SCERT Solutions

Telangana Board

Class X

Social Studies

Chapter: 3

Production and Employment

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Q1. Fill in the blanks using the correct option given

in the bracket: (AS1)

i. Employment in the service sector __________

increased to the same extent as production.
(has/has not)
ii. Workers in the ________ sector do not produce
goods. (service/agricultural)
iii. Most of the workers in the _____ sector enjoy
job security. (organised/unorganised)
iv. A _________ proportion of labourers in India
are working in unorganised sector.
(large/small)
v. Cotton is a _________ product and cloth is a
_______ product. (natural/manufactured)

Answer:

i. Employment in the service sector has not increased

to the same extent as production. (has/has not)
ii. Workers in the service sector do not produce goods.
(service/agricultural)
iii. Most of the workers in the organised sector enjoy
job security. (organised/unorganised)
iv. A large proportion of labourers in India are working
in unorganised sector. (large/small)
v. Cotton is a natural product and cloth is a
manufactured product. (natural/manufactured)

Q2. Choose the most appropriate answer. (AS1)

(a) Production of a commodity, mostly through the

natural process, is an activity in ________ sector.

(i) primary
(ii) secondary
(iii) tertiary
(iv) information technology

Correct Answer: (i) primary

Explanation: When a commodity is produced by

exploiting the natural resources, it is an activity of
Primary sector.

(b) GDP is the total value of __________ produced

during a particular year.

(i) all goods and services

(ii) all final goods and services
 (iii) all intermediate goods and services
(iv) all intermediate and final goods and
services

Correct Answer: (ii) All final goods and services

Explanation: The value of final goods already includes

the value of all intermediate goods that are used in the
making of the final good. Hence while calculating the GDP
we include the value of only final goods and services.

(c) In terms of GDP the share of service sector in

2011-12 was

(i) between 20 to 30 per cent

(ii) between 30 to 40 per cent
(iii) between 50 to 60 per cent
(iv) 70 per cent

Correct Answer: (iii) Between 50 to 60 per cent

Explanation: Tertiary sector helps primary and

secondary sectors by providing various types of services.

Q3. Find the odd one out and say why. (AS1)

(i) teacher, doctor, vegetable vendor, lawyer

(ii) Postman, cobbler, soldier, police constable

Answer:
 (i) Vegetable Vendor;
Reason: Teacher, doctor and lawyer, they these
professions require formal education, while a
vegetable vendor does not require a formal
education.
(ii) Cobbler;
Reason: Rest all works in the public sector,
while cobblers’ profession is a part of private
sector.

Q4. Do you think the classification of economic

activities into primary, secondary and services
sectors is useful? Explain how. (AS1)

Answer: An economy is best understood when we study

its components or services. Sectoral classification of
economic activities into primary, secondary and tertiary
sector help as in ascertain where and how the people of
our country are employed. It also helps in ascertaining as
to which sector contributes more or less to the country’s
GDP and Income.

Proper classification can also help in analysing the

changing roles of sectors and the root cause behind
them. For example the declining importance of
agriculture and growing importance of industry and
service sector can be better studied with proper
classification of economic activities and accordingly
appropriate measures can be taken. Hence for proper
administration and progress, it is necessary to classify
the economic activities into different sectors.

Q5. For each of the sectors that we came across in

this chapter why should one focus on employment
and GDP? Could there be other issues which should
be examined? Discuss. (AS4)

Answer: One should focus on GDP and employment

because these help in determining the size of an
economy. Proper assessment of the share of different
sectors towards GDP and the level of employment in
different sectors would help in framing adequate policies
by determining the important things like per capita
income and productivity. For example if the share of
primary sector to GDP is very less but the level of
employment is huge, it indicates that the government
needs to take adequate steps to improve the productivity
of primary sector and also to utilise the excess of labour
of primary sectors in other sectors of the economy.

Other issues which should be examined are:

 Regional development and disparities

 Equitable distribution of income and wealth
 Poverty levels
 Level of modernisation, etc.
Q6. How is the service sector different from other
sectors? Illustrate with few examples. (AS1)

Answer: Tertiary sector is different from the other two

sectors i.e. primary and secondary because it doesn’t
produce goods like the other two sectors but provide
support services for the production to take place in
primary and secondary sector. It includes necessary
services that may or may not directly help in the
production of goods. For example, banking services,
transportation and communication services, services of
teachers, doctors etc. Owning to these reasons, it is also
called as service sector.

Q7. What do you understand by underemployment?

Explain with an example each from the urban and
rural areas. (AS1)

Answer: Underemployment refers to a situation in which

more people are employed in a work than actually
required or people are employed at less than their
potential or capacity.

For example, in rural area suppose 10 farmers are

working in a field where only 5 farmers are required. If 5
extra farmers are removed, the productivity will not
change. This kind of unemployment is hidden in contrast
to someone who does not have a job and is clearly visible
as unemployed. Hence, it is also called disguised
unemployment.
Another example of underemployment employment from
urban area can be of a small family run business (in
which the whole family of 10 people is employed) which
require maximum of 3 people.

Q8. The workers in the unorganised sector need

protection on the following issues: wages, safety
and health. Explain with examples. (AS1)

Answer: (1) Wages: In unorganised sector, workers are

given less wages then the government announced
minimum wage scale. They often do not have fixed
income, women are not paid at par to man. For Example:
Farm labourers

(2) Safety: In unorganised sector, safety norms are often

ignored or not followed. People work in unhygienic and
hazardous conditions. For example: workers involves in
bangle industry, or fire crackers making companies.

(3) Health: In unorganised sectors there are no leaves

due to sickness, medical facilities, medical insurance, etc.
For example: workers working on construction sites.

(1) Wages:

I. Equal wages should be paid to male & female workers

for equal work.

II. Payment should be made for overtime work.

(2) Safety:

I. Appropriate measures and safeguards should be put

into place to ensure safe working conditions for the
workesr.

II. If something goes wrong with the worker on the duty,

the worker should be given economic protection.

(3) Health:

I. Workers should be given free medical services,

checkups etc

Q9. A study in Ahmedabad found that out of

15,00,000 workers in the city, 11,00,000 worked in
the unorganised sector. The total income of the city
in this year(1997-1998) was Rs 60,000 crores. Out
of this Rs. 32,000 crores was generated in the
organised sector. Present this data as a table. What
are the ways for generating more employment in
the city? (AS3)

Answer:

Organised Unorganised Total

sector Sector
No. of 4,00,000 11,00,000 15,00,000
workers
Income (Rs.) 32,000 28,000 60,000
crores crores crores
To generate more employment in the cities following can
be done:

 Government should give financial support to bring

more unorganised sector companies under the roof
of organised sector.
 The entrepreneurs in unorganised sector should be
encouraged to change them into organised sector by
providing them incentives like tax rebates etc.
 People should be made aware of the advantages of
organised sector, to motivate them to take up jobs in
organised sector.

Q10. Read the 4th para of page 33, i.e. “In the past
50 years, ……… observed for developed countries.
(AS2)

Is a similar pattern observed for India? Give your

opinion.

Answer: No we cannot say that a similar pattern of shift

from industry to service sector has been observed for
India. In India a shift has taken place but not from
industry to service sector but from agriculture to service
sector. The following pie charts show the share of
different sectors in Gross Domestic Product of India.
As you can observe the share of agriculture in GDP has
fallen drastically. Share of industrial output in GDP
increased marginally. In contrast to this, the share of
service sector activities has shown tremendous increase
in GDP.

In India, though there has been a shift of GDP shares,

the shift in employment has not taken place.

Agriculture remains the biggest employer even now. This

is because enough jobs were not created in the industry
and service sectors.

This is not the same pattern that is observed for

developed countries.

Q11. Observe the ‘pie’ graphs given in page 34 and

answer the following questions (AS3)
i) In the year 2011-12, in GDP share of which
sectors are increased when you compared to the
year 1972-73?

Answer: In the year 2011-12, in GDP share of two out

of three sub-sectors of service activities i.e. trade, hotels,
transport & communication and finance, insurance & real
estate has increased tremendously when you compared
to the year 1972-73.

ii) How much the share of agriculture sector in

GDP is decreased in the year 2011-12 when
compared to the year 1972-73?

Answer: The share of agriculture sector in GDP is

decreased from 43%in the year 1972-73 to 17% in the
year 2011-12.