Current Affairs 14-DEC-2023 (The Hindu)

Alternative Dispute Resolution (ADR)

(D => Pg-12)

ADR

ADR is a way to solve disagreements without going to court. It's a process that is confidential and less formal than traditional court proceedings.

Benefits of ADR

• Arriving at creative solutions with long-lasting outcomes.
• Greater satisfaction and improved relations.
• Saves money.
• Speedy settlement of disputes.

Methods of ADR

Arbitration

In arbitration, a dispute is submitted to an arbitral tribunal. The arbitrator hears arguments and evidence from each side. The decision is mostly binding on the parties, and there is usually no appeal, except in rare cases.

Conciliation

Conciliation involves studying the issue with the help of a conciliator. The conciliator prepares a report and facilitates settlement. The report is not binding on the parties.

Mediation

A mediator helps the parties reach an agreement. The mediator does not make decisions, and the final decision is made by the parties involved.

Negotiation

In negotiation, disputed parties settle their issues among themselves, with or without a mediator. Even if a negotiator is involved, their role is often limited, and bargaining is a common feature of negotiation.

Lok Adalat / People's Court

Lok Adalat is a way to settle disputes or cases pending in the court of law or at the pre-litigation stage. It has statutory recognition under the Legal Services Authorities Act, 1987. The decision is deemed to be an order of the civil court, and it is final and binding on the parties. If parties are not satisfied, they are free to approach the court.

UPSC PYQ - 2010

With reference to Lok Adalats, which of the following statements is correct?

(a) Lok Adalats have the jurisdiction to settle the matters at pre-litigative stage and not those matters pending before any court.

(b) Lok Adalats can deal with matters which are civil and not criminal in nature.

(c) Every Lok Adalat consists of either serving or retired judicial officers only and not any other person.

(d) None of the statements given above is correct

International Monetary Fund (IMF)

(D => Pg-14)

IMF

• Established in 1944.
• Aim - oversee the stability of the world's monetary system.
• Supports economic policies that promote financial stability and monetary cooperation.
• Critical missions of IMF:
  • Furthering international monetary cooperation.
  • Encouraging expansion of trade and economic growth.
  • Discouraging policies that would harm prosperity.
• Provides policy advice and capacity development.
• Financial assistance:
  • General Resources Account (GRA) - non concessional account.
  • Poverty Reduction and Growth (PRGT) - low-income countries can borrow at concessional rates.
• IMF does not lend for specific projects.

Special Drawing Right (SDR)

Supplementary international reserve asset created to supplement the official reserves of its member countries.

Practice Question – Prelims

With reference to the International Monetary Fund (IMF), consider the following statements:

1. It was established to ensure exchange rate stability and eliminate exchange restrictions.

2. It provides financial support at zero interest rates through the Poverty Reduction and Growth Trust (PRGT).

3. Unlike development banks, the IMF does not lend for specific projects.

How many of the statements given above is/are correct?

a) Only one

b) Only two

c) All three

d) None

Countervailing Duty (CVD)

(D => Pg-14)

CVD

• A tariff - levied on imported goods.
• Purpose:
  • To neutralize the negative effects of subsidies given to the producers in the originating country of goods.
  • To protect the domestic producers.
• WTO - considers export subsidies as an unfair trade practice.
• WTO’s agreement - Agreement on Subsidies and Countervailing Measures.
  • Contains procedure - When CVD can be imposed by an importing nation.

Difference between CVD and Anti-dumping duty

• Countervailing Duty (CVD)
  • Imposed on imported goods in order to counter the negative impact of subsidies.
• Anti-dumping duty
  • Imposed on imported products that are priced below the fair market value.
  • Purpose - to protect the domestic industry from the damages caused by the dumping of low-priced goods.

UPSC PYQ - 2013

The balance of payments of a country is a systematic record of

(a) All import and export transactions of a country during a given period of time, normally a year.

(b) Goods exported from a country during a year.

(c) Economic transaction between the government of one country to another.

(d) Capital movements from one country to another.