Which one of the following is not a recommendation of the Fourteenth Finance Commission?

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Q: 106 (CDS-II/2015)

Which one of the following is not a recommendation of the Fourteenth Finance Commission?

question_subject: 

Economics

question_exam: 

CDS-II

stats: 

0,20,32,9,13,10,20

keywords: 

{'fourteenth finance commission': [0, 0, 0, 4], 'fiscal discipline': [0, 0, 0, 1], 'central divisible pool': [0, 0, 0, 2], 'previous finance commissions': [0, 0, 0, 1], 'sector': [0, 0, 0, 1], 'states': [1, 0, 0, 1], 'specific grant': [0, 0, 0, 1], 'area': [0, 0, 0, 1], 'important variable': [0, 0, 0, 1], 'cent': [1, 2, 5, 5], 'forest cover': [2, 0, 0, 0], 'share': [0, 0, 2, 3]}

The correct answer is option 4. The Fourteenth Finance Commission did not recommend sector-specific grants, unlike the previous Finance Commissions.

Option 1 states that the Fourteenth Finance Commission increased the share of states in the central divisible pool from 32 percent to 42 percent. This means that a larger portion of the funds collected by the central government through taxes and other means is allocated to the states.

Option 2 mentions that the area under forest cover is an important variable in the distribution of states` shares among states. This means that states with larger forest cover are given a higher share of funds.

Option 3 states that fiscal discipline is no longer considered as a variable in the distribution of states` shares among states. This means that the Fourteenth Finance Commission did not take into account the states` ability to manage their finances in determining their share of funds.

Therefore, the correct answer is indeed option 4. The Fourteenth Finance Commission did not recommend sector-specific grants, which were recommended by previous Finance Commissions.

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