Question

“Suppose an imaginary economy is experiencing a situation of rise in Real Gross Domestic Product (GDP), without any corresponding adequate rise in the employment opportunities in the economy.” In economic parlance, such a situation is termed as ..................... growth.
(Choose the correct option to fill in the blank)

• A. Casual
• B. Informal
• C. Formal
• D. Jobless

Hint:

Jobless growth is a concern for policymakers because it implies that economic growth is not benefiting the broader population in terms of employment.

Answer 1

The Correct Option is D

Jobless growth refers to a situation where an economy experiences growth in GDP but fails to create enough jobs to absorb the growing labor force. This often occurs due to technological advancements or productivity gains that reduce the need for labor despite economic growth.