UPSC CAPF (AC) 2024 Paper I · Question 96

Question 96 of the UPSC CAPF (AC) 2024 Paper I (4 August 2024). Try it first, then open the answer and explanation.

1. CAPF 2024 · P-I · Q96 · Indian Economy · Public Finance & Taxation

   Consider the following statements : 1. The 15th Finance Commission used fiscal effort as a criterion for horizontal devolution unlike the 14th Finance Commission 2. Both the 14th and the 15th Finance Commission used pre-2011 demographic variables as a criteria for horizontal devolution Which of the statements given above is/are correct?

   1. 1 only
   2. 2 only
   3. Both 1 and 2
   4. Neither 1 nor 2

   निम्नलिखित कथनों पर विचार कीजिए : 1. 15वें वित्त आयोग ने राजकोषीय प्रबंधन का उपयोग 14वें वित्त आयोग से भिन्न समस्तरीय न्यागमन (हॉरिज़ॉन्टल डिवोल्यूशन) के लिए मानदंड के रूप में किया 2. 14वें और 15वें वित्त आयोग, दोनों ने ही, समस्तरीय न्यागमन के लिए मानदंड के रूप में 2011 से पूर्व के जनसांख्यिकीय चरों का उपयोग किया उपर्युक्त में से कौन-सा/कौन-से कथन सही है/हैं?

   1. केवल 1
   2. केवल 2
   3. 1 और 2 दोनों
   4. न तो 1, न ही 2
   Show answer

   Answer: (3) Both 1 and 2

   उत्तर: (3) 1 और 2 दोनों

   The 15th FC gave 2.5% weight to tax and fiscal effort, a criterion the 14th FC did not use, so statement 1 is correct. The 14th FC gave 17.5% weight to 1971 population, and the 15th FC's demographic performance criterion (12.5%) uses the reciprocal of each State's total fertility rate scaled by its 1971 population, so both drew on pre-2011 demographic data and statement 2 is also correct.

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