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SAI International School
                                                          2025-26
                                                          Class X
                                         Chapter-2 Sectors of Indian Economy
                                 Subtopic- 3 Where are the most people employed?

                                                       Lesson Notes

               Where are most of the people employees?
                     The primary sector continues to be the largest employer even now.
                     It is because not enough jobs were created in the secondary and tertiary sectors.
                     Even though industrial output or the production of goods went up by more than
                       nine times between the period of 1972-72 and 2011-12.
                     While production in the the service sector rose by more than 14 times,
                       employment in the service sector rose around five times.
                     As a result, more than half of the workers in the country are working in the
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                       primary sector, mainly in agriculture, producing only a quarter (1/4 ) of the GDP.
                       In contract to this, the secondary and tertiary sectors produce three-fourth of the
                       produces whereas they employ less than half the people.
                     What it means is that there are more people in agriculture than is necessary. So,
                       even if you move a few people out, production will not be affected. In other
                       words, workers in agricultural sector are under employed.
                     UNDER EMPLOYMENT- When more than required numbers of people are
                       engaged in productive activities and where production is not affected even by
                       their absence, it is called underemployment.  This kind of unemployment is also
                       called disguised unemployment. In rural areas, the agricultural sector and daily
                       wage earners, such as painters and plumbers, in urban areas show that
                       underemployment conditions prevail.



               ii.     How to create more employment? (Rural Area)
                     The government can spend some money or bank can provide low interest loan,
                       to construct a well to irrigate the land. Farmers can go for multiple cropping.
                     The government should start the construction of dams and canals. This could
                       lead to a lot of employment generation within the agricultural sector itself
                       reducing the problem of underemployment.
                     If the government invest some money in transportation and storage of crops, or
                       makes better rural roads so that mini-trucks reach everywhere. Several farmers
                       can continue to grow and sell their crops.
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