UPSC Prelims Practice Questions — Prime Minister Shri Narendra Modi to Release 24th Instalment of PM-KISAN tomorrow at Banaskantha, Gujarat

Q1. With reference to the division of roles between the Union and the States under the Pradhan Mantri Kisan Samman Nidhi (PM-KISAN), consider the following statements: Which of the statements given above is/are correct?

  1. The entire financial liability for the benefit transferred to farmer families is borne by the Union Government.
  2. State and Union Territory governments identify the eligible farmer families using the land-ownership records they maintain.
  3. Because land records are a State subject, the scheme is classified as a Centrally Sponsored Scheme in which States share the cost of the benefit.
  • A. 1 and 3 only
  • B. 1 and 2 only
  • C. 2 and 3 only
  • D. 1, 2 and 3

Q2. Consider the following statements: Which of the following is correct in respect of the above statements?

  1. Although PM-KISAN is funded entirely from the Union budget, the eligible beneficiaries are identified by the State and Union Territory governments.
  2. Eligibility under PM-KISAN depends on ownership of cultivable land as shown in land records, and these records are maintained by the States.
  • A. Both Statement-I and Statement-II are correct and Statement-II explains Statement-I
  • B. Both Statement-I and Statement-II are correct, but Statement-II does not explain Statement-I
  • C. Statement-I is correct, but Statement-II is incorrect
  • D. Statement-I is incorrect, but Statement-II is correct

Q3. Suppose a government cuts back price support through assured procurement of rice and wheat. It uses the savings to raise a fixed annual cash transfer paid to every landholding farmer family, whatever crop the family grows. Which one of the following is the most likely consequence?

  • A. Aggregate Measurement of Support would rise as such transfers count as product-specific support
  • B. Open-market prices of the procured cereals would rise as procurement-led demand is replaced
  • C. Relative incentive to keep growing the procured cereals over pulses and oilseeds would weaken
  • D. Per-hectare fertiliser use would rise sharply since the transfer must be spent on inputs