Target Exam

CUET

Subject

Economics

Chapter

Indian Economic Development: Employment - Growth, Informalisation and Other Issues

Question:

In the question given below there are 2 statements marked as Assertion (A) and Reason (R). Choose the correct alternative from the following options.

Assertion (A)- Self-employed workers are found more in rural areas than in urban areas.

Reason (R)- Majority of workers in rural areas who depend on farming own plots of land and cultivate independently.

Options:

Both (A) and (R) are true and (R) is the correct explanation.

Both (A) and (R) are true but (R) is not the correct explanation of (A).

(A) Is true but (R) is false.

(A) Is false but (R) is true.

Correct Answer:

Both (A) and (R) are true and (R) is the correct explanation.

Explanation:

The correct answer is Option 1: Both (A) and (R) are true and (R) is the correct explanation.

Analysis:

  • Assertion (A) is true- In the Indian economy, self-employment is more prevalent in rural areas than in urban areas. In rural regions, a significant portion of the workforce is engaged in the primary sector (agriculture and related activities) rather than formal salaried jobs.
  • Reason (R) is true. A major reason for this high rate of self-employment is that most people in rural areas depend on farming. These individuals often own their plots of land or operate family-run farms, which classifies them as self-employed because they use their own resources to earn a living.
  • Correct Explanation: Because the rural economy is centered on independent farming on personal or family-owned land, the resulting workforce structure is naturally dominated by self-employed workers. In contrast, urban areas offer more opportunities for regular salaried employment in offices and factories, making self-employment less dominant there.