With reference to the Indian economy after the 1991 economic liberalization, consider the following…
With reference to the Indian economy after the 1991 economic liberalization, consider the following statements:
1. Worker productivity (Rupee per worker at 2004-05 prices) increased in urban areas while it decreased in rural areas.
2. The percentage share of rural areas in the workforce steadily increased.
3. In rural areas, the growth in non-farm economy increased.
4. The growth rate in rural employment decreased.
Which of the statements given above is/are correct?
1 and 2 only
3 and 4 only
3 only
1, 2 and 4 only
Solution
Worker productivity rose in both urban and rural areas — 1 wrong. Rural share in workforce steadily decreased — 2 wrong. Non-farm rural economy grew — 3 correct. Rural employment growth rate slowed — 4 correct. Answer: (b) 3 and 4 only.