Passage: There has been no democracy that has grown economically without corporate capitalism. It helps in modernizing the econom…

Question

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.

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

1. A. Corporate capitalism is important for economic growth of a State and also for democracy. (Correct answer)
2. B. Corporate capitalism is imperative for a modern State to achieve its political objectives.
3. C. No State can ensure its economic survival for long without the role of corporate capitalism.
4. D. Corporate capitalism and democracy have mutual dependence for their continued existence.

Correct Answer

Option A — Corporate capitalism is important for economic growth of a State and also for democracy.

Detailed Solution & Explanation

The correct answer is Corporate capitalism is important for economic growth of a State and also for democracy..

Key Points

• The passage argues corporate capitalism is essential for economic growth, employment, and generating State revenues for welfare — and no democracy has grown without it.
• Option A — "Corporate capitalism is important for economic growth of a State and also for democracy" — directly and accurately reflects the passage.
• Option C (no State can survive without it) is too absolute.