Notes of The Chapter People As Resource

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PEOPLE AS RESOURCE (NOTES)

1. How population becomes resource?


Population becomes resource when there is investment made in the
form of education, training and medical care.
2. Define human capital.
Human capital is the stock of skill and productive knowledge
embodied in them.

3. Define human capital formation.


When the existing 'human resource' is further developed by
becoming more educated and healthier, we call it 'human capital
formation' that adds to the productive power of the country just like
'physical capital formation'.
4. Distinguish between positive and negative side of population.
• Looking at the population from the productive aspect
emphasises its ability to contribute to the creation of the Gross
National Product. Like other resources population also is a
resource — a 'human resource'.
• Negative aspect is the problems of providing the
population with food, education and access to health facilities.
5. What is the importance of human capital?
➢ Investment in human capital through education, training,
medical care yields a return just like investment in physical
capital. This can be seen directly in the form of higher incomes
earned because of higher productivity of the more educated or
the better trained persons, as well as the higher productivity
of healthier people.
➢ Not only do the more educated and the healthier people gain
through higher incomes, society also gains in other indirect
ways because the advantages of a more educated or a healthier
population spread to those also who themselves were not directly
educated or given health care.
➢ In fact, human capital is in one way superior to other resources
like land and physical capital: human resource can make use of
land and capital. Land and capital cannot become useful on its
own!
6. How population can be turned into productive asset?
➢ For many decades in India, a large population has been
considered a liability rather than an asset.
➢ But a large population need not be a burden for the economy.
➢ It can be turned into a productive asset by investment in human
capital.
➢ For example, by spending resources on education and health
for all, training of industrial and agricultural workers in the use of
modern technology, useful scientific researches and so on.
7. Investment on people is same as investment in land and capital. Explain.
➢ Investment in human resource via education and medical care can
give high rates of return in future. This investment on people is
the same as investment in land and capital.
➢ A child, too, with investments made on her education and
health, can yield a high return in future in the form of higher
earnings and greater contribution to the society.
➢ Educated parents are found to invest more heavily on the
education of their child. This is because they have realised the
importance of education for themselves. They are also
conscious of proper nutrition and hygiene.
➢ They accordingly look after their children’s needs for
education at school and good health.
➢ A virtuous cycle is, thus, created in this case.
➢ In contrast, a vicious cycle may be created by disadvantaged
parents, who themselves uneducated and lacking in hygiene,
keep their children in a similarly disadvantaged state.

8. How did countries like Japan become developed without natural resources?
➢ Countries, like Japan, have invested in human resource. They
did not have any natural resource. These countries are
developed/rich. They import the natural resource needed in
their country.
➢ They have invested on people, especially in the field of education
and health.
➢ These people have made efficient use of other resources, like land
and capital.
➢ Efficiency and the technology evolved by people have made
these countries rich/developed.
9. What are the various activities undertaken in primary, secondary and tertiary sector?
➢ The various activities have been classified into three
main sectors i.e., primary, secondary and tertiary.
➢ Primary sector includes agriculture, forestry,
animal husbandry, fishing, poultry farming,
mining and quarrying.
➢ Manufacturing is included in the secondary
sector. Trade, transport, communication, banking,
education, health, tourism, services, insurance, etc.
are included in the tertiary sector. The activities in this
sector result in the production of goods and services.

10.What is the difference between economic activities and non-economic


activities?
➢ Any activity undertaken to earn income or profit is
called economic activity. Their market value is included
in the national income. For example, services of a
lawyer, doctor, farmer, shopkeeper etc.
➢ Economic activities have two parts — market activities
and non-market activities.
➢ Market activities involve remuneration to anyone
who performs i.e., activity performed for pay or profit.
These include production of goods or services,
including government service.
➢ Non-market activities are the production for self-
consumption. These can be consumption and
processing of primary product and own account
production of fixed assets.
➢ Non-economic activities are performed out of love, and
affection. They are not performed to earn income or
profit.
➢ Their market value cannot be calculated. So, the are
not included in the national income. For example,
services of house wife, family member helping each
other etc.
11.Why are women employed in low paid work?
➢ Education and skill are the major determinants of the earning of
any individual in the market.
➢ A majority of women have meagre education and low skill
formation. That is why Women are paid low compared to
men.
➢ Most women work where job security is not there.
➢ Various activities relating to legal protection is meagre.
Employment in this sector is characterised by irregular and
low income.
➢ In this sector there is an absence of basic facilities like maternity
leave, childcare and other social security systems.
12.Distinguish between organised and unorganised sector.

13.What is the importance of education in one’s life?


➢ Investment in education is similar to the investment in
capital goods.
➢ Investment in education increases future income as
investment in capital goods increase future profit.
➢ Education contributes towards the growth of society
also.
➢ It enhances the national income, cultural richness and
increases the efficiency of governance.

14. What are the steps taken by the government in the field
of education in India?
➢ There is a provision made for providing universal access,
retention and quality in elementary education with a
special emphasis on girls.
➢ There is also an establishment of pace setting of schools
like Navodaya Vidyalaya in each district.
➢ Vocational streams have been developed to equip large
number of high school students with occupations
related to knowledge and skills.
15. Write a note on expenditure by the government on
education.
➢ The plan outlay on education has increased from Rs 151
crore in the first plan to Rs 99,300 crore in 2020–21.
➢ The expenditure on education as a percentage of GDP
rose from 0.64% in 1951–52 to 3.1% in 2019–20 (B.E.)
and has remained stagnant around 3% from past few
years.
➢ The Budgetary Estimate as stated in the Budget
Documents of Union State Governments, Reserve Bank
of India, the expenditure on education as a
percentage of GDP has declined to 2.8% in 2020–21 (B.E.)
16. Write a note on literacy rate in India.
➢ The literacy rates have increased from 18% in 1951 to 85%
in 2018.
➢ Literacy is not only a right, it is also needed if the citizens
are to perform their duties and enjoy their rights properly.
➢ However, a vast difference is noticed across different
sections of the population.
➢ Literacy among males is nearly 16.1% higher than females
and it is about 14.2% higher in urban areas as compared
to rural areas.
➢ As per 2011 census, literacy rates varied from 94% in
Kerala to 62% in Bihar.
➢ The primary school system (I–V) has expanded to
over 7,78,842, lakh in 2019–20.

17. Name the various programmes launched by the


government to increase the literacy rate in India.
i. “Sarva Siksha Abhiyan is a significant step towards
providing elementary education to all children in the age
group of 6–14 years by 2010. It is a time-bound
initiative of the Central government, in partnership
with the States, the local government and the
community for achieving the goal of universalisation
of elementary education.”
ii. Bridge courses and back- to-school camps have been
initiated to increase the enrolment in elementary
education.
iii. Mid-day meal scheme has been implemented to encourage
attendance and retention of children and improve their
nutritional status. These policies could add to the literate
population of India.
iv. The Gross Enrolment Ratio (GER) in higher education in
the age group of 18 to 23 years is 27% in 2019–20, which
would be broadly in line with world average.
v. The strategy focuses on increasing access, quality,
adoption of state-specific curriculum modification,
vocationalisation and networking on the use of
information technology.
vi. There is also focus on distance education,
convergence of formal, non-formal, distance and IT
education institutions.

18.Study the graph and answer the following questions:


i. Have the literacy rates of the population increased since 1951?
ii. In which year India has the highest literacy rates?
iii. Why literacy rate is high among the males of India?
iv. Why are women less educated than men?
v. How would you calculate literacy rate in India?
vi. What is your projection about India’s literacy rate in 2025?

19.Answer the following questions on the basis of the table given below:
a. Is the increase in the number of colleges adequate to
admit the increasing number of students?
b. Do you think we should have more number of universities?
c. What is the increase noticed among the teachers in the year
2015–16.
d. What is your idea about future colleges and universities?
20. What is the importance of health?
➢ The health of a person helps him to realise his/her potential and the
ability to fight illness.
➢ He/She will not be able to maximise his/her output to the overall growth
of the organisation.
➢ Health is an indispensable basis for realising one’s well-being.
➢ Henceforth, improvement in the health status of the population has
been the priority of the country.
➢ Over the last five decades, India has built a vast healt infrastructure and
has also developed the manpower required at primary, secondary
and tertiary sector in government, as well as, in the private sector.

21.Over the last five decades, India has built a vast health infrastructure
and has also developed the manpower required at primary,
secondary and tertiary sector in government, as well as, in the
private sector.
What are the consequences of these measures?
➢ These measures have increased the life expectancy to over 69.4
years in 2016.
➢ Infant mortality rate has come down from 147 in 1951 to 36 in
2020.
➢ Crude birth rates have dropped to 20 and death rates to 6.2
within the same duration of time.
22. Answer the following questions on the basis of the table given
below:
i. What is the percentage increase in dispensaries from
1951 to 2020?
ii. What is the percentage increase in doctors and nursing
personnel from 1951 to 2020?
iii. Do you think the increase in the number of doctors
and nurses is adequate for India? If not, why?
iv. What other facilities would you like to provide in a
hospital?
v. Discuss about the hospital you have visited?
vi. Draw a graph of this table.

23.Define unemployment.
▪ Unemployment is said to exist when people who are willing to work
at the going wages cannot find jobs.
24.Jeetu, Seetu or Sheela can’t be counted unemployed. Why?
▪ Jeetu and Seetu are not the part of labour force. Sheela is doing household
chores which is not economic activity.
25.The nature of unemployment differs in rural and urban areas. Why?
i. In case of rural areas, there is seasonal and disguised
unemployment. Urban areas have mostly educated
unemployment.
ii. Seasonal unemployment happens when people are not able to
find jobs during some months of the year. People dependent upon
agriculture usually face such kind of problem. There are certain busy
seasons when sowing, harvesting, weeding and threshing is done.
Certain months do not provide much work to the people dependant
on agriculture.
iii. In case of disguised unemployment people appear to be employed.
They have agricultural plot where they find work. This usually
happens among family members engaged in agricultural activity.
The work requires the service of five people but engages eight
people. Three people are extra. These three people also work in the
same plot as the others. The contribution made by the three extra
people does not add to the contribution made by the five people. If
three people are removed the productivity of the field will not
decline. The field requires the service of five people and the three
extra people are disguised unemployed.
iv. In case of urban areas educated unemployment has become a
common phenomenon. Many youth with matriculation,
graduation and post-graduation degrees are not able to find job.
A study showed that unemployment of graduate and post-
graduate has increased faster than among matriculates.

26.What are the consequences of unemployment?


➢ Unemployment leads to wastage of manpower resource. People who are
an asset for the economy turn into a liability.
➢ There is a feeling of hopelessness and despair among the youth. People
do not have enough money to support their family.
➢ Inability of educated people who are willing to work to find gainful
employment implies a great social waste.
➢ Unemployment tends to increase economic overload. The
dependence of the unemployed on the working population increases.
The quality of life of an individual as well as of society is adversely
affected.
➢ When a family has to live on a bare subsistence level there is a general
decline in its health status and rising withdrawal from the school system.
➢ Hence, unemployment has detrimental impact on the overall growth of
an economy. Increase in unemployment is an indicator of a depressed
economy.
27.In case of India, statistically, the unemployment rate is low. Why?
➢ A large number of people represented with low income and
productivity are counted as employed. They appear to work
throughout the year but in terms of their potential and income, it
is not adequate for them.
➢ The work that they are pursuing seems forced upon them. They
may therefore want other work of their choice.
➢ Poor people cannot afford to sit idle. They tend to engage in any
activity irrespective of its earning potential. Their earning keeps
them on a bare subsistence level.
➢ Moreover, the employment structure is characterised by self-
employment in the primary sector.
➢ The whole family contributes in the field even though not
everybody is really needed. So, there is disguised unemployment
in the agriculture sector. But the entire family shares what has been
produced.
➢ This concept of sharing of work in the field and the produce raised
reduces the hardship of unemployment in the rural sector. But this
does not reduce the poverty of the family.
28.Discuss about the employment scenario in the three sectors.
• Agriculture, is the most labour absorbing sector of the economy.
In recent years, there has been a decline in the dependence of
population on agriculture partly because of disguised
unemployment discussed earlier. Some of the surplus labour in
agriculture has moved to either the secondary or the tertiary
sector.
• In the secondary sector, small scale manufacturing is the
most labour- absorbing.
• In case of the tertiary sector, various new services are now
appearing like biotechnology, information technology and so on.

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