MCQ Employment: Growth, Informalisation and Other Issues

-

 1. Workers who are on the permanent pay-roll of their employer are called ___________ workers. 

(Choose the correct alternative to fill up the blank) 

(a) self-employed 

(b) casual 

(c) regular 

(d) hired 

2. Jobless growth leads to unemployment because __________ . 

(Choose the correct alternative to fill up the blank) 

(a) Labour refuses to migrate 

(b) Labour is very expensive 

(c) Growth rate is low 

(d) Growth is due to technological development 

3. Read the following statements carefully: 

Statement 1: As per the National Sample Survey Organization (NSSO), unemployment is a situation in which all those who, owing to lack of work, are not working, but are seeking work from prospective employers. They express their willingness/availability to work under the prevailing conditions of work and remuneration. 

Statement 2: Disguised Unemployment is generally a massive problem in a highly populated country like India. 

In the light of the given statements, choose the correct alternative from the following: 

(A) Statement 1 is true and Statement 2 is false. 

(B) Statement 1 is false and Statement 2 is true. 

(C) Both Statements 1 and 2 are true. 

(D) Both Statements 1 and 2 are false. 

4. From the type of workers given in Column I, identify the correct nature of work in Column II:


(A) 1-(i); 2-(ii); 3-(iii)
(B) 1-(ii); 2-(i); 3-(iii)
(C) 1-(iii); 2-(ii); 3-(i)
(D) 1-(iii); 2-(i); 3-(ii)
5. Read the following statements: Assertion (A) and Reason (R). Choose the correct alternative from those given
below:
Assertion (A): In the recent past, Indian economy has been facing the problem of jobless growth.
Reason (R): Jobless growth refers to a situation where an economy is able to produce more goods and
services without generating additional employment.
Alternatives:
(A) Both Assertion (A) and Reason (R) are true and Reason (R) is the correct explanation of Assertion (A).
(B) Both Assertion (A) and Reason (R) are true, but Reason (R) is not the correct explanation of Assertion (A).
(C)Assertion (A) is true, but Reason (R) is false.
(D) Assertion (A) is false, but Reason (R) is true.
6. Read the following statements: Assertion (A) and Reason (R). Choose the correct alternative from those given
below.
Assertion (A): Government can try to reduce unemployment through special poverty removal programmes.
Reason (R): Such poverty removal programmes directly or indirectly lead to employment generation.
Alternatives:
(a) Both Assertion (A) and Reason (R) are true and Reason (R) is the correct explanation of the Assertion (A).
(b) Both Assertion (A) and Reason (R) are true, but Reason (R) is not the correct explanation of the Assertion (A).
(c) Assertion (A) is true, but Reason (R) is false.
(d) Assertion (A) is false, but Reason (R) is true.

7. Read the following statements: Assertion (A) and Reason (R). Choose the correct alternative given below.
Assertion (A): The nature of unemployment problem in India is multi-faceted.
Reason (R): Worker-Population ratio is an indicator used for analysing the employment situation in a country.
Alternatives:
(a) Both Assertion (A) and Reason (R) are true and Reason (R) is the correct explanation of the Assertion (A).
(b) Both Assertion (A) and Reason (R) are true, but Reason (R) is not the correct explanation of the Assertion (A).
(c) Assertion (A) is true, but Reason (R) is false.
(d) Assertion (A) is false, but Reason (R) is true.

8. Identify, which of the following is the correct formula for calculating Worker-Population Ratio"?
 (Choose the correct alternative)


9. Read the following statements carefully:
Statement 1: Casual workers are hired on a permanent basis and also get social security benefits.
Statement 2: Workforce comprises, both employed and unemployed person.
In the light of the given statements, choose the correct alternative from the following:
(A) Statement 1 is true and Statement 2 is false.
(B) Statement 1 is false and Statement 2 is true.
(C) Both Statements 1 and 2 are true.
(D) Both Statements 1 and 2 are false.

10. Read the following statement -Assertion (A) and Reason (R). Choose one of the correct alternatives given
below:
Assertion (A): Unemployment and poverty are inseparable twins.
Reason(R): Unemployment is the root cause of all socio-economic evils.
Alternatives:
a) Both Assertion (A) and Reason (R) are true and Reason (R) is the correct explanation of Assertion (A).
b) Both Assertion (A) and Reason (R) are true and Reason (R) is not the correct explanation of Assertion (A).
c) Assertion (A) is true but Reason (R) is false.
d) Assertion (A) is false but Reason (R) is true.

11. Why are less women found in regular salaried employment?
Ans. Less women are found in regular salaried employment in India as such jobs require skills and a higher level
12. Read the following statements carefully: 
Statement 1: The nature of unemployment problem in India is uni-faceted. 
Statement 2: Worker-Population ratio is an indicator used for analysing the employment situation in a country. 
In light of the given statements, choose the correct alternative from the following: 
a) Statement 1 is true and Statement 2 is false. 
b) Statement 1 is false and Statement 2 is true. 
c) Both Statements 1 and 2 are true. 
d) Both Statements 1 and 2 are false

13. “Assuming in a hypothetical economy, Real Gross Domestic Product recorded a growth rate of 9% during a fiscal year. However, the economy faced a significant challenge in terms of creating an adequate number of employment opportunities.” 
Identify the situation indicated in the given statement and choose the correct option.
A. Casualisation of workforce 
B. Informalisation of workforce 
C. Formalisation of workforce 
D. Jobless growth

Long Questions
14. State and elaborate whether the following statement is true or false, with valid arguments: 
"Indian economy has showed satisfactory progress towards formalization of workforce in the recent past."
OR
Indian economy has shown excellent shift from informal sector to formal sector in the recent past.
Ans. False. As in the recent years, India has witnessed an unprecedented shift of the workforce from the formal sector to informal sector. This may be primarily due to decline in job opportunities in formal (both public and 
private) sector.
15. "In India, the self-employed constitute around 60% employees. The possible incidence of under 
employment is the highest among the self-employed." As an economist, suggest and elaborate any two measures that may be taken to ensure more productive employment for the self-employed. 
Ans. Two measures to ensure more productive employment for the self-employed are: 
i. Skill development - Skill development and training will provide people with the required expertise and skills to undertake new ventures.
ii. Financial and technical support by Government - Financial and technical support by government agencies, along with fulfilling the capital requirements will also enhance the productivity of the new production units
16. Worker-population ratio is an indicator, used for analyzing the employment situation in a nation.
Ans. True. Worker-population ratio is useful in knowing the proportion of population that is actively contributing to the production of goods and services of a country. If the ratio is higher, it means that a greater number of people are 
employed and vice versa. 
17. Elaborate the need to promote women’s education in India.
Ans. Promoting women's education in India is imperative for societal progress and gender equality. Educated women contribute to economic growth by entering the workforce and making informed decisions about their lives. 
Moreover, educating women makes a favourable impact on the fertility rate and health care of women and children. 
Hence, investing in women's education uplifts communities and drives sustainable development across India.
18. Define Worker Population Ratio. Discuss its usefulness. 
Ans. Worker Population Ratio (WPR) is defined as the total number of workers in a country divided by population. 
It is represented in percentage. Worker Population Ratio is an indicator which is used for analysing the employment situation in the country. This ratio is useful in knowing the proportion of population that is actively contributing to the production of goods and services of a country. Higher the worker population ratio, higher the engagement of 
people in economic activities and vice versa. 
19. “Amita is a regular worker in a private firm that employs twelve hired workers.” Is she working in the formal/informal sector? Give valid reasons in support of your answer. 
Ans. Amita is working in the formal sector. As formal sector includes all the public sector and private sector 

20. ‘Mr. Rishi, after completing his education, has joined his family business but his marginal productivity is zero’. Comment upon the employment status of Mr. Rishi. Give valid reasons in support of your answer.
Ans. Mr. Rishi cannot be considered as an employed person as he is disguisedly unemployed. Disguised unemployment refers to a situation when the person seems to be employed but is not contributing to the output i.e.,his marginal productivity is zero.
21. “Kavya works on her family farm and is neither paid in cash nor in the form of grains.” Can she be categorized as a worker? Give valid reasons in support of your answer.
Ans. Women, like Kavya, carry out household tasks like cooking, fetching water and fuelwood and participate in
farm labour. They are not paid wages in cash or in kind. For this reason, women like Kavya are not categorized as workers.
22. “In the late 1990's India experienced a widening gap between the growth of GDP and employment generation". Discuss.
Ans. After the introduction of economic reforms, in the late 1990s, Indian economy experienced a rapid rise in the GDP growth rate. However, employment growth started declining, in spite of rising GDP i.e., India started experiencing the problem of Jobless Growth. Where she was able to produce more goods and services without
corresponding rise in the employment in the economy.
23. State any two sources of data on unemployment in India.
Ans. Two sources of data on unemployment in India are:
• Reports of Census of India
• National Statistical Office’s Reports of Employment and Unemployment Situation
24. “The participation rate of people in economic activities in rural areas is more than that in urban areas.”Justify the given statement.
Ans. People in rural areas have limited resources. To earn higher income people participate more in the employment
market. As compared to rural areas, a large section in the urban areas can attain formal education and have a variety
of employment opportunities at their disposal. Thus, people in urban areas look for appropriate job to suit their qualifications and skills. Hence, participation rate of people in economic activities in rural areas is more than that in
urban areas.
25. Define disguised unemployment. State its implications on output and employment in a country.
Ans. Disguised unemployment refers to a situation when the person seems to be employed but is not contributing to the output i.e., the marginal productivity of labour is zero. People who are disguisedly unemployed do not contribute anything to the output. Hence, there is no change in the output and employment in a country.
26. State whether the following statements are true/false with valid arguments:
(I) Economic participation of women as homemakers is not accounted for in the Gross Domestic Product.
Ans. True. Activities performed by women as homemakers are not recognized as productive work. They are not paid for it and hence not accounted for in the Gross Domestic Product.
27. Who is a casual wage labourer?
Ans. A casual wage labourer is a person who is casually engaged in others’ farm or non-farm enterprises
28. Study the given image carefully: Identify the situation depicted in the image and suggest the impact of the indicated situation in the Indian economy.
Ans. The given image represents the situation of employment in informal sector. In the formal sector, workers can form trade unions and are entitled to fair wages and other social security measures. Whereas, workers in the informal
sector do not get regular income. Also, they do not have any protection or regulation from the government. Many a time, workers may be dismissed without any compensation. Hence, formal sector employees are generally in a better
position as compared to informal sector employees. Therefore, it is essential to generate employment in the formal sector rather than the informal sector.
 



Answer Keys
1. Ans. (c) regular 
2. Ans. (d) Growth is due to technological development.
3. Ans. (C) Both Statements 1 and 2 are true.
4. Ans. (C) 1-(iii); 2-(ii); 3-(i)
5.Ans. (B) Both Assertion (A) and Reasertion (A)  are true, but Reason (R) is not the correct explanation of Assertion (A)
6. Ans. (a) Both Assertion (A) and Reason (R) are true and Reason (R) is the correct explanation of theAssertion (A).
7. Ans. (b) Both Assertion (A) and Reason (R) are true, but Reason (R) is not the correct explanation of
Assertion (A).
8. Ans. (B) 
9. Ans. (D) Both Statements 1 and 2 are false.
10. Ans, c) Assertion (A) is true but Reason (R) is false.
11. 
12. Ans. b) Statement 1 is false and Statement 2 is true.
13. Ans. D. Jobless growth

Comments

Post a Comment

Popular posts from this blog

UNIT- 1 NATIONAL INCOME AND RELATED AGGREGATES

-
Image
  1. Basic Concepts of Macroeconomics Macroeconomic   Macroeconomics is the branch of economics that deals with the behaviour and performance  of an economy as a whole. Difference between Microeconomics and  Macroeconomics Microeconomics studies the behaviour of individual economic units.  Example - demand of a consumer, price determination of a commodity It's main tools are demand and supply.  It is also called price theory Macroeconomics studies the behaviour of the economy as a whole.  Example - income and employment in the economy, money supply in the economy It's main tools are aggregate demand (AD) and aggregate supply (AS).  It is also called Income and Employment Theory.  Final Goods  Final goods refer to those goods which are either used for consumption purpose  or for investment purpose by the end user. For example - Milk, machine etc * Expenditure made on them is called final expenditure Intermediate Goods  Intermedi...
Read more

Indian Economy on the Eve of Independence NCERT Solution

-
Indian economy on the eve of independence Introduction: The sole purpose of the British colonial rule in India was to reduce the country to being a raw material supplier for Great Britain's own rapidly expanding modern industrial base. Before the British rule: The Indian economy was primarily an agricultural economy. The prominent handicraft industries which gave prime place to India in the world market were cotton and silk textile, metal industries, precious stone works.etc. During the British Rule: The main interest was to protect and promotion of economic interests of Britain's rather than the development of the Indian economy British government changed the whole structure of the Indian economy and transformed it into a supplier of raw materials and consumer of finished product of British industries.. No sincere efforts were made for estimating India's national income and per capita income but some Indian economists made efforts. It included Dada Bhai Naroji, William Dig...
Read more

INDIAN ECONOMY 1950-1990

-
  ECONOMIC SYSTEM  An Economic system is an order of an economy.  Thus. an economic system is a system of production, resource allocation and distribution of goods and services within a society. Capitalism (Free Economy/ Market Economy/ Laissez Faire) Resources are owned, managed and controlled by private individuals. The private individuals. Its main aim to earn maximum profits. Market forces i.e. demand for and supply of goods determined the price. Government’s role is limited. Socialism (Planned Economy)  Resources are owned by the society. The Government undertakes the production of goods and services. The aim, of production is welfare of the people. Economic Planning solves the basic questions. Mixed Economy  It is a combination of capitalism and socialism. Private and Public sectors co exist.  REASONS BEHIND THE ADOPTION OF  MIXED ECONOMY        (i) Economic condition of India was backward at the time of Independence. So, we w...
Read more