pyq/2025/csat/3

Passage-2

The history of renewable energy suggests there is a steep learning curve, meaning that, as more is produced, costs fall rapidly because of economies of scale and learning by doing. The firms’ green innovation is path-dependent the more a firm does, the more it is likely to do in the future. The strongest evidence for this is the collapse in the price of solar energy, which became about 90% cheaper during the 2010s, repeatedly beating forecasts. Moving early and gradually gives economies more time to adjust, allowing them to reap the benefits of path-dependent green investment without much disruption. A late, more chaotic transition is costlier.

Which one of the following statements best reflects the central idea of the passage?

(a) Economies of scale is essential for transition to green growth.

(b) Modern technological progress is intensely linked to path-dependent innovations.

(c) Countries with large economies are in a better position to adopt green technologies.

(d) Timing plays a crucial role in the case of green technology development.