Question

Given below are two statements marked as Assertion (A) and Reason (R). Read these statements carefully and choose the correct answer from the options (A), (B), (C) and (D) given below :
Assertion (A) : All over the world, the old ‘welfare state’ is getting more importance.
Reason (R) : Due to globalisation, the state withdraws from many of its earlier welfare functions and the market has become the prime determinant of economic and social priorities.

• A. Both the Assertion (A) and the Reason (R) are true and Reason (R) is the correct explanation of the Assertion (A).
• B. Both the Assertion (A) and the Reason (R) are true, but the Reason (R) is not the correct explanation of the Assertion (A).
• C. Assertion (A) is false, but Reason (R) is true.
• D. Assertion (A) is true, but Reason (R) is false.

Hint:

Remember: Globalisation leads to the retreat of the traditional welfare state in favor of market-driven economic policies and a minimalist state model focused on maintaining order and national security.

Answer 1

The Correct Option is C

Concept: Globalisation refers to the multidimensional flow of ideas, capital, commodities, and people across international boundaries. Politically, globalisation affects the traditional concept of state sovereignty and changes the role of the government in economic and social spheres.

Step 1: Evaluation of Assertion (A).
Assertion (A) states that "All over the world, the old ‘welfare state’ is getting more importance." This statement is incorrect (false). In reality, the advent of globalisation and neo-liberal economic policies has led to a reduction in the role of the traditional welfare state. Instead of expanding social security, healthcare, and economic subsidies, modern states are increasingly moving towards a minimalist state model that focuses primarily on core functions such as maintaining law and order and national security.

Step 2: Evaluation of Reason (R).
Reason (R) states that "Due to globalisation, the state withdraws from many of its earlier welfare functions and the market has become the prime determinant of economic and social priorities." This statement is correct (true). Globalisation emphasizes market-driven economic integration, deregulation, privatization, and foreign direct investment. As a consequence, state intervention in economic welfare is reduced, allowing market forces to determine resource allocation, social priorities, and economic production.

Step 3: Conclusion.
Since Assertion (A) is false and Reason (R) is true, option (C) is the correct choice.