Home PYQs UPPSC UPPSC MCQs Prelims 2000 (GS Paper I)

Question

Assertion (A): The Government is resorting to disinvestment of some of the public sector units (PSU's).
Reason (R): PSU's have not generated enough employment opportunities.

Codes:

  1. Both A and R are true and R is the correct explanation of A
  2. Both A and R are true but R is not the correct explanation of A
  3. A is true but R is false
  4. A is false but R is true

Answer:

Option B: Both A and R are true but R is not the correct explanation of A

Detailed Solution:

The correct answer is “Both A and R are true but R is not the correct explanation of A”.

The government has been disinvesting in some public sector units as a strategy to raise revenue, improve efficiency, and bring in private sector expertise.

While employment generation is a factor to consider, it's not the primary reason for disinvestment. The government's decision is driven by a broader set of economic objectives.