Step 1: Understanding the Concept:
This question pertains to India's demographic dividend and the necessity of skill development. The demographic dividend refers to the economic growth potential that can result from shifts in a population's age structure, mainly when the share of the working-age population is larger than the non-working-age share.
Step 2: Detailed Explanation:
1. Analysis of Assertion (A): India is transitioning into a knowledge-based economy. To sustain this and satisfy the youth's aspirations, the workforce must possess skills that align with modern industry requirements (like AI, digital literacy, etc.). Thus, Assertion (A) is correct.
2. Analysis of Reason (R): The statistics cited (62% working age, 54% under 25) highlight India's massive young human resource. However, "educated" does not always mean "employable" in the modern economy due to outdated curricula. The paucity of highly trained workers despite high graduation rates is a verified challenge. Thus, Reason (R) is correct.
3. Establishing the Link: The reason why India must focus on skill advancement (Assertion) is precisely because it has a huge youth population that is currently facing employability issues (Reason). The skill focus is the solution to the demographic challenge.
Step 3: Final Answer:
Both (A) and (R) are true, and (R) provides the logical justification for why the action in (A) is necessary.