prohibited from practices like self-preferencing and anti-steering.3. The bill introduces an ex-post framework similar to that of the existing Competition Act, 2002.Which of the statements given above is/are correct?a)1 Onlyb)1 and 2 Onlyc)1 and 3 Onlyd)1, 2 and 3Correct answer is option 'B'. Can you explain this answer? covers all topics & solutions for UPSC 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Consider the following statements regarding the Draft Digital Competition Bill:1. The bill intends to regulate large digital enterprises such as news aggregators to ensure fair competition in the digital space.2. Systemically Significant Digital Enterprises (SSDEs) under the bill are prohibited from practices like self-preferencing and anti-steering.3. The bill introduces an ex-post framework similar to that of the existing Competition Act, 2002.Which of the statements given above is/are correct?a)1 Onlyb)1 and 2 Onlyc)1 and 3 Onlyd)1, 2 and 3Correct answer is option 'B'. Can you explain this answer?.
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