Question:
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India’s workforce is concentrated in agriculture despite low productivity, while China shows better industrial contribution to GVA.
Updated On: Jan 31, 2025
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Solution and Explanation
India: Agriculture contributes 16% to GVA but employs 43% of the workforce, indicating disguised unemployment. The services sector dominates GVA (54%) with only 32% of the workforce.
China: A higher share of GVA comes from the industrial sector (41%), with a balanced workforce distribution in services and industry sectors.
Key Observation: India lags in industrialization compared to China, with a higher dependency on agriculture despite lower GVA contribution.
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