Practice Test: Indian Polity - 7 - UPSC MCQ

The Bombay plan was a set of proposal of a small group of influential business leaders in Bombay for the development of the post-independence economy of India. This plan was published in two parts or volume- first in 1944 and second in 1945.

In economic planning we adopted socialist pattern like 5 year plans, focus on heavy industry and self sufficiency

The Central Secretariat constitutes the complex and vast organization of a large number of Ministries and departments.

The Planning Commission was an institution in the Government of India, which formulated India's Five-Year Plans, among other functions.

In his first Independence Day speech in 2014, Prime Minister Narendra Modi announced his intention to dissolve the Planning Commission. It has since been replaced by a new institution named NITI Aayog.
The composition of the Commission underwent considerable changes since its initiation. With the Prime Minister as the ex officio Chairman, the committee had a nominated Deputy Chairman, with the rank of a full Cabinet Minister. Cabinet Ministers with certain important portfolios acted as ex officio members of the Commission, while the full-time members were experts in various fields like economics, industry, science and general administration.

Ex officio members of the Commission included the Finance Minister, Agriculture Minister, Home Minister, Health Minister, Chemicals and Fertilisers Minister, Information Technology Minister, Law Minister, Human Resource Development Minister and Minister of State for Planning.

The Commission worked through its various divisions, of which there were two kinds: i. General Planning Divisions
ii. Programme Administration Divisions
 

The correct optio is C.
Centrally Sponsored Scheme meaning: The Union government supports several developmental initiatives at the state level. These schemes are aimed at supplementing the efforts made by state governments since the central government has more resources at its disposal. The category of centrally sponsored schemes comprises programmes that have a national character or a regional character. Earlier, there were nearly 67 centrally sponsored schemes, but many of them were phased out after the suggestions of the 14th Finance Commission were implemented.

It was set up on 6 August 1952 to strengthen and mobilize the effort and resources of the nation in support of the Five Year Plans made by Planning Commission, to promote common economic policies in all vital spheres, and to ensure the balanced and rapid development of all parts of the country.

Effect of the power of the Union Planning Commission to influence the inclusion of schemes in State Plans on the federal system:
- Centralization: The power of the Union Planning Commission to influence the inclusion of schemes in State Plans can lead to centralization of power and decision-making. This means that the central government has a significant role in determining the schemes and policies that are implemented at the state level.
- Decentralization: On the other hand, if the Union Planning Commission allows for greater participation and decision-making power of the states in the inclusion of schemes in State Plans, it promotes decentralization. This means that states have more autonomy and authority to decide on the schemes that are implemented within their boundaries.
- Power to the States: If the Union Planning Commission gives more weightage to the states' inputs and priorities while including schemes in State Plans, it strengthens the federal system. It allows states to have a say in the development process and ensures that their unique needs and requirements are taken into consideration.
- Power to the people: In a federal system, the power ultimately lies with the people. If the Union Planning Commission considers the aspirations and demands of the people while including schemes in State Plans, it enhances democratic principles and empowers the citizens.
In conclusion, the power of the Union Planning Commission to influence the inclusion of schemes in State Plans can have different effects on the federal system. It can either lead to centralization or decentralization of power, depending on the decision-making process. However, if the states and people are given due consideration, it strengthens the federal system by ensuring their participation and empowerment.

The correct option is D.
“National development is the total effect of all citizen forces and addition to the stock of physical, human resources, knowledge and skill.” ADVERTISEMENTS: United Nations Decade Report has defined it as: “National development is growth plus change.In 2014, Prime Minister Narendra Modi announced Planning Commission's abolition and created NITI Aayog through an executive resolution.It is neither a constitutional body nor a statutory body.

Writer on Constitutions who feels that the Indian Constitution provides “a system of government which is quasi-federal... a unitary state with subsidiary federal features rather than a federal state with subsidiary unitary features.”

• K.C. Wheare


• L.D. White


• D.D. Basu


• Alexandrowicz

Answer: a. K.C. Wheare

K.C. Wheare, a well-known writer on Constitutions, is the one who stated that the Indian Constitution provides "a system of government which is quasi-federal... a unitary state with subsidiary federal features rather than a federal state with subsidiary unitary features."

Here is an explanation of the options:

• K.C. Wheare: He is the correct answer as he is the writer who made this statement about the Indian Constitution.


• L.D. White: This option is incorrect as L.D. White is not associated with this statement.


• D.D. Basu: This option is incorrect as D.D. Basu is not associated with this statement.


• Alexandrowicz: This option is incorrect as Alexandrowicz is not associated with this statement.

Therefore, the correct answer is option a. K.C. Wheare.

Methodology of formation of the Indian federal system:
The Indian federal system was formed through a combination of factors and processes. Here is a detailed explanation of the different methodologies that contributed to its formation:
A. Union of previously independent states:
- India was a land of various princely states that had their own rulers and administration systems.
- After independence from British colonial rule in 1947, these princely states were given the option to join either India or Pakistan.
- Through negotiations and agreements, many of these states chose to join the Indian union, forming the foundation of the federal system.
B. Union of British provinces and princely states:
- Prior to independence, British India was divided into British provinces and princely states.
- The British provinces were directly governed by the British government, while the princely states were ruled by local kings or princes under the overall control of the British.
- After independence, both the British provinces and the princely states became part of the Indian union, establishing a federal structure.
C. Geographical division of the country:
- India is a vast and diverse country with different regions and states.
- The federal system was formed by dividing the country into different states and union territories based on geographical considerations.
- Each state has its own government and legislative assembly, allowing for decentralized governance and representation.
D. Division on the basis of language:
- As India is a multilingual country, language played a significant role in the formation of the federal system.
- States were created based on linguistic boundaries to ensure effective governance and representation for different language-speaking communities.
- This division on the basis of language helped in the preservation and promotion of diverse cultures and languages within the federal structure.
In conclusion, the Indian federal system was formed through the union of previously independent states, the merger of British provinces and princely states, geographical division, and division based on language. These methodologies were instrumental in creating a federal structure that accommodates the diverse needs and aspirations of the Indian population.

The correct answer is A as Function performed by the Comptroller and AuditorGeneral in respect of the departments of the Government of India pertains to )Audit alone

Area of the economy dominated by Public Sector:
The area of the economy dominated by the public sector refers to industries or sectors where the government has a significant presence and control. These sectors are often considered essential for the overall development and welfare of the country.
Examples of such sectors include:
1. Mining and Quarrying: The public sector often plays a dominant role in the mining and quarrying industry, especially in countries with abundant natural resources. This sector involves the extraction of minerals, metals, and other valuable materials from the earth.
2. Cement: The production and distribution of cement is another area where the public sector may have a significant influence. Cement is a vital component in the construction industry and is crucial for infrastructure development.
3. Structural fabrication: The public sector often dominates the structural fabrication industry, which involves the manufacturing and assembly of structural components used in construction projects. This sector is closely linked to the overall development of infrastructure.
4. Consumables: The production and distribution of essential consumable goods, such as food and beverages, may also be dominated by the public sector. Governments often play a role in ensuring the availability and affordability of these basic necessities.
In conclusion, the public sector dominates certain areas of the economy, including mining and quarrying, cement production, structural fabrication, and the production of consumable goods. These sectors are crucial for the overall development and welfare of a country, and the government's involvement ensures their efficient functioning and accessibility to the public.

The correct option is A.
Departmental undertakings are the oldest among the public enterprises. A departmental undertaking is organised, managed and financed by the Government. It is controlled by a specific department of the government. Each such department is headed by a minister. All policy matters and other important decisions are taken by the controlling ministry. The Parliament lays down the general policy for such undertakings. Example 1. Posts & Telegraph 2. Railways 3. All India Radio (AIR) 4. DoorDarshan (TV) 5. Ordnance Factories .

The correct option is A.
The joint sector represents a new ideology of economic management geared to sub serve a new economic system. The term is applied to an undertaking only when both its ownership and control are effectively shared between public sector agencies on the one hand and a private group on the other.

The correct option is A.
The business units owned, managed and controlled by the central, state or local government are termed as public sector enterprises or public enterprises. These are also known as public sector undertakings.
Government Ownership and Management: The public enterprises are owned and
managed by the central or state government, or by the local authority. For
example, National Thermal Power Corporation (NTPC) is an industrial organisation established by the Central Government and part of its share capital
is provided by the public. So is the case with Oil and Natural Gas Corporation
Ltd. (ONGC).
The government may either wholly own the public enterprises or the ownership
may partly be with the government and partly with the private industrialists and
the public. In any case the control, management and ownership remains
primarily with the government.
 

The correct answer is A as The Board of Directors has to exercise strategic oversight over business operations while directly measuring and rewarding management’s performance. 

Sources of working capital can be spontaneous, short term and long term. Short term sources are tax provisions, dividend provisions, bank overdraft, cash credit, trade deposits, public deposits, bills discounting, short-term loans, inter-corporate loans, and commercial paper.

The PESB is an expert body responsible for selection and placement of personnel for top managerial posts in the Public Sector Undertakings. The Board was originally constituted in 1974 and placed under the administrative control of the Ministry of Industry (Bureau of Public Enterprise).

Characteristic of position classification in Public Sector in India:
There are several characteristics of position classification in the public sector in India. These include:
Flexibility:
- The position classification system in the public sector in India is generally flexible.
- It allows for the creation and modification of job positions based on changing needs and requirements.
- It provides room for adjustments and adaptations to accommodate evolving job roles and responsibilities.
Rigidity:
- While there is some flexibility, there are also elements of rigidity in the position classification system.
- Certain positions may be classified in a fixed manner, without much scope for modification or reclassification.
- This rigidity can sometimes hinder the effective allocation of resources and talent within the public sector.
Low pay scales:
- In general, public sector positions in India are associated with relatively lower pay scales compared to their private sector counterparts.
- This disparity in pay can sometimes be a deterrent for attracting and retaining top talent in the public sector.
Lack of mobility:
- The position classification system in the public sector in India often lacks mobility options for employees.
- Once an employee is classified into a particular position, there may be limited opportunities for upward movement or career progression.
- This lack of mobility can lead to stagnation and demotivation among employees.
Overall, the position classification system in the public sector in India has both flexible and rigid elements. It also suffers from low pay scales and a lack of mobility options for employees. These characteristics can impact the efficiency and effectiveness of the public sector workforce.

Method of financial control utilised by the government over the capital investments of Government of India Public Sector enterprises:
The method of financial control utilized by the government over the capital investments of Government of India Public Sector enterprises is "Prior concurrence".
Explanation:
The government exercises control over the capital investments of Government of India Public Sector enterprises through the following method:
Prior concurrence:
- Prior concurrence refers to the approval or permission required from the government before making any capital investment.
- It ensures that the government has control and oversight over the capital investments made by the public sector enterprises.
- This control mechanism allows the government to assess and evaluate the feasibility, viability, and potential impact of the proposed capital investments.
- It helps in ensuring that the capital investments align with the government's policies, objectives, and priorities.
- Prior concurrence enables the government to exercise financial control and prevent any misuse or misallocation of funds by the public sector enterprises.
- By granting or withholding prior concurrence, the government can influence and regulate the capital investment decisions of the public sector enterprises.
In conclusion, "Prior concurrence" is the method of financial control utilized by the government over the capital investments of Government of India Public Sector enterprises.

The Committee on Public Undertakings (COPU) is a committee of selected members of parliament, constituted by the Parliament of India, for the purpose of examining the reports and accounts of the public sector undertakings (PSUs) as specified in the fourth schedule of the Rules of Procedure and Conduct of Business in Lok Sabha. This committee along with the Public Accounts committee (PAC) and the Estimates committee (EC) are the three financial standing committees of the Parliament of India.

The correct option is C.
Public Enterprise is an activity of a business character, managed and owned, fifty one percent or more, by the government – Central, State or Local, providing goods and services for a price. ... Public enterprise might be 'an enterprise which is controlled by the government'.
 

The Government of India Act, 1935 was passed by British Parliament in August 1935. With 321 sections and 10 schedules, this was the longest act passed by British Parliament so far and was later split into two parts viz. Government of India Act, 1935 and Government of Burma Act, 1935.The demand for constitutional reforms in india has been quite old.

The Government of India Act, 1935 derived material from four key sources viz. Report of the Simon Commission, discussions at the Third Round Table Conference, the White Paper of 1933 and the reports of the Joint select committees. This act ended the system of dyarchy introduced by the Government of India Act 1919, and provided for establishment of a Federation of India to be made up of provinces of British India and some or all of the Princely states. However, the federation never came into being as the required number of princely states did not join it.

Prime Minister Jawaharlal Nehru appointed the States Reorganisation Commission in December 1953, with the remit to reorganise the Indian states. The new commission was headed by the retired Chief Justice of the Supreme Court, Fazal Ali; its other two members were H. N. Kunzru and K. M. Panikkar.

The States Reorganisation Commission (SRC) constituted by the Central Government of India on 22 December 1953 to recommend the reorganisation of state boundaries. In 1955, after nearly two years of study, the Commission recommended that India's state boundaries should be reorganised to form 14 states and 6 territories.