Assertion Reason Economics Assertion Reason Chapter 2 Sectors of The Indian Economy Understanding Economic Development
Questions of Assertion Reason of Economics Chapter 2 Sectors of the Indian Economy Social Science CBSE Class 10 are very simple to understand as this chapter deals with various sectors of the Indian Economy. To solve assertion reason type questions of Economics of Social science, deeper understanding of concept about Sectors of the Indian Economy is required. In order to help the student in solving Assertion Reason type of questions, detailed process is explained.
How to solve Assertion Reason Type Questions?
In Assertion-Reason type of question, two statements are given, first is Assertion and second is called Reason. Student must have to think critically about both the statements in Assertion Reason Questions, since it combines multiple choice questions and true/false type of questions which requires a higher level of understanding.
How many types are there of Assertion Reason Type Questions?
Assertion-Reason type of questions can be asked either with four MCQ options or with five MCQ options. First four options are same in both the cases only one more options is being provided i.e. last one. One extra option increases the difficulty level of the questions.
In assertion reason type of questions, all 4 or 5 options are same for each question, which are as:
(a) Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).
(b) Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).
(c) Assertion (A) is true but reason (R) is false.
(d) Assertion (A) is false but reason (R) is true.
(e) Both Assertion and Reason are false.
Then a question haunts in every student’s mind, which option is correct and when?
This can be understood clearly with the following table:
|Assertion (A)||Reason (R)||MCQ Options (Fixed for all questions)|
|If True||True||(a) Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).|
|If True||True||(b) Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).|
|If True||False||(c) Assertion (A) is true but reason (R) is false.|
|If False||True||(d) Assertion (A) is false but reason (R) is true.|
|If False||False||(e) Both Assertion and Reason are false.|
Now, lets practice some Assertion Reason Questions of Understanding Economic Development – Economics : Chapter 2 Sectors of the Indian Economy
Read instructions carefully before answering the questions.
For question given below, two statements are given- one labelled Assertion (A) and the other labelled Reason (R). Select the correct answer to these questions from the codes (a), (b), (c) and (d) as given below:
(a) Both A and R are true and R is correct explanation of the assertion.
(b) Both A and R are true but R is not the correct explanation of the assertion.
(c) A is true but R is false.
(d) A is false but R is true.
Assertion (A) : In India, over the forty years between 1973-74 and 2013-14, while production in all the three sectors has increased, it has increased the most in the tertiary sector.
Reason (R) : Tertiary sector is the only organized sector in the economy so the government spends a lot of money for creating jobs in tertiary sector.
There are several reasons for increased production in tertiary sector such as increase in demand tor education, health, communication and transportation, development of agriculture sector, increase in level of income and development of information and technology sector.
Assertion (A) : Reliance industries is a privately-owned firm.
Reason (R) : Government is a major stakeholder is reliance industries.
Reliance industry is a privately-owned firm as the assets and delivery of goods and services in Reliance is controlled by private individuals.
Assertion (A) : The development of agriculture and industry leads to the development of service sector.
Reason (R) : As the primary and secondary sectors develops, the demand for transport, storage structures, banks, insurance, etc., increases.
As the primary and secondary sector develops the demand for the aforementioned tertiary activities increase. Not just the demand for mentioned servicesincreases, but as individuals become better off, the demand for education, health services, professional training and communication also increase. Therefore, the development of primary and secondary sectors leads to the development of service or tertiary sector.
Assertion (A) : An individual who manufactures flour from wheat is engaged in primary sector.
Reason (R) : When some process of manufacturing is used the product is a part of secondary sector.
An individual who manufactures flour from wheat is engaged in secondary sector as the products that are not manufactured directly from nature but require some manufacturing process are a part of secondary sector.
Assertion (A) : GDP shows how big an economy is.
Reason (R) : GDP is the value of all goods and services produced within the domestic territory of a country in a year.
GDP is the value of all final goods and services produced within a country. A higher GDP is indicative of higher production level and higher economic activity. Also, a higher GDP implies people of the country are earning more so it is indicative of the size of an economy.
Assertion (A) : Rakesh is an educated and skilled worker who earns a high monthly salary as he is employed in a private bank in a city.
Reason (R) : All service sectors in India are growing extremely well and each individual engaged in any kind of tertiary activity earns a high income.
In India, not the entire service sector is growing equally well. Service sector in India employs many different kinds of people. At one end there are a limited number of services that employ highly skilled and educated workers. At the other end, there are a very large number of workers engaged in services such as small shopkeepers, repair persons, transport persons, etc. These people barely manage to earn a living and yet they perform these services because no alternative opportunities for work are available to them.
Assertion (A) : Leela works five days a week, receives her income on the last day of each month and gets medical facilities from her firm.
Reason (R) : Leela is working in organized sector.
The firms in organized sector are registered by the government and have to follow its rules and regulations which are given in various laws such as the Factories Act, Minimum Wages Act, Payment off cratuity Act, Shops and Establishments Act etc.
Assertion (A) : Mohan is a shopkeeper who pays his taxes on time. He has employed two workers Rakesh and Raghu in his shop. He pays them well, however, none of the workers get any paid leaves in the year.
Reason (R) : Rakesh and Raghu are employed in unorganized sector.
If Rakesh and Raghu were employed in organized sector, they would receive benefits such as paid leaves, medical insurance and pension schemes from the employer. Mohan is not following labour laws as he does not provide any paid leave to his employees in the year.
Assertion (A) : When calculating the total value of goods and services produced in a country, the value of all goods and services at each stage of production should be calculated.
Reason (R) : At each stage of production some value is added to a good or service, therefore, the value added at each stage of production is added to derive the total value of gods and services in an economy.
When calculating the total value of goods and services produced in a country, the value of final goods and services is calculated. If we add the value of goods and services at each stage of production, we will get an inflated GDP as the same value would be included multiple times.
Assertion (A) : There are several goods and services that the society needs; however, the private sector does not produce all of them.
Reason (R) : Private sector is profit driven.
Some of the services such as defense require a lot of spending and do not provide any profit. Therefore, private sector does not invest in such activities. Also,certain services such as public transportation and irrigation facilities require massive spending which is beyond the capacity of private sector.
Assertion (A) : Id India, the primary sector is the largest employer.
Reason (R) : The demand for services has increased enormously.
The primary sector remains the largest employer in India because not enough jobs were created in the secondary and tertiary sectors. However, the demand for services has increased owing to increase in demand for education, health, communication and transportation, development of agriculture sector, increase in level of income and development of information and technology sector.
Assertion (A) : Since the 1890s, it is common to see a large number of workers losing their jobs in the organised sector.
Reason (R) : Service sector also includes some essential services they may not directly help in the production of goods.
Assertion (A) : The unorganised sector offers jobs that are the most sought after.
Reason (R) : But the employment opportunities in the organised sector have been expanding very slowly.
Assertion (A) : The value of final goods already includes the value of all the intermediate goods that are used in making the final good.
Reason (R) : The value of final goods and services produced in each sector during a particular year provides the total production of the sector for the next two years.
Assertion (A) : The Government of India buys wheat and rice from farmers at fair price.
Reason (R) : Public sector contributes to the economic development.
Assertion (A) : In India, the mammoth task of measuring GDP is undertaken by a state government ministry.
Reason (R) : With the help of various government departments of all the Indian states and union territories, the central ministry collects information relating to total volume of goods and services and their prices and then estimates the GDP.