Page 95 - DECO502_INDIAN_ECONOMIC_POLICY_ENGLISH

Unit 8: Unemployment in India: Concept, Causes and Government Policies

economic management. The macro-economic framework agreed to between governments and the Notes
Bretton Woods Institutions need to focus on employment — not just inflation, GDP growth, short
and medium term reforms and shoit-term fiscal and budgetary targets. They need to set employment
targets, which are essential to human development and to sustained future growth.”
Self-Assessment
1. Choose the correct option:
(i) Consider the following statements:
I. Bulk of employment is in rural areas.
II. The disguised unemployment in agricultural sector is perennial
III. Industrialisation rendered several people jobless in India
Which of the statement given below is/are correct:
(a) I and II (b) I and III
(c) I and III (d) I, II and III
2. Which is not one of the salient features of Anapurna Scheme?
(a) It was launched by the ministry of consumer affairs, Food and public distribution in
2001-2002.
(b) The beneficiaries of the scheme are indigent senior citizens of 65 years of age or above.
(c) 10 kg of food grains per month are supplied free of cost to the target group.
(d) From 2002-2003, the scheme has been transferred to state plan along with the national
social assistance programme.
3. PDS means distribution of essential commodities to a large number of people through the
network of fair price shops on a recurring basis. The commodities distributed under PDS
are:
I. Wheat II. Rice
III. Sugar IV. Pulse
V. Kerosene
Select the correct option
(a) I, II and IV (b) I, II, III and IV
(c) I, II, III, and V (d) all of the above
4. The central nodal agency for implementing the price support operations for commercial
crops is
(a) NAFED (b) NABARD
(c) TRIFED (d) FCI
8.4 Summary

• India is a developing economy, the nature of unemployment, therefore, sharply differs from
the one that prevails in industrially advanced countries. Lord Keynes diagnosed unemployment
in advanced economies to be the result of a deficiency of effective demand. It implied that in
such economies machines become idle and demand for labour falls because the demand for the
products of industry is no longer there.
• That a large number of workers are forced to remain jobless both in rural and urban areas is
true beyond dispute.
• The Committee of Experts on Unemployment under the chairmanship of B. Bhagwati in its
report submitted to the Government in May 1973, observed : On the basis of the data, the likely
number of unemployed in 1971 may be reasonably taken at 18.7 million including 9 million

LOVELY PROFESSIONAL UNIVERSITY 89