Question
With reference to the Index of Industrial Production
(IIP), consider the following statements:        I.           This index is calculated only on the basis of broad sectors such as Mining, Manufacturing, and Electricity.      II.           It is published by the National Statistical Office (NSO).    III.           Base Year used for Index of Industrial Production is 2010-2011. Which of the statements given above is/are correct?Solution
It is a composite indicator that measures the growth rate of industry groups classified under: Statement I is not correct - Broad sectors namely Mining, Manufacturing, and Electricity. Use-based sectors, namely Basic Goods, Capital Goods, and Intermediate Goods. Statement II is correct - It is compiled and published monthly by the National Statistical Office (NSO), Ministry of Statistics and Programme Implementation. IIP remains extremely relevant for the calculation of the quarterly and advanced GDP (Gross Domestic Product). Statement III is not correct - Base Year used for Index of Industrial Production is 2011-2012.
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