When interpreting socio-economic data for UPSC, candidates should consider context, trends, and multi-dimensional factors. It's crucial to analyze data against the backdrop of historical, cultural, and political scenarios. Recognizing the implications of data for different communities ensures a balanced perspective. Understanding indicators such as poverty rates, employment figures, and literacy levels allows for informed policy recommendations. Critical evaluation of sources and the potential biases in data collection is also paramount to derive accurate conclusions and solutions concerning socio-economic issues.