Disguised unemployment occurs when removing some workers from a sector (often agriculture) does not lead to a fall in output, implying that the marginal productivity of these workers is zero or close to zero.
Disguised unemployment is said to occur when :
Asked in HAS Prelims 2019 · Topic: Nature of Indian Economy (Role and Challenges of Agriculture Sector)
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Answer: C. More labour is engaged in an occupation than optimally required.
More Economic Development questions
- Which one of the following is not a feature of agriculture in India ?
- How does agriculture fuel Indian industrial development ? By opening up market for industrial products By providing food and clothing to labourers By supplying raw materials Select the correct answer using the code given below :
- More than 50% of the working population in India depend on
- The percentage share of agriculture in the national income of India during the last five decades has—
- In India disguised unemployment is found in:
- The Employment Guarantee Act underlying the MGNREGS is a
- The largest Employer in India is the
- Disguised unemployment refers to