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What type of unemployment is generally found in agricultural sector of India?1. Voluntary unemployment2. Disguised unemployment3. Frictional unemployment4. Structural unemployment

Answer» Correct Answer - Option 2 : Disguised unemployment

The correct answer is Disguised unemployment.

  • Disguised unemployment is found in the agricultural sector of India.

 

  • Disguised unemployment is also known as hidden unemployment.
  • In this type of unemployment, some people seem employed but they are actually not.

  • Voluntary unemployment
    • ​It is a situation when a person is unemployed because of not being able to find employment of his/her own choice.
  • Frictional unemployment
    • It is the result of voluntary employment transitions within an economy.
    • Workers choosing to leave their jobs in search of new ones and workers entering the workforce for the first time constitute frictional unemployment.
  • Structural unemployment
    • Farmers in emerging market economies are another example of structural unemployment.
    • Free trade allowed global food corporations access to their markets.
    • That put small-scale farmers out of business. They couldn't compete with the lower prices of global firms.


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