Practicing Success

Target Exam

CUET

Subject

Economics

Chapter

Indian Economic Development: Indian Economy:1950-1990

Question:
Which of the following options suits best in regard to small scale industries?
Options:
They are labour intensive i.e. absorb more labour
Suitable for the economy which is capital abundant
They help in promoting urban development
All of the above
Correct Answer:
They are labour intensive i.e. absorb more labour
Explanation:
Small scale industries are considered to be more labour intensive as compared to large scale industries. Thus, suitable for an economy which is labour abundant. In 1955, the village and small-scale industries committee, also called as Karve committee, noted the possibility of using small scale industries for promoting rural development.