14 October 2024

• Nobel Economics: Daron Acemoglu, Simon Johnson, and James Robinson won the Nobel Memorial Prize in Economic Sciences for studying how institutions determine national prosperity.
• Data: MoSPI released September 2024 CPI data showing headline inflation at 5.49 per cent, a spike driven by food prices at 9.24 per cent. The IIP for August 2024 was also released.
• Health: India's rare disease policy landscape was examined alongside the rise of precision medicine and biobanks.
• Governance: Cybercrime through "Digital Arrest" scams emerged as a significant threat with 1,000 fraudulent Skype accounts blocked by the Indian Cyber Crime Coordination Centre.

GS area: Economy, Polity (Institutions and Development)

The Royal Swedish Academy of Sciences awarded the Nobel Memorial Prize in Economic Sciences on 14 October 2024 to Daron Acemoglu, Simon Johnson, and James Robinson.

• Citation: "For studies of how institutions are formed and affect prosperity."
• Core thesis: Nations differ in prosperity primarily because of differences in their political and economic institutions. Countries with inclusive institutions (broad political participation, secure property rights, rule of law) grow richer. Countries with extractive institutions (narrow elite control, insecure property rights, corruption) remain poor.
• The colonial legacy insight: Colonial powers created different institutional structures depending on disease environments. Where disease burden was low (North America, Australia), settlers moved in and created inclusive institutions. Where disease burden was high (much of Africa, tropical Asia), they created extractive institutions to siphon out resources. These structures persist.
• Key book: Why Nations Fail: The Origins of Power, Prosperity, and Poverty (Acemoglu and Robinson, 2012). It argues that geography and culture alone cannot explain income differences.
• Democratic transition finding: Countries that made democratic transitions between 1960 and 2010 showed approximately 20 per cent higher per capita income 25 years later compared to similar countries that did not democratise.
• UPSC relevance: Their work touches GS Paper 2 (governance, democratic institutions) and GS Paper 3 (economic development, institutional reform). Questions can frame India's institutional quality as a development variable.

Static linkage: Economic development, institutions, governance (Economy and Polity).

GS area: Economy (Prices and Data)

MoSPI released the Consumer Price Index data for September 2024 on 14 October 2024.

• Headline CPI: 5.49 per cent year on year. This is well above the 3.65 per cent recorded in August 2024, marking a sharp monthly jump.
• Food inflation (CFPI): 9.24 per cent. This drove the overall increase. Vegetables, pulses, and spices were the main contributors.
• Rural versus urban: Rural CPI at 5.87 per cent. Urban CPI at 5.05 per cent.
• MPC context: The MPC's target is 4 per cent with a tolerance band of plus or minus 2 percentage points (so 2 to 6 per cent). At 5.49 per cent, inflation remained within the band but was near the upper end.
• Who releases CPI: MoSPI, through the National Statistics Office. This is frequently tested. The RBI sets the target and uses CPI as its operating framework but does not compile or release the data.

Static linkage: CPI, MoSPI, inflation targeting, monetary policy (Economy).

GS area: Governance, Science and Technology (Health Policy)

India's rare disease treatment gap was highlighted alongside the growing promise of precision medicine.

• WHO definition of rare disease: A condition affecting fewer than 1 in 1,000 people. India has not yet adopted a standardised national definition.
• Scale in India: Over 450 rare diseases have been identified. Between 50 and 100 million Indians are estimated to be affected, though most are untreated.
• National Policy for Rare Diseases 2021: The policy provides for financial assistance of up to 50 lakh rupees per year for patients with rare diseases that have treatment options. It established 12 Centres of Excellence at major government hospitals.
• Orphan drugs: Medicines developed specifically for rare diseases. The PLI scheme includes provisions to support domestic production of orphan drugs.
• Precision medicine: Tailors treatment based on an individual's genetics, environment, and lifestyle. It requires biobanks (repositories of biological samples and genetic data).
• India's biobank status: India has 19 registered biobanks but no comprehensive national regulation for biobanks. The lack of a legal framework raises concerns about data privacy, informed consent, and equitable access.

Static linkage: Health policy, pharmaceutical sector, biotechnology (Governance and Science).

GS area: Governance (Cybercrime, Internal Security)

The Indian Cyber Crime Coordination Centre (I4C) under the Ministry of Home Affairs blocked over 1,000 fraudulent Skype accounts used by cybercriminals to impersonate law enforcement officers.

• The modus operandi: Fraudsters call victims claiming to be CBI, Enforcement Directorate, or police officials. They allege that the victim is involved in a serious crime (money laundering, drugs) and place them under a "digital arrest," demanding they remain on camera continuously. During this period they extract money through fear.
• Scale: Notable victims included a corporate executive who lost 7 crore rupees, an Indore scientist who lost 71 lakh rupees, and a Bengaluru lawyer who lost 14 lakh rupees.
• Legal provision: Such acts are punishable under Section 66D of the Information Technology Act (cheating by impersonation using computer resources). The penalty is imprisonment up to 3 years and a fine up to 1 lakh rupees.
• Cyberdost: The government's awareness platform for cybercrime. Citizens can report at cybercrime.gov.in or call 1930.

Static linkage: Cybercrime, IT Act, law enforcement institutions (Governance and Security).

GS area: International Relations (Defence Technology)

The United States deployed Terminal High Altitude Area Defense (THAAD) batteries to Israel in October 2024 as the Iran-Israel escalation continued.

• What THAAD is: A ground-based missile defence system designed to intercept and destroy ballistic missiles in their terminal phase (as they descend toward their target).
• Range: 150 to 200 kilometres. Effective altitude: from 40 kilometres to 150 kilometres.
• How it works: THAAD uses kinetic energy to destroy the incoming missile. It does not carry an explosive warhead. The interceptor hits the target at high velocity.
• Manufacturer: Lockheed Martin. Deployed by the US Army since 2008. South Korea and Saudi Arabia also operate THAAD batteries.
• India context: India has its own layered missile defence system under development, including the Prithvi Air Defence and Advance Air Defence interceptors.

Static linkage: Missile defence, India-USA defence cooperation (International Relations and Defence).

GS area: Science and Technology, Disaster Management

The government approved installation of an X-band radar in Wayanad, Kerala, following the devastating landslides of July 2024.

• X-band frequency: 8 to 12 GHz, with wavelengths between 2 and 4 centimetres. The shorter wavelength gives higher resolution than the longer-wavelength S-band radars used for wide-area weather monitoring.
• Purpose in Wayanad: Highly localised rainfall monitoring to provide early warning for flash floods and landslides. X-band radars can detect intense convective storms with greater spatial precision than traditional radars.
• First Indian X-band radar: Installed in New Delhi in 1970.
• India's weather radar network: India Meteorological Department operates a network of Doppler weather radars. The dense terrain and micro-climate variability of the Western Ghats requires localised monitoring beyond what the national network provides.

Static linkage: Disaster management, weather science, Western Ghats (Science and Governance).