Target Exam

CUET

Subject

Economics

Chapter

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

Question:

Those activities which contribute to the gross national product are called economic activities. All those who are engaged in economic activities, in whatever capacity — high or low, are workers. Even if some of them temporarily abstain from work due to illness, injury or other physical disability, bad weather, festivals, social or religious functions, they are also workers. Workers also include all those who help the main workers in these activities. We generally think of only those who are paid by an employer for their work as workers. This is not so. Those who are self-employed are also workers.

There are two statements marked as Assertion (A) and Reason (R). Mark your answer as per the options given below.

Assertion: Regular salaried jobs are greater in urban areas as compared to rural areas in India.
Reasoning: More than 60% workers in urban areas are having regular salaried jobs in India.

Options:

Both Assertion (A) and reasoning (R) are correct and R is the correct explanation of A.

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

Assertion (A) is true but Reasoning (R) is not correct.

Assertion (A) is not true but Reasoning (R) is correct.

Correct Answer:

Assertion (A) is true but Reasoning (R) is not correct.

Explanation:

The correct answer is option 3: Assertion (A) is true but Reasoning (R) is not correct.

Assertion: Regular salaried jobs are greater in urban areas as compared to rural areas in India. This is correct.
Reasoning: More than 60% workers in urban areas are having regular salaried jobs in India. This is false. About 47% workers in urban areas are having regular salaried jobs in India.

Self-employment is a major source of livelihood for both men and women as this category accounts for more than 50 per cent of the workforce. Casual wage work is the second major source for both men and women, a little more so for the latter (24-27 per cent). When it comes to regular salaried employment, both women and men are found to be so engaged in greater proportion. Men form 23 per cent whereas women form 21 per cent. The gap between men and women is very less.

When we compare the distribution of workforce in rural and urban areas, the selfemployed and casual wage labourers are found more in rural areas than in urban areas. In the urban, both self employment and regular wage salaried jobs are greater. In the former, since majority of those depending on farming own plots of land and cultivate independently, the share of selfemployed is greater. The nature of work in urban areas is different. Obviously everyone cannot run factories, shops and offices of various types. Moreover enterprises in urban areas require workers on a regular basis.