RBI Grade B Officer (General / DEPR / DSIM) 2024 · Question 124 of 260

Read the statement carefully and answer the question that follows. There appears to be significant concern regarding the new environmental regulations imposed on small manufacturers. The regulations, introduced as part of a 2023 policy aimed at reducing carbon emissions, require small manufacturers to pay substantial heavy fines if their operations exceed specified emission thresholds. Which of the following provides a strong reason for why these new environmental regulations might be viewed as excessively harsh and unfair to small manufacturers?

Logical Reasoning

1. AA. Large corporations often have more resources to implement advanced pollution control technologies than smaller manufacturers.
2. BB. Stricter regulations could lead small manufacturers to adopt more innovative, eco-friendly production methods.
3. CC. The fines collected from small manufacturers could be used to fund large-scale environmental conservation projects.
4. DD. Imposing heavy fines on small manufacturers could drive them out of business, leading to job losses and economic harm in local communities.Correct
5. EE. Enhanced regulations are essential for global environmental leadership and will ensure compliance with international climate agreements.