Question

Assertion (A): India is a developed economy.

Reason (R): USA is an example of a capitalist economy.

Options

• Both Assertion (A) and Reason (R) are true and Reason (R) is the correct explanation of Assertion (A).

• Both Assertion (A) and Reason (R) are true and Reason (R) is not the correct explanation of Assertion (A).

• Assertion (A) is true but Reason (R) is false.

• Assertion (A) is false but Reason (R) is true.

Answer 1

Assertion (A) is false but Reason (R) is true.

Explanation:

• Assertion (A) that “India is a developed economy” is false because India is considered a developing or emerging economy, not yet developed. India faces various challenges like poverty, lower per capita income and infrastructure development, which are characteristics of developing countries.
• Reason (R) that “USA is an example of a capitalist economy” is true, as the USA has a market-orientated capitalist economy where private ownership and profit motive are primary features.

Therefore, the Reason is true, but it does not correctly explain the Assertion since the Assertion is false.