Arrange the following Committees formed for small scale sector in a chronological order and select the correct answer from the codes given below :
I. Nayak Committee
II. Abid Hussain Committee
III. S.

Question

Arrange the following Committees formed for small scale sector in a chronological order and select the correct answer from the codes given below :
I. Nayak Committee
II. Abid Hussain Committee
III. S.S. Kohli Committee
IV. Karve Committee
Codes :

UnlockIAS · Accepted Answer

Correct — C, IV, II, I, III — that is, Karve first, then Abid Hussain, then Nayak, then S.S. Kohli. The one thing every source agrees on is where the sequence begins and where it ends. The Karve Committee (IV) is the Village and Small Scale Industries Committee of 1955, a Planning Commission body of the Second Five Year Plan era; the other three are all creatures of the post-1991 liberalisation decade. The S.S. Kohli Committee (III), the RBI committee on rehabilitation of sick small-scale industrial units, is the most recent of the four. Look at the codes with only that in hand: option (a) buries Karve in third place, options (b) and (d) both end with Karve, and only (c) puts Karve first and Kohli last. So the elimination is clean and (c) is the answer that earns the mark. Now the honest part, because you will find the years elsewhere and they will not agree with this code: the documented dates are Karve 1955, Nayak 1991-92, Abid Hussain 1997 and S.S. Kohli 2000, which give the order IV, I, II, III — and that sequence is not printed as any of the four options. The commission's key marks (c), which swaps Nayak and Abid Hussain relative to those dates. Author's note for the student: treat (c) as the marked answer, and carry away the part that is safe and sourced — Karve is the oldest by more than three decades, Kohli is the newest, and the middle pair is where this question is contested.

Why the other options are wrong — (a) Places the Karve Committee third, after two committees of the 1990s. Karve belongs to the Second Five Year Plan (1955), the era when small and village industries were being written into national planning; it cannot follow bodies constituted after the 1991 reforms.  (b) Inverted at both ends. It opens with S.S. Kohli, the most recent of the four (an RBI committee on sick SSI units, 2000), and closes with Karve, the oldest (1955).  (d) Simply repeats the order in which the four names are printed in the question — the standard 'no rearrangement' trap. It again leaves Karve (1955) last, behind three committees of the reform period.

Concept: The small-scale sector has been re-examined by a committee at every turning point in Indian industrial policy, so the names cluster into two very different eras. The Karve Committee — formally the Village and Small Scale Industries Committee, 1955 — belongs to the planning era: its brief was to fit village and small industries into the Second Five Year Plan's heavy-industry strategy, and it argued for protecting and promoting them, the thinking that later hardened into product reservation for the small-scale sector. The other three names are all from the liberalisation decade, when the questions changed from protection to credit, competitiveness and sickness. The Nayak Committee was an RBI committee under Deputy Governor P.R. Nayak, constituted in December 1991 and reporting in 1992, on the flow of credit to small-scale industry; its lasting contribution is the 'Nayak norm' that banks should provide working capital of at least 20 per cent of a unit's projected annual turnover. The Abid Hussain Expert Committee on Small Enterprises, which reported in 1997, took the opposite tack from Karve and recommended abolishing product reservation altogether so small firms would have to compete. The S.S. Kohli Committee, an RBI committee of 2000, dealt with the rehabilitation of sick small-scale industrial units.

State PCS 2019 Q106 — Economy PYQ with Answer

State PCS 2019 Q106 — Economy PYQ with Answer