Economic Advisory Council to the Prime Minister (EAC-PM)

What is the Economic Advisory Council to the Prime Minister (EAC-PM)?

EAC-PM is a body constituted to give advice on economic and related issues to the Government of India, specifically to the Prime Minister (PM).

Nature of the Body: Non-constitutional, non-statutory, non-permanent and independent body.

Membership: It consists of a chairperson, and several full-time and part-time members.

Term of Reference of the EAC-PM:

Analyse any issue, economic or otherwise, referred to it by the PM and advising him thereon.
Addressing issues of macroeconomic importance and presenting views thereon to the PM. This could be either suo-motu or on reference from the PM or anyone else.
Attending any other task as may be desired by the Prime Minister from time to time.

Q. With reference to ‘Economic Advisory Council to the Prime Minister (EAC-PM)’, consider the following statements:

1. It is a statutory body constituted to give advice on economic and related issues to the Prime Minister.

2. The body can present its views on Addressing issues of macroeconomic importance only on reference from the Prime Minister.

Select the correct answer using the code given below.

(a) 1 only

(b) 2 only

(d) Neither 1 nor 2

Answer: (d)

Explanation:

Statement 1 is incorrect: EAC-PM is a non-constitutional, non-statutory, non-permanent and independent body.

Statement 2 is incorrect: EAC-PM’s ToR include addressing issues of macroeconomic importance and presenting views thereon to the PM. This could be either suo-motu or on reference from the PM or anyone else.

What is the Economic Advisory Council to the Prime Minister (EAC-PM)?