Comprehension
Cryptocurrencies are a terrible thing. They are the essence of a Ponzi scheme whose value is based entirely on a greater fool prepared to buy it. The promise of alchemy-turning lead into gold has bewitched humanity throughout the ages and cryptocurrencies are just the latest alchemy. Do not get me wrong, if rich people want to lose their money, in this or any other way, they should be allowed to do so. The rich should be the vanguards of new things in case something unforeseen and good falls out of them. But we need to protect those vulnerable consumers whose lives are such that almost any get-rich-quick schemes will be seductive, and seven out of 10 times, they will lose their life savings. Cryptocurrencies are today's South Sea Bubble - one of the earliest recorded financial bubbles that took place in the 1720s' Britain. Meme-based currencies like Dogecoin, Dogelon Mars and Doge Dash remind me of the infamous plan of one company during the South Sea Bubble to raise money “for carrying on an undertaking of great advantage; but nobody to know what it is.”
The cryptocurrency bubble is worse than tulip mania. Through the veil of technology, cryptocurrency enthusiasts are leaning on policy-makers to permit them to be exempt from regulation, privatize money, and make money so disconnected from the economy that it would reap financial disaster. There are many reasons to avoid financial disasters, but one of them is that they ratchet up poverty and inequality. The current money-credit system is not perfect, but like democracy, it is the worst system barring all the others. It has evolved from the ashes of the system cryptocurrency enthusiasts are trying to resurrect.
The current system is vulnerable to attack because money is little understood. Cryptocurrency enthusiasts have attracted a following based on the fiction that the central bank or government creates money and are busy debasing it in their self-interest. This is not the case, but then again, there is some overlap between cryptocurrency advocates, conspiracy theorists, and anti-vaxxers. The time has come for someone to stand up for the current fiat money system and explain that while it could be better still, it has been associated with far more growth, much more distributed, and has responded better to economic crisis than what came before.
In today's money-credit system, banks create money when they issue a loan and place the loan's proceeds into the account of their customers, creating a deposit. Money is, in fact, a tradable debt. The bank's deposit can be used as cash because the bank is a regulated issuer of loans and deposit-taker, which gives the deposit credibility and convertibility. The central bank only influences the creation of money indirectly by its regulatory requirement that a proportion of the loans need to be funded by shareholder's profits. They need to have skin in the game. Money creation then is based on thousands of separate decisions by loan officers and is more distributed than a centralized algorithm like Bitcoin. And its supply is determined by the private demand for loans, which means it is closely aligned to the economy.
The cryptocurrency bubble is worse than tulip mania. Through the veil of technology, cryptocurrency enthusiasts are leaning on policy-makers to permit them to be exempt from regulation, privatize money, and make money so disconnected from the economy that it would reap financial disaster. There are many reasons to avoid financial disasters, but one of them is that they ratchet up poverty and inequality. The current money-credit system is not perfect, but like democracy, it is the worst system barring all the others. It has evolved from the ashes of the system cryptocurrency enthusiasts are trying to resurrect.
The current system is vulnerable to attack because money is little understood. Cryptocurrency enthusiasts have attracted a following based on the fiction that the central bank or government creates money and are busy debasing it in their self-interest. This is not the case, but then again, there is some overlap between cryptocurrency advocates, conspiracy theorists, and anti-vaxxers. The time has come for someone to stand up for the current fiat money system and explain that while it could be better still, it has been associated with far more growth, much more distributed, and has responded better to economic crisis than what came before.
In today's money-credit system, banks create money when they issue a loan and place the loan's proceeds into the account of their customers, creating a deposit. Money is, in fact, a tradable debt. The bank's deposit can be used as cash because the bank is a regulated issuer of loans and deposit-taker, which gives the deposit credibility and convertibility. The central bank only influences the creation of money indirectly by its regulatory requirement that a proportion of the loans need to be funded by shareholder's profits. They need to have skin in the game. Money creation then is based on thousands of separate decisions by loan officers and is more distributed than a centralized algorithm like Bitcoin. And its supply is determined by the private demand for loans, which means it is closely aligned to the economy.
Question: 1
Which of the following does best describe attitude of the author towards rich people?
Which of the following does best describe attitude of the author towards rich people?
Updated On: Aug 15, 2024
- Concerned
- Assiduous
- Indifferent
- Sympathetic
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The Correct Option is C
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The correct option is (C): Indifferent.
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Question: 2
Which of the following is true in the context of the passage?
Which of the following is true in the context of the passage?
Updated On: Jul 18, 2024
- The author defends the current money–credit system.
- The author rejects the idea that the central bank or government creates money and are busy debasing it in their self-interest.
- The author backs the protection of poor from menace of cryptocurrencies.
- All the above
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The Correct Option is D
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The correct option is (D): All the above.
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Question: 3
Which rhetorical device is employed in ‘cryptocurrencies are just the latest alchemy’?
Which rhetorical device is employed in ‘cryptocurrencies are just the latest alchemy’?
Updated On: Aug 8, 2024
- Antithesis
- Metaphor
- Personification
- Synecdoche
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The Correct Option is B
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The correct option is (B): Metaphor.
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Question: 4
Which of the following does best describe the passage?
Which of the following does best describe the passage?
Updated On: Aug 16, 2024
- Argumentative and explanatory
- Descriptive and argumentative
- Narrative and explanatory
- Expository and argumentative
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The Correct Option is A
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The correct option is (A): Argumentative and explanatory.
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Question: 5
What do the cryptocurrency enthusiasts rely on?
What do the cryptocurrency enthusiasts rely on?
Updated On: Jul 18, 2024
- Exemption from regulation
- Privatization of money
- Disconnection of money from the economy
- All the above
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The Correct Option is D
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The correct option is (D): All the above.
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Top Questions on Reading Comprehension
- Read the excerpt from a Handicrafts Manual: ‘Advanced Knitting Techniques’ and answer the following questions by choosing the most appropriate answer.
THE FAIR ISLE METHOD: Fair Isle knitting is a traditional technique that involves using two or more colours of yarn in a single row to create intricate patterns and designs. This method requires careful tension management to ensure even stitches and prevent puckering. To begin, select your colours and cast on the desired number of stitches. As you knit, alternate between colours every few stitches, carrying the unused yarn along the back of the work. Mastering the Fair Isle technique allows you to create stunning visual effects in garments, accessories, and home textiles.
THE CONTINENTAL STYLE: The Continental knitting style, often referred to as “picking,” involves holding the yarn in the left hand while the right hand manipulates the needles. This method allows for greater speed and efficiency, particularly when working with complex patterns or multiple colours. To practice this style, start by casting on your stitches and using your left hand to tension the yarn. With each stitch, simply “pick” the yarn with your right needle, forming a quick and fluid motion. As you become comfortable with this technique, you may find that your overall knitting speed and comfort improve significantly.
THE SHORT-ROW TECHNIQUE: Short-row knitting is an advanced technique that allows for the creation of shaped garments, such as sleeves and shoulders, without the need for complex shaping. To make a sleeve using this technique, begin by casting on the required number of stitches. Work a portion of the row, then turn your work and return without completing the full row to create the “short rows” that shape the curves of the sleeve. To prevent holes at the turn, wrap the stitch before you turn your work. Repeat this process as needed to achieve the desired shaping and dimension of the sleeve. Once you have shaped the sleeve, you can then sew the side seams to connect the pieces of your garment and finally, complete the edges to ensure a clean finish. This method not only helps shape curves but also adds dimension to your piece, allowing you to enhance fit and style.- AILET BALLB (Hons.) - 2025
- English
- Reading Comprehension
- Read the following passage and answer the following questions by choosing the most appropriate answer.
The Story of Coffee
Coffee, a beloved beverage enjoyed by millions around the globe, has a rich and captivating history that spans centuries. The story of coffee begins in the ancient highlands of Ethiopia, where, according to legend, a goat herder named Kaldi discovered the stimulating effects of coffee beans. One day, Kaldi noticed his goats frolicking with unusual energy after eating red berries from a certain tree. Curious, he tried the berries himself and experienced a newfound alertness. This discovery soon spread to monasteries, where monks used it to stay awake during long hours of prayer. From Ethiopia, coffee cultivation and consumption spread to the Arabian Peninsula, particularly in Yemen, where the practice of roasting coffee beans and brewing the drink began to take shape. By the 15th century, coffee had become a popular beverage in the Islamic world, with coffee houses known as ‘qahveh khaneh’ emerging as social hubs for conversation, music, and intellectual exchange. These coffee houses became centers of culture and commerce, influencing the spread of coffee to Turkey and beyond, eventually reaching Europe. In Europe, coffee initially faced resistance from religious authorities who considered it a ‘Muslim drink’ and tried to ban it. However, its popularity persisted, and by the 17th century, coffee houses had sprung up in major European cities, becoming important gathering places for artists, writers, and thinkers. The stimulating effects of coffee were embraced during the Age of Enlightenment, where it was seen as a catalyst for intellectual discussion and innovation. The journey of coffee continued with the establishment of colonial plantations in tropical regions such as the Caribbean, Central and South America, and Southeast Asia. These plantations fuelled the global demand for coffee, transforming it from a regional specialty to a major commodity. The industrial revolution further accelerated coffee production and consumption, leading to innovations in coffee brewing methods and the development of instant coffee. In the modern era, coffee has evolved into a deeply ingrained part of daily life for people worldwide. Its cultural significance spans from the bustling cafes of Paris to the quiet coffee farms of Colombia. Today, coffee remains not only a popular beverage but also a symbol of social interaction, productivity, and enjoyment. Whether sipped slowly over a conversation with friends or grabbed hastily on the way to work, the story of coffee continues to unfold, intertwining with the histories and cultures of countless societies across the globe.- AILET BALLB (Hons.) - 2025
- English
- Reading Comprehension
- Read the following passage and answer the following questions by choosing the most appropriate answer.
The intricate world of modern manufacturing is a web of precision and innovation, where even the tiniest components play a pivotal role. One such element, often overlooked but crucial, is the sub-subpart. Whether it’s a carpenter fashioning a bespoke piece of furniture or an automobile engineer designing the next generation of vehicles, the creation of sub-subparts is a fundamental process that demands meticulous craftsmanship and cutting-edge technology. In the realm of woodworking, carpenters frequently work with sub-subparts like dowels, screws, and hinges. These minute components may appear insignificant, yet they determine the structural integrity and functionality of the final product. Crafting a dowel, for instance, begins with selecting the appropriate wood species, followed by precision cutting and shaping. The result is a perfectly cylindrical, sturdy sub-subpart that seamlessly joins two larger pieces of wood. The advent of computer-aided design (CAD) and computer numerical control (CNC) machines has revolutionised this process, enabling carpenters to create sub-subparts with unparalleled precision.
Similarly, in the automobile industry, sub-subparts are the unsung heroes of vehicle construction. Take, for instance, the ball bearing—a minuscule but essential component in the wheels and transmission system. Manufacturing these precision-engineered spheres involves intricate processes like forging, heat treatment, and precision machining. Modern techniques such as laser cutting and 3D printing have streamlined production, ensuring that these sub-subparts meet the demanding standards of the automotive sector. The manufacturing of sub-subparts is a testament to the convergence of traditional craftsmanship and cutting-edge technology. Whether it’s a carpenter’s workshop or a high-tech automotive assembly line, the quest for perfection in sub-subpart creation remains unwavering. The attention to detail and precision required in these processes is a testament to the dedication of craftsmen and engineers alike.
To conclude, while sub-subparts may be small in size, their significance in various industries cannot be overstated. Whether it’s a carpenter working on a timeless piece of furniture or an automotive engineer striving for superior performance, the manufacturing of sub-subparts is a crucial step towards achieving excellence in craftsmanship and technology. This fusion of tradition and innovation accentuates the essence of modern manufacturing.- AILET BALLB (Hons.) - 2025
- English
- Reading Comprehension
- Read the book descriptions for three different books and answer the questions by choosing the most appropriate options.
\(\text{The Politics of Change}\) \(\text{The Change in Politics}\) \(\text{Politics and Change:}\) A Global Perspective} In "The Politics of Change," political analyst Dr. Emily Harper examines the dynamics of social movements and their impact on policy reform. Through detailed case studies, she explores how grassroots organizations, protests, and advocacy campaigns shape public opinion and influence lawmakers. Dr. Harper provides insights into the strategies that successful movements employ and discusses the challenges they face in a complex political landscape. She discusses key strategies, such as coalition-building, media engagement, and the use of digital platforms to amplify voices. This book by veteran journalist Mark Stevens investigates the shifting political landscape in the 21st century. Focusing on major elections, emerging political parties, and the role of social media, Stevens analyzes how technology and demographics are transforming political engagement and voter behaviour. Through interviews with political leaders, campaign strategists, and everyday voters, Stevens uncovers how demographic shifts and technological advancements are reshaping political discourse in urban areas. He analyzes the implications of these changes for traditional political institutions and explores how movements like #MeToo and Black Lives Matter have disrupted conventional narratives. In this insightful work, international relations scholar Dr. Anika Patel presents a global analysis of political change across various regions. She explores the factors that drive political transitions, including economic shifts, cultural movements, and international influences. Dr. Patel emphasizes the interconnectedness of global politics and how local changes can have far-reaching implications. She analyzes various factors driving political transitions, including economic upheaval, cultural shifts, and the impact of globalization. She provides case studies from diverse regions, such as the Arab Spring, democratic movements in Latin America, and shifts in power in Asia. The book serves as a vital resource for understanding the complexities of political evolution in a rapidly changing world. - AILET BALLB (Hons.) - 2025
- English
- Reading Comprehension
- The levels of dissolved oxygen in the world's ocean waters are declining precipitously. Just like humans, fish need oxygen to survive, and so in ocean areas experiencing significant levels of oxygen scarcity, or hypoxia, fish populations are plummeting. Although some hypoxic areas, called "dead zones," occur naturally, hypoxia in coastal areas and inland waters is caused mainly by agricultural run-off and by discharge of industrial wastewater. More than one hundred permanent dead zones, many covering thousands of square miles, exist worldwide today.
Since reproductive success is the most critical factor in the sustainability of any species, the extent of this threat to marine life and genetic diversity can hardly be overstated. After several months in hypoxic waters, female fish produce fewer eggs. Moreover, hypoxic conditions serve to alter the normal ratio between two particular hormones manufactured during the embryonic stage when a fish's gender is determined. During gestation and under these conditions, the mother produces more testosterone (and less estradiol), which inhibits the development of female reproductive organs and other female characteristics in the embryo, while promoting the development of male traits.
The implications of declining oxygen levels extend beyond individual species to entire ecosystems. Marine biodiversity is at risk as species that cannot adapt to hypoxic conditions may face extinction, leading to a cascade of effects throughout the food web. Predators may struggle to find adequate prey, while other marine organisms, such as coral reefs, which rely on healthy fish populations for symbiotic relationships, may also deteriorate. The loss of biodiversity can disrupt ecosystem services that are essential for human communities, including fisheries, tourism, and coastal protection.- AILET BALLB (Hons.) - 2025
- English
- Reading Comprehension
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Questions Asked in CLAT exam
- The "Nari Shakti Vandan Adhiniyam", 2023 Act received near-unanimous support in both the Lok Sabha and the Rajya Sabha. The legislation mandates the reservation of one-third of all seats in the Lok Sabha, state legislative assemblies, and Delhi (as a union territory with an elected assembly) for women. This linking of the implementation of the Act to the implementing of two long-term exercises of census and delimitation, makes little sense to many, and sounds quite like empowerment delayed for now.
In a 2012 article 'Holding Up Half the Sky: Reservations for Women in India', Rudolf C Heredia breaks down the common misconceptions that cloud our understanding of women's political participation- "When women do attain a national leadership role it is often because they have inherited the mantle from their fathers ophusbands, rather than as persons in their own right and are then projected as matriarchs, part of the joint family, complementary to the patriarchy rather than a challenge to it."
In 'Equality versus Empowerment: Women in Indian Legislature', 2023, Soumya Bhowmick makes the case for going a step beyond quotas, and to turn our attention to the complexities that shape women's agency in the country. This, he argues, would require a bottoms-up approach, rather than merely handing out reservations in a top-down manner. "In a country like India with a considerably large heterogeneous population, the dissemination of legislative power would be insufficient to protect the interests of minority groups such as women, Scheduled Castes, and Scheduled Tribes." He concludes that "implementing the idea of reservation for women would bring about descriptive representation, but its transformation into substantive representation would depend on the change in the attitudes of the people."
While the reservation of one-third of seats for women belonging to the scheduled castes and tribes under the amendment to article 330a and 332 of the constitution is a welcome step, it remains to be seen whether it fully acknowledges the complex interplay of hierarchies, socio-political relationships which also affect the extent and nature of complications that surround effective realisation of women's politics for Indian politics to emerge as a truly emancipatory space.- CLAT - 2025
- National Affairs
- In keeping with the slogan for this year's Olympics, "Games Wide Open," the opening ceremony took place outside a stadium setting by the river, for the first time. In many respects, the Paris Games turned out to be one of the most elaborate cultural rituals since Covid swept across the world beginning in late 2019. Health restrictions forced the organizers of Tokyo 2020 and Beijing 2022 to sharply limit the scale of the festivities, with events largely closed to the public. Paris 2024, powered in part by pent-up demand for communal experiences, symbolized an international post-pandemic vibe shift.
The International Olympic Committee and French officials managed strict security measures in place. Yet the recent history of violence in France - including the 2015 terror attack in Paris that left 138 people dead and at least 416 injured - stalked public consciousness prior to the games. The geopolitical backdrop for the Paris Games was no less troubling. The war between Israel and Hamas which had crossed the six-month mark, raised fears of a protracted conflict and wider regional instability. The devastation in the Gaza Strip has provoked international outrage, isolating Israel on the global stage. Meanwhile, Russia continues to gain ground in its military offensive against Ukraine as some Western nations worry about the rise of authoritarianism. These international crises raised serious concerns that could come into play during the Games in the form of protests and other political demonstrations.
Nevertheless, Olympics organizers put up a show that stunned the throngs assembled on the boulevards of Paris, not to mention the millions of people who watched the Games unfold on their televisions and mobile devices. At the Paris 2024 Olympics, India secured a total of six medals; one silver and five bronze which was one down from the highest haul of medals from the previous Olympics. Neeraj Chopra earned a silver in men's javelin with an 89.45 throw, narrowly missing gold to Pakistan's Arshad Nadeem. Shooter Manu Bhaker made history by clinching bronze in the women's 10'm air pistol, becoming the first Indian woman to win a medal in Olympic shooting. The men's hockey team achieved a second consecutive bronze, defeating Spain 2-1, with captain Harmanpreet Singh scoring both goals.
(Extracted, with edits and revision, from "The Olympics are nearly here. For a weary world, they can't come soon enough", NBCNEWS)- CLAT - 2025
- Sports
- During the First World War, Indian merchants and industrialists wanted protection against imports of foreign goods, and a rupee-sterling foreign exchange ratio that would discourage imports. To organise business interests, they formed the Indian Industrial and Commercial Congress in 1920 and the Federation of the Indian Chamber of Commerce and Industries (FICCI) in 1927. The industrialists attacked colonial control over the Indian economy and supported the Civil Disobedience Movement when it was first launched. They gave financial assistance and refused to buy or sell imported goods. After the failure of the Round Table Conference, business groups were no longer uniformly enthusiastic. They were apprehensive of the spread of militant activities, and worried about prolonged disruption of business, as well as of the growing influence of socialism amongst the younger members of the Congress.
The industrial working classes did not participate in the Civil Disobedience Movement in large numbers, except in the Nagpur region. As the industrialists came closer to the Congress, workers stayed aloof. But inspite of that, some workers did participate in the Civil Disobedience Movement, selectively adopting some of the ideas of the Gandhian programme, like boycott of foreign goods, as part of their own movements against low wages and poor working conditions. There were strikes by railway workers in 1930 and dockworkers in 1932. In 1930, thousands of workers in Chotanagpur tin mines wore Gandhi caps and participated in protest rallies and boycott campaigns. But the Congress was reluctant to include workers' demands as part of its programme of struggle. It felt that this would alienate industrialists and divide the anti-imperial forces.
Another important feature of the Civil Disobedience Movement was the large-scale participation of women. During Gandhiji's salt march, thousands of women came out of their homes to listen to him. They participated in protest marches, manufactured salt, and picketed foreign cloth and liquor shops. Many went to jail.
[Excerpt from Chapter II - Nationalism in India, India and the Contemporary World, NCERT]- CLAT - 2025
- Historical Events
- Chinese President Xi Jinping and Indian Prime Minister Narendra Modi used a BRICS summit in Russia recently to showcase ambitions for a more harmonious relationship between the world's two most populous countries after years of animosity.
The meeting between Xi and Modi, who have not held formal talks for five years, was one highlight of a summit. BRICS also gave an opportunity to the Russian President Vladimir Putin for showcasing that the West had failed to isolate Russia over the Ukraine war.
A final communique listed a number of projects aimed at facilitating trade between BRICS nations including an alternative payment system to the dollar but did not include details or timelines.
Just two days after New Delhi announced that it had reached a deal with Beijing to resolve a four-year military stand-off on their disputed Himalayan frontier, Xi told Modi that they should enhance communication and cooperation and effectively manage differences.
BRICS - an idea thought up inside Goldman Sachs two decades ago to describe the growing economic clout of China and other major emerging markets - is now a group that accounts for 45% of the world's population and 35% of the global economy.
Former Goldman Sachs economist Jim O'Neill, who coined the BRIC term in 2001, told Reuters that he had little optimism for the BRICS club as long as China and India remained so divided.
"It seems to me basically to be a symbolie annual gathering where important emerging countries, particularly noisy ones like Russia, but also China, can basically get together and highlight how good it is to be part of something that doesn't involve the U.S. and that global governance isn't good enough,"
The 43-page final communique from the summit ranged from geopolitics and narcoties to artificial intelligence and even the preservation of Big Cats, but lacked detail on some major issues. It mentioned Ukraine just once.
(Excerpts from "Putin scores a BRICS win with rare Xi and Modi show of harmony" By Vladimir Soldatkin and Guy Faulconbridge, Reuters, October 23, 2024)- CLAT - 2025
- International Affairs
- According to the estimates of the World Inequality Report 2022, in India, men earn 82 percent of the labour income, whereas women earn 18 percent of it. A woman agriculture field labourer makes Rs. 88 per day lesser than her male counterpart, according to the Ministry of Agriculture’s data for 2020-21. While a man is paid Rs. 383 a day on an average, a woman makes a mere Rs. 294 a day. The gap in their daily wages is more than the cost of two kilograms of rice. This gap differs from State to State. Field laborers, for instance, make the most money in Kerala. While a man gets Rs. 789 per day, a woman is paid Rs. 537. While this is the highest amount paid to a woman labourer in a State, it is also Rs. 252 lesser than what her male counterpart was paid. As of 2020-21, Tamil Nadu has the highest gender wage gap among agriculture field laborers at 112 percent. It is followed by Goa (61 percent) and Kerala. The wage gap is the lowest in Jharkhand and Gujarat (6 percent each), but the women laborers there get paid just Rs. 239 and Rs. 247 per day, respectively.
Men earn more than women across all forms of work, the gap greatest for the self-employed. In 2023, male self-employed workers earned 2.8 times that of women. In contrast, male regular wage workers earned 24% more than women and male casual workers earned 48% more. The gender gap in earnings is still a persistent phenomenon. However, there are differences in trends. The gender gap has increased for self-employed workers, while falling for regular wage workers. Male regular wage workers earned 34% more than women from 2019 to 2022, with the gap falling to 24% in 2023.- CLAT - 2025
- Statistical Estimation
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