Which of the following is an indicator of a "Depressed economy"?
Answer & explanation
Correct answer: option 1
Unemployment has detrimental impact on the overall growth of an economy. Thus, increase in unemployment is an indicator of a depressed economy. It also wastes the resource, which could have been gainfully employed. Whereas increase in the GER i.e., Gross enrollment ratio and life expectancy is a positive sign for the country's development.