Daily Current Affairs : 10th and 11th December 2023

Daily Current Affairs for UPSC CSE

Topics Covered

1. Fractals
2. India – EFTA Grouping  
3. World’s First law on AI Regulation
4. Facts for Prelims

 1 . Fractals

Context: Quantum physics is too weird for many people to understand, and part of the weirdness is due to some of its counter-intuitive features. 

What are fractal dimensions? 

• Uncertainty is an inherent feature of all systems. It is independent of the precision or the accuracy with which the system is measured. It just is there, as an implicit element of the system’s existence. And it has forced physicists to find a practical approach to study quantum systems in ways that can circumvent the limitations it imposes. 
• One of the ways in which physicists have responded is via the so-called non-integer small dimensions, a.k.a. fractal dimensions. 
• The dimensionality of a quantum system is an important thing to bear in mind when physicists study its properties. For instance, electrons in a one-dimensional system form a Luttinger liquid (not a liquid per se but a model that describes the electrons’ liquid-like behaviour); in a two-dimensional system, the particles exhibit the Hall effect (the conductor develops a side-to-side voltage in the presence of a top-to-bottom electric field and a perpendicular magnetic field). 

How would a quantum system behave in non-integer or fractal dimensions? 

• Physicists use the fractal geometry approach to study quantum systems in dimensions like 1.55 or 1.58, or in fact anything between one and two dimensions. 
• Fractality is ubiquitous in nature, if also sometimes hidden from plain sight. 
• A shape is fractal if it exhibits self-similarity, i.e. if parts of it at a smaller scale resemble parts at a larger scale. 
• Such shapes can be easily produced by repeatedly modifying its edges using simple rules like the Koch snowflake which begins as an equilateral triangle, and in each subsequent step, every side becomes the base for a new triangle. After many steps, a fractal snowflake appears. 
• The higher the ‘value’ of a fractal’s dimension, the greater is its ability to fill space as its shape evolves. For example, the Koch snowflake has a fractal dimension of around 1.26. 

What do fractals look like? 

• On the macroscopic scale, fractals can be seen as irregular, complex patterns at all scales and in all views, near or far. 
• Some of the more remarkable examples of such patterns include the design of human fingerprints, the stumps of trees, in the shells of snails, the system of human veins, the network of rivers as seen from high up, the splitting of veins in a plant leaf, the edges of a snowflake, a bolt of lightning going branching off in different directions, the shapes of clouds, the mixing of liquids of different viscosity, the way tumours grow in the body, and so on. 
• There are fractals in the quantum realm as well. In a study published in 2019, for example, researchers from Switzerland and the U.S. used X-rays to study the magnetic properties of a compound called neodymium nickel oxide. 
• They erased its magnetic order (the parts of its internal order imposed by magnetic fields) and then restored it. To their surprise, they found that parts of the material’s insides where the magnetisation was in the same direction – called magnetic domains – had a fractal arrangement. 
• They also found that the domains reappeared in almost the same positions they were in before they were erased, as if the material had a memory. All these effects were due to the material’s quantum physical properties. 
• Another example of fractal behaviour at the microscopic scale is available in graphene – a single-atom thick sheet of carbon atoms linked to each other. In this setting, the surface density pattern of electrons has an almost fractal distribution. 

Applications of fractality

• Historically, the first attempt to apply fractal analysis in physics was for Brownian motion – the rapid, random, zigzagging motion of small particles suspended in a liquid medium, like pollen in water. As such, the value of fractals is that they describe a new kind of order in systems that we may have otherwise overlooked. 
• They pave the way to potential new insights from otherwise familiar shapes like lines, planes, and points, in the unfamiliar milieu of a space with non-integer dimensions. 
• Researchers have also used the concept of fractality in data compression, such as to reduce the size of an image when storing it, and to design more compact antennae without compromising their performance. Some have also used fractality to study patterns in galaxies and planets and, in cell biology, to make sense of some bacteria cultures. 
• Fractal geometry has also found applications in chromatography and ion-exchange processes. 

2 . India – EFTA Grouping

Context: Switzerland, Norway Ministers arriving for dialogue on trade.  

About the News

• Talks about the Trade and Economic Partnership Agreement (TEPA) and a Bilateral Investment Treaty (BIT) between India, and the four European countries which make up the European Free Trade Association (EFTA), outside the European Union (EU) — Iceland, Liechtenstein, Norway and Switzerland — began 15 years ago, and despite 20 rounds of negotiations, they have not yet been closed, with attempts to sign an agreement before the general election due in India in early 2024.
• The four-nation grouping has already signed 30 free trade agreements (FTAs) with other countries, and has ongoing negotiations with India, Thailand, Malaysia, Vietnam, Kosovo and the South American MERCOSUR.

Historical Background of EFTA

• EFTA is an intergovernmental organisation established in 1960 by the EFTA Convention, that promotes free trade and economic integration between its members, within Europe and globally . 
• There were 7 founding countries: Austria, Denmark, Norway, Portugal, Sweden, Switzerland and the United Kingdom (UK). They were joined in 1970 by Iceland, in 1986 by Finland and in 1991 by Liechtenstein. Meanwhile, in 1973, Denmark and the UK joined the EU; in 1986, Portugal joined the EU, and, in 1995, Austria, Finland and Sweden joined the EU, consequently leaving EFTA. 
• EFTA currently has 4 member countries: Iceland, Liechtenstein, Norway and Switzerland. 

Importance and Structure

• The EFTA countries have developed one of the largest networks of Free Trade Agreements (FTAs). These FTAs span over 60 countries and territories, including the EU. 
• EFTA’s highest governing body is the EFTA Council. It generally meets 8 times a year at ambassadorial level and twice a year at ministerial level. 
• The headquarters of the EFTA Secretariat are located in Geneva, with offices in Brussels and Luxembourg. The Secretariat in Geneva assists the EFTA Council in the management of relations between the 4 EFTA States, and deals with the negotiation and operation of EFTA’s FTAs and Joint Declarations on Cooperation with non-EU countries.
• The Secretariat in Brussels provides support for the management of the EEA Agreement, including the preparation of new legislation and assistance in providing input into EU decision making. The EFTA Statistical Office in Luxembourg contributes to the development of a broad and integrated European statistical system. 
• The EFTA Surveillance Authority (ESA) monitors compliance with European Economic Area (EEA) rules in Iceland, Liechtenstein and Norway. It has powers that are similar to those of the European Commission regarding the surveillance and application of EEA law. 
• The EFTA Court, based in Luxembourg, has the competence and authority to settle internal and external disputes regarding the implementation, application or interpretation of the EEA agreement. Its jurisdiction corresponds to that of the Court of Justice of the European Union in matters relating to the EEA EFTA countries. 

India- EFTA relations

• Economic trade: Over the past two decades, the total trade between the EFTA States and India has been growing steadily. In 2022, the combined EFTA-India merchandise trade surpassed USD 6.1 billion. 
• The primary imports to the EFTA States consisted of organic chemicals (27.5%), while machinery (17.5%) and pharmaceutical products (11.4%), excluding gold, constituted the main exports to India. 
• Services trade and foreign direct investment have also reached substantial levels.  
• Both sides appreciated the ongoing discussions on India-EFTA Trade and Economic Partnership and Bilateral Investment Treaty between India and Switzerland.  
   

3 . World’s First law on AI Regulation

Context: The EU becomes the very first continent to set clear rules for the use of AI.  

The EU framework

• The legislation includes safeguards on the use of AI within the EU, including clear guardrails on its adoption by law enforcement agencies, and consumers have been empowered to launch complaints against any perceived violations. 
• The deal includes strong restrictions on facial recognition technology, and on using AI to manipulate human behaviour, alongside provisions for tough penalties for companies breaking the rules. 
• Governments can only use real-time biometric surveillance in public areas only when there are serious threats involved, such as terrorist attacks. 
• In terms of details, the EU legal framework broadly divides AI applications into four risk classes: on one end, some applications will be largely banned, including the deployment of facial recognition on a mass-scale, with some exemptions for law enforcement. 
• AI applications focused on behavioural control will be also banned. High risk applications such as the use of AI tools for self-driving cars will be allowed, but subject to certification and an explicit provision for the backend techniques to be made open to public scrutiny. 
•  Those applications that fall in the “medium risk” category can be deployed without restrictions, such as generative AI chatbots, but there has to be detailed documentation of how the tech works and users have to be explicitly made aware that they are dealing with an AI and not interacting with a human. 
• Developers will need to comply with transparency obligations before they release chatbots into the markets, including details about the contents used for training the algorithm. 

Leadership on regulation

• Over the last decade, Europe has taken a decisive lead over the US on tech regulation, with overarching laws safeguarding online privacy, regulations to curb the dominance of the tech majors and new legislation to protect its citizens from harmful online content. 
• On AI, however, the US has made an attempt to take the lead by way of the new White House Executive Order on AI, which is being offered as an elaborate template that could work as a blueprint for every other country looking to regulate AI. 
• Washington also released a blueprint for an AI Bill of Rights – seen as a building block for the subsequent executive order. 
• Washington’s move assumed significance, given that over the last quarter century, the US Congress has not managed to pass any major regulation to rein in Big Tech companies or safeguard internet consumers, with the exception of just two legislations: one on child privacy and the other on blocking trafficking content on the net. 
• In contrast, the EU has enforced the landmark GDPR (General Data Protection Regulation) since May 2018 that is clearly focused on privacy and requires individuals to give explicit consent before their data can be processed and is now a template being used by over 100 countries. 
• There are a pair of sub-legislations – the Digital Services Act (DSA) and the Digital Markets Act (DMA) – that take off from the GDPR’s overarching focus on the individual’s right over her data. While the DSA focused on issues such as regulating hate speech, counterfeit goods etc., the DMA has defined a new category of “dominant gatekeeper” platforms and is focused on non-competitive practices and the abuse of dominance by these players. 

Different Approaches

• These developments come as policymakers across jurisdictions have stepped up regulatory scrutiny of generative AI tools, prompted by ChatGPT’s explosive launch. 
• The concerns being flagged fall into three broad heads: privacy, system bias and violation of intellectual property rights. 
• The policy response has been different too, across jurisdictions, with the EU having taken a predictably tougher stance that segregates AI as per use case scenarios, based broadly on the degree of invasiveness and risk; the UK is seen to be on the other end of the spectrum, with a decidedly ‘light-touch’ approach that aims to foster innovation in this nascent field. 
• The US approach slots somewhere in between. China too has released its own set of measures to regulate AI. 

India’s approach

• New Delhi has pitched itself, especially to nations in the Global South, as a country that has effectively used technology to develop and deliver governance solutions, at a mass scale. 
• These solutions are at the heart of what New Delhi calls Digital Public Infrastructure (DPI) – where the underlying technology is sanctioned by the government and is later offered to private entities to develop various use cases. 
• India wants to take the same DPI approach with AI. 

4 . Facts for Prelims

PM Vishwakarma

• PM Vishwakarma, a Central Sector Scheme, was launched recently by the Prime Minister to provide end-to-end support to artisans and craftspeople who work with their hands and tools. 
• The Scheme covers artisans and craftspeople engaged in 18 trades, viz. Carpenter (Suthar/Badhai), Boat Maker, Armourer, Blacksmith (Lohar), Hammer and Tool Kit Maker, Locksmith, Goldsmith (Sonar), Potter (Kumhaar), Sculptor (Moortikar, stone carver), Stone breaker, Cobbler (Charmkar)/ Shoesmith/Footwear artisan, Mason (Rajmistri), Basket/Mat/Broom Maker/Coir Weaver, Doll & Toy Maker (Traditional), Barber (Naai), Garland maker (Malakaar), Washerman (Dhobi), Tailor (Darzi) and Fishing Net Maker. 
• Nodal Ministry of the scheme- Ministry of MSME 
• The Scheme envisages provisioning of the following benefits to the artisans and crafts persons: 
  • Recognition: Recognition of artisans and craftspeople through PM Vishwakarma certificate and ID card. 
  • Skill Upgradation: Basic Training of 5-7 days and Advanced Training of 15 days or more, with a stipend of Rs. 500 per day. 
  • Toolkit Incentive: A toolkit incentive of upto Rs. 15,000 in the form of e-vouchers at the beginning of Basic Skill Training. 
  • Credit Support: Collateral free ‘Enterprise Development Loans’ of upto Rs. 3 lakh in two tranches of Rs. 1 lakh and Rs. 2 lakh with tenures of 18 months and 30 months, respectively, at a concessional rate of interest fixed at 5%, with Government of India subvention to the extent of 8%. Beneficiaries who have completed Basic Training will be eligible to avail the first tranche of credit support of upto Rs. 1 lakh. The second loan tranche will be available to beneficiaries who have availed the 1st tranche and maintained a standard loan account and have adopted digital transactions in their business or have undergone Advanced Training. 
  • Incentive for Digital Transaction: An amount of Re. 1 per digital transaction, upto maximum 100 transactions monthly will be credited to the beneficiary’s account for each digital pay-out or receipt. 
  • Marketing Support: Marketing support will be provided to the artisans and craftspeople in the form of quality certification, branding, onboarding on e-commerce platforms such as GeM, advertising, publicity and other marketing activities to improve linkage to value chain. 

Operation storm makers

• Operation Storm Makers is an Interpol-coordinated operation which busts criminal networks profiting from the movement of vulnerable men, women and children across borders. 
• It targeted migrant smuggling and human trafficking by making 121 arrests across 25 countries, prompting 193 new investigations. 
• Operation Storm Makers (21 – 25 March 2022) saw authorities carry out enforcement actions against organized crime groups believed to be facilitating the travel of Asian men, women and children across borders for exploitation and/or profit. 
• In total, authorities rescued 80 human trafficking victims and identified some 3,400 irregular migrants. 
• Operational coordination units were set up in Hanoi (Vietnam) and Abu Dhabi (United Arab Emirates), helping assess intelligence and facilitating enforcement actions between participating countries. 

Great debt brake rule 

• The debt brake rule of Germany, or the balanced budget rule, sets a cap on how much governments can borrow to finance various public projects.  
• It restricts the federal government in Berlin from running a fiscal deficit in excess of 0.35% of Gross Domestic Product (GDP) and in effect prohibits the country’s 16 regions from any deficit spending whatsoever. 
•  The measure was enshrined into law in 2009 by the grand coalition government of the centre-right Christian Democratic Union (CDU), its sister party in the state of Bavaria the Christian Social Union (CSU) and the SPD, through an amendment to the German constitution. 
•  The budget brake is more or less the domestic version of the stringent borrowing and spending curbs built into the European Union (EU)’s Stability and Growth Pact (SGP) and the 2012 Fiscal Compact Treaty.