Wednesday, November 6, 2024

Paper 2, Section 2, Unit 2- Fundamental Rights – Directive Principles of the State Policy – Fundamental Duties

 Fundamental Rights

Right to equality (Articles 14–18)

Right to freedom (Articles 19–22)

Right against exploitation (Articles 23–24)

Right to freedom of religion (Articles 25–28)

Cultural and educational rights (Articles 29–30)

Right to constitutional remedies (Article 32)

The Indian Constitution bestows 6 fundamental rights on every Indian citizen, which are enshrined in Part III (Articles 12 to 35) of the Indian Constitution.

Crucial Role of Article 13: Safeguarding Fundamental Rights in India

1. What is the primary purpose of fundamental rights in a nation?

A. To promote industrial development B. To enhance technological advancements C. To safeguard the interests of its people D. To improve infrastructure

2. What role does Article 13 play in the Indian Constitution?

A. Establishes the Union List B. Declares any law that infringes upon fundamental rights null and void C. Defines the procedure for constitutional amendments D. Provides guidelines for financial distribution

3. Which power is explicitly granted to the judiciary by Article 13?

A. Legislative power B. Executive power C. Judicial review D. Administrative power

6. What is the essence of Article 13 in the context of fundamental rights?

A. To promote economic development B. To provide healthcare facilities C. To serve as a guardian of the people’s rights D. To enhance educational standards

1. Which of the following articles of the Indian Constitution deals with the Right to Equality?

A. Article 14-18 B. Article 19-22 C. Article 23-24 D. Article 25-28

  • The right to equality is guaranteed by the Constitution in Articles 14 – 18. 
  • Right to life and personal liberty (Article 21) 

2. Which fundamental right prohibits traffic in human beings and forced labour?

A. Right to Equality B. Right to Freedom C. Right Against Exploitation (Article 23& 24) D. Right to Constitutional Remedies

  • Article 24 says that “No child below the age of fourteen years shall be employed to work in any factory or mine or engaged in any other hazardous employment.” The fundamental right against exploitation guaranteed to all citizens prohibits child labour in mines, factories, and hazardous conditions.
  • Articles 23 and 24 of the Indian Constitution deal with the right against exploitation

3. Under which article can the President suspend the enforcement of Fundamental Rights during a proclamation of emergency?

A. Article 32 B. Article 34 C. Article 359 D. Article 360

  • During a National Emergency in India, some of the Fundamental Rights get suspended. There are two constitutional provisions (Article 358 and Article 359) regarding the same.
  • Article 358 – Suspension of Fundamental Rights under Article 19: As per Article 358, when a proclamation of National Emergency is made, the six Fundamental Rights under Article 19 (Right to Freedom) are automatically suspended.
  • Article 359 addresses the suspension of other Fundamental Rights (except those guaranteed by Articles 20 and 21). In other words, even during an emergency, the right to protection from criminal prosecution (Article 20) and the right to life and personal liberty (Article 21) remain enforceable.

  • Article 359 – Suspension of Other Fundamental Rights
    • As per Article 359, the President can suspend the right to move any court for enforcement of Fundamental Rights during a National Emergency.
    • In this case, Fundamental Rights themselves are not suspended, but only their enforcement is suspended.

    4. Which of the following is not a part of the Right to Freedom guaranteed under Article 19?

    A. Freedom of speech and expression B. Freedom to assemble peaceably and without arms C. Freedom of property D. Freedom to practice any profession

    5. Which of the following cases is associated with the protection of Fundamental Rights in India?

    A. Keshavananda Bharati v. State of Kerala B. Minerva Mills v. Union of India C. Maneka Gandhi v. Union of India D. A.K. Gopalan v. State of Madras

    Directive Principles of State Policy

    1. Which part of the Indian Constitution contains the Directive Principles of State Policy (DPSP)?

    A. Part III B. Part IV C. Part V D. Part VI

    2. Which article of the Indian Constitution directs the State to secure a social order for the promotion of welfare of the people?

    A. Article 37 B. Article 38 C. Article 39 D. Article 40

    3. The Directive Principles aim at providing social and economic democracy and are based on which country's constitution?

    A. USA B. Ireland C. UK D. Canada

    4. Which of the following is not a Directive Principle of State Policy?

    A. Equal pay for equal work for both men and women B. Promotion of educational and economic interests of Scheduled Castes, Scheduled Tribes, and other weaker sections C. Right to constitutional remedies D. Protection and improvement of environment and safeguarding of forests and wildlife

    5. Which amendment added the concept of free and compulsory education for children under Article 45 to the Directive Principles of State Policy?

    A. 42nd Amendment B. 86th Amendment C. 44th Amendment D. 73rd Amendment

    Fundamental Duties

    1. In which year were the Fundamental Duties incorporated into the Indian Constitution?

    A. 1975 B. 1976 C. 1977 D. 1978

    2. Which article of the Indian Constitution lists the Fundamental Duties of citizens?

    A. Article 50A B. Article 51 C. Article 51A D. Article 52

    3. How many Fundamental Duties are listed in the Indian Constitution?

    A. 10 B. 11 C. 12 D. 13

    4. Which of the following is not a Fundamental Duty according to the Indian Constitution?

    A. To uphold and protect the sovereignty, unity, and integrity of India B. To develop the scientific temper, humanism and the spirit of inquiry and reform C. To protect monuments of national importance D. To safeguard public property and to abjure violence

    5. The idea of Fundamental Duties was borrowed from the Constitution of which country?

    A. USA B. Russia (erstwhile USSR) C. UK D. Japan


    Constitutional Amendments and Fundamental Rights

    1. What is required to make any changes to the fundamental rights in India?

    A. Executive order B. Judicial review C. Constitutional amendment D. Legislative resolution

    2. According to Article 13(2) of the Constitution, what cannot be enacted to undermine fundamental rights?

    A. Administrative rules B. Laws C. Executive orders D. Judicial interpretations

    3. In which case did the Supreme Court rule that Parliament could amend any part of the Constitution, including fundamental rights, in 1965?

    A. Golaknath Case B. Sajjan Singh Case C. Kesavananda Bharati Case D. Minerva Mills Case

    4. In which case did the Supreme Court state that fundamental rights cannot be amended in 1967?

    A. Kesavananda Bharati Case B. Golaknath Case C. Minerva Mills Case D. Sajjan Singh Case

    5. What was the significant judgment of the Supreme Court in the Kesavananda Bharati Case in 1973?

    A. Fundamental rights cannot be amended B. Parliament can amend any part of the Constitution, including fundamental rights, but cannot abrogate the basic structure of the Constitution C. The basic structure doctrine is not applicable D. Only executive orders can amend fundamental rights

    6. What does the "basic structure" doctrine empower the judiciary to do?

    A. Amend the Constitution B. Create new fundamental rights C. Strike down any amendment enacted by Parliament that contradicts the fundamental tenets of the Constitution D. Enforce administrative rules

    7. In what year did the Supreme Court reaffirm the Basic Structure doctrine and specify its non-retroactive application?

    A. 1975 B. 1976 C. 1979 D. 1981

    8. As per the Supreme Court, from which date should the Basic Structure doctrine not be applied retrospectively to challenge amendments?

    A. April 24th, 1967 B. April 24th, 1973 C. January 26th, 1950 D. August 15th, 1947

    9. What did the Supreme Court state in the Kesavananda Bharati Case regarding the power of Parliament to amend the Constitution?

    A. Parliament can amend the Constitution but cannot alter the basic structure B. Parliament cannot amend any part of the Constitution C. Parliament can only amend procedural aspects of the Constitution D. Parliament can amend the Constitution without any restrictions

    10. Which article of the Constitution explicitly grants the judiciary the power of judicial review?

    A. Article 12 B. Article 32 C. Article 13 D. Article 226

    Mudra Yojana

     1. What is the new limit for Mudra loans under the 'Tarun' category?

    A. Rs.15 lakh B. Rs.18 lakh C. Rs.20 lakh D. Rs.25 lakh

    2. What was the previous limit for Mudra loans under the 'Tarun' category before the enhancement?

    A. Rs.5 lakh B. Rs.8 lakh C. Rs.10 lakh D. Rs.12 lakh

    3. Who is eligible for the enhanced limit of Mudra loans under the 'Tarun' category?

    A. New entrepreneurs B. Students C. Entrepreneurs who have successfully repaid previous loans under the same category D. Government employees

    4. What is the purpose of Mudra Yojana?

    A. To provide scholarships for students B. To offer health insurance C. To provide financial assistance to small and micro enterprises D. To promote digital literacy

    5. Which category under Mudra Yojana has the enhanced loan limit?

    A. Shishu B. Kishor C. Tarun D. Vyapar

    PM Awas Yojana 2.0

     1. How many more houses does the government plan to provide under the PM Awas Yojana in rural and urban areas?

    A. Two crore B. Three crore C. Four crore D. Five crore

    2. What is the goal of PM Awas Yojana Urban 2.0?

    A. To provide financial assistance to farmers B. To improve transportation infrastructure C. To address the housing needs of 1 crore urban middle-class and poor families D. To promote digital literacy

    3. How much investment is planned for PM Awas Yojana Urban 2.0?

    A. Rs.5 lakh crore B. Rs.10 lakh crore C. Rs.15 lakh crore D. Rs.20 lakh crore

    4. How much central assistance will be provided under PM Awas Yojana Urban 2.0 in the next 5 years?

    A. Rs.1.5 lakh crore B. Rs.2.2 lakh crore C. Rs.3 lakh crore D. Rs.4 lakh crore

    5. Who are the primary beneficiaries of PM Awas Yojana Urban 2.0?

    A. Rural artisans B. Urban middle-class and poor families C. Industrial workers D. Government employees

    It was initially launched in 2015

    NPS Vatsalya

    1. What is the primary objective of the NPS Vatsalya plan?

    A. To provide scholarships for students B. To offer health insurance for minors C. To allow contributions by parents and guardians for minors D. To provide housing loans for families

    2. What happens to the NPS Vatsalya plan when the minors attain the age of majority?

    A. It is terminated B. It is converted into a health insurance plan C. It can be seamlessly converted into a normal NPS account D. It requires additional contributions


    Viksit Bharat by 2047

     1. What is the goal of Viksit Bharat 2047?

    A. To promote digital literacy B. To improve agricultural productivity C. To make India a developed entity by 2047 D. To enhance technological advancements

    2. Which areas of development are encompassed by Viksit Bharat 2047?

    A. Economy and digital literacy B. Economy, environment, good governance, and social progress C. Agriculture and infrastructure D. Education and healthcare

    3. What is the name of the plan formulated for the all-round development of the eastern region of India under Viksit Bharat 2047?

    A. Atmanirbhar Bharat B. Digital India C. Purvodaya D. Swachh Bharat

    4. Which states are covered under the Purvodaya plan?

    A. Maharashtra, Gujarat, Rajasthan, and Punjab B. Jharkhand, Bihar, Odisha, West Bengal, and Andhra Pradesh C. Kerala, Tamil Nadu, Karnataka, and Telangana D. Uttar Pradesh, Madhya Pradesh, Chhattisgarh, and Haryana

    5. What aspects will the Purvodaya plan focus on for the development of the eastern region?

    A. Digital literacy and financial assistance B. Infrastructure, human resource development, and the generation of economic opportunities C. Industrial growth and technological advancements D. Employment opportunities and business grants

    6. What role is nuclear energy expected to play in achieving Viksit Bharat 2047?

    A. To promote digital literacy B. To improve agricultural productivity C. To be a significant part of the development strategy D. To enhance technological advancements

    7. How will the government pursue the development of nuclear energy under Viksit Bharat 2047?

    A. By setting up solar power plants B. By promoting wind energy C. By partnering with the private sector to set up Bharat Small Reactors and research and development of Bharat Small Modular Reactor D. By investing in hydroelectric power

    8. What is the purpose of setting up Bharat Small Reactors under Viksit Bharat 2047?

    A. To promote digital literacy B. To improve agricultural productivity C. To develop newer technologies for nuclear energy D. To enhance technological advancements

    Pradhan Mantri Janjati Adivasi Nyaya Maha Abhiyan (PM-JANMAN)

    2. What is the total outlay of the PM-JANMAN scheme?

    A. Rs 20,000 crore B. Rs 24,104 crore C. Rs 18,500 crore D. Rs 22,000 crore

    3. How much of the total outlay will be contributed by the Centre?

    A. Rs 12,500 crore B. Rs 15,336 crore C. Rs 10,000 crore D. Rs 17,000 crore

    4. On which occasion did the Prime Minister announce the PM-JANMAN?

    A. Republic Day B. Independence Day C. Janjatiya Gaurav Diwas D. Gandhi Jayanti

    5. What is the main objective of the Pradhan Mantri PVTG Development Mission announced in the Budget Speech 2023-24?

    A. To promote digital literacy B. To provide employment opportunities C. To improve socio-economic conditions of the Particularly Vulnerable Tribal Groups (PVTGs) D. To enhance technological advancements

    7. How many communities have been categorized as Particularly Vulnerable Tribal Groups (PVTGs) in India?

    A. 60 communities B. 75 communities C. 85 communities D. 90 communities

    8. How many states and union territories have communities classified as PVTGs?

    A. 15 states and 1 union territory B. 18 states and the Union Territory of Andaman and Nicobar Islands C. 20 states and 2 union territories D. 12 states and 1 union territory

    9. What are some of the basic facilities that the Pradhan Mantri PVTG Development Mission aims to provide [11 critical interventions through 9 line Ministries]?

    A. Digital literacy and financial assistance B. Safe housing, clean drinking water, sanitation, education, health, nutrition, road and telecom connectivity, and sustainable livelihood opportunities C. Industrial growth and technological advancements D. Employment opportunities and business grants

    10. Which ministry is primarily responsible for the implementation of PM-JANMAN?

    A. Ministry of Home Affairs B. Ministry of Social Justice and Empowerment C. Ministry of Tribal Affairs D. Ministry of Finance

    National Food Security Act (NFSA)

     1. What is the primary objective of the National Food Security Act (NFSA)?

    A. To provide employment opportunities B. To improve agricultural productivity C. To promote digital literacy D. To provide legal right to persons belonging to eligible households to receive food grains at subsidized prices

    2. Under the NFSA, at what price is rice provided to eligible households?

    A. Rs 5/kg B. Rs 4/kg C. Rs 3/kg D. Rs 2/kg

    3. What is the price of wheat provided under the NFSA to eligible households?

    A. Rs 4/kg B. Rs 3/kg C. Rs 2.50/kg D. Rs 2/kg

    4. At what price are coarse grains provided to eligible households under the NFSA?

    A. Rs 3/kg B. Rs 1/kg C. Rs 2/kg D. Rs 1.50/kg

    👉Rice, Wheat and Coarse grain -> 3, 2 1

    5. What percentage of the rural population is legally entitled to receive subsidized food grains under the NFSA?

    A. 80% B. 70% C. 75% D. 65%

    6. What percentage of the urban population is eligible for subsidized food grains under the NFSA?

    A. 60% B. 40% C. 50% D. 45%

    7. Under which system are the food grains distributed to eligible households as per the NFSA?

    A. Public Distribution System (PDS) B. Targeted Public Distribution System (TPDS) C. Direct Benefit Transfer (DBT) D. Integrated Child Development Services (ICDS)

    8. Who is responsible for identifying eligible households under the NFSA?

    A. Central Government B. Non-Governmental Organizations C. State Governments/Union Territory Administrations D. Private Companies

    9. What types of grains are provided to eligible households under the NFSA at subsidized prices?

    A. Only rice B. Only wheat C. Only coarse grains D. Rice, wheat, and coarse grains

    10. What was the broader aim of introducing the NFSA?

    A. To boost foreign investment B. To promote industrial growth C. To offer relief to the poor and marginalized by ensuring food security D. To enhance technological advancements

    Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY)

    The Union Cabinet on Wednesday announced the extension of Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY) scheme to provide 5 kg of free food grains per month to 81.35 crore poor for another five years from January 1, 2024. 

    1. When was the Pradhan Mantri Garib Kalyan Anna Yojana (PM GKAY) launched?

    A. January 2020 B. March 2020 C. April 2020 D. June 2020

    2. What is the primary objective of PMGKAY?

    A. To improve agricultural productivity B. To provide employment opportunities C. To provide financial assistance to economically weaker sections affected by the pandemic D. To promote digital literacy

    3. What does the PMGKAY scheme encompass for distribution each month?

    A. 10 kg of free food grains B. 5 kg of free food grains and cash transfers C. 2 kg of free food grains and cash transfers D. 5 kg of free food grains each month, along with cash transfers to women and elderly individuals

    4. Under which broader package was PMGKAY introduced?

    A. Atmanirbhar Bharat Package B. Digital India Package C. Pradhan Mantri Garib Kalyan Package D. Swachh Bharat Package

    5. Who are the eligible beneficiaries of PMGKAY?

    A. Only urban households B. Only rural households C. Families meeting specific eligibility criteria including Antyodaya Anna Yojana (AAY) and Priority Households (PHH) D. Only middle-income families

    6. How much free food grains does the government offer under PMGKAY in addition to the subsidised ration?

    A. 5 kg B. 10 kg C. 2 kg D. 7 kg

    8. What type of households are included in the Antyodaya Anna Yojana (AAY) category?

    A. Households with high income B. Households headed by widows, terminally ill persons, disabled persons, or persons aged 60 years or more with no assured means of subsistence C. Households with multiple income sources D. Households owning agricultural land

    9. Who is responsible for identifying Priority Households (PHH) under PMGKAY?

    A. Central Government B. Non-Governmental Organizations C. State Governments/Union Territory Administrations D. Private Companies

    11. Under PMGKAY, what additional food grain was provided to beneficiaries aside from the free food grain?

    A. Subsidized pulses B. Subsidized cooking oil C. 5 kg of subsidized food grain under the National Food Security Act (NFSA) D. 5 kg of free vegetables

    5. What was the total amount of food grain provided per month to each beneficiary under PMGKAY and NFSA combined?

    A. 2 kg B. 10 kg C. 7 kg D. 8 kg

    7. Which groups are identified as eligible for the scheme?

    A. Only widows and elderly B. Only disabled persons and farmers C. Widows, terminally ill persons, disabled persons, persons aged 60 years or more, single women or men, primitive tribal households, landless agricultural labourers, marginal farmers, rural artisans/craftsmen, slum dwellers, and persons earning livelihood in the informal sector D. Only single men and women

    10. Which of the following categories are eligible for PMGKAY benefits?

    A. Only rural artisans/craftsmen B. Only porters and coolies C. Only Below Poverty Line families D. All primitive tribal households, landless agricultural labourers, marginal farmers, rural artisans/craftsmen, slum dwellers, and persons earning their livelihood on a daily basis in the informal sector like porters, coolies, rickshaw pullers, hand cart pullers, and other similar categories in both rural and urban areas

    Sunday, October 27, 2024

    Net Demand and Time Liabilities (NDTL)

    Banking and Financial Systems> Monetary Policy

    NDTL (Net Demand and Time Liabilities) and its implications for CRR (Cash Reserve Ratio) and SLR (Statutory Liquidity Ratio) are generally covered under Monetary Policy in economics. This topic falls under the broader subject of Banking and Financial Systems.

    It represents the total deposits a bank has, which includes both demand and time liabilities. It's crucial for calculating how much reserve the bank needs to maintain in terms of CRR and SLR.

    Think of NDTL as the total amount the bank owes to its customers, both short-term (demand) and long-term (time deposits). This helps the RBI ensure that banks have enough liquidity and aren't over-leveraged

    NDTL = Demand Liabilities + Time Liabilities

    Net Demand and Time Liabilities (NDTL)

    Demand Liabilities: These are deposits that can be withdrawn by customers on demand. Think of these as money that the bank must be ready to pay out at any time.

    1. Savings Accounts:

      • Example: You have Rs. 40,000 in your savings account. Your friend has Rs. 60,000 in their savings account. Total = Rs. 1,00,000.

    2. Current Accounts:

      • Example: A business has Rs. 1,50,000 in their current account.

    3. Demand Drafts [DD]:

      • Example: The bank has issued demand drafts worth Rs. 30,000.

    Total Demand Liabilities = Rs. 1,00,000 (Savings) + Rs. 1,50,000 (Current) + Rs. 30,000 (Demand Drafts/DD) = Rs. 2,80,000

    Time Liabilities:

    These are deposits that cannot be withdrawn immediately and have a fixed term.

    1. Fixed Deposits (FDs):

      • Example: You have an FD of Rs. 2,00,000 maturing in 1 year.

    2. Recurring Deposits (RDs):

      • Example: You have an RD of Rs. 50,000 maturing in 2 years.

    3. Time Liabilities to Foreign Banks:

      • Example: Your bank owes Rs. 1,00,000 to a foreign bank as a fixed term liability.

    Total Time Liabilities = Rs. 2,00,000 (FD) + Rs. 50,000 (RD) + Rs. 1,00,000 (Foreign Bank) = Rs. 3,50,000

    Calculating NDTL

    NDTL = Total Demand Liabilities + Total Time Liabilities NDTL = Rs. 2,80,000 + Rs. 3,50,000 NDTL = Rs. 6,30,000

    Application in CRR and SLR

    Cash Reserve Ratio (CRR):

    If the CRR is 4%, then banks must keep 4% of their NDTL as cash with the RBI.

    CRR Amount = 4% of Rs. 6,30,000 = Rs. 25,200

    Statutory Liquidity Ratio (SLR):

    If the SLR is 18%, then banks must maintain 18% of their NDTL in the form of liquid assets like cash, gold, or government securities.

    SLR Amount = 18% of Rs. 6,30,000 = Rs. 1,13,400

    1. Different Forms of Reserves:

      • CRR is only in cash with the RBI.

      • SLR can be cash, gold, or government securities held by the bank itself.

    Not Deducted from Each Other:

    • The Rs. 40,000 kept for CRR is strictly parked with the RBI and cannot be used for any other purpose.

    • The Rs. 1,80,000 for SLR is a separate requirement and must be maintained in cash, gold, or securities. This ensures that banks have enough liquid assets beyond the immediate cash reserved with the RBI.


    While CRR requires banks to keep a percentage of their NDTL as cash reserves with the RBI, SLR allows banks to maintain their reserves in more diverse and potentially revenue-generating forms:

    • Cash: This part, similar to CRR, remains liquid and readily available.

    • Gold: As a tangible asset, gold reserves can be held by the bank and serve as a hedge against inflation.

    • Government Securities: Here’s where it gets interesting. Banks can invest in government-approved securities such as Treasury Bills (T-Bills) and bonds. These securities can generate returns through interest payments. Essentially, while these assets must be maintained to meet the SLR requirement, they can also potentially earn a return, unlike CRR, which earns nothing.


    While the cash and gold remain in the bank's possession, the government securities can still be traded in the market or held until maturity to earn interest[maturity meaning, lets say 10 years of bond, when it reaches its maturity], thus providing an income stream.

    So, SLR offers mix of liquidity and investment opportunities, whereas CRR is purely about maintaining cash liquidity with the RBI.

    CRR is mandated by the RBI, and banks must comply with it.It’s regulatory requirementbut it's not referred to as "statutory" in the same context as SLR.

    SLR is also mandatory requirement, and its "statutory" label comes from the fact that it is mandated by law under the Banking Regulation Act, 1949.