Topic Details (Notes format)

Demographic Dividend and Labor Force

Subject: Economics

Book: Comprehensive Indian Economy

India’s demographic advantage arises from a high proportion of working-age population. This can power economic growth if harnessed with quality education, skill upgradation, and productive jobs. However, lack of skill alignment, outdated curricula, and slow growth in labor-intensive sectors may squander this potential. Government programs emphasize vocational training, entrepreneurship, and bridging skill gaps. Exam prep includes debates on automation threats, labor reforms to spur formal employment, and the potential for services and manufacturing to absorb large youth cohorts. Policies that ensure women’s workforce participation can further strengthen this dividend.

Practice Questions

Which organization is responsible for estimating India’s Gross Domestic Product (GDP)?

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What is meant by “structural unemployment”?

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What is the term for the ability of an economy to produce more output from the same inputs?

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What is the primary purpose of Special Economic Zones (SEZs)?

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Which of the following is NOT an example of a direct tax?

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What is the primary role of the Securities and Exchange Board of India (SEBI)?

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Which of the following is a direct tax?

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Which of the following is NOT an example of an indirect tax?

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What does the Gini Coefficient measure?

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What is the primary function of the International Monetary Fund (IMF)?

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