Statement:\nThe meteorological department has predicted normal rainfall throughout the country for the current monsoon season.\n\nCourses of Action:\nI. The government should reduce the procurement price of food grains for the current year.\nII. The government should reduce the fertilizer subsidy for the current year.\n\nWhich course(s) of action logically follow(s)?

Difficulty: Medium

Correct Answer: Neither I nor II follows

Explanation:


Introduction / Context:
A normal rainfall forecast is a neutral to positive indicator for agriculture but does not automatically dictate immediate price or subsidy reductions. Course-of-action items require a direct, justified, and proportionate response to the statement—avoiding speculative policy leaps.


Given Data / Assumptions:

  • Meteorological forecast: normal rainfall nationally.
  • No evidence yet of production, procurement, or input-cost changes.
  • Policy decisions must consider farm incomes, inflation, supply stability, and risk.


Concept / Approach:
We validate each proposed action for necessity and sufficiency. A forecast is probabilistic; prudent policy waits for realized outputs (acreage, yield, arrivals) and broader macro signals. Knee-jerk reductions can destabilize incentives and farmer welfare.


Step-by-Step Solution:

1) Reduce procurement price (I): Procurement price affects farmer income and production incentives. Cutting it on a mere forecast—without harvest outcomes—risks harming farmers and is premature.2) Reduce fertilizer subsidy (II): Similarly, subsidies influence input use and productivity. Reducing them because rains are “normal” lacks causal necessity and could raise costs and lower yields.3) Therefore, neither I nor II logically follows from a forecast alone.


Verification / Alternative check:
Reasonable actions: monitor sowing progress, reservoir levels, pest incidence, and market arrivals; adjust Minimum Support Price (MSP) and subsidy policy only after data-driven assessment.


Why Other Options Are Wrong:

• Only I / Only II: Both are premature.• Either / Both: Forecast does not justify immediate cuts.


Common Pitfalls:
Treating forecasts as certainties. Policy needs evidence beyond prediction.


Final Answer:
Neither I nor II follows.

More Questions from Course of Action

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