Free Employment 03 Practice Test - 12th Grade - Commerce 

Question 1

Unemployment leads to which of the following:

A.

loss of manpower

B.

loss of output 

C.

decline in capital formation

D.

all of these

SOLUTION

Solution : D

Unemployment leads to loss of manpower. Loss of manpower decreases the actual output, and leads to decline in capital formation in the economy.

Question 2

Seasonal unemployment is found in urban areas. 

A.

True

B.

False

SOLUTION

Solution : B

Seasonal unemployment is found in rural areas. 

Question 3

Industrial unemployment is a phenomenon of urban employment. 

A.

True

B.

False

SOLUTION

Solution : A

True. Industrial unemployment includes those illiterate persons who are willing to work in industries, mining, transport, trade and construction activities etc. It is a phenomenon of urban unemployment. 

Question 4

What are some of the personal costs of unemployment?

A.

Poverty, age, boredom and isolation.

B.

Experience, communication, education, sicklad

C.

Poor health, discrimination, loss of skills and loss of self-esteem

D.

Ridicule, prejudice, mental health, waffles

SOLUTION

Solution : C

Unemployment may result in poor health, discrimination, loss of skills and loss of self-esteem. 

Question 5

Unemployment refers to

A.

Unemployment is a situation of being without work (a job).  

B.

Unemployment is a situation of being with work (a job).  

C.

Either A or B

D.

None of these

SOLUTION

Solution : A

Unemployment is a situation of being without work (a job).

Question 6

What is the best description of poverty?

A.

Being able to live at a high standard because of your wealth 

B.

You are financially well off

C.

Without a job, there is a regular income

D.

WIthout a job, there is no regular income

SOLUTION

Solution : D

Poverty is a situation where a person is not able to fulfill minimum requirements of life. When a person doesn't have a job and no alternate means of income, he becomes poor, because he can longer support his requirements. 

Question 7

What discourages woman to migrate from rural to urban areas in India? 1. Shortage of housing. 2. The high cost of living. 3. Paucity of job opportunities. 4. Lack of security in cities.

A. 1, 2 and 3
B.

2, 3 and 4

C.

1, 3 and 4

D.

1, 2, 3 and 4

SOLUTION

Solution : D

Migration of ‘woman’ either for education or employment enhances their autonomy and role in the economy but also increases their vulnerability shortage of housing, high cost of living. Paucity of Job opportunities, lack of security in cities are some of the factors that discourage the migration of woman from rural to urban areas. Hence, the correct answer is option (d)

Question 8

How many days of guaranteed employment will be given in a financial year under MGNREGA?

A.

No limit

B.

200 days 

C.

365 days 

D.

100 days

SOLUTION

Solution : D

MGNREGA provides guaranteed wage employment of 100 days to every household in rural area whose family member is engaged in unskilled manual work.

Question 9

What does participation rate measure?

A.

The participation rate measures the active portion of an economy's labor force. 

B.

The participation rate measures the number of people who are looking for work.

C.

The participation rate measures the number of people in the age group of 15-39 years who are actively employed. 

D.

The participation rate measures the percentage of workforce engaged in economic activites. 

SOLUTION

Solution : A

The participation rate is a measure of the active portion of an economy's labor force. It refers to the number of people who are either employed or are actively looking for work.

Question 10

Casual workers are those who work for others in farm or non-farm enterprises and are paid wages that are daily or periodic in nature.

A. True
B. False

SOLUTION

Solution : A

Casual workers are wage earners.