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Why does disguised unemployment exist in rural areas? - Economic Applications

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Question

Why does disguised unemployment exist in rural areas?

Short Answer
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Solution

Disguised unemployment exists in rural areas due to the following reasons:

  1. Excessive pressure of population on limited land.
  2. More people engaged than actually required for agricultural work.
  3. Non-availability of alternative employment opportunities.
  4. Agriculture is seasonal with lack of irrigation for multiple cropping.
  5. Lack of subsidiary employment opportunities causes underemployment though appearing employed.
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Chapter 9: Other Sectors of Indian Economy - QUESTION BANK [Page 117]

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J. P. Goel and Kaushal Goel Economic Applications [English] Class 9 ICSE
Chapter 9 Other Sectors of Indian Economy
QUESTION BANK | Q 14. (ii) | Page 117
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