Page 97 - DECO502_INDIAN_ECONOMIC_POLICY_ENGLISH

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

• Indira Awaas Yojana was aimed at providing houses, free of cost, to the members of the SC/ST. Notes
freed bonded labourers. From 1993-94, the scheme was extended to other poor categories (besides
SC/ST) as well. The permissible expenditure for each house under IAY which was fixed at `
14,000 was enhanced to ` 20,000 with effect from Ist August 1996 in view of the rise in the cost
of building materials.
• During 1992, the Government of India undertook concurrent evaluation of JRY through reputed
research institutions covering all districts in the country. More concerns of the concurrent
evaluation were :
• Job opportunities will need to be created for 53 million persons during 1997-2002 as a consequence
of labour force increase, for 58 million during 2002-07 and thereafter for 55 million during
2007-12.
• The basic problem, which keeps people in a state of poverty, is the poor quality of employment
in terms of inadequate level of income for workers. The educational level of the workers reveals
that 70 per cent of the workforce is either illiterate or educated below the primary level.
• Regarding the service sector, Ninth Plan stated that the growth rate of employment in this sector
has been of the order of 5.39 % per annum during 1987-88 to 1993-94 compared to barely 1.84 %
per annum between 1983 and 1987-88. But the irony of the strategy of employment outlined in the
Ninth Plan is not to compute the employment growth in education and health sector if policies of
building human capital, as suggested by Nobel Laureate Amartya Sen, have to be buttressed.
8.5 Key-Words

1. Endowment mortgage : An endowment mortgage is a mortgage loan arranged on an interest-
only basis where the capital is intended to be repaid by one or more
(usually Low-Cost) endowment policies. The phrase endowment
mortgage is used mainly in the United Kingdom by lenders and
consumers to refer to this arrangement and is not a legal term. If the
individual dies during the endowment mortgage period then the
mortgage provider retains the property.
2. Piggery-rearing : Intensive piggeries (or hog lots) are a type of animal husbandry
specialized in the raising of domestic pigs up to slaughter weight. They
are also known as an AFO or CAFO in the U.S. In this system of pig
production, grower pigs are housed indoors in group-housing or straw-
lined sheds, whilst pregnant sows are housed in sow stalls (gestation
crates) or pens and give birth in farrowing crates.
8.6 Review Questions

1. What is the concept of Unemployment? Discuss.
2. Discuss the causes of Unemployment in India.
3. Write a short note on the government policies for employment.
Answers: Self-Assessment

1. (i)(a) (ii)(a) (iii)(c) (iv)(a)
8.7 Further Readings

1. The Indian Economy; S.K. Ray; Prentic, Hall of India Private Limited
New Delhi - 110001.
2. Indian Economy; Gaurav Datt and Aswani Mahajan; S. Chand and Company
LTD. Ram Nagar, New Delhi-110055

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