Q- The revision of the CPI base year from 2012 to 2024 seeks to capture structural shifts in consumption, digitalisation, and service-sector expansion. Examine how such revisions influence inflation targeting credibility, monetary transmission, and welfare-linked fiscal commitments. Also assess distributional consequences across rural–urban and income segments. (15 Marks / 250 words)
Q- India’s expanding direct tax base reflects deepening formalisation, digital compliance, and administrative reforms. Evaluate its implications for fiscal capacity, tax buoyancy, and equitable resource mobilisation. Why does widening the base not automatically translate into proportionate revenue gains? (15 Marks / 250 words)