WBCS.LIVE practice question

'Disguised unemployment' is a highly common economic phenomenon primarily observed in which sector of India?

Solve this multiple-choice question and check the correct answer with its explanation below.

Answer options

  1. Information Technology
  2. Manufacturing Sector
  3. Banking Sector
  4. Agricultural Sector

Correct answer and explanation

Correct answer: Agricultural Sector

Explanation: āœ… Correct Answer: D) Agricultural Sector šŸ“š Explanation: Disguised unemployment occurs when more people are actively employed in a specific job than are actually required to complete the work efficiently. In India, this phenomenon is extremely common in the rural agricultural sector. Because the marginal productivity of these extra laborers is technically zero, their removal would not decrease the total agricultural output.