CBSE Class 11 Economics Growth Informalisation Assignment

Employment : Growth Informalisation and other Issues. 

MCQ Questions for NCERT Class 11 Economics Employment Growth Informalisation and Other Issues

Question: The difference between labour force and workforce is?
a) Total employed labour
b) Disguised unemployed labour
c) Seasonal unemployed labour
d) Unemployed labour
Answer: D

Question: The major cause of unemployment in India can be classified as
a) Under development
B) Rapid population growth
c) Defective planning
D) All of these
Answer: D

Question: Supply of labour corresponding to different wage rates is referred as:
a) Labour supply
b) Labour force
c) participation rate
d) Work force
Answer: A

Question: A kind of unemployment in which workers seems to be working but its contribution to production is negligible is called
a) Disguised unemployment
b) Involuntary unemployment
c) seasonal unemployment
d) structural unemployment
Answer: A

Question: Which type of unemployment is more in India?
a) Open Unemployment
b) Seasonal unemployment
c) Disguised unemployment
d) Educated unemployment
Answer: C

Question: Those who do not get any pension or gratuity benefits are known as:
a) Self-employed workers
b) Casual workers
c) regular workers
d) unemployed
Answer: B

Question: Most of the disguised unemployed persons in India are found in
a) Agriculture
b) Industry
c) Trade
d) Transport
Answer: A

Question: In which type of unemployment do the marginal productivity of the workers is zero?
A) Disguised unemployment
B) Involuntary unemployment
c) seasonal unemployment
D) structural unemployment
Answer: A

Question: Jobless growth leads to unemployment because:
a) Labour refuses to migrate
b) labour is very expensive
c) GDP growth is slow
d) Growth is due to technology
Answer: D

Question: Even during the time of cultivation, _______ unemployment in common in farms
a) Disguised unemployment
b) Seasonal unemployment
c) Frictional unemployment
d) Cyclic unemployment
Answer: A

Question: The formula to calculate workforce participation ratio is
a) (workforce / total population) x 100
b) (workforce / Labour force) x 100
c) (Number of unemployed persons / Labour force) x 100
d) Workforce + Numbers of people who are willing to work but are unemployed
Answer: B

Question: The process of moving from Self- Employment and regular salaried employment to casual wage work is known as
a) Informalisation of workforce
b) Casualization of workforce
c) Both a & b
d) None of the above
Answer: B

Question: Jobless growth refers to
a) No economic growth with low levels of employment
b) Economic growth without generating employment
c) Low unemployment and lower level of economic growth
d) No growth with high unemployment
Answer: B

Question: Who all are categorized as workers?
a) Those who engaged in economic activities
b) Those who help the main workers
c) Those who are self-employed
d) All of the above
Answer: D

Question: Which of the following is working in the informal sector?
a) A private school teacher In a school which has 25 teachers.
b) The owner of a textile shop employing nine workers.
c) Driver of a bus company which has more than 10 buses with 20 drivers, conductors and others workers.
d) Civil engineer working in a construction company which has 10 workers.
Answer : B

Question: Most of the unemployment in India is
a) Voluntary
b) Structural
c) Frictional
d) Technical
Answer : B

Question: Unemployment is a situation in which all those who, owing to lack of work, are not working but either seek work though employment exchanges, intermediaries, friends or relatives or by making applications to prospective employers or express their willingness or availability for work under the prevailing condition of work and remunerations. This definition is given by:
a) Economists
b) National Sample Survey Organisation
c) Census of India
d) Directorate general of Employment and Training
Answer : B

Question: An establishment with four hired workers is known as _____________ sector establishment.
a) Formal
b) Informal
c) a) and b)
d) None of the above
Answer : B

Question: Workers who are on permanent pay-roll of their employer are called:
a) Self- employed workers
b) Casual workers
c) Regular workers
d) None of the above
Answer : C

Question: Unemployment common in urban areas
a) Seasonal unemployment
b) Disguised unemployment
c) Open unemployment
d) None of these
Answer : C

Question: When more persons are working in a job than actually required, it is known as ________.
a) Disguised unemployment
b) Seasonal unemployment
c) Educated unemployment
d) Open unemployment
Answer : A

Question: Unemployed person is one who is not able to get employment of even one hour in half a day.
This definition is given by:
a) Economists
b) National Sample Survey Organisation
c) Census of India
d) Directorate general of Employment and Training
Answer : A

Question: Measure of reduce unemployment in very short period of time
a) Reducing growth rate of population
b) Reducing inequalities in the distribution of income and wealth
c) Increasing investment in private and public sectors
d) None of these
Answer : C

Question: ____________ unemployment may result some workers are temporarily out of work while hanging job.
a) Cyclical
b) Voluntary
c) Fictional
d) Seasonal
Answer : C

Question: The number of persons, who are actually employed at a particular time are known as
a) work participation ratio
b) workforce
c) workers
d) None of the above
Answer: B

Question: Which of the following is not a benefit of studying about working people?
a) Give us insights into quality of employment
b) Helps to address many social issues
c) Helps to reduce gender inequality
d) Helps in better planning of our human resource
Answer: C

Question: Which of the following institution(s) provide data on unemployment
a) NSSO
b) Census Reports
c) NITI Aayog
d) Both a & b
Answer: D

Question: Find out the correctly matched pair from the following
Column I                          Column II
a) REGP                          i) Direct generation of employment
b) Construction of Dam    ii) Indirect generation of employment
c) SJSRY                         iii) Nutritional enrichment program
d) PMRY                          iv) Self-employment programme
Answer: D

Question: Find out the correctly matched pair from the following
Column I                                    Column II
a) Disguised Unemployment      i) Occurs at certain seasons of the year
b) Industrial Unemployment      ii) Is a type of urban unemployment
c) Educated unemployment.     iii) more people are engaged in work than are really needed
d) Open Unemployment            iv) among the educated people.
Answer: B

 

Fill in The Blanks

Question: During 2011-12, India had about __________ The rural workers constitute about__________ of this.
Answer : 473 million; three-fourth

Question: When a worker is engaged by someone or an enterprise and paid his or her wages on a regular basis they are known as__________. They account for __________ of India’s workforce.
Answer : regular salaried employees; 18%

Question: Owing to the efforts of the ________ government has initiated the modernisation of informal sector enterprises and provision of social security measures to informal sector workers.
Answer : International Labour Organisation (ILO)

Question: ___________ is a major source of livelihood for both men and women as this category accounts for more than 50 per cent of India’s workforce.
a) Self-employment
b) Casual wage labour
c) Regular salaried employment
d) None of these
Answer : Self-employment

Question: Workers who own and operate an enterprise to earn their livelihood are known as _________ About in India belongs to this category.
Answer : self-employed; 52 percent

Question: The newly emerging jobs are found mostly in the __________ sector. (service/manufacturing)
Answer : service

 

ASSERTION & REASONING

Read the two statements labelled as Assertion (A) and Reason (R) and choose the correct option from the following
(a) Both Assertion (A) and Reason (R) are true and Reason (R) is the correct explanation of Assertion (A).
(b) Both Assertion (A) and Reason (R) are true and Reason (R) is not the correct explanation of Assertion (A)
(c) Assertion (A) is true but Reason (R) is false
(d) Assertion (A) is false but Reason (R) is true.

Question: Assertion (A). India is experiencing the phenomenon of jobless growth, a situation when the economy is able to produce more goods and services without a corresponding increase in the level of employment.
Reason (R). During the period 1950-2010, GDP of India grew positively and was higher than the employment growth which was not more than 2%, that resulted in a widening gap between the growth of GDP and employment
Answer: A

Question: Assertion (A): The difference in participation rate among male and female workers is very large in urban areas
Reason (R): Earnings of urban male workers are generally higher than rural males and families discourage female members from taking up jobs.
Answer: A

Question: Assertion (A): Economists argue that, over the years, the quality of employment has been deteriorating
Reason (R): More than half of the Indian workforce depends on farming as the major source of livelihood
Answer: B

Question: Assertion (A): A higher worker-population ratio means that the level of unemployment is high in the country
Reason: (R): Worker-population ratio is an indicator which is used for analyzing the employment situation in the country.
Answer: D

Question: Assertion (A): The difference in work participation rates among male and female is high in urban areas.
Reason (R): The activities in which rural women are engaged are not recognized as productive work.
Answer: C

Question: Assertion (A): Self-employment is considered as a major source of livelihood for both men and women.
Reason (R): Self-employment accounts for more than 50 percent of workforce for both men and women.
Answer: A

Question: Assertion (A): The distribution of workforce by industrial sectors shows substantial shift from farm to non-f arm work
Reason (R): Developmental strategies in India have aimed at reducing the proportion of people depending on agriculture.
Answer: A

Question: Assertion (A): Casualization of workforce makes the workers highly vulnerable.
Reason (R): The process of moving from regular salaried employment to casual wage work is termed as casualization of workforce.
Answer: B

Question: Assertion (A): India’s planned development have been aimed at expansion of the economy through increase in GDP and employment.
Reason (R): Both GDP and employment showed a steady growth over the period of 1950-2010 in India.
Answer: C

3 &4 marks questions

Question: What do you mean by Informal sector Establishment?
Answer: All those private enterprises which hire less than 10 workers are called Informal sectors. E.g. Workers who work in farms, owners of Small Enterprises, Agriculture labourers. Here they do not get regular income. No protection or regulation by government can be dismissed at any time. Live in slums, use outdated technology, do not maintain accounts.

Question: Why is worker population ratio is higher in males than in females in India?
Answer: According to 1981 census, a worker is defined as one who worked in an economic activity over a period of six months or more. Consequently, the worker Population ratio among females reduced considerably.
• In India, women are discouraged to work out of homes.
• Males are having more skills than females. It helps in knowing the proportion of population that is actively contributing to the production of goods and services of a country

Question: Work plays an important role in our lives as individuals and as members of society why do people work?
Answer:
1) people work for earning a living.
2) being employed in work gives us a sense of self-worth and enables us to relate ourselves meaningfully with other
3) every working person is actively contributing to national income and hence the development of the country by engaging in various economic activities that is the real meaning of earning a living
4) we do work not only for ourselves we also have a sense of accomplishment when we work to meet the requirements of this was dependent on us.

Question: What are the benefits of studying about working people
Answer:
1) studying about working people gives us insights into the quality and nature of employment in our country.
2) It helps in understanding and planning our human resources
3 it helps us to analyse the contribution made by different industries and sectors towards national income
4) it also helps us to address any social issues such as exploitation of marginalized sections of society, child labour etc.,

Question: Compared to urban women, more rural women are found working. Why?
Answer: Compared to urban women, more rural women are found working because of the following reasons:
1) it is common to find that where men are able to earn higher incomes, families discourage female members from taking up jobs.
2) earnings of urban male workers are generally higher than rural areas and so the urban families don't want females to work
3) Apart from this many activities for the household in which urban women are engaged are not recognized as productive work while women working on farms in the rural areas are considered a part of the work force if they are being paid wages in cash or in the form of food grains.

Question: Explain the different categories/status of workers.
Answer: Different categories/status of workers
1. Self-employed: workers who own and operate an enterprise to earn their livelihood are known as self-employed. For example, a cement shop owner a self-employed
2. Casual wage labourers: casual wage labourers are casually engaged in others farms and in return get a remuneration for the work done. For example, the construction workers are casual labourers
3. Regular salaried employees: when a worker is engaged by someone or an enterprise and paid his or her wages on a regular basis they are known as regular salaried

Question: Compared to 1970s there has hardly been any change in the distribution of workforce across various industries. Comment
Answer: The given statement is not true. Distribution of workforce by industrial sectors shows substantial shift from work to non-farm work. In 1972-73 about 74% of workers was engaged in primary sector and in 2011-12 this proportion has declined to about 50%. Secondary and service sectors are showing promising future for the Indian workforce, as shares of these sectors have increased from 11 to 24% and 15 to 27 % respectively during 1972 to 2012.

Question: Analyze the recent trends in sectoral distribution of workforce in India
Answer: All the working persons in India can be clubbed into three major sectors primary sector, secondary sector and tertiary sector
• Primary sector: - it includes agriculture and allied activities. Primary sector is the main source of employment for majority of workers in India. About 49 percentage of workers are engaged in the primary sector.
• Secondary sector: - it includes (i)mining and quarrying (ii) manufacturing (iii) electricity gas and water supply (iv) construction. Secondary sector provides employment to only 24 percentage of workforce in India.
• Tertiary/ service sector: it includes (i) trade (ii) Transportand storage(iii) services. About 27% of workers are in the service sector

Question: Do you think that in the last 50 years’ employment generated in the country is commensurate with the growth of GDP in India? How?
Answer: No, because during the period of 1950 to 2010, GDP of India grew positively and was higher than the employment growth. During this period employment grew at the rate of not more than 2%. However, there was always a fluctuation in the growth of GDP.
There has been a widening gap between the growth of GDP and employment during this period. This means that in the Indian economy, without generating employment we have been able to produce more goods and services. Scholars refer to this phenomenon ‘jobless growth’

Question: Since independence the union and State governments have played an important role in generating employment or creating opportunities for employment generation. Their efforts can be broadly categorized into direct and indirect Explain them.
Answer:
Direct generation of employment opportunities: The Government employs people in various departments for administrative purposes. It also runs industries, hotels and transport companies and hence provides employment directly to workers.
• Indirect generation of employment opportunities: When the output of goods and services from government enterprises increases, then private enterprises which receive raw materials from government enterprises will also raise their output and hence increase the number of employment opportunities in the economy. This is the indirect generation of employment opportunities by the government initiatives in the economy.

 

6 Mark Questions

Question: The has been a change in the structure of workforce and the nature of employment in India. Explain.
Answer:
There has been a change in the structure of work force and the nature employment in India
1) Newly emerging jobs are found mostly in the service sector. The expansion of service sector and advent of technology now frequently permit a highly competitive existence for efficient small scale and often individual enterprises or specialist workers side by side with multinationals.
2) Outsourcing of workers has become a common practice. It means that a big firm find it profitable to close down some of the specialist departments (for example legal or computer programming or customer service sections) and handover a large number of small piecemeal jobs to very small enterprises or specialist individuals sometimes situated even in other countries.
3) The traditional notion of modern factory or office as a result has been altering in such a manner that for many the home is becoming the workplace. All of this change has not gone in favour of the individual worker.
4) The nature of employment has become more informal with only limited availability of social security measures to the workers.
5) In the last two decades there has been a rapid growth in the gross domestic product, but without simultaneous increase in employment opportunities. This has forced the government to take up initiatives in generating employment opportunities, particularly in the rural areas.

Question: Table shows the distribution of workforce in India for the 1972-73 analyses it and give reasons for the nature of workforce distribution.

Answer: From the given table following points can be noticed about the nature of workforce distribution:
1) Majority of the workforce was working in the rural areas in India in the year 1972-73. The total workforce was 234million out of which 195 million workers were from rural areas and 39 million from the urban areas. Thus about 83 % of the total workforce was rural as compared to about 17 % of the urban workforce. The reason for this was that a majority of population was living in rural areas and were engaged in agricultural and allied sectors
2) The rural workforce comprises about 64 % of the male workforce and about 36% of the female workforce.
On the other hand, the urban workforce comprises of about 82 % of male workforce and about 18 % of female workforce.
This shows that participation of males and both rural as well as urban areas is higher than that of the females because of lack of opportunities available to women for acquiring education and also the social structure and family norms which did not encourage women to work
3) Another feature of workforce distribution is the difference between urban female workforce and rural female workforce. Females in the rural areas form 36%t of the workforce whereas the females in the urban areas formed only 18 % of the workforce. This may be attributed to the fact that where men are able to earn high incomes, families discourage female members from taking up jobs. Earnings of urban male workers are generally higher than rural males and so the urban families do not want females to work.

Question: Discuss the different types of unemployment prevailing in India
Answer: Different types of unemployment in India are
➢ Open unemployment: In many cities we find people standing in some selected areas looking for people to employ them for that day's work. Some go to factories and offices to give their bio-data and ask whether there is any vacancy in their factory or office. Many in the rural areas do not go out and ask for a job but stay home when there is no work. Some go to employment exchanges and register themselves for vacancies notified through employment exchanges. This is called open unemployment
➢ Disguised unemployment. Suppose a farmer has four acres of land and he actually needs only two workers and himself to carry out various operations in a year, He employs five workers and his family members such as his wife and children. This situation is known as disguised unemployment.
➢ Seasonal unemployment: Many People migrate to an urban area, pick up a job and stay there for some time, and then come back to their home villages. This is because work in agriculture is seasonal; there are no employment opportunities in the village for all months in the year. When there is no work to do on farms, people go to urban areas and look for jobs. This kind of unemployment is known as seasonal unemployment.

 

CASE BASED QUESTIONS.

Workers in formal and informal sectors.
We classify workers into two categories: workers in formal and informal sectors which are also referred to as organized and unorganized sectors. All the public sector establishments and those private-sector establishments which employ 10 hired workers or more are called formal sector establishments and those who work in such establishments are formal sector worker.
The workers in the formal sector get regular income. They also enjoy social security benefits such as maternity benefit, provident fund, gratuity and pension. They earn more than those in the informal sector. The government through its labour laws, enable them to protect their rights in various ways. The formal sector workers form trade unions bargaining with employers for better wages and other social security measures.
All those who work in the areas other than formal sector comes under Informal sector Informal sector, which includes millions of farmers and agricultural labourers, owners of small enterprises and people working in those enterprises, the self-employed people who do not have any hired workers, all non from casual wage labourers who work for more than one employer such as construction workers and head load workers.

Question: Find out the incorrect statement from the following
a) The government, through its labour laws, enable the formal sector workers to protect their rights in various ways.
b) Workers in the formal sector earn more than those in the informal sector.
c) A person working in the private sector get a lower salary as compared to another person doing the same work in the public sector
d) Workers in formal sector are prohibited from forming trade unions.
Answer: D

Question: Find out who among the following comes under informal sector
a. Nurse in a government hospital
b. A clerk in the electricity office.
c. Computer operator in the state government office working on a temporary basis
d. The owner of a textile shop which has nine workers
Answer: D

Question: ____________ is the major formal sector employer in the country.
a) Private schools
b) Airline companies
c) Government
d) Multi-National Companies
Answer: C

Question: How will you know whether a worker is working in the informal sector?
a) Works in a private sector establishment which employ more than 10 hired workers
b) Works in a private sector establishment which employ less than 10 hired workers
c) Works in a public sector establishment
d) Earns higher than organized sector workers
Answer: B
 

2. Read the following News report and Answer: the following questions on the basis of same:

India's unemployment rate shot up to 7.8% for the week ended November 22 compared to 5.5% in the preceding week, signaling weakening of labour market.
Labour participation rate fell to 39.3% resulting in a sharp fall of 114 basis points in employment rate at 36.24%, data from the Centre for Monitoring Indian Economy showed (CMIE).
While this was a sign of weakening labour markets over the last four weeks, it also reflected the inability of the labour markets to absorb adequate proportions of tne working age population during the festive season of 2020, the CMIE said
"The sharp rise of the unemployment, rate is against the trend seen since the recovery has been one of falling unemployment rates with an occasional spike which happened during the first fortnight of October 10”, it said. As per CMIE, the 36.2% employment rate in the week of November 22 is the lowest employment rate since the recovery stagnated in late June 2020.
It also marked the fourth consecutive fall in the rate since the week of October 25. It also marked the fourth consecutive fall in the rate since the week of October 25. The employment rate stood at 37.38% in the week ended November 15.
The deterioration of labour metrics in November is a signal again of the early exhaustion of the recovery process that began in late May this year", it said.
The recovery is not complete. The employment rate never reached its pre-lockdown II levels. And before reaching there, it has started to decline again".
According to CMIE, the employment rate is the best measure of the health of the Indian economy as it measures the proportion of the working age population that are employed

Question: Rise in unemployment rate for the week ended in the month of November 22,signals weakening of________ (commodity/labour) market.
Answer: labour market

Question: Rise in unemployment rate is an indicator of incomplete _________ (recovery/recession) period since May, 2020.
Answer: recovery

Question: Worker participation ratio is calculated by dividing the total number of workers in India by the total _________ (population/labour force) in India and then multiplying by 100.
Answer: population

Question: Measure to reduce unemployment in very short period of time
(a) Reduction in inequalities in the distribution of income and wealth
(b) Increase in investment in private and public sectors
(c) Reduction in growth of population
(d) None of these
Answer: B

3. Read the following News report and Answer: the following questions on the basis of same:

The pandemic had an impact on employment in the country as the economic activities
slowed down due to lockdown restrictions imposed to contain the spread of COVID from March in 2020. The Parliament Standing Committee on Labour has been drawn to a study according to which nearly half of the formal salaried workers moved into
informal work either as self-employed (30 per cent), casual wage (10 per cent),
informal salaried jobs (9 per cent) between late 2019 and late 2020. Employees'
Provident Fund Organization (EPFO) needs to play a more innovative and proactive role in mitigating the emergent needs of not only the members registered with it but
Workers in the Unorganized sectors too.
Source: Business-standard.com, Aug. 8, 2021

Question: Pandemic affected employment __________ (positively/adversely) as the economic activities had slowed down due to lockdown.
Answer: adversely

Question: There has been movement of formal workers towards _________.
a) self-employment
b) casual-wage employment
c) both (a) and (b)
d) neither (a) nor (b)
Answer: C

Question: ________ (Casual/Regular) workers have weak bargaining power as they cannot form trade unions.
Answer: Casual

Question: Employee’s Provident Fund Organization makes provision of
a) wages and salaries to employees
b) non-monetary benefits to employees
c) social security benefits to employees
d) none of these
Answer: C

 

* Work plays an important role in our lives, as individuals and as members of society.
* A worker is an individual , who is involved in some productive activity, to earn a living,
* An economic activity refers to the activity performed by people to earn the living. The main three types of economic activities are consumption, production and distribution.
* Production activity refers to all those activities which are under taken to produce goods and services for generation of income.

Labour force : All persons, who are working (have a job) and those are not working but able to work and willing to work at the existing wage rate constitute labour force.
Labour Force : Persons working + persons seeking and / or available for work.
Work force : The number of persons, who are actually employed at a particular time are known as workforce, It includes all those persons who are actually engaged in productive activities.
Labour supply - It refers to amount of labour that people are willing to offer corresponding to a particular wage rate.

* About two fifth of the total population in the country in engaged in various economic activities.
* Men particularly rural men, form the major section of workforce in India.
* Majority of workers in India are self employed casual wage labourers and regular salaried employees together account for less than half the proportion of India’s workforce.
* About three fifth of India’s workforce depends on agriculture and other allied activities as the major source of livelihood.
* Jobless Growth : It is defined as a situation where GDP grows faster than the employment opprotunities resulting in unemployment.
* Casualisation and informalisation of employment. Casualisatoin refers to a situation when the percentage of casually hired workers in the total workforce tends to rise over time.

Informalisation : refers to a situation when people tend to find employment more in informal sector of the economy, and less in formal sector of the economy.

 

(Formal or organised sector, informal of unorganised sector)

Causes of unemployment

* Slow rate of economic growth
* Population explosion
* Underdeveloped agriculture
* Defective educational system
* Slow growth of Industry
* Decline of collage and small industry.
* Faulty planning
* Inadequate employment planning.
* Low capital formation.

 LONG ANSWER QUESTIONS 

1. What are the various types of unemployment?
2. What role does the government play in generating employment opprotunities.
3. What are the causes of unemployment?
4. Explain information of workforce.
5. Explain occupational structure of workforce.
6. What do you mean by organised sector? Discuss the reasons for fall in employment in the organised sector.
7. Discuss the various remedial measures, which are needed to solve the problem of unemployment in India.
8. What do you mean by casualisation of workforce? Discuss the concept with relevant facts.
9. Discuss the distribution of employment in different sectors of economy.
10. Discuss the concept of frictional and structural unemployment.

Please refer to attached file for CBSE Class 11 Economics Growth Informalisation Assignment