Disguised unemployment occurs when more people are employed in a sector than are actually needed, resulting in zero or near-zero marginal productivity of the extra workers. In India, this phenomenon is most commonly observed in the agricultural sector, particularly in family-owned farms, where multiple family members work even though fewer could achieve the same output.
In India disguised unemployment is found in:
Asked in UPPSC Upper Mains 2006 · Topic: Nature of Indian Economy (Role and Challenges of Agriculture Sector)
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