FYUG EVEN SEMESTER EXAM, 2024
ECONOMICS (2nd Semester)
Course No.: ECODSC-152T (Issues in Indian Economy)
Time: 3 Hours | Full Marks: 70 | Pass Marks: 28
SECTION-A
Answer any ten questions (All questions solved for full coverage): 2 x 10 = 20
1. Mention any two features of Indian economy at the time of independence.
- The economy was largely stagnant with very low growth rates.
- Agriculture was the dominant sector, characterized by low productivity and traditional methods.
2. Write two forms of malnutrition.
- Undernutrition: Including stunting (low height for age) and wasting (low weight for height).
- Overweight/Obesity: Resulting from an imbalance of energy intake.
3. Mention any two programmes included by the Government of India to tackle the problem of malnutrition.
- Integrated Child Development Services (ICDS): Providing food, preschool education, and primary healthcare.
- POSHAN Abhiyaan (National Nutrition Mission): Aimed at improving nutritional outcomes for children and pregnant women.
4. What do you mean by cropping pattern and crop diversification?
Cropping pattern refers to the proportion of area under different crops at a particular point in time.
Crop diversification is the shift from a single crop to a variety of crops to reduce risk and improve soil health.
5. Name two tenancy reform measures introduced in India.
- Regulation of Rent: Setting a fair limit on the rent paid by tenants to landlords.
- Security of Tenure: Ensuring tenants cannot be evicted arbitrarily.
6. Mention any two negative impacts of the Green Revolution in India.
- Inter-regional Disparities: Benefits were largely confined to states like Punjab, Haryana, and Western UP.
- Environmental Degradation: Including soil depletion and falling groundwater levels due to over-irrigation.
7. Define small and medium-scale industries.
Small and medium-scale industries are those where the investment in plant and machinery or equipment does not exceed specific limits defined by the government (currently under the MSME Act).
8. Mention any two objectives of Industrial Policy, 1991 in India.
- Liberalization: Reducing government control and licensing requirements.
- Global Integration: Opening the economy to foreign direct investment (FDI) and international trade.
9. Write two major problems faced by Public Sector Enterprises in India.
- Inefficiency and Low Productivity: Often due to lack of competition and bureaucratic delays.
- Heavy Financial Losses: Many units operate as "sick units" requiring government bailouts.
10. What do you mean by occupational structure?
Occupational structure refers to the distribution of the working population across different occupations and sectors, such as primary (agriculture), secondary (industry), and tertiary (services).
11. Mention any two policies introduced by the Government of India to tackle the problem of unemployment.
- MGNREGA: Guaranteeing 100 days of wage employment to rural households.
- PM-KVY (Pradhan Mantri Kaushal Vikas Yojana): Focused on skill development to enhance employability.
12. Define: (a) structural unemployment; (b) frictional unemployment.
- Structural Unemployment: Occurs due to a mismatch between the skills of the workers and the requirements of the jobs.
- Frictional Unemployment: Temporary unemployment occurring when people are between jobs or looking for their first job.
13. Distinguish between actual poverty and relative poverty.
Actual (Absolute) Poverty refers to a condition where a household's income falls below a minimum level required for basic necessities like food and shelter.
Relative Poverty refers to how a person's standard of living compares to the average standard of living in their society.
14. Write any two policies introduced by the Government of India to alleviate poverty.
- PDS (Public Distribution System): Providing subsidized food grains to poor households.
- Deendayal Antyodaya Yojana (DAY-NRLM): Promoting self-employment through Self Help Groups.
15. Mention any two important causes of income inequality in India.
- Inequitable distribution of land and assets.
- Differential access to education and high-paying jobs.
SECTION-B
Answer any five questions: 10 x 5 = 50
16. Explain the major features of Indian economy at the time of independence. [10]
At the time of independence in 1947, the Indian economy was in a state of decay due to colonial exploitation. Major features included:
- Low Level of Economic Development: The growth rate of real output was less than 2% per year.
- Backward Agriculture Sector: Characterized by the Zamindari system, high dependency on monsoon, and low productivity.
- Stunted Industrial Sector: There were very few basic and heavy industries; most were consumer-oriented.
- Poor Infrastructure: Railways, power, and communication were underdeveloped and primarily served colonial interests.
- Widespread Poverty and Illiteracy: A vast majority of the population lived below the subsistence level with very low literacy rates.
17. Discuss the demographic trends and issues of India since independence. [10]
Since 1947, India has seen a massive demographic shift characterized by several trends:
- Population Explosion: Rapid decline in death rates due to better health facilities while birth rates remained high for decades.
- Declining Mortality: Significant improvement in life expectancy and reduction in Infant Mortality Rate (IMR).
- Changing Age Structure: India currently has a "young" population, providing a potential Demographic Dividend.
- Urbanization: A steady migration from rural areas to cities in search of better livelihoods.
Major Issues: High population pressure on land, unemployment, and the challenge of providing quality education and healthcare to millions.
18. Marketed vs Marketable Surplus & Agricultural Marketing. [2+4+4=10]
Marketable Surplus: The residual amount of produce left with the farmer after meeting his family's consumption and other requirements.
Marketed Surplus: The actual quantity of produce that the farmer brings to the market for sale.
Problems in Agricultural Marketing:
- Lack of proper storage facilities leading to wastage.
- Presence of too many middlemen (intermediaries) who reduce farmers' profits.
- Inadequate transport facilities to reach bigger markets.
- Lack of market information and credit facilities.
Remedial Measures: 1. Establishment of Regulated Markets. 2. Provision of cold storage. 3. Promotion of Cooperative Marketing. 4. Use of digital platforms (e-NAM).
19. Features and Success of Green Revolution. [5+5=10]
Features:
- Use of High Yielding Variety (HYV) seeds (especially for wheat and rice).
- Expansion of irrigation facilities.
- Increased use of chemical fertilizers and pesticides.
- Mechanization of farming (use of tractors, etc.).
Success: It made India self-sufficient in food grains and transformed the country from a "begging bowl" to an exporter.
However, its success was limited to specific crops (wheat, rice) and regions (Punjab, Haryana), leading to regional inequalities.
21. Explain the various industrial policies introduced by the Government of India since independence. [10]
- Industrial Policy Resolution (IPR) 1948: Laid the foundation of a Mixed Economy.
- IPR 1956: The "Economic Constitution of India" which gave the public sector a dominant role.
- New Industrial Policy (NIP) 1991: A major shift towards LPG (Liberalization, Privatization, and Globalization).
24. Causes of Income Inequalities and Government Initiatives. [5+5=10]
Causes:
- Concentration of land and wealth in few hands.
- Unemployment and underemployment in the rural sector.
- Technological changes favoring skilled labor.
Government Initiatives:
- Land reforms (Abolition of intermediaries).
- Progressive taxation (Higher taxes on high earners).
- Social security schemes and subsidized services for the poor.
25. Estimating Poverty and Alleviation Programmes. [4+6=10]
Estimation Methods: Usually based on a Poverty Line determined by consumption expenditure (calorie intake) or income levels. Committees like Tendulkar and Rangarajan have defined these thresholds.
Alleviation Programmes:
- Wage Employment: MGNREGA.
- Self-Employment: Swarnajayanti Gram Swarozgar Yojana (SGSY) / NRLM.
- Food Security: Targeted Public Distribution System (TPDS).