Question

In the following question, a statement of Assertion is followed by a statement of Reason (R). Choose the correct option as the answer.
Assertion (A): The entry and the increased role of multinational companies all over the world leads to a reduction in the capacity of governments to take decisions on their own.
Reason (R): The state continues to discharge its essential functions and consciously withdraws from certain domains from which it wishes to.

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

Hint:

When matching assertions with reasons, carefully analyze whether the reason logically explains the assertion or simply supports it.

Answer 1

The Correct Option is B

- Assertion (A): Correct. Multinational corporations wield substantial influence over global markets and economic policy, thereby constraining the autonomy of individual nations in their economic decision-making.
- Reason (R): Correct. In the context of globalization, states frequently retain control over core functions while simultaneously divesting or outsourcing specific responsibilities to private entities or international bodies in domains such as trade or environmental regulation.
However, Reason (R) does not adequately support Assertion (A). The assertion focuses on the impact of multinational corporations, whereas the reason discusses a more general trend of state retrenchment from various operational areas.
Therefore, the appropriate response is (B) Both Assertion (A) and Reason (R) are correct, but Reason (R) does not provide the correct explanation for Assertion (A).