Question

Which of the following statement can most reasonably be inferred from the information available in the passage?

• A. P.C. Mahalanobis believed in empowering private entrepreneurs and promoting free market.
• B. Phillip Spratt preferred plans that would create economic conditions favourable for a forward march by the private enterprise.
• C. Restriction on free markets enriched large Indian companies.
• D. Philip Spratt opposed the devaluation of rupee in 1966.
• A. Acceptance of A.D. Shroff’s plans in the official circles smothered free enterprise in India.
• B. The views of the Forum of Free Enterprise ran against the conception of development then prevalent among the policy makers.
• C. A.D. Shroff believed that state should actively support the private sector.
• D. Phillip Spratt had been educated in Cambridge.
• A. Highlight that even though there were advocates for free market and private enterprise in the early years of independent India, they were crowded out by others who supported a dominant role for state over private enterprise.
• B. Explain the politics behind Indira Gandhi’s decision to nationalize the banks.
• C. Demonstrate with the help of statistics how the preference of policy makers for Soviet style economic policies prevented India’s economic growth.
• D. Establish that devaluation of rupee in 1966 was vindicated by subsequent experience.
• A. Fell in love with an Indian woman.
• B. Wanted to protest against the economic policies of the Indian government.
• C. Was offered the editorship of MysIndia.
• D. Had been instructed to work towards the goal of inciting a revolution in India.
• A. A.D. Shroff was in favour of rigid governmental control over all economic activities.
• B. Shroff had opposed government’s decision to devalue Indian rupee.
• C. The hostility of the government to private entrepreneurs was complained against by A.D. Shroff.
• D. Shroff had been critical of the influence of Soviet academician over India’s economic policy.
• A. The demise of the Soviet Union.
• B. The start of the weekly called MysIndia.
• C. The books that he encountered in the prison.
• D. The dissolution of his first marriage to his college friend.
• A. Philip Spratt and A.D. Shroff were members of the Forum for Free Enterprise.
• B. The first two Five Year Plans emphasized on the importance of private enterprise as the spearhead of economic growth.
• C. P.C. Mahalanobis had mooted the expulsion of foreign firm like Coca Cola and IBM from India.
• D. The hopes that the licensing regime would be liberalized after the devaluation of Indian rupee were belied in the aftermath of the split in the Congress Party.
• A. Show the contradictions between AD Shroff’s economic views and the official economic policies of the Government of India.
• B. Exemplify the shift of the Indira Gandhi led government to the ‘left’.
• C. Demonstrate the ideological changes in the world view of Philip Spratt.
• D. Highlight the negative political repercussions of the decision to devalue the Indian currency.
• A. were
• B. are
• C. was
• D. is
• A. Praised
• B. Recited
• C. Proclaimed
• D. Remonstrated

Answer 1

The Correct Option is B

Step 1: Understand Phillip Spratt’s beliefs
The passage describes Phillip Spratt as a supporter of free enterprise. He criticized government control and believed the state hindered entrepreneurs.
He viewed government control as leading to “smothering of free enterprise” and advocated for conditions favouring private entrepreneurship.
Step 2: Evaluate the options
(a) Incorrect – P.C. Mahalanobis believed in state control, not empowering private entrepreneurs.
(b) Correct – Spratt clearly favoured free market plans that help private enterprise.
(c) Incorrect – The passage does not say restriction enriched Indian companies.
(d) Incorrect – The passage does not mention Spratt’s view on rupee devaluation. % Final Answer \[ \boxed{(b)} \]

Answer 2

Step 1: Understand A.D. Shroff’s role
Shroff was against state control and promoted free enterprise. The passage shows his ideas were not accepted, but rather ignored or discouraged.
Step 2: Evaluate the options
(a) Incorrect – This implies his plans were accepted and led to smothering free enterprise. In fact, his plans were not accepted}.
(b) Correct inference – The Forum’s views went against the prevailing government approach.
(c) Correct inference – Shroff believed in promoting the private sector.
(d) Correct inference – Spratt was Cambridge-educated, as mentioned in the passage. % Final Answer \[ \boxed{(a)} \]

Answer 3

Step 1: Understand the main theme of the passage
The passage discusses the conflict between early advocates of free enterprise (like A.D. Shroff and Phillip Spratt) and the government’s preference for state-controlled economic planning.
The views of these free-market thinkers were mostly ignored in favor of socialist-style control, especially through figures like P.C. Mahalanobis.
Step 2: Evaluate all options
(b) Incorrect – Indira Gandhi’s decision to nationalize banks is briefly mentioned, but not the focus of the passage.
(c) Incorrect – The passage does not include statistical evidence. It’s more narrative and ideological.
(d) Incorrect – The devaluation of the rupee in 1966 is mentioned, but not evaluated as right or wrong.
(a) Correct – This precisely summarizes the central idea: support for free enterprise was present but suppressed by state-dominated ideology. % Final Answer \[ \boxed{(a)} \]

Answer 4

Step 1: Locate the reference in the passage
The passage says: "Spratt was a Cambridge communist who was sent by the party in 1920s to foment revolution in the subcontinent."
Step 2: Evaluate all options
(a) Incorrect – Although he married an Indian woman, that was after his arrival. It was not the reason he came.
(b) Incorrect – His protest against Indian government policy came later, during the 1950s, not his original purpose.
(c) Incorrect – He was not invited to edit MysIndia; he did it later, independently.
(d) Correct – His original purpose was to incite revolution, as per the communist party's instruction. % Final Answer \[ \boxed{(d)} \]

Answer 5

Step 1: Analyze the conflict between A.D. Shroff and the Planning Commission
The passage clearly states that A.D. Shroff criticized the "indifference, if not discouragement" shown by the state towards entrepreneurs.
This indicates a disagreement between Shroff’s views and the Planning Commission’s state-controlled development model.
Step 2: Evaluate the options
(a) Incorrect – Shroff actually opposed rigid government control.
(b) Incorrect – The passage doesn’t say he opposed the devaluation of the rupee.
(c) Correct – This directly reflects the author’s statement.
(d) Tempting but incomplete – Though he criticized Soviet influence, that’s not the main reason his views clashed with the Planning Commission. % Final Answer \[ \boxed{(c)} \]

Answer 6

Step 1: Identify where the ideological shift is mentioned
The passage says: “The books he read in the prison...inspirited a steady move rightwards.”
This directly shows that his shift to the right was due to the books he read while in jail. Step 2: Eliminate incorrect options
(a) Incorrect – The Soviet Union’s fall happened decades later.
(b) Incorrect – MysIndia came after the shift, not the cause of it.
(c) Correct – Directly mentioned.
(d) Incorrect – His marriage is mentioned, but not as a cause of ideological change. % Final Answer \[ \boxed{(c)} \]

Answer 7

Step 1: Understand the post-1966 economic scenario
The passage says: After the rupee was devalued in 1966, there were hopes for liberalization. But after Indira Gandhi split the Congress in 1969, “her government took its left turn,” returning to nationalization.
Step 2: Evaluate each option
(a) Incorrect – The passage does not say both were part of the Forum. Shroff was; Spratt was an independent writer.
(b) Incorrect – The first two Five-Year Plans focused on public sector, not private enterprise.
(c) Incorrect – There’s no mention of Mahalanobis expelling foreign firms.
(d) Correct – This inference is strongly supported by the text and logical events. % Final Answer \[ \boxed{(d)} \]

Answer 8

Step 1: Understand the context of 1969 nationalization
The passage states: After Indira Gandhi split the Congress Party in 1969, “her government took its left turn nationalizing a fresh range of industries.”
This indicates a shift towards socialist or left-leaning economic policies. Step 2: Evaluate all options
(a) Incorrect – While there is a contrast with Shroff’s views, the reference to nationalization is mainly about government’s shift.
(b) Correct – The nationalization is used as an example of the “left turn.”
(c) Incorrect – Philip Spratt’s ideological shift is mentioned earlier, not linked to 1969.
(d) Incorrect – The passage does not mention political repercussions of devaluation. % Final Answer \[ \boxed{(b)} \]

Answer 9

Step 1: Identify subject and verb agreement
In sentences with “Neither...nor”, the verb agrees with the subject closest to it — in this case, “A.D. Shroff.”
However, both subjects are singular, but together they imply a plural action: “were able.” Step 2: Check tense consistency
The context is past tense (“were drowned... were devalued…”), so the verb must also be past.
“Were” is the correct past plural verb. Step 3: Eliminate wrong options
(b) are – Present tense, incorrect.
(c) was – Singular, but two subjects make it plural.
(d) is – Present, incorrect. % Final Answer \[ \boxed{(a)} \]

Answer 10

Step 1: Understand ‘inveighed’ in context
The passage says Spratt “inveighed against the economic policies of the government.”
This suggests he strongly criticized or protested. Step 2: Analyze the meaning of options
(a) Praised – Opposite of intended meaning.
(b) Recited – Irrelevant, incorrect.
(c) Proclaimed – Neutral, but does not imply criticism.
(d) Remonstrated – Correct. Means “forcefully protested.” % Final Answer \[ \boxed{(d)} \]