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प्रश्न
Majority of the credit needs of the ______ households are met from informal sources.
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उत्तर
Majority of the credit needs of the poor households are met from informal sources.
Explanation:
Poor households lack the assets and formal documents that commercial banks require as collateral for loans. As a result, they are compelled to rely on local moneylenders and landlords who give rapid cash based on personal relationships while charging exploitatively high interest rates.
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संबंधित प्रश्न
Explain with an example, how credit plays a vital and positive role for development.
Which one of the following is a formal source of credit?
Why is it necessary for the banks and cooperative societies to increase their lending facilities in rural areas? Explain.
How do banks mediate between those who have surplus money and those who need money?
The following table shows people in a variety of occupations in urban areas. What are the purposes for which the following people might need loans? Fill in the column.
| Occupations | Reason for needing a Loan |
| Construction worker | |
| Graduate student who is computer literate | |
| A person employed in government service | |
| Migrant labourer in Delhi | |
| Household maid | |
| Small trader | |
| Autorickshaw driver | |
| A worker whose factory has closed down |
Next, classify the people into two groups based on whom you think might get a bank loan and those who might not. What is the criterion that you have used for classification?
How can the problem of unemployment be eradicated in India? Explain any three ways.
“Credit can play a positive role.” Justify the statement with arguments.
“Credit can play a negative role.” Justify the statement with arguments.
Explain the importance of formal sector loans in India.
Answer the following question.
Why is cheap and affordable credit important for the country's development? Explain any three reasons.
