poverty & unemployment section 2 Practice Questions Answers Test with Solutions & More Shortcuts

Question : 16 [UPPCS (Mains) 2009]

When population experts refers to the possible ‘Demographic Bonus’ that may accrue to India around 2016, they are referring to phenomenon of

a) a decline in birth and death rates

b) a well balanced sex ratio

c) a surge in population in productive age group

d) a sharp drop in total population

Answer: (c)

Question : 17

Disguised unemployment generally means:

  1. large number of people remain unemployed
  2. alternative employment is not available
  3. marginal productivity of labour is zero
  4. productivity of workers is low
Find out the correct option from the code:

a) 2 only

b) 1 and 4 only

c) 3 and 1 only

d) 3 only

Answer: (d)

Suppose three people work in farm, produce 200 kg of wheat.

If one of them is removed, still farm produces 200 kg wheat. That is disguised unemployment marginal productivity is zero.

Question : 18

Which one of the following laws/curves stated that the lower the unemployment in an economy, the higher the rate of Inflation?

a) Gibrat’s law

b) Gini’s curve

c) Verdoorn’s law

d) Philips curve

Answer: (d)

Phillips curve is a historical inverse relationship between the rate of unemployment and the rate of inflation in an economy.

Philip’s curve stated that the lower the unemployment in an economy, the higher the rate of inflation.

Gibrat’s law: It is a rule defined by Gibrat in 1931 stating that the proportional rate of growth of a form is independent of absolute size.

Verdoorn’s law: It is a rule which states that in the long-run productivity generally grows proportionally to the square root of output.

Question : 19 [UPPCS (Pre) 1997]

Which one of the following pairs is not correctly matched? Decade Decadal growth rate of population (in percent)

a) 1991-2001 21.54

b) 2001-2011 19.05

c) 1971-1981 24.66

d) 1981-1991 23.87

Answer: (b)

Question : 20 [UPPCS (Pre) 2016]

The census projection report shows that India is one of the youngest nation in the world. In year 2020, average age of Indians will be of

a) 29 years

b) 30 years

c) 27 years

d) 28 years

Answer: (a)

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1242 poverty & unemployment based indian economy MCQ section 2 question answer with explanation pdf

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