Current Challenges Test - 1

The correct answer is option 1, i.e. the difference between the poverty line and actual income level of all those living below that line

• The poverty gap calculates the intensity of poverty. It reflects the extent to which people on average fall under the poverty line.
• The theory of poverty gap was created by the World Bank and is largely used to estimate the incidence of poverty in different nations worldwide.
• The higher poverty gap reflects a lower level of deprivation and a higher incidence of poverty for those who are below the poverty line. In effect, the government has to provide more income to take them above the poverty line. 

• Country	Poverty Gap (%)
  India	4.8
  Indonesia	2.7
  Brazil	2.1
  Pakistan	1.9
  China	1.3
  Malaysia	0.5
  Nigeria	27.5

• Absolute poverty refers to a condition where a person does not have the minimum amount of income needed to meet the minimum requirements for one or more basic living needs over an extended period of time.
• This includes things like food, safe drinking water, sanitation facilities, shelter, education and information.
• Life of absolute poverty is basically very harmful and can cause your life to be endangered.

The correct answer is Option 2, i.e World Bank.

• The World Bank released a Human Capital Index (HCI) as part of the World Development Report.
• The HCI has been constructed for 157 countries.
• It claims to seek to measure the amount of human capital that a child born today can expect to attain by age 18.
• The HCI index values are contended to convey the productivity of the next generation of workers, compared to a benchmark of complete standard education and full health.

The HCI has three components:

• Survival, as measured by under-5 mortality rates.
• Expected years of Quality-Adjusted School which combines information on the quantity and quality of education.
• Health environment using two proxies of
  • adult survival rates and
  • the rate of stunting for children under age 5.

The correct answer is Migration

Key Points

• Human Capital It refers to the stock of ‘skill and expertise of a nation at a point in time. It is the sum total of skill and expertise.
• Human Capital Formation It is the process of adding to the stock of human capital over time.
• Physical Capital It refers to the stock of produced means of production. It consists of machines, production plants etc.
• Financial Capital It refers to the stocks/shares of the companies or these are simple financial claims against assets of the companies.

Sources of Human Capital Formation

• Expenditure on Education
• Expenditure on Health
• On-the-Job Training
• Study Programmes for Adults
• Migration, Hence option 1 is the correct answer.
• Expenditure on Information
• There is a cause-and-effect relationship between human capital formation and economic growth.

Important Points

Steel Plant in Jamshedpur:

• Before 1947, there was only one iron and steel plant in the country – Tata Iron and Steel Company Limited (TISCO).
• It was privately owned. After Independence, the government took the initiative and set up several iron and steel plants.
• TISCO was started in 1907 at Sakchi, near the confluence of the rivers Subarnarekha and Kharkai in Jharkhand.
• Later on, Sakchi was renamed Jamshedpur.
• Geographically, Jamshedpur is the most conveniently situated iron and steel center in the country.
• Sakchi was chosen to set up the steel plant for several reasons.
• This place was only 32 km away from Kalimati station on the Bengal-Nagpur railway line.
• It was close to the iron ore, coal, and manganese deposits as well as to Kolkata, which provided a large market.
• TISCO gets coal from Jharia coalfields, and iron ore, limestone, dolomite, and manganese from Odisha and Chhattisgarh.
• The Kharkai and Subarnarekha rivers ensured a sufficient water supply.
• Government initiatives provided adequate capital for its later development.
• In Jamshedpur, several other industrial plants were set up after TISCO.
• They produce chemicals, locomotive parts, agricultural equipment, machinery, tinplate, cable, and wire.
• The development of the iron and steel industry opened the doors to rapid industrial development in India.
• Almost all sectors of the Indian industry depend heavily on the iron and steel industry for their basic infrastructure.
• The Indian iron and steel industry consists of large integrated steel plants as well as mini steel mills.
• It also includes secondary producers, rolling mills, and ancillary industries.

Hence, Jamshedpur is the correct answer.

The rural health is NOT correct.

Key Points 

• Bharat Nirman is a programme that aims at building infrastructure and bringing basic amenities to rural India.
  • It was launched on 16^th December 2005.
  • It was launched during the 10^th five-year plan.
  • The first half of the programme was in the Tenth Plan period and the second half coincides with the first two years of the Eleventh Plan period (2007–12).
• The six components included under the programme are:
  1. Irrigation.
  2. Drinking water.
  3. Electrification.
  4. Roads.
  5. Housing.
  6. Rural telephony.
• The Programme imposes a responsibility on the State to create these facilities in a transparent and accountable manner.
• The targets are achieved through a partnership of Central and State Government and the Panchayati Raj Institutions.

The correct answer is Solar Energy.

Key Points

• Energy is one of the major parts of the economic infrastructure, being the basic input needed to sustain economic growth. There exists a strong relationship between economic development and energy consumption.
• The more developed country is, the higher is the per capita of energy consumption and vice-versa. Human civilization relies on different sources of energy.
• The two major sources of energy can be classified under:
  • Conventional Sources
  • Non-Conventional Sources

• Hence option 4 is correct.

Additional Information 

• Coal
  • Coal is the most important source of energy. There are more than 148790 coal deposits in India. Between 2005-2006, the annual production went up to 343 million tons.
  • India is the fourth-largest coal-producing country and the deposits are mostly found in Bihar, Orissa, Madhya Pradesh, and Bengal.
• Oil and Natural Gas
  • Today oil is considered to be liquid gold and one of the crucial sources of energy in India and the world. Oil is mostly used in planes, automobiles, trains, and ships. It is mainly found in Assam, Gujarat, and Mumbai.
  • The total production of oil in India was 0.3 million tons in 1950-51, which increased up to 32.4 million tons in 2000-01.
• Nuclear Power
  • The fuel used in nuclear power plants is Uranium, which costs less than coal. Nuclear power plants can be found in Kaiga (Karnataka), Kota (Rajasthan), Naroura (UP), and Kalapakam(Chennai).
• Solar Energy
  • This is the energy that is produced by sunlight. The photovoltaic cells are exposed to sunlight based on the form of electricity that needs to be produced. The energy is utilized for cooking and distillation of water.

The correct answer is Improving the quality of roads all over India.

• Bharatmala Pariyojana is a centrally-sponsored and funded road and highways project of the Government of India aimed for improving the quality of roads all over India.

Key Points

• Highlights of Bharatmala Pariyojana:
  • Improvement in the efficiency of existing corridors through the development of Multimodal Logistics Parks and elimination of chokepoint.
  • Enhance focus on improving connectivity in North East and leveraging synergies with Inland Waterways.
  • Emphasis on the use of technology & scientific planning for Project Preparation and Asset Monitoring.
  • Delegation of powers to expedite project delivery - Phase I to complete by 2022.
  • Improving connectivity in the North East.

Additional Information

• The Indian Railway is among the world's largest railways divided into Total of 18 Zones as well as it is the largest employer over the world.
  • Its latest project includes the Trans-Asian Railway Linking Project aimed to link India with other Asian countries.
• The Sagarmala project is related to the development of inland waterways and their connectivity via high-speed road expressways and railroads.
• The UDAN (Ude Desh Ka Aam Nagrik) project is concerned with the establishment and operation of domestic airports in major cities all across India.

Combating HIV/AIDS, Malaria and Other Diseases forms part of the Millennium Development Goals.

There are 17 Sustainable Development Goals, associated 169 targets and 304 indicators.This included the following goals:

1. End poverty in all its forms everywhere

2. End hunger, achieve food security and improved nutrition and promote sustainable agriculture

3. Ensure healthy lives and promote well-being for all at all ages

4. Ensure inclusive and equitable quality education and promote lifelong learning opportunities for all

5. Achieve gender equality and empower all women and girls

6. Ensure availability and sustainable management of water and sanitation for all

7. Ensure access to affordable, reliable, sustainable and modern energy for all

8. Promote sustained, inclusive and sustainable economic growth, full and productive employment and decent work for all

9. Build resilient infrastructure, promote inclusive and sustainable industrialization and foster innovation

10. Reduce inequality within and among countries

11. Make cities and human settlements inclusive, safe, resilient and sustainable

12. Ensure sustainable consumption and production patterns

13. Take urgent action to combat climate change and its impacts

14. Conserve and sustainably use the oceans, seas and marine resources for sustainable development

15. Protect, restore and promote sustainable use of terrestrial ecosystems, sustainably manage forests, combat desertification, and halt and reverse land degradation and halt biodiversity loss

16. Promote peaceful and inclusive societies for sustainable development, provide access to justice for all and build effective, accountable and inclusive institutions at all levels

17. Strengthen the means of implementation and revitalize the global partnership for sustainable development

Hence, Statement 3 is the correct option.

The correct answer is Present generation fulfils it's needs while considers the need of future generation as well.

Key Points

• Sustainable development aims to balance our economic, environmental, social needs, and universal health, allowing prosperity for now and future generations.
• It meets the needs of the present without compromising the ability of future generations to meet their own needs.
• It calls for concerted efforts towards building an inclusive, sustainable, and resilient future for people and the planet.

Additional Information

• The three elements of sustainable development are economic growth, social inclusion, and environmental protection.
  • Economic Sustainability: The main agenda is equal economic growth that generates wealth for all, without harming society and the environment.
    Eradicating poverty in all its forms and dimensions.
  • Social Sustainability: It included gender equality, development of people, communities, and cultures to help achieve a reasonable and fairly distributed quality of life, healthcare, and education across the world.
  • Environmental Sustainability: It is the protection and rational use of natural resources.
    Aspects such as environmental conservation, saving water, investment in renewable energy, supporting sustainable mobility, and innovation in sustainable construction and architecture, contribute to achieving environmental sustainability on several fronts.

• The Sustainable Development Goals (SDGs) adopted by 193 nations in September 2015 at the UN summit are a set of quantifiable objectives across social, economic, and environmental dimensions, all to be achieved by 2030.
• The SD goals are
  • No Poverty.
  • Zero Hunger.
  • Good Health and Well-Being.
  • Quality Education.
  • Gender Equality.
  • Clean Water and Sanitation.
  • Affordable and Clean Energy.
  • Decent Work and Economic Growth.
  • Industry, Innovation, and Infrastructure.
  • Reduced Inequalities.
  • Sustainable Cities and Communities.
  • Sustainable Consumption and Production.
  • Climate Action.
  • Life Below Water.
  • Life on Land.
  • Peace, Justice, and Strong Institutions.
  • Partnerships for the Goals.