A. Indeed, Indian policy-planners find themselves in a predicament thanks to the continued monetary easing by some nations and the shrinkage in world trade. B. In this context, a fund-starved country like India will do well to focus on foreign direct investment rather than get unduly worried about foreign institutional investment, which will have its ebb and flow depending on the environment outside.. C. With everyone waiting for the other to act first, the onus is definitely on the political bosses to devise quick solutions to accelerate the economy. D. Given this ‘new normal’ kind of an environment, they will have to look at ways to protect the Indian economy from external vicissitudes.
Sentence B suggests that a “fund-starved country like India should not worry about foreign institutional investment which will come and go based on the external environment.
Sentence D talks of finding ways to protect the Indian economy from “external vicissitudes?. Sentence B offers a possible solution to the problem of foreign investment ebb and flow based on the environment outside. So B follows D, possibly immediately after. Sentence D talks of a “new normal? kind of environment. Let us look at the other sentences to see what this could be referring to. Sentence A talks of continued monetary easing by some nations and shrinking global trade. Sentence C talks of how it is up to the political bosses to kick start the economy, as “everyone? is waiting for the other to act first. Either of the two sentences above could be the “new normal? environment. If we take the “new normal? environment to refer to the continued monetary easing and shrinking global trade, we have the sentence order ADB. The only answer option with this sequence is a) ADBC. This makes a cogent paragraph.
If we take the “new normal? environment to refer to “everyone waiting for the other to act first?, we have the sentence order CDB. The answer option with this sequence is b) CDBA. This however, does not make a cogent paragraph, as there is no logic in sentence A following sentence B. In fact, considering just sentences A and B, it is clear B follows A. Sentence A sets a context. Sentence B suggests what should be done in this context.
The question is " Arrange the sentences in the correct order "