UPSC Prelims 2018 – Question 48

Q48. An increase in absolute and per capita real GNP do not connote a higher level of economic development, if

(a) industrial output fails to keep pace with agricultural output.
(b) agricultural output fails to keep pace with industrial output.
(c) poverty and unemployment increase.
(d) imports grow faster than exports.

Answer: C

• Increasing poverty and unemployment reflect that the fruits of growth in Real GNP have not adequately spread to all. While economic growth is happening for the nation in general a section of people is left behind hence a higher level of economic development is not taking place in the country.

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