Question

Read the following statements carefully: 
Statement 1: As per National Sample Survey Organisation (NSSO), unemployment is a situation in which all those who, owing to lack of work, are not working, but seeking work from prospective employers, expressed their willingness to work under the prevailing condition of work and remuneration.
Statement 2: Disguised unemployment is generally a massive problem in a highly populated country like India.
In the light of the given statements, choose the correct alternative from the following:

• A. Statement 1 is true and Statement 2 is false.
• B. Statement 1 is false and Statement 2 is true.
• C. Both Statement 1 and 2 are true.
• D. Both Statement 1 and 2 are false.

Hint:

Disguised unemployment reduces productivity and highlights inefficiencies in resource allocation, particularly in developing economies.

Answer 1

The Correct Option is C

Both statements are true: 
Statement 1: NSSO defines unemployment as the condition of individuals actively seeking work but unable to find it under prevailing conditions.
Statement 2: Disguised unemployment, where more people are employed than necessary, is a significant issue in India, especially in the agricultural sector.