Read the following passage and answer the items that follow the passage. Your answers to these items should be based on the passage only. Passage-2 The history of renewable energy suggests there is a steep learning curve, meaning that, as more is produced, costs fall rapidly because of economies of scale and learning by doing. The firms' green innovation is path-dependent: the more a firm does, the more it is likely to do in the future. The strongest evidence for this is the collapse in the price of solar energy, which became about 90% cheaper during the 2010s, repeatedly beating forecasts. Moving early and gradually gives economies more time to adjust, allowing them to reap the benefits of path-dependent green investment without much disruption. A late, more chaotic transition is costlier.
Which one of the following statements best reflects the central idea of the passage?
Timing plays a crucial role in the case of green technology development.
Understanding the Central Idea: Green Technology Adoption
The passage discusses the development and adoption of renewable energy technologies, highlighting several key factors that influence their cost and deployment. It emphasizes the concept of a "steep learning curve," where increased production leads to rapid cost reduction due to factors like economies of scale and learning by doing. The passage also introduces the idea that "green innovation is path-dependent," meaning past investments influence future ones.
A crucial contrast is drawn between different approaches to transitioning to green energy. The passage states, "Moving early and gradually gives economies more time to adjust, allowing them to reap the benefits of path-dependent green investment without much disruption. A late, more chaotic transition is costlier." This direct comparison underscores the significance of the timing and pace of adopting green technologies.
Analyzing the Options
Let's evaluate each option based on the information provided exclusively in the passage:
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Option 1: Economies of scale is essential for transition to green growth.
The passage mentions economies of scale as one reason costs fall ("costs fall rapidly because of economies of scale and learning by doing"). While important, the passage presents it as one factor among others (learning by doing, path dependence, timing) that contribute to the cost reduction and smooth transition. It does not state that economies of scale alone is "essential" or the central idea of the entire passage, which discusses the transition process more broadly.
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Option 2: Modern technological progress is intensely linked to path-dependent innovations.
The passage specifically states that "The firms' green innovation is path-dependent". It does not generalize this characteristic to all "modern technological progress". The focus is narrowly on green innovation within the context of the renewable energy transition discussed. Therefore, this statement is too broad and not the central idea of this specific passage.
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Option 3: Countries with large economies are in a better position to adopt green technologies.
The passage mentions "economies of scale," which might implicitly benefit larger economies, but it never explicitly states that countries with large economies are better positioned. The discussion is about how costs fall as more is produced and how the *timing* of transition affects cost and disruption, applicable to economies in general, regardless of their size.
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Option 4: Timing plays a crucial role in the case of green technology development.
This statement directly aligns with the passage's core message. The passage explicitly contrasts the outcomes of "Moving early and gradually" versus "A late, more chaotic transition," highlighting the benefits (less disruption, reaping benefits) of the former and the higher costs of the latter. This comparison clearly indicates that the timing of the transition to green technology is presented as crucial.
Conclusion: Identifying the Central Idea
Based on the analysis, the passage heavily emphasizes the difference in outcomes based on whether the transition to green technology happens early and gradually or late and chaotically. The benefits of the learning curve and path dependence are best captured when an economy has time to adjust, which is facilitated by an early start. The core argument revolves around the importance of timing for a successful and less costly transition.
Revision Table: Key Concepts in the Passage
| Concept | Explanation in Passage | Relevance to Central Idea |
|---|---|---|
| Steep Learning Curve | Costs fall rapidly as more is produced. | Mechanisms explaining cost reduction and benefits of early adoption. |
| Economies of Scale | One factor causing costs to fall with increased production. | |
| Learning by Doing | Another factor causing costs to fall with increased production. | |
| Path-Dependent Green Innovation | What a firm does now influences what it does later. | Supports the idea that early investment creates future benefits. |
| Timing (Early vs. Late) | Early, gradual transition is less disruptive and costlier than a late, chaotic one. | The central point of contrast and the main argument about successful transition. |
Additional Information: Green Transition and Policy
The passage highlights that transitioning to green energy involves more than just technological innovation. It's also about the process of adoption and integration into the economy. Policy decisions regarding the timing and pace of this transition are critical. An early, well-managed transition can leverage the learning curve and path dependence to reduce costs and disruption over time. Conversely, delaying the transition might lead to a need for rapid, forced changes later, potentially at a higher economic and social cost. The example of solar energy price collapse illustrates how quickly costs can drop, reinforcing the advantage gained by economies that invested earlier.
Similar Questions
Which one of the following statements best reflects the critical message conveyed by the author of the passage?
With reference to the above passage, the following assumptions have been made:
I. No country needs to depend on ecosystems to boost national income.
II. Resource-rich countries need to share their resources with those of scant resources so as to prevent the degradation of ecosystems.
Which of the above assumptions is/are valid?With reference to the above passage, the following assumptions have been made:
I. Path-dependent green investments will eventually most likely benefit growth as well as public finances in a country like India.
II. If other green technologies follow the same pattern as that of solar energy, there will most likely be an easy green transition.
Which of the above assumptions is/are valid?Three prime numbers p, q and r, each less than 20, are such that p − q = q − r. How many distinct possible values can we get for (p + q + r)?
How many possible values of (p + q + r) are there satisfying 1/p + 1/q + 1/r = 1, where p, q and r are natural numbers (not necessarily distinct)?
What comes at X and Y respectively in the following sequence?
January, January, December, October, X, March, October, Y, SeptemberTeam X scored a total of N runs in 20 overs. Team Y tied the score in 10% less overs. Had Team Y’s average run rate (runs per over) been 50% higher, the scores would have been tied in 12 overs. How many runs were scored by Team X?
The price (p) of a commodity is first increased by k%; then decreased by k%; again increased by k%; and again decreased by k%. If the new price is q, then what is the relation between p and q?
Which one of the following statements best reflects the most logical, rational and pragmatic message conveyed by the author of the passage?
With reference to the passage, the following assumptions have been made:
I. Green energy production can be linked to/integrated with the climate change mitigation and adaptation strategies.
II. Effects of climate change are much more severe in coastal and mountainous regions.
Which of the above assumptions is/are valid?
Important Questions from Miscellaneous Topics
Which one of the following statements best reflects the critical message conveyed by the author of the passage?
With reference to the above passage, the following assumptions have been made:
I. No country needs to depend on ecosystems to boost national income.
II. Resource-rich countries need to share their resources with those of scant resources so as to prevent the degradation of ecosystems.
Which of the above assumptions is/are valid?With reference to the above passage, the following assumptions have been made:
I. Path-dependent green investments will eventually most likely benefit growth as well as public finances in a country like India.
II. If other green technologies follow the same pattern as that of solar energy, there will most likely be an easy green transition.
Which of the above assumptions is/are valid?Three prime numbers p, q and r, each less than 20, are such that p − q = q − r. How many distinct possible values can we get for (p + q + r)?
How many possible values of (p + q + r) are there satisfying 1/p + 1/q + 1/r = 1, where p, q and r are natural numbers (not necessarily distinct)?
