QUESTION 2
GS3
10 marks
What are the causes of persistent high food inflation in India? Comment on the effectiveness of the monetary policy of the RBI to control this type of inflation.
WRITE IN
7 min
150 words
What the examiner wants
Explain why food inflation stays high in India and comment on how well RBI's monetary policy can control it.
CommentGive your own view on the statement and back it with facts and examples.
Demand-wise check
- 1Causes: supply shocks (heat, erratic monsoon), perishables (tomato, onion, potato), pulses and edible oil import dependence, supply chain gaps, MSP and input costs≈35 words
- 2Monetary policy: inflation targeting, repo rate works through demand; weak against supply shocks; but anchors expectations and second-round effects≈35 words
- 3Better tools: buffer stocks, imports, storage, crop diversification, trade policy≈35 words
Open in about 20 words and close in about 20.
Answer plan
CausesLimits of monetary policyWhat RBI can still doSupply-side measuresConclusion
Where marks usually go
- Saying monetary policy has no role at all
- No example of a commodity price spike
Draw this
- Two-column chart: supply-side causes / policy tool that works
Value addition
- DataFood has about 46% weight in the CPI basket (2012 series).MoSPI
- ReportRBI's Monetary Policy Reports note that food price shocks spill into inflation expectations, which is why RBI watches them despite their supply origin.Reserve Bank of India, Monetary Policy Report
Mapped topper copies
Reviewed public-source references related to this PYQ. Same-syllabus references are labelled separately.
- Shakti Dubey · AIR 1 · Page 23 ↗Same syllabus reference
- Mayank Purohit · AIR 33 · Page 3 ↗Same syllabus reference
- Aniket Ranjan · AIR 48 · Page 26 ↗Same syllabus reference
- Mayank Purohit · AIR 33 · Page 13 ↗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.