Which of the following is the best example of Public provision and Public Production respectively?
Answer & explanation
Correct answer: option 1
The correct answer is Option (1) → Opening up of 11 Central University in next 5 years worth of 20,000 cr from annual budget 2024-25, BSNL.
Option 1: Opening up of 11 Central Universities worth ₹20,000 crore (Public Provision) and BSNL (Public Production): correct Pair
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Public Provision: The government allocates funds from the annual budget to establish new Central Universities — this is provision of education as a public service. It represents Public Provision, because the government provides the good/service using taxpayer money.
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Public Production: BSNL is a public sector enterprise owned by the Government of India, which produces and supplies telecom services. Hence, Public Production.
Note: The given answer is as per NTA.However, Option 3 can also be the answer to this question as explained below.
Option 3: AIIMS, Coal India Limited : Incorrect
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These are premier public hospitals and medical colleges established by an Act of Parliament and fully funded by the Government of India. They provide medical services (a public service/good) and are directly run and managed by the government. This is a clear example of Public Provision (funded by the government)
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Coal India Limited is also public production (it produces coal).