inclusive growth, sustainable development & employment section 3 MCQ Questions & Answers Detailed Explanation

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The following question based on Inclusive growth, Sustainable development and employment topic of indian economy mcq

Questions : The hypothesis that rapid growth of per capita income will be associated with a reduction in poverty is called

(a) U shaped hypothesis

(b) trickle up hypothesis

(c) poverty estimation hypothesis

(d) trickle down Hypothesis

The correct answers to the above question in:

Answer: (d)

According to the trickle-down hypothesis, the rapid growth of per capita income will be associated with a reduction in poverty.

In India, this hypothesis has been interpreted to suggest that growth in agriculture output without radical institution reform will reduce the incidence of poverty in the context of agricultural development in India.

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Read more growth sustainable development and employment Based Indian Economy Questions and Answers

Question : 1

Nirmal Bharat Abhiyan started recently by Government of India related to

a) making Ganga, pollution free

b) making the urban areas of the country pollution free

c) ending the Open Latrine System in Rural areas

d) making the environment country pollution free

Answer: (c)

Question : 2

With reference to Pradhan Mantri Kaushal Vikas Yojana, consider the following statements.

  1. It is the flagship scheme of the Ministry of Labour and Employment.
  2. It among other things, will also impart training in soft skills, entrepreneurship, financial and digital literacy.
  3. It aims to align the competencies of the unregulated workforce of the country to the National Skill Qualification Framework.
Which of the statement(s) given above is/are correct?

a) Only 1 and 3

b) Only 2 and 3

c) 1, 2 and 3

d) Only 2

Answer: (b)

Question : 3

Consider the following statements regarding, India Inclusive Innovation Fund (IIIF) created by the National Innovation Council (NIC), in partnership with the Ministry of Micro, Small and Medium Enterprises (MSME):

  1. IIIF is an impact investment fund that will invest in ventures catering to the country’s poor.
  2. It is an autonomous ` 500-crore fund, with the union government contributing 50%.
  3. Will be registered under SEBI’s Alternative Investment Fund Category I guidelines.
Which of the statements given above is/are in correct?

a) 3 only

b) 2 only

c) 1 only

d) 1, 2 and 3

Answer: (b)

IIIF is an impact investment fund that will invest in ventures catering to the country’s poor.

.It is an autonomous Rs. 500-crore fund, with the union government contributing 20%. Will be registered under SEBI’s Alternative Investment Fund Category I guidelines.

Question : 4

Consider the following statements regarding employment elasticity:

  1. It measures the percentage change in economic growth with respect to a 1% increase in employment
  2. The agriculture sector has more employment elasticity as compared to other sectors of the economy
Select the correct answer using the code given below:

a) Both (i) & (ii)

b) (i) only

c) (ii) only

d) Neither (i) nor (ii)

Answer: (c)

Employment Elasticity (of growth) is a measure of percentage change in employment associated with 1 percentage change in economic growth.

Employment elasticity = % change in employment/ % change in economic growth

Employment elasticity of 0.01 implies that with every 1 percentage point growth in GDP, employment increases by just .01 per cent. Employment elasticity is falling consistently from 0.4 in the 1990s to 0.2 in 2014 and then 0.1 now.

The agriculture sector is highly labour-intensive employing around 47% of the labour force to produce 16% of GDP. So, the employment elasticity of the agriculture sector is more.

Question : 5

Which of the following statements are true regarding “Inclusive growth”?

  1. Inclusive growth is fuelled by market-driven sources of growth
  2. Inclusive growth focuses on productive employment
  3. Inclusive growth focuses on income redistribution
Select the correct answer using the code given below:

a) (ii) & (iii) only

b) (i) & (ii) only

c) (i) & (iii) only

d) All of the above

Answer: (b)

Inclusive growth is typically fuelled by market-driven sources of growth with the government playing a facilitating role. Inclusive growth focuses on both the pace and pattern of growth.

How growth is generated is critical for accelerating poverty reduction, hence it focuses on productive employment rather than income redistribution.

Question : 6

The Mudra Yojana of Government of India is designed to

a) initiate reforms in the currency management

b) supplement the Jan Dhan Yojana

c) provide easy financial assistance to set up small business

d) provide loans to poor farmers

Answer: (c)

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