Q. Consider the following statements:
Statement-I: Recently, Venezuela has achieved a rapid recovery from its economic crisis and succeeded in preventing its people from 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?
(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
Correct answer: (d) Statement-I is incorrect, but Statement-II is correct
Question from UPSC Prelims 2024 GS Paper
Explanation:
Statement-I is incorrect because Venezuela has not achieved a rapid recovery from its economic crisis. The country continues to face significant economic challenges, including hyperinflation, shortages of basic goods, and a large number of people fleeing the country due to the ongoing crisis.
Statement-II is correct because Venezuela does have the world’s largest proven oil reserves. Despite this, the country has struggled economically due to various factors, including political instability, mismanagement of resources, and international sanctions.