Q8 · UPSC Prelims 2015 · Set A · Economy

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In the 'Index of Eight Core Industries',which one of the following is given the highest weight?

A Coal production
B Electricity generation
C Fertilizer production
D Steel production

Correct answer: (b) Electricity generation

Explanation

  1. A

    Coal production

    (a) Coal production. Coal is a core industry but, on the 2004–05-based Index of Eight Core Industries used around this paper, its weight was well below electricity. Coal is not the highest-weighted item.

  2. B

    Electricity generation

    (b) Electricity generation. In the Index of Eight Core Industries (Office of the Economic Adviser), electricity carried the largest weight—about 10.32 on the old 2004–05 series among the eight, and still the top slot after later revisions relative to coal, fertiliser and the listed peers in this question’s era. That highest weight is the official key.

  3. C

    Fertilizer production

    (c) Fertilizer production. Fertiliser has one of the smallest weights in the eight-core basket. It cannot be the key.

  4. D

    Steel production

    (d) Steel production. Steel is heavy in the index but still below electricity. Steel is not the highest-weighted industry.

Summary. Official key is (b) Electricity generation. The eight core industries are coal, crude oil, natural gas, refinery products, fertilisers, steel, cement and electricity. Electricity has the largest weight in that index. Coal, fertiliser and steel are core items but not the top weight. Only electricity matches the keyed choice.