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Daily Current Affairs- 27th July 2022

A path to global connectivity

 

As terrestrial 5G mobile networks are being rolled out across countries, there is a renewed interest in integrating Non-Terrestrial Networks.

 

SatNets for 5G

Satellites and terrestrial networks have always been considered two independent ecosystems, and their standardisation efforts have proceeded independent of each other.

The primary non-terrestrial network that is being considered is the low latency Low Earth Orbit (LEO) satellite networks (SatNets), as a complement to terrestrial networks.

Towards this, Starlink, operated by the Elon Musk-owned SpaceX, and OneWeb, promoted by Bharti Global, have launched about 2,500 and 648 LEO satellites respectively at an altitude of about 1,200 km with the objective of promoting global broadband connectivity.

There are other players such as Reliance Jio in a joint venture with Luxembourg-based SES and Amazon’s Project Kuiper.

Benefits of using SatNets

1] Service continuity in emergency: service continuity to provide seamless transition between terrestrial networks and SatNets in case of public safety, disaster management and emergency situations;

2] Providing service in remote area: Service ubiquity to provide 5G services in unserved and underserved areas of the world, thereby bridging the digital divide;

3] Scalability: Service scalability that utilises the unique capabilities of SatNets in multicasting and broadcasting similar content over a large geographical area.

4] Service to in-motion user: The LEO SatNets can provide service not only to stationary but also to in-motion users.

5] Low latency over long distance: Wireless communications through LEO satellites over long distances is proven to be 1.47 times faster than communication over the same distance through terrestrial optic fibre. It is this advantage along with global coverage that provide a strong use case for LEO SatNets to complement terrestrial optic fibre networks.

SatNet in standardisation: In view of the above advantages, standard-setting organisations such as the Third Generation Partnership project (3GPP), comprising telcos and equipment manufacturers around the world, started integrating SatNets in the standardisation process.

Measures by the government

Realising the advantages, the Government, in its National Digital Communications Policy 2018, has indicated the development of an ecosystem for local manufacturing of satellite communication systems and promoting participation of private players for the strengthening of satellite communication infrastructure in the country.

Accordingly, the New Space India Limited (NSIL), a public sector enterprise, was established in 2019 to re-orient space activities from a ‘supply driven’ model to a ‘demand driven’ model, thereby ensuring optimum utilisation of the space assets.

The Department of Space also established in 2020 a new regulatory body named the Indian National Space Promotion and Authorisation Centre (IN-SPACe).

IN-SPACe is intended to provide a level playing field for private companies to use Indian space infrastructure.

Issues and challenges

Allocation of frequency: Issues will involve addressing issues around frequencies to be allocated for satellite broadband, the methodology of allocation, the relatively higher cost of consumer equipment and the placement and interconnections of SatNets with terrestrial public landline/ mobile networks at the ground stations

Cost: The other major challenge in LEO SatNets is the cost of user terminal and access charges to the end users.

A recent research analysing both Starlink and OneWeb concludes that the standalone LEO SatNets have a distinct cost advantage only if the density is less than 0.1 person per square km compared to terrestrial broadband networks.

Hence it is to the advantage of LEO SatNet providers to integrate their networks with terrestrial 5G networks to improve the cost economies.

 

IMF flags Recession risk

 

Surging inflation and sharp slowdowns in the United States and China prompted the IMF to cut its outlook for the global economy this year and next, while warning that the situation could get much worse.

 

By one common definition, the major global economies are on the cusp of a recession.

 

What is Recession?

A recession is a significant decline in economic activity that lasts for months or even years.

Experts declare a recession when a nation’s economy experiences negative GDP, rising levels of unemployment, falling retail sales, and contracting measures of income and manufacturing for an extended period of time.

Recessions are considered an unavoidable part of the business cycle—or the regular cadence of expansion and contraction that occurs in a nation’s economy.

What causes Recessions?

These phenomena are some of the main drivers of a recession:

 

A sudden economic shock: An economic shock is a surprise problem that creates serious financial damage. The coronavirus outbreak, which shut down economies worldwide, is a more recent example of a sudden economic shock.

Excessive debt: When individuals or businesses take on too much debt, the cost of servicing the debt can grow to the point where they can’t pay their bills. Growing debt defaults and bankruptcies then capsize the economy.

Asset bubbles: When investing decisions are driven by emotion, bad economic outcomes aren’t far behind. Investors can become too optimistic during a strong economy.

Too much inflation: Inflation is the steady, upward trend in prices over time. Inflation isn’t a bad thing per se, but excessive inflation is a dangerous phenomenon. Central banks control inflation by raising interest rates, and higher interest rates depress economic activity.

Too much deflation: While runaway inflation can create a recession, deflation can be even worse. Deflation is when prices decline over time, which causes wages to contract, which further depresses prices. When a deflationary feedback loop gets out of hand, people and business stop spending, which undermines the economy.

Technological change: New inventions increase productivity and help the economy over the long term, but there can be short-term periods of adjustment to technological breakthroughs. In the 19th century, there were waves of labour-saving technological improvements.

What’s the difference between Recession and Depression?

Recessions and depressions have similar causes, but the overall impact of a depression is much, much worse.

There are greater job losses, higher unemployment and steeper declines in GDP.

Most of all, a depression lasts longer—years, not months—and it takes more time for the economy to recover.

Economists do not have a set definition or fixed measurements to show what counts as a depression. Suffice to say, all the impacts of a depression are deeper and last longer.

In the past century, the US has faced just one depression: The Great Depression.

 

Can we predict a recession?

Given that economic forecasting is uncertain, predicting future recessions is far from easy. However, the following warning signs can give you more time to figure out how to prepare for a recession before it happens:

 

An inverted yield curve: The yield curve is a graph that plots the market value—or the yield—of a range. When long-term yields are lower than short-term yields, it shows that investors are worried about a recession. This phenomenon is known as a yield curve inversion, and it has predicted past recessions.

Declines in consumer confidence: Consumer spending is the main driver of the US economy. If surveys show a sustained drop in consumer confidence, it could be a sign of impending trouble for the economy.

Drop in the Leading Economic Index (LEI): Published monthly by the Conference Board, the LEI strives to predict future economic trends. It looks at factors like applications for unemployment insurance, new orders for manufacturing and stock market performance.

Sudden stock market declines: A large, sudden decline in stock markets could be a sign of a recession coming on, since investors sell off parts and sometimes all of their holdings in anticipation of an economic slowdown.

Rising unemployment: It goes without saying that if people are losing their jobs, it’s a bad sign for the economy.

How does a recession affect individuals?

We may lose your job during a recession, as unemployment levels rise. It becomes much harder to find a job replacement since more people are out of work.

People who keep their jobs may see cuts to pay and benefits, and struggle to negotiate future pay raises.

Investments in stocks, bonds, real estate and other assets can lose money in a recession, reducing your savings and upsetting your plans for retirement.

Business owners make fewer sales during a recession, and may even be forced into bankruptcy.

With more people unable to pay their bills during a recession, lenders tighten standards for mortgages, car loans, and other types of financing.

 

Russia to leave International Space Station (ISS)

 

Russia will pull out of the International Space Station (ISS) after 2024 and focus on building its own orbiting outpost.

 

Why in news?

Russia will end a symbolic two-decade orbital partnership between Moscow and the west.

International Space Station (ISS)

The ISS was launched in 1998 as part of joint efforts by the U.S., Russia, Japan, Canada and Europe.

The idea of a space station originated in the 1984 State of the Union address by former U.S. President Ronald Reagan.

The space station was assembled over many years, and it operates in low-earth orbit.

Since its inception, it has served as a laboratory suspended in space and has aided multiple scientific and technological developments.

The ISS was originally built to operate for 15 years.

Why was ISS launched?

A space station permits quantum leaps in research in science, communications, and in metals and lifesaving medicines which could be manufactured only in space.

ISS has consistently maintained human presence for the past 21 years, providing astronauts with sophisticated technologies for scientific research.

What is Russia’s role in maintaining the ISS?

The ISS is built with the cooperation of scientists from five international space agencies — NASA of the U.S., Roscosmos of Russia, JAXA of Japan, Canadian Space Agency and the European Space Agency.

Each agency has a role to play and a share in the upkeep of the ISS.

Both in terms of expense and effort, it is not a feat that a single country can support.

Russia’s part in the collaboration is the module responsible for making course corrections to the orbit of the ISS.

They also ferry astronauts to the ISS from the Earth and back.

Until SpaceX’s dragon spacecraft came into the picture the Russian spacecraft was the only way of reaching the ISS and returning.

 

India adds five more Ramsar Sites

 

India has added five more Ramsar sites, or wetlands of international importance, bringing the number of such sites in the country to 54.

 

Newly added Ramsar Sites

Karikili Bird Sanctuary, Pallikaranai Marsh Reserve Forest and Pichavaram Mangrove in Tamil Nadu,

Sakhya Sagar in Madhya Pradesh

Pala Wetlands in Mizoram

What are Wetlands?

A wetland is a distinct ecosystem that is flooded by water, either permanently or seasonally, where oxygen-free processes prevail.

The primary factor that distinguishes wetlands from other landforms or water bodies is the characteristic vegetation of aquatic plants, adapted to the unique hydric soil.

Significance of Wetlands

Wetlands provide a wide range of important resources and ecosystem services such as food, water, fibre, groundwater recharge, water purification, flood moderation, erosion control, and climate regulation.

They are, in fact, are a major source of water and our main supply of freshwater comes from an array of wetlands that help soak rainfall and recharge groundwater.

They provide many societal benefits: food and habitat for fish and wildlife, including threatened and endangered species; water quality improvement; flood storage; shoreline erosion control; economically beneficial natural products for human use; and opportunities for recreation, education, and research, etc.

 India and Ramsar Wetlands

India’s Ramsar wetlands are spread over 11,000 sq.km — around 10% of the total wetland area in the country — across 18 States.

No other South Asian country has as many sites, though this has much to do with India’s geographical breadth and tropical diversity.

The UK (175) and Mexico (142) — smaller countries than India — have the most Ramsar sites, whereas Bolivia spans the largest area with 1,48,000 sq.km under the Convention protection.

The National Wetland Inventory and Assessment compiled by the ISRO estimates India’s wetlands to span around 1,52,600 square kilometres.

What makes Ramsar designation significant?

Being designated a Ramsar site does not necessarily invite extra international funds.

Acquiring this label helps with a locale’s tourism potential and its international visibility.

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