Analysis of Questions of Mains Paper IlI Presented by Ayussh Sanghi
Disclaimer The views provided in the answer below are on the basis of my personal opinion to the best of my knowledge Aspirants can take their own stand which maybe different from the following
Question The nature of economic growth in India in recent times is often described as a jobless growth. Do you agree with this view? Give arguments in favour of your answer.
What is Jobless Growth? Definition In a jobless growth economy, unemployment remains stubbornly high even as the economy grows. This tends to happen when a relatively large number of people have lost their jobs and the ensuing recovery is insufficient to absorb the unemployed, under-employed and new members entering the work force
Jobless Growth in Indian Context In Indian context it can be said that Indian economy works paradoxically. India's remarkable economic growth rate of 8.7 per cent per annum between 2004-05 and 2009-10 has negligible impact on job generation. The above statement is true due to the following statistics:
Statistics Share of agriculture in employment reduced from 57% to 53% with 15 million workers migrating to towns/cities for work. Manufacturing gave five million jobs, while services employed only 3.5 million workers during this period. Hence manufacturing and services sectors failed to absorb them fully. Most of these migrants joined the informal sector. ofaledito absorb them fill, Mostfhsmirnt 40% of the graduating students from engineering colleges in the country run the risk of being unemployed. Between 2005 and 2010, only one million jobs were created for 60 million new entrants to the labour market.
Reasons for describing Indian Economy as Jobless Growth Technology Infusion and Services Proliferation- Majority of economy growth is based on service and manufacturing, which has started using technology and machinery against the human labour. Thus working process is getting more automated Liberalisation Economy is getting liberal and globalized, which results into outsourcing of business or production in a different country thus numbers adding up in economic growth of outsourcing country but not in it's job creation.
Reasons for describing Indian Economy as Jobless Growth Lack of skill Indian job seeker lacks the requisite skills and specialization thus unable to meet the essential requirement in job at both international and national market. Multi-fold Growth in Organised Business - Organised businesses, which requires lesser labor has grown more than the MSMEs.
What is the present government doing to resolve the above problem? Solution to jobless growth lies in policy initiatives that will promote manufacturing and services sector. Manufacturing and services must become the engine of employment growth. By conceptualising: MAKE IN INDIA Campaign, SKILL India Campaign, Labour Law Reforms, MUDRA Bank the Indian Government has sown the seeds of change.
What is the present government doing to resolve the above problem? But more steps like focussing on: agriculture provision of infrastructure, promotion of export oriented industries that are manpower intensive, . reforms in education sector. The experiences of developed countries have demonstrated that the growth of smaller businesses can drive employment generation.
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