Note4Students
From UPSC perspective, the following things are important :
Prelims level: Art 123, Art 213
Mains level: Not Much
The ordinance on unlawful religious conversions, promulgated by the UP government last year, has not been sent to the Centre for examination, according to a reply from the Union Home Ministry.
What is the news?
- The Ministry of Home Affairs (MHA) examines bills passed by State assemblies that are repugnant with Central laws before they get the Presidentâs assent to become a law.
- This is done in accordance with Article 213 of the Constitution which provides for an ordinance making power of the Governor of a state.
What does Article 213 say?
- Governor of an Indian state draws ordinance making power from Article 21.
- This Article empowers the Governor to promulgate Ordinance, during the recess of the legislature, if circumstances exist which render it necessary for him to take immediate action.
- To issue an Ordinance, the Governor must be satisfied with the circumstances that make it necessary for him to take immediate action.
- All Ordinances promulgated by the Governor in the State have the same effect and force as an Act of Legislature of the State.
- The Ordinance must be laid before the State Legislature when it reassembles and it must be upheld by the State legislature, failure to which the Ordinance would be invalid.
Governor CANNOT promulgate an ordinance if:
- The Ordinance has the provisions which of embodied in a bill would require President’s sanction.
- The Ordinance has the provisions which the governor would reserve as a Bill containing them for the President’s sanction.
- If an act of the State Legislature has the same provisions that would be invalid without the assent of the President.
Try this PYQ:
Q.Which of the following are the discretionary powers given to the Governor of a State?
- Sending a report to the President of India for imposing the Presidentâs rule
- Appointing the Ministers
- Reserving certain bills passed by the State Legislature for consideration of the President of India
- Making the rules to conduct the business of the State Government
Select the correct answer using the code given below:
(a) 1 and 2 only
(b) 1 and 3 only
(c) 2, 3 and 4 only
(d) 1, 2, 3 and 4
Centreâs scrutiny of ordinances
- MHA sends State bills for inter-ministerial consultation before they get the Presidentâs nod.
- This is done only when it has repugnancy with central laws, deviates from national or central policy and when it can be challenged for legal and constitutional validity.
Controversy with UPâs ordinance
- The controversial ordinance was promulgated in November 2020 and so far more than 90 people, most of them minorities, have been booked.
- The law makes religious conversion a non-bailable offence, inviting penalties of up to 10 years in prison.
- It is on the ground if guilty is found to be effected for marriage or through misrepresentation, force, undue influence, coercion, allurement or other alleged fraudulent means.
- According to the Ordinance, in case of conversion done by a woman for the sole purpose of marriage, the marriage would be declared null and void.
Back2Basics: Ordinance
- Article 123 of the Constitution of India gives the power and authority to the President of India to issue an ordinance only when both the Houses of Parliament are not in session.
- In addition, it states that any ordinance can have the same force and effect as a statute of Parliament only if it is laid before both the houses of the Parliament.
- Further, Ordinance so made will hold good only for the duration of six weeks from the reassembly of Parliament.
- Article 213 mandates near-identical terms with respect to the ordinances on the subject of State authority.
- It is understood that the authority to issue ordinances shall be used only to meet the emergent demands arising out of extraordinary situations.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: MTP Bill
Mains level: Termination of Pregnancy (MTP) and associated issues
A panel of doctors to decide on the termination of pregnancy beyond 24 weeks as proposed in the Medical Termination of Pregnancy (MTP) Amendment Bill, 2020, is âunfeasibleâ as 82% of these posts are lying vacant in the country, finds a new study.
Q. What are the differing opinions with regards to the Termination of Pregnancy (MTP) Amendment Bill, 2020? Discuss.
About the MTP Amendment Bill
The MTP Bill was passed in Lok Sabha in March 2020 and is likely to be brought before Rajya Sabha during the ongoing Budget Session. Its salient features included:
- Proposing requirement for the opinion of one provider for termination of pregnancy, up to 20 weeks of gestation and introducing the requirement of the opinion of two providers for termination of pregnancy of 20-24 weeks of gestation.
- Enhancing the upper gestation limit from 20 to 24 weeks for special categories of women which will be defined in the amendments to the MTP Rules and would include âvulnerable women including survivors of rape, victims of incest and other vulnerable women (like differently-abled women, Minors) etc.
- Upper gestation limit not to apply in cases of substantial foetal abnormalities diagnosed by Medical Board. The composition, functions and other details of Medical Board to be prescribed subsequently in Rules under the Act.
- Anonymity of the person: Name and other particulars of a woman whose pregnancy has been terminated shall not be revealed except to a person authorised in any law for the time being in force.
Benefits sought with the bill
- It is seen as a step towards the safety and well-being of the women and many women will be benefitted by this.
- Recently several petitions were received by the Courts seeking permission for aborting pregnancies at a gestational age beyond the present permissible limit on grounds of foetal abnormalities or pregnancies due to sexual violence faced by women.
- The proposed increase in gestational age will ensure dignity, autonomy, confidentiality and justice for women who need to terminate the pregnancy.
Flaws in the bill
- The Bill allows abortion after 24 weeks only in cases where a Medical Board diagnoses substantial foetal abnormalities.
- This implies that for a case requiring abortion due to rape, that exceeds 24-weeks, the only recourse remains through a Writ Petition.
- The Bill does not specify the categories of women who may terminate pregnancies between 20-24 weeks and leaves it to be prescribed through Rules.
- The Act (and the Bill) require an abortion to be performed only by doctors with specialization in gynaecology or obstetrics.
- As there is a 75% shortage of such doctors in community health centres in rural areas, pregnant women may continue to find it difficult to access facilities for safe abortions.
Key Issues and Analysis
- There are differing opinions with regard to allowing abortions. One opinion is that terminating a pregnancy is the choice of the pregnant woman and a part of her reproductive rights.
- The other is that the state has an obligation to protect life, and hence should provide for the protection of the foetus.
- Across the world, countries set varying conditions and time limits for allowing abortions, based on foetal health, and risk to the pregnant woman.
- Several Writ Petitions have been filed by women seeking permission to abort pregnancies beyond 20-weeks due to foetal abnormalities or rape.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: Not Much
Mains level: Decline of Mughal Empire
As the Assembly elections in West Bengal draw closer, the âinsider-outsiderâ theme has grown to become one of the topics of political debate. Bengali politicians have been terming outsider campaigners as âbargisâ.
Bargis: Etymology of the term
- The term âBargiâis of special significance in Bengalâs history.
- It is a reference to the several Maratha invasions of West Bengal between 1741 and 1751, which resulted in looting, plundering and massacres of what was then Mughal territory.
- The happenings of this specific period have affected Bengalâs consciousness so much that they have an established presence in Bengali folklore and literature.
- Today this term is used as a casual reference to troublesome outsider forces.
Who were the bargis?
- Simply speaking, the word bargi referred to cavalrymen in Maratha and Mughal armies.
- The word comes from the Persian âbargirâ, literally meaning âburden takerâ, notes historian Surendra Nath Sen in his 1928 work The Military System Of The Marathas.
- But in the Mughal and Maratha armies, the term signified a soldier who rode a horse furnished by his employer.
- In the Maratha cavalry, any able-bodied person could enlist as a bargir, unless he had the means to buy a horse and military outfit.
- Both the bargirs and silhedars were under the overall control of the Sarnobat (Persian for âSar-i-Naubatâ, or Commander in Chief).
Why did the Marathas raid Bengal?
- Maratha incursions into the Mughal province of Bengal (which included the regions of Bihar, Bengal and Orissa) between 1741 and 1751 came at a time of intense political uncertainty of then Mughal India.
- At the Maratha capital in Satara, Chhatrapati Shahu was trying in vain to resolve the differences between his two top power centresâ the Peshwa dynasty of Pune and Raghoji I Bhonsale of Nagpur.
- As the Mughal Empire was crumbling by the 18th century, the two Maratha chieftains were scrambling to secure taxation rights in its far-flung regions, and violently disagreed over their spheres of influence.
- In Bengal â a Mughal Subah (subdivision) during this eraâ Nawab Subahdar Sarfaraz Khan had been overthrown by his deputy Alivardi Khan.
Try this PYQ:
What was the immediate cause for Ahmad Shah Abdali to invade and fight the Third Battle of Panipat:
(a) He wanted to avenge the expulsion by Marathas of his viceroy Timur Shah from Lahore
(b) The frustrated governor of Jullundhar Adina Beg khan invited him to invade Punjab
(c) He wanted to punish Mughal administration for non-payment of the revenues of the Chahar Mahal (Gujrat Aurangabad, Sialkot and Pasrur)
(d) He wanted to annex all the fertile plains of Punjab upto borders of Delhi to his kingdom
Stir within the Maratha empire
- After Khanâs inauguration, the provincial governor of Orissa, Zafar Khan Rustam Jung, more commonly known as Murshid Quli II, rebelled against the usurper.
- The revolt failed, and Jung enlisted Raghojiâs help to oust Khan.
- Raghoji was also motivated by internal politics within the Maratha camp, fearful as he was of Peshwa Balaji Baji Rao, also known as of Nana Saheb who trying to establish his claim over Bengal first at this time of political disturbance in the province.
Maratha invasions of Bengal
- The Marathas first entered the Mughal province in August 1741, when Raghojiâs infantry troops accompanied Mirza Baqar Ali, the son-in-law of Jung, to conquer Orissa.
- In 1743, the Bengal province faced the wrath of two Maratha armies â both, as it happened, at loggerheads with each other.
- The Peshwa forces proceeded further, committing all sorts of atrocities on the way in a land which they had ostensibly come to protect.
- Raghojiâs armies were also doing the same, but at least he had openly arrived as an invader.
Ousting the âlocalâ invaders
- Finally, in 1751, after remaining encamped in western Bengal for a significant amount of time, the Marathas reached an agreement with Alivardi Khan.
- The Nawab promised an annual tribute of 12 lakh rupees and the cession of Orissa to the Marathas. In return, the Bhonsales gave word to not return to Bengal.
Damage caused
- Ten years of Maratha invasions had crippled Bengalâs economy.
- The Dutch believed that 400,000 people had been killed. Losses of weavers, silk winders and those who cultivated mulberry were particularly high.
- Historian P J Marshall noted that people were so distressed that they would take flight even on imaginary alarms, and wander around.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: Social stock exchange
Mains level: NGO/NPO and their financing solutions
The Economic Survey 2021 has backed setting up of Social Stock Exchange in India.
Q. What are Social Stock Exchanges? Discuss how it will help finance social enterprises in India.
What are Social Stock Exchanges (SSEs)?
- An SSE is a platform which allows investors to buy shares in social enterprises vetted by an official exchange.
- The Union Budget 2019 proposed setting up of first of its kind SSE in India.
- The SSE will function as a common platform where social enterprises can raise funds from the public.
- It will function on the lines of major stock exchanges like BSE and NSE. However, the purpose of the Social Stock Exchange will be different â not profit, but social welfare.
- Under the regulatory ambit of SEBI, a listing of social enterprises and voluntary organizations will be undertaken so that they can raise capital as equity, debt or as units like a mutual fund.
Why SSEs?
- India needs massive investments in the coming years to be able to meet the human development goals identified by global bodies like the UN.
- This canât be done through government expenditure alone. Private enterprises working in the social sector also need to step up their activities.
- Currently, social enterprises are very active in India. However, they face challenges in raising funds.
- One of the biggest hurdles they face is, apparently, the lack of trust from common investors.
Benefits
- There is a great opportunity to unlock funds from donors, philanthropic foundations and CSR spenders, in the form of zero-coupon zero principal bonds. These bonds will be listed on the SSE.
- At first, the SSE could become a repository of social enterprises and impact investors.
- The registration could be done through a standard process.
- The SEs could be categorized into different stages such as as- Idea, growth stage and likewise, investors can also be grouped based on the type of investment.
Development so far
- The Economic Survey 2021 highlighted the concept of setting up a social stock exchange (SSE) in India.
- It will be under the regulatory ambit of the Securities and Exchange Board of India (SEBI).
- SEBI constituted a working group (WG) on social stock exchanges back in September 2019.
- The WG has outlined its vision and made recommendations, which include the participation of NPOs and for-profit enterprises (FPE) on SSE subject to committing to minimum reporting requirements.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: CPI
Mains level: Prevalence of corruption in India
The Transparency International (TI)’s corruption perception index (CPI) was recently released for 2020.
Another set of useful data in news to be noted by aspirants. Such data are essential and need to be memorized. One must note here. Such data recur every year. So it is not a big task to deal with such numbers along with other critical indices.
About the Corruption Perception Index
- The index ranks 180 countries and territories by their perceived levels of public sector corruption.
- It uses a scale of 0 to 100, where 0 is highly corrupt and 100 is very clean.
Global prospects
- Denmark and New Zealand top the index, with 88 points. Syria, Somalia and South Sudan come last, with 14, 12 and 12 points, respectively.
- Nearly half of countries have been stagnant on the index for almost a decade, indicating stalled government efforts to tackle the root causes of corruption.
- More than two-thirds score below 50.
Indiaâs performance
- The CPI score for India is constant this year as well as the previous year’s score.
- India’s rank is 86 out of 180 nations with a score of 40.
- It was ranked at 80th position out of 180 countries in 2019 with a score of 41.
A comparison with neighbours
- At 40, Indiaâs score is below the average score of the Asia-Pacific region (31 countries) and global average, the CPI 2020 report stated.
- India’s overall score is also two points less than that of China, which docked at 78th position, with a score of 42.
- Pakistan, however, scored just 31 points, falling at the 144th position on the index.
What does it mean for India?
- India is still very low on corruption Index, the report said, noting that experts feel the CPI does not reflect the actual corruption level in any country.
- The integrity score determines the corruption situation of a country.
Recommendations made by TI
To reduce corruption and better respond to future crises, Transparency International recommends that all governments:
- Strengthen oversight institutionsâŻto ensure resources reach those most in need. Anti-corruption authorities and oversight institutions mustâŻhave sufficient funds, resourcesâŻandâŻindependenceâŻto perform their duties.
- Ensure open and transparent contracting to combatâŻwrong-doing, identify conflicts of interest and ensureâŻfair pricing.
- Defend democracy andâŻpromoteâŻcivic spaceâŻto create the enabling conditions to hold governments accountable.
- Publish relevant data and guarantee accessâŻto information to ensure the public receives easy, accessible, timely and meaningful information.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: Neutrino, Supernovae
Mains level: NA
This newscard is an excerpt from the original article published in The Hindu.
Another space-based abstract terminology has appeared in TH.
What is the news about?
- Many stars, towards the end of their lifetimes, form supernovas – massive explosions that send their outer layers shooting into the surrounding space.
- Most of the energy of the supernova is carried away by neutrinos â tiny particles with no charge and which interact weakly with matter.
- Researching the mechanisms of the so-called Type II supernovas, a team from IIT Guwahati has come up with new insights into the part played by neutrinos in this dramatic death of massive stars.
What are Neutrinos?
- Proton, neutron, and electron are tiny particles that makeup atoms.
- The neutrino is also a tiny elementary particle, but it is not part of the atom.
- Neutrino has a very tiny mass, no charge and spins half.
- It interacts very weakly with other matter particles.
- Neutrinos come from the sun (solar neutrinos) and other stars, cosmic rays that come from beyond the solar system, and from the Big Bang from which our Universe originated.
- They can also be produced in the lab.
Their types
- Neutrinos come in three âflavoursâ, another name for âtypesâ, and each flavour is associated with a light elementary particle.
- For instance, the electron-neutrino is associated with the electron; the muon-neutrino with the muon and the tau-neutrino with the tau particle.
What is Supernova?
- All the stars burn nuclear fuel in their cores to produce energy.
- The heat generates internal pressure which pushes outwards and prevents the star from collapsing inward due to the action of gravity on its own mass.
- But when the star ages and runs out of fuel to burn, it starts to cool inside.
- This causes a lowering of its internal pressure and therefore the force of gravity wins; the star starts to collapse inwards.
- This builds up shock waves because it happens very suddenly, and the shock wave sends the outer material of the star flying. This is what is perceived as a supernova. This happens in very massive stars.
Try this PYQ:
Q. Which of the following is/are cited by the scientists as evidence/evidence for the continued expansion of the universe?
- Detection of microwaves in space
- Observation of redshirt phenomenon in space
- Movement of asteroids in space
- Occurrence of supernova explosions in space code
(a) 1 and 2 only
(b) 2 only
(c) 1, 3 and 4
(d) None of the above can be cited as evidence
The Type-II Supernova
- In stars that are more than eight times as massive as the Sun, the supernova is accompanied by a collapsing of the inner material of the dying star â this is also known as core-collapse supernova or Type II supernova.
Role of neutrinos
- The collapsing core may form a black hole or a neutron star, according to its mass.
- As they spew out of the raging supernova, the neutrinos can change from one flavour to another in a process known as neutrino oscillations.
- Due to the high density and energy of the supernova, it generates neutrino oscillations happening simultaneously over different energies (unlike normal neutrino oscillation), termed collective neutrino oscillation.
- The oscillation result may dramatically change when one allows the evolution with the angular asymmetry, the oscillations can happen at a nanosecond time scale, termed fast oscillation.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: Saturn's tilt
Mains level: NA
The tilt of the rotation axis of the gas giant Saturn may in fact be caused by its moons, space scientists have reported in the journal Nature Astronomy.
About Saturn
- Saturn is the sixth planet from the Sun and the second-largest in the Solar System, after Jupiter.
- It is a gas giant with an average radius of about nine times that of Earth.
- It only has one-eighth the average density of Earth; however, with its larger volume, Saturn is over 95 times more massive.
Reasons for Saturnâs tilt
- Saturn’s axis interacted with the path of the planet Neptune and gradually tilted until it reached the inclination of 27 degrees observed today.
- This current tilt of Saturn’s rotation axis is caused by the migration of its satellites, and especially by that of its largest moon, Titan.
- Recent observations have shown that Titan and the other moons are gradually moving away from Saturn much faster than astronomers had previously estimated.
- By incorporating this increased migration rate into their calculations, the researchers concluded that this process affects the inclination of Saturn’s rotation axis.
Try this PYQ:
Q.Which phenomenon has Venusian winds rotating 60 times faster than the planet below on the dark side?
(a) Super rotation
(b) Monrotation
(c) Dual rotation
(d) Macrrotation
Continuous tilting
- As its satellites move further away, the planet tilts more and more.
- In fact, Saturn’s axis is still tilting, and what we see today is merely a transitional stage in this shift.
- Over the next few billion years, the inclination of Saturnâs axis could more than double.
Why it matters?
- The decisive event that tilted Saturn is thought to have occurred relatively recently.
- For over three billion years after its formation, Saturnâs rotation axis remained only slightly tilted.
- It was only roughly a billion years ago that the gradual motion of its satellites triggered a resonance phenomenon that continues today.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: Credit Rating Agencies
Mains level: Paper 3- Issue of rating given to India by global credit rating agencies
The Economic Survey-2020-21 highlights the issue of the adverse rating given to emerging economies by global credit rating agencies. This article suggests using our flawless repayment record as the basis of argument.
Prejudice against emerging economies
- The Economic Survey for 2020-21, charged international credit rating agencies with prejudice against emerging economies such as India and China.
- The Survey has used economic size as an argument.
- The economy that is the worldâs fifth-largest has predominantly been rated AAA, S&Pâs top rating.
- By contrast, India, which displaced the UK in 2019 as the worldâs fifth-largest, has been rated BBB-, the lowest investment grade.
- The Survey points out that since 1994, only twice has the credit rating (as assigned by S&P and Moody’s) of the fifth-largest economy in US dollar terms been poor.
- This was when China and India rose to that rank, in 2005 and 2019 respectively.
Issues with Credit Rating
- Â Rating agencies rarely get credit quality right and they have been found to be well behind the curve in almost every default crisis.
- The behavior of these agencies has been pro-cyclical, which is often seen to aggravate crises and fuel bubbles.
- They are too lenient when the times are good, and too harsh when economic conditions worsen, making booms and busts that much more dramatic.
What should be the basis of India’s argument
- Unless the country has the privilege of printing the world’s reserve currency, as the US has, there is nothing special that ensures a large economy will always repay what it owes.
- India’s argument should revolve around the country’s flawless repayment record.
- The last time we were on the verge of a sovereign default, in 1991, we reformed our economy.
- Today, the country has foreign exchange reserves in excess of $584 billion, while its total external debt, including that of the private sector, is a shade over $556 billion.
Consider the question “The Economic Survey of 2020-21 point to the adverse rating of India economy by the global rating agencies. What is the significance of such ratings for the economy. What should be the basis of the argument against India’s adverse rating by the agencies?”
Conclusion
Despite the above-mentioned factors, we still find that Indian borrowers must pay higher rates of interest overseas than they would have to with a better rating. Global rating agencies need to overhaul their methodology to better reflect reality.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: PFMS
Mains level: Paper 2- Role of PFMS in improving governance
The article highlights the role played by the Public Financial Management System (PFMS) in promoting the good governance.
About PFMS
- With the objective of bringing in transformational accountability and transparency and to further promote good governance, the Indian government envisioned Public Financial Management System (PFMS).
- PFMS has evolved as an end to end solution for Processing, Monitoring, and reconciling financial flows of Central Govt.
- Today, PFMS has empowered governance to become more responsive, accountable, and transparent.
Mandate of PFMS
- Through Cabinet decision, PFMS has been mandated the following:
- It acts as a financial management platform for all plan schemes and allows for efficient and effective tracking of fund flow to the lowest level of implementation for the planning scheme of the Government.
- It is mandated to provide information on fund utilization leading to better monitoring, review, and decision support system to enhance public accountability in the implementation of plan schemes.
- To result in effectiveness and economy in Public Finance Management through better cash management for Government transparency in public expenditure and real-time information on resource availability and utilization across schemes.
Achievements of PFMS
- PFMS can be credited to the transformation of Direct beneficiary transfers space in financial governance in India.
- An estimated 102 crore DBT transactions were done through PFMS in FY 19-20 amounting to about âš2.67 lakh crore.
- Through efficient use of technology, PFMS is estimated to have saved about âš1 lakh crore in direct beneficiary transfers.
4 Factors that could determine the successful evolution of PFMS in future
- Agility in terms of Onboarding/Integrating all Govt. accounts: Only after ensuring significant coverage, the true execution of the concept will take place.
- Effective data management capabilities: PFMS will have to add significant data management capabilities in order to ensure better monitoring/review to deliver on the idea of a decision support system for effective cash management or management of idle float in the system.
- Constantly upgrading: Adaption to rapid changes in technology is another key area that would call for a considerable amount of focus both in terms of gradation and monitoring.
- Collaboration with the banking system: Lastly, one of the most critical factors for the successful execution of PFMS is its integration with the banking systems.
- The Banks and PFMS will have to actively partner to ensure faster coverage/integration of all the Govt. entities.
Consider the question “Governance in India has long been marred with structural challenges like transparency, lack of accountability and sustainable and inclusive growth. In light of this, discuss the role played by the Public Financial Management System in tackling these challenges.”Â
Conclusion
The PFMS has revolutionized the ways public finances are managed in the country. With constant improvement and increasing coverage, the scope of PFMS is ever-increasing. Going ahead, PFMS will not only be seen as a tool for managing planned expenditure but will also add new meanings to Direct Beneficiary transfers, data-driven cash management, and e-Governance in India.
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From UPSC perspective, the following things are important :
Prelims level: Terms used in Economic Survey
Mains level: Paper 3- Overview of the Economic Survey 2020-21
The pandemic has been leaving its imprint various aspects of our lives and Economic Survey is no different. This year’s Economic Survey focuses on the recovery path of the economy disrupted by the pandemic. The article takes an overview of the survey and also mentions the missing areas.
Focus on a recovery path
- The Economic Survey analyses the broad trends at the macro level and the profiling of the initiatives across various economic activities.
- This year, the Economic Survey focuses on the recovery path after initial derailment and the losses suffered by the Indian economy due to the pandemic.
- The recovery is expected to follow a V-shaped path.
- The Survey advocates countercyclical fiscal policies based on the premise that growth leads to debt sustainability.
- The Survey brings together various relevant factors that have both a short and long-term impact on the economy and the budget.
- This yearâs Survey focuses on enhanced public healthcare spending and demonstrates how effective it has been in slashing out-of-pocket expenditures in the recent past.
- It also shows the brilliant performance under the Pradhan Mantri Jan Arogya Yojana (PM-JAY) and the improved outcomes in states that have implemented the programme.
- With focus on basic needs, the Survey has brought back national attention on the fundamental developmental paradigm.
- The idea of analysing inequalities in times of recovery is a reassuring premise to move on with.
Comparison with past Economic Surveys
- If we consider the last two Economic Surveys, the introduction of new concepts and approaches has been quite evident.
- Â In the Survey for 2018-19, the idea of ânudgeâ helped provide recognition of the importance of social behaviour change for any policy to succeed.
- This led to the adoption of transformative approach in the Swachh Bharat Mission and Beti Bachao Beti Padhao initiative that integrated behavioural insights.
- Another powerful idea has been using technology to run and monitor welfare schemes.
- The Economic Survey 2019-20 talked overwhelmingly about the importance of wealth creation, entrepreneurship, and financial markets in the economic development.
What the Survey misses
- The Survey should have focussed on a new narrative for trade.
- Apart from explaining the missing value chains and integration with South and Southeast Asia, the survey should have analysed the high cost of tariffs when 38 per cent of our exports are import-dependent.
Consider the question “In the wake of economic disruption caused by the pandemic, India needs a new narrative for trade. However, India faces the challenge of missing value chains and lack of integration with South and Southeast Asia. In light of this, suggest the policies India should adopt as new narrative for trade.“
Conclusion
Besides trade, FDI inflows and the accumulation of foreign exchange reserves has been remarkable this year. It is expected that India will emerge as an important link in the global value chain sector which has been visibly disrupted by the pandemic
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From UPSC perspective, the following things are important :
Prelims level: Red Fort
Mains level: Red Fort and its symbolic significance for the nation
Newsfeeds on Republic Day were dominated by scenes of protests on the ramparts of the Red Fort.
Mob stormed and vandalized the national flag and the mast of Red Fort in guise of peaceful farmers protest! What did this act signify?
To unravel some of these strands of meaning, one must go back in history, to a time centuries before the Red Fort was even constructed.
The History of Capital
- Before the 13th century, Delhi â or âDilliâ â was, politically speaking, a moderately significant town.
- It was for long the capital of the modestly sized kingdom of the Rajput Tomar dynasty.
- By the mid 12th century it was conquered by the Rajput Chauhans who, however, ruled from Ajmer.
- It was the conquest by Ghurid Turks in the late 12th century that put Delhi on the map as a centre of power.
- As the capital of the Sultanate, Delhi gradually developed an aura of power â in the popular imagination, it came to be associated with a dominant power in the subcontinent.
- Babur, having defeated Ibrahim Lodi at Panipat in 1526, headed for Delhi, which he described as âthe capital of all Hindustanâ, even though the Lodis had ruled from Agra for the previous two decades.
Sultanate period
- There was another important feature of the Delhi of these two centuries.
- From the 13th century, the capital had been located at a number of different sites â Mehrauli, Kilugarhi, Siri, Tughlaqabad, Jahanpanah, Firozabad, and Dinpanah.
- Now it came to be settled permanently in Shahjahanabad, with the emperorâs seat being in the Red Fort.
Seat of the Mughal power
- During the first century or so of Mughal rule, Agra was the capital for longer than Delhi.
- Still, the Mughals continued to be seen as rulers of Delhi.
- A Sanskrit inscription from 1607 refers to Akbar as âDillishvaraâ, the lord of Delhi, though he had ruled from Delhi for a very short time.
- In a Persian inscription dated 1621 on the Salimgarh Bridge adjoining the Red Fort, Jahangir, who never reigned from Delhi, was described as âShahanshah e Dehliâ, the emperor of Delhi.
Construction of Red Fort
- It was only in the reign of Shah Jahan (1628-58) that the Mughal connection to Delhi was given concrete form, with the founding of the city of Shahjahanabad and the inauguration of its palace citadel, the Red Fort, in 1648.
- From that date to the end of Mughal rule in 1857, Delhi would be the formal capital of the Mughal Empire.
Fading centre
- The significance of Delhi and the Red Fort was thrown into sharp relief by political developments in the 18th century, once the Mughal Empire started on the long road to decline.
- Erstwhile Mughal provinces such as Bengal, Awadh, and Hyderabad broke away, and new forces like the Sikhs and the Marathas arose.
- Not only did the Mughal territories shrink, but the Mughal emperor also became increasingly ineffectual even within them.
A takeover by the East India Company
- The control over the emperor and of Delhi was, therefore, a prize worth fighting for.
- Safdar Jang, the Nawab of Awadh, fought a civil war in an attempt to keep his position as PM of the Mughal emperor.
- The Sikhs had their ambitions and came up to the walls of the city in 1783 before retreating.
- The Marathas met with greater success the following year when Mahadji Sindhia became the power behind the throne.
- Finally, the East India Company defeated the Maratha forces in 1803 and went on to control Delhi and the emperor for the next 54 years.
Shifting of capital
- Delhi was officially announced as the capital of British Raj by the then-Emperor George V, on December 12, 1911.
- The capital was shifted from Calcutta as Delhi was the financial and political seat of many earlier empires and was located closer to the geographical centre of India.
- The rising nationalist movement in Calcutta was also responsible for the shift.
Symbolic importance then
- In the popular imagination, the legitimate rule was associated with the Mughal emperor to the extent that when the country broke out in revolt in 1857, the mutinous soldiers made their way to Delhi, seeking his leadership.
- When the revolt in Delhi had been crushed, the British army occupied the Red Fort and the officers drank to their Queenâs health in the Diwan-e-Khas, where the Mughal emperors had held court.
- It was in this same hall that Bahadur Shah was put on trial, convicted, and exiled.
- Nearly ninety years later, in 1945-46, the memory of that trial foreshadowed another historic trial in the fort.
- The personnel of the Indian National Army were tried there, which generated an immense wave of nationalist sentiment in the run-up to Independence.
Symbol of the nation, now
- With the coming of Independence, it was necessary that the site of the Red Fort, over which the British colonial government had sought to inscribe its power and might, be symbolically reclaimed for the Indian people.
- It was for this reason, that after the first hoisting of the national flag at India Gate on August 15, 1947, the next day, the PM hoisted it on the ramparts of the Red Fort.
- This was to then become Indiaâs lasting Independence Day tradition.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: Not Much
Mains level: Way ahead for India-China relations
External Affairs Minister S. Jaishankar has given useful insight on the future of India-China ties amid heating border tensions and has suggested the best way forward.
Statements made by EAM are major breakthrough in itself. They are the most logical and amply reflect his perfect statesmanship.
We can imbibe such statements in our answers as they hold extraordinary significance like any gospel.
Key takeaways from EAMâs speech
- 2020 was a year of exceptional stress in a relationship profoundly disturbed by the border crisis.
- Chinaâs actions last year had not only signaled a disregard of commitments to reduce troop levelsâ but also âa willingnessâ to breach the peace and tranquillity on the border.
- For all the disagreements we had, the fact is the border areas still remained fundamentally peaceful with the last incident of a loss of life in 1975, prior to 2020.
- Until now, India is yet to receive a credible explanation for the change in Chinaâs stance or reasons for its amassing of troops.
- Any expectation that can be brushed aside and life can carry on undisturbed despite the situation in the border is simply not realistic.
Chinaâs contentious moves
- China did a unilateral attempt to redraw the LAC in several areas in eastern Ladakh
- Chinaâs issuing of stapled visas to Indian citizens from Jammu and Kashmir in 2010
- Reluctance from China to deal with some of Indiaâs military commands, Beijing had that same year refused to host the Northern Army Commander
- Chinaâs opposition to Indiaâs membership of the Nuclear Suppliers Group and the U.N. Security Council as a permanent member
- Blocking of U.N. listings of Pakistani terrorists, and
- China Pakistan Economic Corridor, a flagship project under Chinaâs Belt and Road Initiative, violating Indiaâs sovereignty
Gone is the past
- Both sides had âpainstakinglyâ worked to normalize relations after the post-1962 war freeze and the first prime ministerial visit in 1988.
- For the border areas, he said, both had agreed a complete and practical set of understandings and agreements focused on border management, while negotiations were being conducted on the boundary dispute.
- The advancement of ties, he said, was predicated on ensuring that peace and tranquillity were not disturbed, and the LAC was both observed and respected by both sides.
- For this reason, it was explicitly agreed the two countries would refrain from massing troops on their common border, along with a detailed understanding of handling frictions that would arise.
No progress over the years
- Over the years, he said, there was no sign of progress of arriving at a common understanding of the LAC, while there was increasing construction of border infrastructure, especially in the Chinese side.
- India had made efforts to reduce the considerable infrastructure gap since 2014, including through greater budgetary commitments and border road building.
Way forward
The External Affairs Minister suggested âthree mutualsâ and âeight broad propositionsâ as a way forward for the relationship.
#Three mutuals
Mutual respect, mutual sensitivities and mutual interests are the âdetermining factorsâ.
#Major propositions
(1) Adhering to commitment
- The first proposition was that agreements already reached must be adhered to in their entirety, both in letter and in spirit.
(2) Respect for LAC
- Both sides also needed to strictly observe and respect the LAC, and any attempt to unilaterally change the status quo was completely unacceptable.
(3) Maintaining peace and tranquillity
- Peace and tranquillity in border areas was the basis for the development of the relationship in other domains. If that was disturbed, he said, the rest of the relationship would be too.
(4) Broader partnership
- The fourth proposition was that while both remain committed to a multipolar world, they should recognise that a multipolar Asia was one of its essential constituents.
(5) Reciprocity
- While each state had its interests, concerns and priorities, sensitivities to them could not be one-sided and relations were reciprocal in nature. As rising powers, neither should ignore the otherâs set of aspirations.
(6) Divergences management
- While both sides had made a common cause on development and economic issues and common membership of plurilateral groups was a meeting point, there were divergences when it came to interests and aspirations.
(7) Civilizational ties
- The last proposition was that as civilizational states, India and China must always take the long view.
(8) Cooperation and competition
- Even before the events of 2020, the relationship had reflected a duality of cooperation and competition.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: Green India Mission
Mains level: Success of afforestation measures
The central governmentâs afforestation scheme, Green India Mission (GIM), was able to only achieve 2.8 per cent of its plantation target, according to the Economic Survey 2021.
Try this PYQ:
Q.Consider the following statements:
- As per law, the Compensatory Afforestation Fund Management and Planning Authority exists at both National and State levels.
- Peopleâs participation is mandatory in the compensatory afforestation programmes carried out under the Compensatory Afforestation Fund Act, 2016.
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
Green India Mission
- GIM is one of the eight Missions outlined under Indiaâs action plan for addressing the challenge of climate change -the National Action Plan on Climate Change (NAPCC).
- Launched in February 2014, it is aimed at protecting; restoring and enhancing Indiaâs diminishing forest cover and responding to climate change by a combination of adaptation and mitigation measures.
- The mission has the broad objective of both increasing the forest and tree cover by 5 million ha, as well as increasing the quality of the existing forest and tree cover in 10 years.
- The Mission proposes a holistic view of greening and focuses not on carbon sequestration targets alone, but also, on multiple ecosystem services, especially, biodiversity, water, biomass etc., along with provisioning services like fuel, fodder, timber and non-timber forest produces.
- It will also increase options of forest-based livelihood of households living in the fringe of those landscapes where the Mission is implemented.
Limited success of the scheme
- As of March 2020, plantation under the scheme was undertaken only over 0.14 m ha land.
- A 2018 parliamentary committee report on GIM found that the scheme was grossly underfunded.
- The report found that the scheme had also missed its targets by 34 per cent in both 2015-16 and 2016-17 financial years.
- The committee also pointed out that the afforestation done under the mission was only aimed at increasing tree count without considering the soil and weather conditions.
- Trees like eucalyptus were planted which make environmental problems worse rather than solving it.
- Planting of unsuitable trees may cause drought and prevent biodiversity in the regions.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: Doomsday Clock
Mains level: Various existential threat to mankind
The hands of the âDoomsday Clockâ, a visual depiction of how vulnerable the world is to a climate or nuclear catastrophe, remained at â100 seconds to midnightâ for the second consecutive year â the closest it has been to the symbolic annihilation of humanity.
Q.The âDoomsday Clockâ represents the hypothetical countdown to raise human consciousness against mutually assured destruction. In this light, discuss various existential threats to humanity and action taken so far.
What is the âDoomsday Clockâ?
- The Bulletin of the Atomic Scientists, founded by Albert Einstein and students from the University of Chicago in 1945, created the âDoomsday Clockâ.
- It is held as a symbol to represent how close the world is to a possible apocalypse.
- It is set annually by a panel of scientists, including 13 Nobel laureates, based on the threats â old and new â that the world faced in that year.
- When it was first created in 1947, the hands of the clock were placed based on the threat posed by nuclear weapons, which the scientists then perceived to be the greatest threat to humanity.
- Over the years, they have included other existential threats, such as climate change and disruptive technologies like artificial intelligence.
Significance of such clock
- The reason the scientists selected a clock is twofold â they wanted to use the imagery of an apocalypse (midnight) as well as the âcontemporary idiom of a nuclear explosionâ (zero countdowns) to illustrate the threats to humanity.
- The clock was originally set to seven minutes to midnight and has since moved closer or further away from the dreaded 12 oâclock position.
- The furthest it has been being 17 minutes after the end of the Cold War in 1991.
Why was the clock set at â100 seconds from midnightâ?
- It was set at the â100 seconds from midnightâ position due to the prevailing climate conditions, âcyber-based disinformationâ, nuclear risk and the pandemic.
- It is the closest to Doomsday we have ever been in the history of the Clock.
- We now face a true emergency â an absolutely unacceptable state of world affairs that has eliminated any margin for error or further delay.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: ULBs in India
Mains level: ULB reforms
Rajasthan has become the 5thState in the country to successfully undertake Urban Local Bodies (ULB) reforms stipulated by the Department of Expenditure, Ministry of Finance and has thus become eligible for additional reform linked to borrowing.
Which are the four other States?
: They are Andhra Pradesh, Madhya Pradesh, Manipur and Telangana, who have completed ULB reforms.
Now try this PYQ:
Q.The Constitution (Seventy-Third Amendment) Act, 1992, which aims at promoting the Panchayati Raj Institutions in the country, provides for which of the following?
- Constitution of District Planning Committees.
- State Election Commissions to conduct all panchayat elections.
- Establishment of State Finance Commissions.
Select the correct answer using the codes given below:
(a) Only 1
(b) 1 and 2 only
(c) 2 and 3 only
(d) 1, 2 and 3
What are the ULB reforms?
The four citizen-centric areas identified for reforms are:
- Implementation of One Nation One Ration Card System
- Ease of doing business reform
- Urban Local body/ utility reforms
- Power Sector reforms.
The set of reforms stipulated by the Department of Expenditure are:
(a) The State will notify:
- Floor rates of property tax in ULBs which are in consonance with the prevailing circle rates (i.e. guideline rates for property transactions) and;
- Floor rates of user charges in respect of the provision of water supply, drainage, and sewerage which reflect current costs/past inflation.
(b)Â Â The State will put in place a system of periodic increases in floor rates of property tax/ user charges in line with price increases.
Why need such reforms?
- Reforms in ULBs and the urban utility reforms are aimed at the financial strengthening of ULBs to enable them to provide better public health and sanitation services to citizens.
- Economically rejuvenated ULBs will also be able to create good civic infrastructure.
Back2Basics: Municipal Governance in India
- Municipal or local governance refers to the third tier of governance in India, at the level of the municipality or urban local body.
- Urban Local Bodies (ULBs) are small local bodies that administer or govern a city or a town of a specified population.
- They are vested with a long list of functions delegated to them by the state governments.
- These functions broadly relate to public health, welfare, regulatory functions, public safety, public infrastructure works, and development activities.
- There are several types of Urban Local Bodies in India such as Municipal Corporation, Municipality, Notified Area Committee, Town Area Committee, Special Purpose Agency, Township, Port Trust, Cantonment Board, etc.
Development through history
- It has existed since the year 1687, with the formation of Madras Municipal Corporation, and then Calcutta and Bombay Municipal Corporation in 1726.
- In the early part of the nineteenth century, almost all towns in India had experienced some form of municipal governance.
- In 1882 the then Viceroy of India, Lord Ripon, known as the Father of Local Self Government, passed a resolution of local self-government which lead to the democratic forms of municipal governance in India.
- In 1919, a Government of India Act incorporated the need of the resolution and the powers of democratically elected government were formulated.
- In 1935 another Government of India act brought local government under the preview of the state or provincial government and specific powers were given.
Changes after the 74th Amendment (1992)
- It was the 74th amendment to the Constitution that brought constitutional validity to municipal or local governments.
- Until amendments were made in respective state legislation on an ultra vires (beyond the authority) basis and the state governments were free to extend or control the functional sphere.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: Prabuddha Bharat
Mains level: Not Much
PM will address the 125th-anniversary celebrations of âPrabuddha Bharataâ, a monthly journal of the Ramakrishna Order, started by Swami Vivekananda in 1896.
Try this PYQ:
Q.Which one of the following pairs does not form part of the six systems of Indian Philosophy?
(a) Mimamsa and Vedanta
(b) Nyaya and Vaisheshika
(c) Lokayata and Kapalika
(d) Sankhya and Yoga
Prabuddha Bharata
- The journal âPrabuddha Bharataâ has been an important medium for spreading the message of Indiaâs ancient spiritual wisdom.
- It is India’s longest-running English language journal (wiki).
- Its publication was started from Chennai (erstwhile Madras), where it continued to be published for two years, after which it was published from Almora.
- Later, in April 1899, the place of publication of the Journal was shifted to Advaita Ashrama and it has been continuously published from there since then.
- Some of the greatest personalities have left their imprint on the pages of âPrabuddha Bharataâ through their writings on Indian culture, spirituality, philosophy, history, psychology, art, and other social issues.
- Luminaries like Netaji SC Bose, Bal Gangadhar Tilak, Sister Nivedita, Sri Aurobindo, Former President Sarvepalli Radhakrishnan, among others, have contributed to the Journal over the years.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: Not Much
Mains level: India-Myanmar relations
Myanmar’s military staged a coup detaining de facto leader Aung San Suu Kyi and declaring it had taken control of the country for one year under a state of emergency.
Q.Despite its military coup, Myanmar is the key in linking South Asia to Southeast Asia and the eastern periphery becomes the focal point for New Delhiâs regional outreach. Analyse.
What is the news?
- The intervention came with rising tensions between the military, which ruled the country for nearly five decades, and the civilian government over allegations of fraud in November’s elections.
- The military had signaled its intentions to seize power to settle its claims of irregularities in the polls, which Suu Kyi’s party won easily.
How was the coup carried out?
- The military detained the leaders of the governing NLD party and Myanmarâs civilian leadership, including Suu Kyi and President Win Myint, along with various ministers and even the opposition.
- The military quickly seized control of the countryâs infrastructure, suspending most television broadcasts and canceling all domestic and international flights, according to reports.
- Telephone and internet access was suspended in major cities.
- The stock market and commercial banks were closed, and long lines were seen outside ATMs in some places.
- In Yangon, the countryâs largest city and former capital, residents ran to markets to stock up on food and other supplies.
Who is Aung San Suu Kyi?
- Suu Kyi came to power as state councilor in 2016 after the countryâs first fully democratic vote in decades.
- Her ascension to leadership was seen as a critical moment in the transition of Myanmar, formerly known as Burma, to democracy from military dictatorship.
- Suu Kyi, the daughter of the countryâs independence hero General Aung San, spent more than 15 years under house arrest.
- Her time in detention made her an international icon, and she was awarded the Nobel Peace Prize in 1991.
- Since her release, her reputation has been tarnished by her cooperation with the military and her deadly campaign against the Rohingya, a Muslim ethnic minority group.
Indiaâs response to the takeover
- India is âdeeply concernedâ with the return to military rule, which is a repeat of events thirty years ago.
- It sees only option to engage, building on its outreach in recent years via the security and defence establishment.
- India seeks a more pragmatic approach, engaging the military while pushing for more freedoms and democracy in Myanmar.
Various issues concerning India
- One important reason for the change is that Indiaâs security relationship with the Myanmar military.
- These days, it has become extremely close, and it would be difficult to âburn bridgesâ with them given their assistance in securing the North East frontiers from insurgent groups.
- Apart from strategic concerns, India has cultivated several infrastructure and development projects with Myanmar, which it sees as the âgateway to the Eastâ and ASEAN countries.
- These include the India-Myanmar-Thailand Trilateral Highway and the Kaladan Multi-modal transit transport network, as well as a plan for a Special Economic Zone at the Sittwe deep-water port.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: POCSO Act
Mains level: Paper 2- Interpretation of Section 7 of POCSO Act
In a recent judgement, Section 7 of POCSO Act was interpreted in a controversial way by the Nagpur Bench of the Bombay High Court.Â
Issue of the definition of sexual assault under POCSO Act
- Recently, the Nagpur Bench of the Bombay High Court held that skin-to-skin contact is essential to constitute the offence defined under Section 7 of the Protection of Children from Sexual Offences Act, 2012 (POCSO Act).
- Section 354 of the Indian Penal Code, 1860, which deals with outraging modesty of women and which provides for a lesser sentence, was held to be applicable in such cases.
- This ruling raises several concerns.
- The National Commission for Protection of Child Rights had asked the Maharashtra government to appeal this decision in the Supreme Court.
- The Supreme Court has currently stayed the acquittal of the accused under this judgement.
Concerns with the judgement
- The Court held that the stringent nature of punishment provided for the offence required stricter proof and serious allegations.
- The court said the punishment should be proportionate to the seriousness of the crime.
- Nevertheless, while adjudging the seriousness of the offence the court has not given consideration to the fact that the victim, a minor, is entitled to greater protection.
- The major concern is that the interpretation of the court seems to defeat the purpose of the POCSO Act.
- Section 7 of POCSO defines sexual assault as âWhoever, with sexual intent touches the vagina, penis, anus or breast of the child or makes the child touch the vagina, penis, anus or breast of such person or any other person, or does any other act with sexual intent which involves physical contact without penetration is said to commit sexual assault.â
- Â The court has concluded that the touching of the breast without skin-to-skin contact is not similar to the abovementioned acts and, therefore, does not fall within this definition.
- The court seems to have followed a rather pedantic approach to reach this conclusion.
- The fact that the trauma of the child whose breasts were groped through a cloth could be of the same nature and severity as direct touching of the breast is not discussed.
- And if the trauma is the same, the mere existence of cloth should not affect the applicability of the POCSO Act.
Legislative history and object of POCSO Act
- The POCSO Act was enacted with the specific intention of protecting children from sexual assault and sexual harassment.
- It took into consideration the standards prescribed by the Convention on the Rights of the Child adopted by the General Assembly of the United Nations to which the Indian government acceded to on December 11, 1992.
- The Act acknowledges the special vulnerability of children and that special protection, above and beyond that provided in the IPC, is required when the victim is a child.
Conclusion
If such an interpretation is followed, there is a threat that the POCSO Act in itself might become redundant as a wide range of sexually violative activities would be excluded from its ambit due to lack of skin-to-skin contact.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: Positive Externality
Mains level: Paper 3- Challenge of Big Tech
The article deals with the issue of checking the misuse of monopoly power by the Big Tech while encouraging their positive externalities.
Worldwide Investigations against Big Tech
- Big Tech firms, especially Facebook and Google have been investigated worldwide, including in the European Union and the United States, on the abuse of monopolistic power.
- Â Comparisons are drawn with investigations in the U.S. on the telecom industry and the break-up of the AT&T.
- However, there are important differences this time around.
- Â First, the information good that is being provided by the Internet firms of today, is largely non-rival.
- Second, Internet firms operate globally, therefore, it is often difficult to lay down international rules of obligation and fulfilment.
- Third, while it is debatable whether the goods and services provided by the Internet firms are excludable.
- It is this factor that was leveraged by the Internet firms to provide search, navigation, and social connectivity with no charge to the consumers, and, consequently, making these services non-excludable.
Monetisation model of Big Techs and isseus with it
- Public goods should be provided by governments, but the information goods as described above are being provided by private firms.
- This arrangement poses several problems.
- First, private firms need to have monetisation models to cover the costs of providing their services.
- So, Â the Internet firms have resorted to personalised advertisements and third-party sharing of the personal data of their users for monetisation purposes.
- Second, the strong network effects present in these Internet platforms warrant increasing the subscriber base and garnering as much market share as possible.
- This results in near-monopoly of some firms in their defined markets.
- These firms may resort to anti-competitive behaviour including acquiring rivals to vertically integrate; erecting entry barriers by refusing to interconnect and inter-operate with competing firms, and leveraging their capital base, thereby engaging in predatory pricing, and driving out competitors.
Positive externalities and consumer surplus
- Network effects create a huge consumer surplus.
- Even without our knowledge, these Internet firms have now become an indispensable part of our lives.
- There are positive externalities as well, for example, Google Maps Application Program Interface (APIs) is being used by almost all logistic transand port companies.
- Facebook APIs are used for advertisement by almost all firms across the industry.
- Google, recently announced that its Search is being expanded to provide accurate and timely information on vaccine distribution to enable quick recovery from the COVID-19 pandemic.
Challenge of regulation
- The question before policymakers is how to regulate these Internet firms from abusing their monopoly power while encouraging the positive externalities and consumer surplus they create.
- It is often very difficult to prove that the firms engage in the abuse of their monopoly power.
- Due to strong network effects, it is not possible to ban or curtail these services.
Way forward
- A traditional view is to subsidise the good that creates positive externalities.
- Governments can provide tax subsidy to these Internet firms in return for their orderly behaviour in the marketplace.
- Governments could explore mandating sharing of Non-Personal Data (NPD) owned by these firms for societal and economic well-being as pointed out in the expert committee on NPD.
- The other way to control any abusive behaviour of the Internet firms is to use the power of public voice.
- The huge public outcry and subsequent government actions have delayed the recent changes to privacy policy relating to the sharing of personal information between WhatsApp and its parent firm, Facebook.
Consider the question “Services provided by the Internet firms have become indispensable part of our life, this leads to the problem of checking their monopoly power while encouraging their positive externalities and consumer surplus. In light of this, discuss the challenges posed by the Big Techs and suggest the ways to deal with them.”
Conclusion
While governments and regulators deal with these dilemmas the Internet firms should adhere to core ethical principles in conducting their businesses as firms that aim at super monopoly profits and are greedy to become powerhouses of the world, often end up in the ditch.
Back2Basics:What is positive externality
- A positive externality exists if the production and consumption of a good or service benefits a third party not directly involved in the market transaction.
- Â For example, education directly benefits the individual and also provides benefits to society as a whole through the provision of more informed and productive citizens.
What is Network Effect
- The network effect is a phenomenon whereby increased numbers of people or participants improve the value of a good or service.
- The Internet is an example of the network effect. Initially, there were few users on the Internet since it was of little value to anyone outside of the military and some research scientists.
- However, as more users gained access to the Internet, they produced more content, information, and services.
- The development and improvement of websites attracted more users to connect and do business with each other.
- As the Internet experienced increases in traffic, it offered more value, leading to a network effect.
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From UPSC perspective, the following things are important :
Prelims level: Presidentâs address
Mains level: Significance of Presidential address
Many Opposition parties announced their decision to boycott the Presidentâs address to the joint sitting of Parliament at the start of the Budget session in solidarity with the farmers protesting against the three farm laws.
Try this PYQ:
Q. The Presidentâs address is one of the most solemn occasions in the Parliamentary calendar. Discuss. Highlight its importance in Parliamentary Democracy.
Presidentâs address
- The Constitution gives the President the power to address either House or a joint sitting of the two Houses of Parliament.
- Article 87 provides two special occasions on which the President addresses a joint sitting. The first is to address the opening session of a new legislature after a general election.
- The second is to address the first sitting of Parliament each year. A session of a new or continuing legislature cannot begin without fulfilling this requirement.
- When the Constitution came into force, the President was required to address each session of Parliament.
In the UK, the history of the monarch addressing the Parliament goes back to the 16th century. In the US, President Gorge Washington addressed Congress for the first time in 1790.
History & precedent
- In India, the practice of the President addressing Parliament can be traced back to the Government of India Act of 1919.
- This law gave the Governor-General the right of addressing the Legislative Assembly and the Council of State.
- The law did not have a provision for a joint address but the Governor-General did address the Assembly and the Council together on multiple occasions.
- There was no address by him to the Constituent Assembly (Legislative) from 1947 to 1950.
- And after the Constitution came into force, President Rajendra Prasad addressed members of Lok Sabha and Rajya Sabha for the first time on January 31, 1950.
By the govt, about the govt
- The Presidentâs speech essentially highlights the governmentâs policy priorities and plans for the upcoming year. The address provides a broad framework of the governmentâs agenda and direction.
- There is no set format for the Presidentâs speech. The Constitution states that the President shall âinform Parliament of the cause of the summonsâ.
How it is done in India?
- The speech that the President reads is the viewpoint of the government and is written by it.
- Usually, in December, the PMâs Office asks the various ministries to start sending in their inputs for the speech.
- A message also goes out from the Ministry of Parliamentary Affairs asking ministries to send information about any legislative proposals that need to be included in the Presidentâs address.
- All this information is aggregated and shaped into a speech, which is then sent to the President. The government uses the Presidentâs address to make policy and legislative announcements.
Assembly debates on the matter
- During the making of the Constitution, Prof K T Shah wanted the Presidentâs address to be more specific.
- He suggested that the language be changed to specify that the President shall inform Parliament âon the general state of the Union including financial proposals, and other particular issues of policy he deems suitable for such addressâ.
- His amendment was inspired by the US Constitution, according to which the President gives to Congress information on the State of the Union, and recommend measures as he shall judge necessary.
- But Shahâs amendment was rejected by the Constituent Assembly.
- The address of the President follows a general structure in which it highlights the governmentâs accomplishments from the previous year and sets the broad governance agenda for the coming year.
Notable addresses till date
- In 1985 President Giani Zail Singh announced that PM Rajiv Gandhiâs government intended to introduce a new national education policy and the anti-defection law.
- In 1996, PM Vajpayeeâs 13-day government announced its intention of giving statehood to Uttaranchal and Vananchal (Jharkhand) and 33 percent reservation to women in legislatures.
- During his second stint in 1999, Vajpayeeâs government mooted the idea of a fixed term for Lok Sabha and State Vidhan Sabhas.
- After the devastating tsunami of 2004, PM Manmohan Singhâs government used the Presidentâs Address to announce the creation of a national law for disaster management.
Procedure & tradition
- In the days following the Presidentâs address, a motion is moved in the two Houses thanking the President for his address.
- This is an occasion for MPs in the two Houses to have a broad debate on governance in the country.
- The PM replies to the motion of thanks in both Houses and responds to the issues raised by MPs.
- The motion is then put to vote and MPs can express their disagreement by moving amendments to the motion.
Role of the opposition
- Opposition MPs have been successful in getting amendments passed to the motion of thanks in Rajya Sabha on five occasions (1980, 1989, 2001, 2015, 2016).
- They have been less successful in Lok Sabha. For example in 2018, Lok Sabha MPs tabled 845 amendments of which 375 were moved and negated.
Significance of the address
- The Presidentâs address is one of the most solemn occasions in the Parliamentary calendar.
- It is the only occasion in the year when the entire Parliament, i.e. the President, Lok Sabha, and Rajya Sabha come together.
- The event is associated with ceremony and protocol.
- The Lok Sabha Secretariat prepares extensively for this annual event.
- In the past, it used to get 150 yards of red baize cloth from the Presidentâs house for the ceremonial procession.
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