CURRENT AFFAIRS

INSIGHT

(25th to 31st Jan 2016)

GNXX CAIN X04A EN16

1. Now it is the time for Fourth Industrial Revolution, as felt by leaders at Davos, Switzerland

First Industrial Revolution ... After the advent of steam Engine, where muscle power was replaced by machines

Second Industrial Revolution ... Mass production of goods in factory line like, IC Engines, Aeroplanes, cars etc.

Third Industrial Revolution Information Technology, Digital Technology, Internet and Globalisation.

Fourth Industrial Revolution 3D Printing, Driverless Cars, Smart Robotics

Does it not lead to further accumulation of wealth in a few hands?
2. BSE Sensex fell to a 20 month low. It fell by around 20% from its all round peak of 30,023 .
REASONS

Monetary stimulus / monetary easing in developed countries lead to distortions in asset prices.

Share prices increased with more expectations from the present Government.

Sharp slow down in China.

Fall in global commodity prices even up to 40%.

Negative sentiment across the world.

The apt word is Course Correction which is long over due.
3. Union Govt. has granted infrastructure status to shipyard industry which include shipbuilding and ship repairs
BENEFITS

Long term funding from Infrastructure funds at lower rates of interest.

Flexible structuring of long-term project loans.

Longer tenures for loans equivalent to the economic life of their assets.

Benefits under IT Act.

Issuance of Infrastructure bonds.

4. Bank of Japan introduced negative rate policy of - 0.1%

It is the Worlds number three economy.

If the commercial lenders keep money with Central Bank, they have to pay 0.1% to Central Bank for parking the cash.

This is to disincentivise the option of parking cash.

To promote lending so as to pull up inflation and growth.

ECB introduced below-zero rate policy almost a year ago.

5. At least 39 migrants, including several children, have drowned trying to cross Aegean sea from Turkey to Greece

This is due to Civil War in Syria.

Several people, in a bid to escape Civil War, are trying to cross Mediterranean Sea. So far, 244 migrants died in January.

The solution to the problem may also be delayed due to Sunni-Shia rivalry.
6. The Prime Minister stated that his aim is not to eliminate subsidies but to rationalise and target them

Subsidies are for empowerment & equity.

Subsidies should reach the right people.

JAM will solve the problem of duplication.

There is a raging debate to go in for subsidies in kind or in cash (DBT).

7. The Supreme Court will hear in open court, a curative petition challenging its verdict criminalising homosexuality in the country

Supreme Court in December 2013 upheld the validity of section 377 of IPC.

IPC 377 States that Sexual intercourse against the order of nature i.e., homosexuality is punishable.

Curative petition is the last judicial resort available for redressal of grievances in court.

This is normally decided by Judges In-Chamber.

In very rare cases, such petitions are given an open court hearing.

The curative petitions were filed by gay rights activists and an NGO.

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