QUESTION 1
GS3
10 marks
Explain the difference between computing methodology of India’s Gross Domestic Product (GDP) before the year 2015 and after the year 2015.
WRITE IN
7 min
150 words
What the examiner wants
Explain how India's GDP calculation changed with the 2015 revision (base year 2011–12).
Explain the differenceAnswer exactly what the question asks.
Demand-wise check
- 1Base year moved from 2004–05 to 2011–12≈30 words
- 2Headline measure: GDP at constant market prices replaced GDP at factor cost; GVA at basic prices introduced≈30 words
- 3Data: MCA-21 corporate database replaced the narrow ASI/IIP-based estimates for manufacturing; enterprise approach instead of establishment approach≈30 words
- 4Effects and debate: higher growth estimates, controversy over back-series≈30 words
Open in about 20 words and close in about 20.
Answer plan
Table of differences (base year, measure, data, approach)ImpactCriticismConclusion
Where marks usually go
- Only saying 'base year changed'
- Confusing GVA at basic prices with GDP at factor cost
Draw this
- Formula box: GVA (basic) + product taxes − product subsidies = GDP
Value addition
- FormulaGVA at basic prices = GVA at factor cost + production taxes − production subsidies; adding product taxes minus product subsidies gives GDP.CSO, New Series Estimates (2015)
- DebateFormer CEA Arvind Subramanian's 2019 paper argued the new series may overstate growth by about 2.5 percentage points (2011–17); the government disputed it.Subramanian, CID Harvard Working Paper (2019)
Mapped topper copies
Reviewed public-source references related to this PYQ. Same-syllabus references are labelled separately.
- Nancy Singh · Page 25 ↗Reviewed PYQ reference
- Mayank Purohit · AIR 33 · Page 3 ↗Same syllabus reference
- Aniket Ranjan · AIR 48 · Page 26 ↗Same syllabus reference
- Shakti Dubey · AIR 1 · Page 23 ↗Same syllabus reference
Links open original public sources. MainsBuddy does not host these answer sheets.
Next: plan for one minute, write it in 7 minutes, then get it checked.