UPSC Prelims 2019 CSAT Paper II · Q22 of 79 Comprehension medium

Passage

With the digital phenomenon restructuring most social sectors, it is little surprise that global trade negotiations are now eyeing the digital area in an attempt to pre-emptively colonise it. Big Data is freely collected or mined from developing countries, and converted into digital intelligence in developed countries. This intelligence begins to control different sectors and extract monopoly rents. A large foreign company providing cab service, for instance, is not a network of cars and drivers; it is digital intelligence about commuting, public transport, roads, traffic, city events, personal behavioural characteristics of commuters and drivers and so on.

Which one of the following is the most logical and rational corollary to the above passage ?

  1. (a) Globalization is not in the interests of India as it undermines its socio-economic structures.
  2. (b) India should be careful to protect its digital sovereignty in global trade talks. ✓ UPSC's answer
  3. (c) India should charge monopoly rents from multinational companies in exchange for Big Data.
  4. (d) The loss of Big Data from India is proportional to the degree/value of its foreign trade.

Why the answer is (b)

• The passage argues that global trade negotiations are attempting to 'colonize' the digital sector by extracting Big Data from developing countries.

• It highlights that this data is converted into digital intelligence in developed countries, which then controls sectors and extracts monopoly rents.

• The example of a cab service company illustrates that the value lies in the digital intelligence (data) rather than the physical assets.

• Therefore, the logical corollary is that developing nations like India must protect their digital sovereignty to prevent this exploitation in global trade talks.

• Option (b) directly addresses the need to safeguard national digital interests against the described pre-emptive colonization.

Why the other options are wrong

(a) Globalization is not in the interests of India as it undermines its socio-economic…
The passage focuses specifically on digital trade and data extraction, not on globalization as a whole undermining socio-economic structures.
(c) India should charge monopoly rents from multinational companies in exchange for Big Data.
The passage describes developed countries extracting monopoly rents from developing countries, not suggesting that India should charge rents in exchange for data.
(d) The loss of Big Data from India is proportional to the degree/value of its foreign trade.
The passage does not establish a proportional relationship between the loss of Big Data and the value of foreign trade.

Asked in the CSAT Paper II of the UPSC Civil Services Preliminary Examination 2019, held on 2 June 2019. Question and answer key: Union Public Service Commission. Explanation: UPSC Answer Check.

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