- Read the passage given below and answer the following questions Middle Income countries are facing a critical juncture in their development journey. While many have successfully risen from low-inco…

Question

- Read the passage given below and answer the following questions Middle Income countries are facing a critical juncture in their development journey. While many have successfully risen from low-income levels and made significant strides in eradicating extreme poverty since the 1990s, their ambition to reach high-income status remains elusive. Despite efforts over the last few decades, the income per capita in most middle-income countries has stagnated, remaining far below that of advanced economies. As these nations grapple with aging populations, increasing protectionism, and the urgent need to accelerate the energy transition, the path forward is more challenging than ever. The World Development Report 2024 identifies crucial transitions these countries must undertake to escape the “X trap” and advance toward high-income status, emphasizing the need for innovation and modernization of their economies. (This is a recreated passage and not the exact one asked in the exam) Consider the following statements about India as per the recent report: 1. At current trends, it will take India 75 years to reach one-quarter of U.S. income per capita. 2. As of the end of 2023, India is classified as a middle-income country, with a GDP per capita ranging between $1,136 to $13,845. 3. In India, firms typically double in size over 40 years, compared to a sevenfold increase for firms of the same age in the U.S. Which of the above statements is/are correct?

PYQPulse · Accepted Answer

D. 1, 2, and 3

Answer: D. D. 1, 2, and 3

Answer: D. D. 1, 2, and 3