Maharashtra Board Class 11 Economics Chapter 7 Unemployment in India Solutions

Find the Odd Word Out:

 

Question 1. Urban unemployment – Educated unemployment, Industrial unemployment, Disguised unemployment, Technological unemployment.
Answer: Disguised unemployment. This is because disguised unemployment is a type of rural unemployment, whereas the others are types of urban unemployment.
In simple words: Disguised unemployment happens in villages, mostly in farming. The other types of unemployment listed are found in cities and towns.

🎯 Exam Tip: Identify the category to which most options belong to easily spot the odd one out in classification questions.

Question 2. States with high rates of unemployment – Goa, Punjab, Maharashtra, Tripura.
Answer: Maharashtra. This state is identified as having a different unemployment profile compared to the others listed in this group.
In simple words: Out of the states listed, Maharashtra is the odd one out because its unemployment dynamics differ from the other regions.

🎯 Exam Tip: For odd-man-out questions, clearly state the correct odd option to secure quick marks.

 

Question 3. Employment Guarantee Scheme 1972, Jawahar Rozgar Yojana 1989, Swarnajayanti Gram Swarozgar Yojana 1999, Development of Tourism.
Answer: Development of tourism. While the other options are specific government-launched employment schemes, tourism development is a general economic sector.
In simple words: The first three options are actual government programs created to give people jobs, whereas tourism is just an industry.

🎯 Exam Tip: Group the similar items by their common category (like "government schemes") to easily identify the odd option.

 

Identify and Explain the Concepts from the Given Illustrations:

 

Question 1. Hussain Shaikh employed seven workers less than the usual number of workers on his farm, in spite of this, output remained the same.
Answer: Disguised unemployment. Disguised unemployment is a situation in which more people are doing work than actually required. Thus, even after employing fewer workers than the usual number, the output of Hussain Shaikh remained the same. This indicates that the extra workers were not adding any real value to the total production.
In simple words: This happens when there are extra workers on a farm who aren't actually needed. If they leave, the farm still produces the exact same amount of crops.

🎯 Exam Tip: Always state the name of the concept clearly first, and then explain how it applies to the given story.

 

Question 2. The use of new technology in the printing industry has led to unemployment among several workers.
Answer: Technological unemployment. Technological unemployment arises due to changes in technology. Modern technology is capital intensive requiring less labour. Thus, the use of new technology displaces few workers from their jobs. This is a common occurrence during periods of rapid industrial modernization.
In simple words: When new machines or computers are introduced to do work faster, companies need fewer human workers, which causes some people to lose their jobs.

🎯 Exam Tip: Use key terms like "capital-intensive" and "labour-displacing" to show a strong understanding of technological unemployment.

 

Question 3. Satish has completed his post-graduation and is desperately expecting a job.
Answer: Educated unemployment. Educated unemployment is due to an imbalance between job opportunities and the availability of suitable jobs for educated individuals. This occurs when highly qualified people are forced to remain idle because there are not enough professional roles available in the economy.
In simple words: This is when someone works hard to get a college degree but still cannot find a job because there aren't enough professional positions open.

🎯 Exam Tip: Define this concept as a mismatch between education levels and actual job creation in the market.

 

Question 4. In certain agricultural areas of Maharashtra, only Kharif crops are grown, therefore, employment is available till the month of October.
Answer: Seasonal unemployment. Seasonal unemployment is due to slack season or off-season. Kharif crops have a particular season. Thus, for the rest of the period, farmers remain unemployed leading to seasonal unemployment. This type of unemployment is highly dependent on natural cycles and seasonal demands. Such kind of unemployment is also found in the case of tourism, marriage bands, sugar factories, etc.
In simple words: Seasonal unemployment happens when people can only find work during certain times of the year, like farmers who only work during the crop-growing season.

🎯 Exam Tip: Clearly define the term first, then explain the cause (like crop seasons) and provide real-world examples to secure full marks.

Complete the Correlation:

 

Question 1. Seasonal unemployment : Tourist guides : : __________ : Graduates
Answer: Educated unemployment
In simple words: Just like tourist guides face seasonal unemployment, graduates who cannot find jobs face educated unemployment.

🎯 Exam Tip: Identify the relationship in the first pair (type of unemployment to the group affected) to easily find the missing term.

 

Question 2. __________ : Disguised unemployment : : Urban unemployment : Industrial unemployment
Answer: Rural unemployment
In simple words: Disguised unemployment is a feature of rural areas, just like industrial unemployment is a feature of urban areas.

🎯 Exam Tip: Pay attention to the classification of unemployment into rural and urban categories to solve correlation questions accurately.

 

Question 3. Frictional unemployment : Shortage of raw materials : : __________ : Fluctuations in business activity
Answer: Cyclical unemployment
In simple words: Frictional unemployment is caused by temporary issues like raw material shortages, while cyclical unemployment is caused by ups and downs in the overall economy.

🎯 Exam Tip: Remember that business cycles (booms and recessions) always lead to cyclical unemployment.

 

Question 4. MGNREGS : Guaranteed wage employment : : TRYSEM : __________
Answer: Training for self-employment
In simple words: While MGNREGS guarantees paid work, TRYSEM provides training to rural youth so they can start their own businesses.

🎯 Exam Tip: Expand the acronyms in your mind to easily identify the core objective of each government scheme.

 

Question 5. __________ : Waste of resources : : Social effect : Loss of human dignity
Answer: Economic effect. This highlights how unemployment leads to a waste of valuable national resources.
In simple words: Just as losing self-respect is a social consequence of being unemployed, wasting valuable human talent and resources is an economic consequence.

🎯 Exam Tip: In analogy questions, identify the relationship in the second pair (Social effect to Loss of dignity) to find the matching term for the first pair.

 

Observe the following charts and answer the questions.

• Unemployment
  • Rural unemployment
    • Seasonal unemployment
    • Disguised unemployment
  • Urban unemployment
    • Educated unemployment
    • Industrial unemployment
      • Technological unemployment
      • Frictional unemployment
      • Cyclical unemployment
      • Structural unemployment

 

Question 1. Production does not increase if an additional worker is employed and production does not decrease if a worker is reduced from the work. Mention the type of unemployment.
Answer: Disguised unemployment. This typically occurs when more people are working on a farm or project than are actually needed.
In simple words: This happens when extra workers are employed but their contribution to total production is zero, meaning they are secretly or 'disguisedly' unemployed.

🎯 Exam Tip: Remember that in disguised unemployment, the marginal productivity of the extra labor is zero.

 

Question 2. A worker is thrown out of a job because of computerization. Name this type of unemployment?
Answer: Technological unemployment. This occurs when modern machinery and automation replace human labor in the production process.
In simple words: When new technology or computers do the work that humans used to do, the workers lose their jobs because they are no longer needed.

🎯 Exam Tip: Associate terms like 'computerization', 'automation', or 'modern machinery' directly with technological unemployment to score full marks.

 

Question 3. Sharad was forced to return back to India from the USA due to depression in the IT
Answer: Cyclical unemployment. This type of unemployment is caused by economic downturns or depressions in the business cycle.
In simple words: When there is a global economic slowdown or depression, businesses lay off workers, leading to cyclical unemployment.

🎯 Exam Tip: Whenever a question mentions 'depression', 'recession', or 'business cycle', the answer is always cyclical unemployment.

Question. ... sector.
Answer: Cyclical unemployment.
In simple words: Cyclical unemployment happens when people lose their jobs because the economy is going through a slow period.

🎯 Exam Tip: Remember that cyclical unemployment is directly linked to the business cycle phases of recession and depression.

 

Question 4. In spite of being a graduate, Vasant is sitting idle at home.
Answer: Educated unemployment. This occurs when people with academic degrees cannot find suitable jobs matching their qualifications.
In simple words: Educated unemployment is when someone has gone to school or college but still cannot find a job.

🎯 Exam Tip: Clearly define the type of unemployment based on the educational qualification mentioned in the scenario.

 

Question 5. Give examples of structural unemployment.
Answer: Examples of structural unemployment include: horse cart replaced by auto-rickshaw; computerized typing replaced manual typists; small traders replaced by malls and online shopping. These shifts occur due to long-term changes in the structure of an economy.
In simple words: Structural unemployment happens when technology or market changes make old jobs disappear, requiring workers to learn new skills.

🎯 Exam Tip: Use real-life examples of technological advancement to illustrate structural unemployment clearly.

 

Question 5. Find out \( Q_1 \) and \( Q_3 \) using unemployment rates as numerical data:

Year	Unemployment Rate %
2009	3.75
2010	3.54
2011	3.53
2012	3.62
2013	3.46
2014	3.41
2015	3.49
2016	3.51
2017	3.52

Answer: To find the first quartile (\( Q_1 \)) and third quartile (\( Q_3 \)), we first arrange the data in ascending order: 3.41, 3.46, 3.49, 3.51, 3.52, 3.53, 3.54, 3.62, 3.75 Here, the number of observations \( N = 9 \).
Calculation of \( Q_1 \):
\( Q_1 = \text{Size of } \left(\frac{N+1}{4}\right)^{\text{th}} \text{ observation} \)
\( \implies Q_1 = \text{Size of } \left(\frac{9+1}{4}\right)^{\text{th}} \text{ observation} \)
\( \implies Q_1 = \text{Size of } (2.5)^{\text{th}} \text{ observation} \)
\( \implies Q_1 = 2^{\text{nd}} \text{ observation} + 0.5 \times (3^{\text{rd}} \text{ observation} - 2^{\text{nd}} \text{ observation}) \)
\( \implies Q_1 = 3.46 + 0.5 \times (3.49 - 3.46) \)
\( \implies Q_1 = 3.46 + 0.5 \times 0.03 \)
\( \implies Q_1 = 3.46 + 0.015 \)
\( \implies Q_1 = 3.475 \)

Calculation of \( Q_3 \):
\( Q_3 = \text{Size of } 3 \times \left(\frac{N+1}{4}\right)^{\text{th}} \text{ observation} \)
\( \implies Q_3 = \text{Size of } 3 \times (2.5)^{\text{th}} \text{ observation} \)
\( \implies Q_3 = \text{Size of } (7.5)^{\text{th}} \text{ observation} \)
\( \implies Q_3 = 7^{\text{th}} \text{ observation} + 0.5 \times (8^{\text{th}} \text{ observation} - 7^{\text{th}} \text{ observation}) \)
\( \implies Q_3 = 3.54 + 0.5 \times (3.62 - 3.54) \)
\( \implies Q_3 = 3.54 + 0.5 \times 0.08 \)
\( \implies Q_3 = 3.54 + 0.04 \)
\( \implies Q_3 = 3.58 \) Thus, the first quartile \( Q_1 \) is 3.475% and the third quartile \( Q_3 \) is 3.58%. These values help us understand the distribution of unemployment rates over the given years.
In simple words: To find the quartiles, we arrange the unemployment rates from smallest to largest and find the values at the 25% mark (Q1) and 75% mark (Q3).

🎯 Exam Tip: Always arrange the data in ascending order before calculating quartiles to avoid calculation errors.

 

Question. Calculate the first quartile (\( Q_1 \)) and third quartile (\( Q_3 \)) for the given unemployment rate data.
Answer:

Year	Unemployment Rate %	Cumulative frequency (Less than)
2009	3.75	3.75
2010	3.54	7.29
2011	3.53	10.82
2012	3.62	14.44
2013	3.46	17.9
2014	3.41	21.31
2015	3.49	24.8
2016	3.51	28.31
2017	3.52	31.83

Here, \( n = 31.83 \)
For \( Q_1 \): \( \frac{n + 1}{4} = \frac{31.83 + 1}{4} = \frac{32.83}{4} = 8.2075 \)
Since \( 8.2075 \) lies in cumulative frequency \( 10.82 \), the corresponding year is \( 2011 \).
\( \therefore Q_1 = 2011 \)

For \( Q_3 \): \( 3\left(\frac{n + 1}{4}\right) = 3\left(\frac{31.83 + 1}{4}\right) = 3\left(\frac{32.83}{4}\right) = 3(8.2075) = 24.6225 \)
Since \( 24.6225 \) lies in cumulative frequency \( 24.8 \), the corresponding year is \( 2015 \).
\( \therefore Q_3 = 2015 \)
In simple words: We find the quartiles by calculating cumulative totals and using formulas to locate the specific years that represent the 25% and 75% marks of our data.

🎯 Exam Tip: Always write down the formula clearly before substituting values to ensure you get step-by-step marks even if there is a minor calculation error.

Answer the Following in Detail:

 

Question 1. Explain the types of Industrial unemployment in India.
Answer:
Types of Industrial unemployment:
(i) Technological unemployment:
Due to the introduction of new machines or new technology, when some workers are removed from their jobs due to lack of proper training. E.g. computerization, the introduction of robotic technology, etc. This shift often requires workers to upgrade their skills to remain employable in a modern economy.

(ii) Frictional unemployment:
When due to the breakdown of machines, shortage of raw materials, strikes, power failure, etc. some workers are removed from the jobs, there is said to be frictional unemployment. This is temporary in nature.
In simple words: Industrial unemployment happens when workers lose jobs due to technology upgrades or temporary disruptions like machine breakdowns and power cuts. Technological unemployment is long-term, while frictional unemployment is short-term.

🎯 Exam Tip: Clearly distinguish between technological and frictional unemployment by highlighting that one is caused by modern technology upgrades while the other is due to temporary operational disruptions.

(iii) Cyclical unemployment:
During an economic recession, there is a slowdown of economic activities due to a fall in overall demand. Therefore, factory owners remove some workers from their jobs to cut down the cost such unemployment caused due to depression (trade cycle) is called cyclical unemployment.

(iv) Structural unemployment:
It takes place due to structural changes in the economy i.e when due to change in the complete business set up, some workers are removed from their jobs, there is said to be structural unemployment. E.g. introduction of power looms instead of handlooms. It is long-term in nature.

🎯 Exam Tip: Remember that cyclical unemployment is temporary and linked to the business cycle, whereas structural unemployment is long-term and caused by technological changes.

 

Question 2. Explain the causes of unemployment in India.
Answer:
Causes of Unemployment:
(i) Jobless growth:
Since independence, the rate of economic growth is less than the growth rate of the population. This leads to widespread unemployment in India.

(ii) Increase in labour force:
Due to the increase in medical facilities since independence, there is a considerable fall in the death rate without a corresponding fall in the birth rate. This led to an increase in the labour force which in turn led to unemployment in India.

(iii) Excessive use of machinery:
Industries as well as agricultural producers are undergoing modernization and have started using more machines and less labour. This means the Indian economy is moving towards capital intensive technique leaving behind labour intensive technique, which led to large scale unemployment.

(iv) Lack of skill development programmes:
Though educational institutions are increasing, no proper training is given to youngsters to work. Development of vocational skill courses is comparatively less in number in India. Hence, there is a lack of skilled manpower required by the industry in India. This mismatch between academic degrees and practical industry requirements further worsens the employment scenario.
In simple words: Unemployment in India happens because the population is growing faster than new jobs are being created. Additionally, businesses are using more machines instead of human workers, and many young people do not get the practical skills needed for modern jobs.

🎯 Exam Tip: Clearly list and explain at least four distinct causes with appropriate subheadings like 'Jobless growth' and 'Excessive use of machinery' to secure full marks.

 

Question 3. Explain the measures taken by the government to reduce unemployment.
Answer: The measures taken by the government of India to reduce unemployment are as follows:

General measures to reduce unemployment:

• Development of agricultural sector
• Provision for an alternative occupation
• Development of infrastructure
• Reforms in the educational system
• Development of tourism
• Use of labor-intensive techniques
• Development of information technology and communication
• Provision for vocational training and skill development facilities
• Rural industrialization
• Motivation for self-employment.

Specific measures are undertaken by the government to generate employment opportunities:
Employment Guarantee Scheme (EGS): This Scheme was introduced on 28th March 1972 to provide productive employment in rural areas.
In simple words: The government helps reduce unemployment by improving farming, building better roads and schools, and creating special jobs programs like the Employment Guarantee Scheme.

🎯 Exam Tip: Clearly distinguish between general and specific measures, and list key schemes like the Employment Guarantee Scheme (EGS) to score full marks.

1972. This scheme was introduced by Maharashtra Government in 1972-73. Under this scheme, work is provided to the registered job-seekers in rural areas within 15 days from the date of registration. This scheme was for unskilled manual labors above 18 years.

 

Swarnjayanti Gram Swarozgar Yojana (SGSY): This scheme was launched in April 1999 after restructuring the Integrated Rural Developmental Programmer (IRDP) and allied schemes. It’s the only self-employment scheme for the rural poor in India.

 

Swarna Jayanti Shahari Rozgar Yojana (SJSRY): This scheme was launched in December 1997, It provides gainful employment to the urban unemployed and underemployed. It includes self-employment, women self-employment programme, skill training for employment programme, for this scheme Central Government shares 75% of the cost and State Government shares 25% of the cost.

 

Pradhan Mantri Rozgar Yojana (PMRY): This scheme is being implemented since 1993 to create and provide sustainable self-employment opportunities to more than one million educated unemployed youth.

 

Training Rural Youth for Self-employment (TRYSEM): It was initiated in 1979 with the objective of tackling the unemployment problem among rural youth. It aimed at training about 2 lakh rural youth every year to enable them to become self employed.

 

Other Government Measures

Besides the above measures, there are many other specific measures undertaken by the government. They can be named as:

• Jawahar Rozgar Yojana (JRY)
• Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS)
• Deen Dayal Upadhyaya Grameen Kaushalya Yojana 2014
• National Policy for Skill Development and Entrepreneurship – 2015
• Startup India Initiative
• Pradhan Mantri Kaushal Vikas Yojana – (2016-20)

Do You Know? (Textbook Page No. 46)

 

Question. State-wise unemployment rates in India (2015-16)

Ranks	State	Unemployment (Per 1000)	Ranks	State	Unemployment (Per 1000)
1	Tripura	197	16	Manipur	57
2	Sikkim	181	17	Odisha	50
3	Kerala	125	18	West Bengal	49
4	Himachal Pradesh	106	19	Meghalaya	48
5	Assam	96	20	Haryana	47
6	Arunachal Pradesh	89	21	Madhya Pradesh	43
7	Nagaland	85	22	Tamilnadu	42
8	Jharkhand	77	23	Andhra Pradesh	39
9	Uttar Pradesh	74	24	Mizoram	30
10	Jammu and Kashmir	72	25	Telangana	28
11	Rajasthan	71	26	Maharashtra	21
12	Uttarakhand	70	27	Chhattisgarh	19
13	Goa	61	28	Karnataka	15
14	Punjab	60	29	Gujarat	09
15	Bihar	60

Answer: The cumulative frequency (less than) table for the state-wise unemployment rates is calculated below:

Ranks	State	No. of people	Cumulative Frequency (Less than)
1.	Tripura	197	197
2.	Sikkim	181	378
3.	Kerala	125	503
4.	Himachal Pradesh	106	609
5.	Assam	96	705
6.	Arunachal Pradesh	89	794

In simple words: This table shows the number of unemployed people per 1000 in different Indian states, and the cumulative frequency adds them up step-by-step to show the running total.

🎯 Exam Tip: To find the cumulative frequency (less than), keep adding the frequency of the current row to the sum of all previous frequencies. Double-check your addition at each step to avoid calculation errors.

Sr. No.	State	Value 1	Value 2
7	Nagaland	85	879
8	Jharkhand	77	956
9	Uttar Pradesh	74	1030
10	Jammu and Kashmir	72	1102
11	Rajasthan	71	1173
12	Uttarakhand	70	1243
13	Goa	61	1304
14	Punjab	60	1364
15	Bihar	60	1424
16	Manipur	57	1481
17	Odisha	50	1531
18	West Bengal	49	1580
19	Meghalaya	48	1628
20	Haryana	47	1675
21	Madhya Pradesh	43	1718
22	Tamilnadu	42	1760
23	Andhra Pradesh	39	1799
24	Mizoram	30	1829
25	Telangana	28	1857
26	Maharashtra	21	1878
27	Chhattisgarh	19	1897
28	Karnataka	15	1912
29	Gujarat	09	1921

 

Question. Calculate the second quartile \( Q_2 \) for the given data where \( n = 1921 \) and identify the corresponding state.
Answer: Here, \( n = 1921 \)
For \( Q_2 = 2 \left( \frac{n+1}{4} \right)^{\text{th}} \) observation
\( = 2 \left( \frac{1921+1}{4} \right)^{\text{th}} \) observation
\( = 2(480.5) \)
\( = 961^{\text{th}} \) observation.
The \( 961^{\text{th}} \) observation lies in the cumulative frequency (cf) of \( 1030 \).
\( \therefore Q_2 = 9 \)
Hence, Rank 9 is represented by Uttar Pradesh. This calculation helps us pinpoint the exact median rank among the states.
In simple words: To find the middle rank (the second quartile), we use a formula with our total count of 1921. This tells us to look for the 961st position, which falls into the group for rank 9, belonging to Uttar Pradesh.

🎯 Exam Tip: Always state the formula clearly before substituting the values, and double-check which cumulative frequency interval contains your target observation to avoid calculation errors.