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Q97·GS Paper 1 · Prelims 2024

Venezuela Economy & Oil Reserves

IRInternational OrganizationsAssertion-ReasonMediumCurrent-affairs-linked

Question

Consider the following statements: Statement-I: Recently, Venezuela has achieved a recovery from its economic crisis succeeded in preventing its people fleeing/emigrating to other countries. Statement-II: Venezuela has the world's largest oil reserves. Which one of the following is correct in respect of the above statements?

Options

a

Both Statement-I and Statement-II are correct and Statement-II explains Statement-I

b

Both Statement-I and Statement-II are correct, but Statement-II does not explain Statement-I

c

Statement-I is correct, but Statement-II is incorrect

d

Statement-I is incorrect, but Statement-II is correct

Answer

Explanation

Statement-I is wildly incorrect; Venezuela remains in a protracted, deep economic crisis and continues to experience one of the largest mass emigrations and refugee crises in the world. Statement-II is correct; despite its poverty, Venezuela statistically sits on the world's largest proven oil reserves, surpassing Saudi Arabia.

The "resource curse" is perfectly exemplified by Venezuela: holding the world's largest oil reserves while suffering total economic collapse.

Answer: (d).

Question details

Year

2024

Paper

GS Paper 1

Question

Q97

Subject

International Relations

Sub-topic

International Organizations

Type

Assertion-Reason

Difficulty

Medium

Nature

Current-affairs-linked

Source hint

OPEC Proven Crude Reserves / Venezuela Economic Migrant Crisis 2023

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