Passage

There has been no democracy that has grown economically without corporate capitalism. It helps in modernizing the economy and enabling the transition from rural to urban, and agriculture to industry and services, which are inevitable with growth. It generates jobs — and there is no other way to fix a country's unemployment challenge without a further impetus to private business. Big companies can operate on a large scale and become competitive both domestically and externally. A vibrant corporate capitalist base also leads to additional revenues for the State — which in turn, can be used for greater welfare for the marginalized and creating a more level playing field in terms of opportunities.

QUESTION

CSAT

Medium

Comprehension

Prelims 2025

Which one of the following statements best reflects the critical message conveyed by the author of the passage?

Select an option to attempt

Explanation

Statement A is correct: The passage argues that corporate capitalism drives economic modernization, job creation, competitiveness, and state revenues, which in turn support welfare and democratic equity — showing its importance for both economic growth and democracy.

Statement B is incorrect: The passage does not discuss achieving political objectives; it focuses on economic development and welfare.

Statement C is incorrect: The passage does not claim that a State cannot survive without corporate capitalism; it emphasizes strong economic growth and employment benefits, not survival.

Statement D is incorrect: The passage does not say corporate capitalism and democracy are mutually dependent for continued existence, only that corporate capitalism strengthens conditions that support democratic welfare.