18 DEC CURRENT AFFAIRS (MCQ)

Q1. Consider the following statements

1. Purchasing Power Parity (PPP) exchange rates are calculated by comparing the prices of the same basket of goods and services in different countries.
2. In terms of PPP dollars, India is the sixth largest economy in the world. Which of the statement/s given above is/are correct?
   a) 1 only
   b) 2 only
   c) Both 1 and 2
   d) Neither 1 nor 2

Solution : a)
Explanation :-
• Purchasing Power Parity is a way of measuring economic variables in different countries so that irrelevant exchange rate variations do not distort comparisons. It states that exchange rates between currencies are in equilibrium when their purchasing power is the same in each of the two countries. This means that the exchange rate between two countries should equal the ratio of the two countries’ price level of a fixed basket of goods and services.
• On the PPP basis, China is the world’s largest economy in 2018, followed by the United States at 2 and India at 3 position. Hence, option (a) is correct.

Q2. With reference to ‘Bitcoins’, sometimes seen in the news, which of the following statements/s is/are correct?

1. Bitcoins are tracked by the Central Banks of the countries.
2. Anyone with a Bitcoin address can send and receive Bitcoins from anyone else with a Bitcoin address.
3. Online payments can be sent without either side knowing the identity of the other. Select the correct answer using the code given below.
   a) 1 and 2 only
   b) 2 and 3 only
   c) 3 only
   d) 1, 2 and 3

Solution : b)
Explanation :-
Option 1 is incorrect as Bitcoins can’t be tracked by any central Bank. Hence, option (b) is correct.

Q3. The Polar Satellite Launch Vehicle (PSLV) is an expendable medium-lift launch vehicle designed and operated by the Indian Space Research Organisation (ISRO). Consider the following statements:

1. The PSLV is a reusable rocket.
2. It has 4 stages with 1st and 3rd being Solid.
   Which of the above statements is/are correct?
   a) 1 only
   b) 2 only
   c) Both 1 and 2
   d) Neither 1 nor 2

Solution : b)
Explanation :- About PSLV
• The Polar Satellite Launch Vehicle (PSLV) is an expendable medium-lift launch vehicle designed and operated by the Indian Space Research Organisation (ISRO).
• It was developed to allow India to launch its Indian Remote Sensing (IRS) satellites into sun-synchronous orbits, a service that was, until the advent of the PSLV in 1993, commercially available only from Russia.
• The PSLV is 44-metre-high and has four stages with six strap-on booster motors on to the first stage that gives it a higher thrust during the initial flight moments.
• ISRO has developed and used different PSLV variants, including ones with either two or four strap-on motors, or the Core Alone variant without any strap-on motors.
• It has 4 stages with 1st and 3rd being Solid and 2th and 4th being Liquid stages.
• As the PSLV is not a reusable rocket, the first stage won’t be reclaimed and it will crash into the Indian Ocean.
• PSLV can also launch small size satellites into Geostationary Transfer Orbit (GTO).
• The PSLV has a history of successful launches of payloads that include Chandrayaan-
1, Mars Orbiter Mission and the space recovery mission. Hence, option (b) is correct.

Q4. Which of the following groups/projects, Bangladesh is not a part of?
a) SAARC
b) BIMSTEC
c) Indian Ocean Rim Association (IORA)
d) New Development Bank

Solution : d)
Explanation :-
The New Development Bank (NDB), formerly referred to as the BRICS Development Bank, is a multilateral development bank established by the BRICS states (Brazil, Russia, India, China and South Africa).

Q5. With respect to “Currency Manipulation”, consider the following statements:

1. It is a label given by the China government to countries it feels are engaging in “unfair currency practices”.
2. It means artificially lowering the value of its currency which reduces the cost of exports. Which of the above given statements is/are correct?
   a) 1 only
   b) 2 only
   c) Both 1 and 2
   d) Neither 1 nor 2

Solution : b)
Explanation :-
Hence Statement 1 is incorrect: The United States has once again included India in its monitoring list of countries with potentially “questionable foreign exchange policies” and “currency manipulation”.
The term ‘currency manipulator’ is a label given by the US government to countries it feels are engaging in “unfair currency practices” by deliberately devaluing their currency against the dollar.
Hence Statement 2 is correct: The practice would mean that the country in question is artificially lowering the value of its currency to gain an unfair advantage over others. This is because the devaluation would reduce the cost of exports from that country and artificially show a reduction in trade deficits as a result.
Parameteres
• An economy meeting two of the three criteria in the Trade Facilitation and Trade Enforcement Act of 2015 is placed on the Monitoring List. This includes: o A “significant” bilateral trade surplus with the US — one that is at least $20 billion over a 12-month period. o A material current account surplus equivalent to at least 2 percent of gross domestic product (GDP) over a 12-month period.
o “Persistent”, one-sided intervention — when net purchases of foreign currency totaling at least 2 percent of the country’s GDP over a 12 month period are conducted repeatedly, in at least six out of 12 months.
Once on the Monitoring List, an economy will remain there for at least two consecutive reports “to help ensure that any improvement in performance versus the criteria is durable and is not due to temporary factors.

Q6. With respect to “GPS- based toll collection system”, consider the following statements:

1. This will ensure India becomes ‘toll booth free’ in next two years.
2. The toll amount will be deducted directly from the bank account based on the movement of vehicles.
   Which of the above given statements is/are correct?
   a) 1 only
   b) 2 only
   c) Both 1 and 2
   d) Neither 1 nor 2

Solution : c)
Explanation :-
Union Minister of Road Transport & Highways has said that the Government has finalised GPS-vbased (Global Positioning System) technology toll collection to ensure seamless movement ofvvehicles across the country.
Hence Statement 1 is correct: This will ensure India becomes ‘toll booth free’ in next two years.
Hence Statement 2 is correct: The toll amount will be deducted directly from the bank account based on the movement of vehicles. While now all commercial vehicles are coming with vehicle tracking systems, the Government will come up with some plan to install GPS technology in old vehicles.
The Minister expressed hope that the toll collections may reach Rs 34 thousand crore by March 2021. By using GPS technology for toll collection, the toll income in next five years will be Rs 1.34 lakh crore.

Q7. With respect to “World Anti-Doping Agency”, consider the following statements:

1. Its activities include monitoring of the World Anti-Doping Code, whose provisions are enforced by the UNESCO International Convention against Doping in Sport.
2. Its Headquarters is in Nairobi, Kenya.
   Which of the above given statements is/are correct?
   a) 1 only
   b) 2 only
   c) Both 1 and 2
   d) Neither 1 nor 2

Solution : a)
Explanation :-
India has pledged a sum of USD 1 million to the World Anti-Doping Agency (WADA) towards the global agency’s scientific research budget, which will allow WADA to develop innovative anti- doping testing and detection methods.
Hence Statement 1 is correct: The World Anti-Doping Agency is a foundation initiated by the International Olympic Committee to promote, coordinate and monitor the fight against drugs in sports. The agency’s key activities include monitoring of the World Anti-Doping Code, whose provisions are enforced by the UNESCO International Convention against Doping in Sport.
Hence Statement 2 is incorrect: It was established in 1999. Its Headquarters is in Montreal, Quebec, Canada.

Q8. With reference to the Yogasana, consider the following statements:

1. It is an integral and important component of Yoga, which is psycho-physical in nature and popular across the globe for its efficacy in fitness and general wellness.
2. The Ministry of AYUSH and Ministry of Youth Affairs and Sports announced the formal recognition of Yogasana as a competitive sport. Which of the statements given above is/are correct?
   a) 1 only
   b) 2 only
   c) Both 1 and 2
   d) Neither 1 nor 2

Solution : c)
Explanation :-
The Ministry of AYUSH and Ministry of Youth Affairs and Sports announced the formal recognition of Yogasana as a competitive sport at a joint press conference.
• The origins of Yogasana competitions can be traced to the Indian Yoga tradition, where such competitions have been held for centuries.
• Yogasana is an integral and important component of Yoga, which is psycho-physical in nature and popular across the globe for its efficacy in fitness and general wellness.
• Competitions that will arise out of the recognition of Yogasana as a sport will enhance interest in Yoga among people around the globe.
• Government of India is planning to include Yogasana as a Sport discipline in National Games, Khelo India and international sports events.
Hence both statements are correct.

Q9. With reference to the India – Bangladesh virtual summit, consider the following statements:

1. The two sides jointly inaugurated a railway link between Haldibari in India and Chilahati in Bangladesh during the summit.
2. MoU for protocol on Transboundary Elephant Conservation was signed. Which of the statements given above is/are correct?
   a) 1 only
   b) 2 only
   c) Both 1 and 2
   d) Neither 1 nor 2

Solution : c)
Explanation :-
Narendra Modi, Prime Minister of India and Sheikh Hasina, Prime Minister of Bangladesh held a Summit in virtual format on 17 December 2020.
• The two sides jointly inaugurated the Bangabandhu-Bapu Digital Exhibition.
• The two sides jointly inaugurated a railway link between Haldibari in India and Chilahati in Bangladesh during the summit. Haldibari – Chilahati route will be beneficial for transit into Bangladesh from Assam and West Bengal.
• Both sides also agreed to hold an early meeting of the Joint Boundary Conference to prepare a new set of strip maps along the stretch of Icchamati, Kalindi, Raimongol and the Hariabhanga Rivers.
• Bangladesh requested India to name the historic road from Mujib Nagar to Nodia on Bangladesh-India border as “Shadhinota Shorok” commemorating the historic significance of the road during Bangladesh’s Liberation War.
• The following bilateral development partnership projects were also inaugurated: o Beautification and city development project in Rajshahi City; o Construction of Khalishpur Collegiate Girl’s School in Khulna; List of MoUs/Agreements signed during the Summit:

1. Framework of Understanding on Cooperation in the Hydrocarbon Sector
2. MoU regarding Indian Grant Assistance for Implementation of High Impact Community Development Projects through Local Bodies and other Public Sector Institutions
3. Protocol on Transboundary Elephant Conservation
4. MoU for Supply of Equipment & Improvement of Garbage/Solid Waste Disposal Ground at Lamchori Area for Barishal City Corporation
5. MoU on Cooperation in the field of Agriculture
6. MoU between Father of the Nation Bangabandhu Sheikh Mujibur Rahman Memorial Museum, Dhaka, Bangladesh and the National Museum, New Delhi, India
7. Terms of Reference of India-Bangladesh CEO’s Forum Hence both statements are correct.

Q10. With reference to the PSLV-C50 /CMS-01, consider the following statements:

1. CMS-01 is envisaged to provide services in the extended-C Band of the frequency spectrum that will cover the Indian mainland, the Andaman and Nicobar and Lakshadweep Islands.
2. It was India’s 10th communication satellite with a mission life of over seven years. Which of the statements given above is/are correct?
   a) 1 only
   b) 2 only
   c) Both 1 and 2
   d) Neither 1 nor 2

Solution : a)
Explanation :-
India’s communication satellite CMS-01 was successfully launched by PSLV-C50 on December 17, 2020 from the Satish Dhawan Space Centre (SDSC) SHAR, Sriharikota.
• CMS-01 is envisaged to provide services in the extended-C Band of the frequency spectrum that will cover the Indian mainland, the Andaman and Nicobar and Lakshadweep Islands.
• It was India’s 42nd communication satellite with a mission life of over seven years.
• The satellite will be placed in the specified slot in the geosynchronous orbit. Subsequently, it will function as the continuation of GSAT11 launched 11 years back.”
• PSLV-C50 is the 52nd flight of PSLV and 22nd flight of PSLV in ‘XL’ configuration (with 6 strapon motors).
Hence only statement 1 is correct.