Class 9 Economics Chapter 1 HOTS Questions - Economics

134) Classify various activities into primary, secondary and tertiary sectors.

Answer: Various activities are classified into the following three main sectors of the economy:
(i) Primary sector: It includes agriculture, forestry, animal husbandry, fishing, poultry farming, mining and quarrying.
(ii) Secondary sector: All types of manufacturing industries are included in the secondary sector.
(iii) Tertiary sector: Trade, transport, communication, banking, education, health, tourism, services, insurance, etc., are included in the tertiary sector.  

135) What are the differences between Market and Non-market activities?

Answer:

136) How do educated women earn at par with their male counterparts?

Answer: Education and skill are the main determinants for the earnings of an individual in a market. A majority of women have me agree education and low skill formation. Most women work where there is no job security. It is the unorganised sector. In this sector, there is absence of basic facilities like maternity leave, childcare and other social security systems. 

137) On what factors does the quality of population depend on?

Answer: (i) Women with high education and skill formation are paid at par with the men.
(ii) Among the organised sector, teaching and medicine attracts them the most.
(iii) Some women have entered the administrative and other services including those jobs which need high levels of scientific and technological competence.  

138) What is India's national policy for health?

Answer: (i) The literacy rate.
(ii) Health of a person indicated by life expectancy and skill formation acquired by the people of a country.
(iii) The quality of population ultimately decides the growth rate of the country.
(iv) An illiterate and unhealthy population is a liability for the economy, whereas a literate and healthy population is an asset.  

139) Explain the term 'unemployment' in the context of India.

Answer: It aims at improving the accessibility of healthcare, family welfare and nutritional service with a special focus on the underprivileged segment of the population. Over the last five decades, India has built up a vast health infrastructure and manpower required at the primary, secondary and tertiary sectors both at the government level as well as in the private sector. 

140) Why is educated unemployment a peculiar problem in India?

Answer: Unemployment exists when people who are willing to work at the going wages cannot find jobs. It can be explained as below: The workforce population includes people from 15 to 59 years. Therefore, if people below 15 years and above 59 years do not have a job, they cannot be called unemployed. In India, unemployment can be categorised as in rural and urban areas. Further, rural unemployment includes seasonal and disguised unemployment and urban unemployment includes educated unemployment.  

141) Why are people of a country referred as resource?

Answer: Most educated people are attracted by the tertiary sector where jobs are limited. There is scope for development in the primary and secondary sectors, but they are largely ignored. The primary and secondary sectors have a reducing percentage of employment; thus, unemployment exists in these .sectors and also in the tertiary sector due to the competition and limited seats.  

142) How does investment in human capital yield a return just like investment in physical capital?

Answer: 'People as Resource' is a way of referring to a country's working people in terms of their existing productive skills and abilities. Looking at the population from this productive aspect emphasises its ability to contribute to the creation of the Gross National Product. Like other resources population also is a resource?a human resource 

143) Is large population considered a liability rather than an asset?

Answer: Investment in human capital through education, training, medical care, yields a return just like investment in physical capital. This can be seen directly in the form of higher incomes earned because of higher productivity of the more educated or the better trained persons as well as the higher productivity of healthier people.  

144) What is the present employment scenario in the three sectors? 

Answer: For many decades in India, a large population has been considered a liability rather than an asset. But a large population need not always be a liability. It can be turned into productive asset by investment in human capital. It can be done by spending resources on education and health for all, training of industrial and agricultural workers in the use of modern technology and useful scientific researches, etc.  

145) What do you know about 'Sarva Shiksha Abhiyan'?

Answer: Sarva Shiksha Abhiyan' is a significant step towards providing elementary education to all children in the age group six to fourteen years by 2010. It is a time-bound initiative of the central government in partnership with the states, the local government and the community to achieve the goal of universalisation of elementary education. Bridge courses and back-to-school camps have been introduced to increase the enrollment in elementary education. Mid-day meal scheme has been introduced to encourage attendance and retain children, as well as increase their nutritional status. These types of policies of the government could add to the literate population of India and further to the economic development.  

146) How does seasonal unemployment occur?

Answer: (i) It happens when people are not able to find jobs during a particular season or months of a year.
(ii) People dependent on agriculture usually face such kind of problem.
(iii) There are certain busy seasons when sowing, harvesting, weeding and threshing is done.
(iv) Certain months do not provide much work to the people dependent on agriculture.
(v) Certain industries and traders also engage workers for a particular season. When the season ends the workers are rendered unemployed, e.g., sugar industry.  

147) Do you think that people appear employed in disguised unemployment?

Answer: (i) In this kind of unemployment, people appear to be employed.
(ii) This usually happens among family members who are all engaged in agricultural activities.

(iii) The work may require the service of five people but engages eight people.
(iv) If these three people are removed, the work or productivity of the field won't be affected or decline.
(v) Since the field requires the service of only five people, the three extra people are disguised unemployed.  

148) What is the impact of unemployment?

Answer: (i) Unemployment leads to wastage of manpower resources.
(ii) People who are an asset for the economy turn into a liability.
(iii) There is a feeling of hopelessness and despair among the youth.
(iv) People do not have enough money to support their family. Inability of educated people who are willing to work, to find gainful employment, implies a great social waste.
(v) Unemployment tends to increase the economic overload.
(vi) When a family has to live on bare subsistence levels, there is a general decline in its health status and a rising withdrawal from the school system. 

149) What is the role of education in human capital formation?

Answer: (i) Illiteracy and an unhealthy population is a liability for the economy.
(ii) Education in the later years helps reap a better job and salary.
(iii) It opens new horizons, helps develop new aspirations and also values of life.
(iv) Education also contributes towards the growth of society. It enhances the national income, cultural richness and brings efficiency in governance.
(v) There is a tremendous increase in number of colleges, universities, enrolment of students and recruitment of teachers since 1951 to 1999.  

150) Why are women employed in low-paid work?

Answer: (i) A majority of women have a meagre education and low skill formation.
(ii) Hence, they are paid low as compared to men.
(iii) These women work also in the absence of job security, meagre legal protection and irregular lo income.
(iv) Women are also not provided with facilities such as maternity leave, childcare and other social security ststems.
(v) Most women work where there is no job security or in an unorganized sector.  

151) What was the Tenth Plan endeavour to increase the enrolment in higher education?

Answer: (i) Increase enrolment of 18 to 23 years age group from six to eleven percent by the end of the plan.
(ii) Focus on increasing access, quality, adoption of states-specific curriculum modification, vocationalisation and networking on the use of information technology.
(iii) Focus on distant education, convergence of formal, non-formal and IT education institutions.
(iv) Over the past 50 years, there has been a significant increase in the number of universities and institutions of higher learning in specialised area.
(v) The plan outlay on education, in India increased from ` 151 crore in the First Plan to ` 3766.90 crore in the Eleventh Plan.  

152) What does unemployment mean? What types of unemployment do we have in rural areas?

Answer: Unemployment is said to exist when people who are willing to work at the going wages cannot find jobs. In rural areas of India seasonal and disguised unemployment exists.
(i) Seasonal Unemployment It happens when people are not able to find jobs during some months of the year, may be after harvesting time. People dependent upon agriculture usually face such kind of problem. There are certain busy seasons when sowing, harvesting, weeding and threshing is done.
(ii) Disguised Unemployment: In it, people appear to be employed. They have agricultural plot where they find work. This usually happens among family members engaged in agricultural activity. The work requires the service of five people but engages eight people. Three people are extra. If those three people are removed, the productivity of the field will not decline. The field requires the service of five people and three extra are disguised unemployed. 

153) What kind of unemployment exists in urban areas?

Answer: Educated Unemployment In urban areas, educated unemployment has become a common phenomenon. Many youth with matriculation, graduation and postgraduation degrees are not able to find jobs. A study showed that unemployment of graduates and postgraduates has increased faster than among matriculates. A paradoxical manpower situation is witnessed as surplus of manpower in certain categories coexist with shortage of manpower in others. There is unemployment among technically qualified persons on one hand, while there is a dearth of technical skills required for economic growth. Unemployment also exists like computer's literacy. Sometimes, it also leads to unemployment as the number of people looking for jobs are much more than the existing jobs available.  

154) How can you prove statistically that the unemployment rate is low in India?

Answer: A large number of people represented with low income and productivity are counted as employed. They appear to work throughout the year but in terms of their potential and income, it is not adequate for them. The work that they are pursuing seems forced upon them. They may, therefore, want other work of their choice. Poor people cannot afford to sit idle. They tend to engage in any activity irrespective of its earning potential. Their earnings keep th em on a bare subsistence level.  

155) "The employment structure is characterised by self-employment in primary sector." Explain.

Answer: In primary sector, the whole family contributes in the field even though everybody is not really needed. So there is disguised unemployment in agricultural sector. But the entire family also has a share in what has been produced. This concept of sharing of work in the field and the produce raised reduces the hardship of unemployment in the rural areas. But this does not reduce the poverty of the family, gradually surplus labour from every household tends to migrate from village in search of jobs. 

156) Can you suggest some measures in the education system to mitigate the problem of the educated unemployed?

Answer: (i) Certain vocational courses can be introduced at the school level, which can easily be pursued in the higher education system also. It would make them skillful workers having complete technical knowledge.
(ii) Some educational courses can be introduced to develop skill development and entrepreneurship. Courses like management as a subject in the school level and then BBA and MBA etc. can be pursued.
(iii) Loans canbe provided to the educated workers with less interest, for starting self-employment process.
(iv) More and more industrial training institutes, vocational colleges and other institutes should be opened.
(v) Vocational courses can be restructured and reoriented according to the need of the day. 

157) Describe the policy of government in the field of education. 

Answer: According to National Education Policy, 1986, the government considers human resource, a positive asset which needs to be cherished, nurtured and developed. Following efforts are made for the same:
(i) Education contributes towards the growth of society. It enhances the national efficiency of governance.
(ii) There is a provision made for providing universal access, retention and quality in elementary education with special emphasis on girl-education.
(iii) There is also an establishment of pace setting of schools like Navodaya Vidyalaya in each district.
(iv) Vocational streams have been developed to equip large number of high school students with occupations related to knowledge and skills.
(v) The plan outlay on education has increased from ` 151 crore in the first plan to 43,825 crore in the tenth Plan. Literacy rate has increased from 18% in 1951 to 65% in 2001.  

158) The full form of GNP is: 
(a) Gross National Product 
(b) Green Nation People 
(c) Green National Project 
(d) Gross National Performance

Answer:  A  

159) Quarrying and manufacturing is included in the: 
(a) Primary sector 
(b) Secondary sector 
(c) Tertiary sector 
(d) Government sector

Answer: B  

160) An activity performed for profit or for services provided can be termed as: 
(a) Market activity 
(b) Professional activity 
(c) Non-market activity 
(d) Formal activity

Answer:  A  

161) 'Sarva Shiksha Abhiyan' is a significant step towards providing education to all children in the age group: 
(a) 6-14 years 
(b) 5-10 years 
(c) 5-14 years 
(d) 10-15 years

Answer: A  

162) When people appear to be employed, this kind of unemployment is called: 
(a) Seasonal unemployment 
(b) Educated unemployment 
(c) Disguised unemployment 
(d) All of the above

Answer:  C  

163) Which one of these is the most labour absorbing sector of the economy? 
(a) Industries 
(b) Agriculture 
(c) Transportation 
(d) Service   

Answer:  B    

164) What does 'human capital' stand for?

Answer: (i) Population is an asset for the economy rather than a liability.
(ii) Population becomes human capital when there is investment made in the form of education, training and medical care.
(iii) In fact human capital is the stock of skill and productive knowledge embodied in them.  

165) How is human resource different from other resources like land and physical capital?

Answer: (i) Human capital is in one way superior to other resources like land and physical capital; human resource can make use of land and capital.
(ii) Land and capital cannot become useful on its own.
(iii) For many decades in India, a large population has been considered a liability rather than an asset. But a large population need not be a liability.
(iv) It can be turned into a productive asset by investment in human capital i.e. by spending resources on education and health for all, training of industrial and agricultural workers in the use of modern technology, useful scientific researches and so on.  

166) What is the role of education in human capital formation?

Answer: (i) Investment in human resource can give high rates of return in the future.
(ii) A child with investments made on his/her education and health can yield a high return in the future in the form of higher earnings and greater contribution to the society.
(iii) Educated parents invest more heavily on the education of their child. This is because they have realised the importance of education for themselves. 

167) Why women are paid less when they are illiterate and not skilled in comparison to educated and skilled ones?

Answer: (i) Education and skill are the major determinants of the earnings of any individual in the market.
(ii) A majority of the women have meagre education and low skill formation.
(iii) Women are paid low as compared to men. Most women work where job security is not there.
(iv) Employment in this unorganised sector is characterised by irregular and low income.
(v) In this sector, there is absence of basic facilities like maternity leave, childcare and other social security systems.
(vi) However, women with high education and skill formation are paid at par with the men. 

168) What does quality of population imply?

Answer: (i) The Quality of population depends upon the literacy rate and health of a person indicated by life expectancy and skill formation acquired by the people of the country.
(ii) The quality of population ultimately decides the growth rate of the country.
(iii) Illiterate and unhealthy population is a liability for the economy, whereas literate and healthy population is an asset.  

169) 'Health is wealth', is it true? Describe the role played by health in the individual's working life.

Answer: (i) The health of a person helps him to realise his potential and the ability to fight illness.
(ii) An unhealthy person becomes a liability for an organization indeed.
(iii) Health is an indispensable basis for realising one's well-being. Improvement in the health status of the population is the main priority of the country.
(iv) Our national policy too aims at improving the accessibility of health care, family welfare and nutritional service with special focus on underprivileged segment of population.