UPSC PYQPrelims 2020

Civil Services Examination · Question 58

With reference to the Indian economy after the 1991 economic liberalization, consider the following statements: 1. Worker productivity (₹ per worker at 2004-05 prices) increased in urban areas while it decreased in rural areas. 2. The percentage share of rural areas in the workforce steadily increased. 3. In rural areas, the growth in non-farm economy increased. 4. The growth rate in rural employment decreased. Which of the statements given above is/are correct?

  1. 1 and 2 only
  2. 3 and 4 only
  3. 3 only
  4. 1, 2 and 4 only
Show answer & explanation

Answer: (B) 3 and 4 only

Explanation

Productivity rose in both rural and urban areas, and the rural share of the workforce declined. Rural non-farm activity grew while the rural employment growth rate slowed.