Practicing Success

Target Exam

CUET

Subject

General Test

Chapter

General Knowledge

Topic

Economics

Question:

Which of the following is an indicator of a "Depressed economy"?

Options:

Increase in unemployment rate

Increase in the gross enrollment ratio

Decrease in the life expectancy

Both 1 and 2

Correct Answer:

Increase in unemployment rate

Explanation:

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.