10 Mar 2022

TNPSC Indian Economy – Social problems

TNPSC Indian Economy Social problems :

Indian Economics questions are more important for the TNPSC Group 2 Prelims Exam. You will get 6 t0 8 marks from that Indian Economy portion. On this page, TNPSC Group 2, 2a, and Group 4 TNPSC Indian Economy Study Materials questions with answers are uploaded. Go through TNPSC Indian Economy Notes, Questions, and Answers below for the prelims exam.

Students who are preparing for the Group exam concentrate more on the maths part. you will easily score more marks in the Economics part. For students’ benefit, we upload TNPSC Indian Economy English and Tamil questions and answers in PDF for download. TNPSC aspirants can download and use it for the group prelims exam. kindly download TNPSC Indian Economy PDF given below:




Rural areas are facing a number of problems relating to,

  1. People
  2. Agriculture
  3. Infrastructure,
  4. Economy,
  5. Society and Culture,
  6. Leadership
  7. Administration.

The problems of the rural economy are discussed below.

1. People Related Problems:

The problems related to individuals and their standard of living consist of illiteracy, lack of technical know-how, low level of confidence, dependence on sentiments and beliefs, etc.

2. Agriculture Related Problems:

The problems related to agriculture include,

  1. Lack of expected awareness, knowledge, skill and attitude,
  2. Unavailability of inputs,
  3. Poor marketing facility,
  4. Insufficient extension staff and services,
  5. Multidimensional tasks to extension personnel,
  6. Small size of land holding,
  7. Sub-division and fragmentation of landholdings,
  8. Absence of infrastructure to work and stay in rural areas
  9. Primitive technology and low adoption of modern technologies
  10. Reduced public investment and absence of role for farmers in fixing the prices for their own products..

3. Infrastructural Related Problems:

Poor infrastructure facilities like, water, electricity, transport, educational institutions, communication, health, employment, storage facility, banking and insurance are found in rural areas.

4. Economics related Problems:

The economic problems related to rural areas are:

  1. Inability to adopt high cost technology
  2. High cost of inputs, under privileged rural industries
  3. Low income, indebtedness and existence of inequality in land holdings and assets.
  4. In fertile areas, a few absentee landlords own large area and they do not evince greater Interest in improving the performance of agriculture.

5. Social and Cultural Problems:

  1. Caste system makes villages almost rigid.
  2. Dominant Caste in village holds all land holdings so they will be the superior class too.
  3. Both class and caste exploitation will be at their peaks. Poverty, malnourishment, illiteracy,  child marriages and many more can be seen in Indian villages.
  4. Inter caste/ Religion marriage will lead to assassination in rural areas.
  5. Child marriage leads to lots of unethical issues. Female feticide leads to gender-related issues in rural areas.

6. Leadership Related Problems:

The specific leadership related problems found in rural areas are:

  1. Leadership among the hands of inactive and incompetent people, self-interest of leaders, biased political will, less bargaining power and negation skills and dominance of political leaders.

7. Administrative Problems:

The rural administrative problems consist of political interference, lack of motivation and interest, low wages
in villages, improper utilization of budget, and absence of monitoring and implementation of the rural development programmes.


Causes for Rural Poverty:

Various factors responsible for rural poverty are highlighted below:

1. The distribution of land is highly skewed in rural areas.

  • Therefore, majority of rural people work as hired labour to support their families.

2. Lack of Non-farm Employment:

  • Non-farm employment opportunities do not match the increasing labour force. The excess supply of labour
    in rural areas reduces the wages and increases the incidence of poverty.

3. Lack of Public Sector Investment:

  • The root cause of rural poverty in our country is lack of public sector investment on human resource development.

4. Inflation:

  • The steady increase in prices affects the purchasing power of the rural poor leading to rural poverty.

5. Low Productivity:

  • Low productivity of rural labour and farm activities is a cause as well as the effect of poverty.

6. Unequal Benefit of Growth:

  • Major gains of economic development are enjoyed by the urban rich people leading to concentration of wealth.
  • Due to defective economic structure and policies, gains of growth are not reaching the poor and the contributions of poor people are not accounted properly.

7. Low Rate of Economic Growth:

  • The rate of growth of India is always below the target and it has benefited the rich.
  • The poor are always denied of the benefits of the achieved growth and development of the country.

8. More Emphasis on Large Industries:

  • Huge investment in large industries catering to the needs of middle and upper classes in urban areas are
    made in India.
  • Such industries are capital-intensive and do not generate more employment opportunities.
  • Therefore, poor are not in a position to get employed and to come out from poverty in villages.

9. Social Evils:

  • Social evils prevalent in the society like custom, beliefs etc. increase unproductive expenditure.


TNPSC Indian Economy – Social problems Questions and Answers:

1. Which is considered as the basic unit for rural areas?
a. Panchayat   b. Village  c. Town  d. Municipality

2. Which feature is identified with rural areas?
a. Low population density   b. High population density c. Low natural resources d. Low human resources

3. Identify the feature of rural economy.
a. Dependence on agriculture  b. High population density c. Low level of population  d. Low level of inequality

4. What percentage of the total population live in rural area, as per 2011 censes?
a. 40  b. 50  c. 60  d. 70

5. How do you term people employed in excess over and above the requirements?
a. Unemployment  b. Underemployment or Disguised Unemployment   c. Full employment  d. Self-employment

6. What is the term used to denote the coexistence of two different features in an economy?
a. Technology  b. Dependency  c. Dualism   d. Inequality

7. The process of improving the rural areas, rural people and rural living is defined as
a. Rural economy  b. Rural economics  c. Rural employment  d. Rural development

8. Identify the agriculture related  problem of rural economy.
a. Poor communication  b. Small size of landholding  c. Rural poverty  d. Poor banking network

9. The recommended nutritional intake per person in rural areas.
a. 2100 calories  b. 2100 calories  c. 2300 calories  d. 2400 calories

10. Indicate the cause for rural poverty.
a. Lack of non-farm employment  b. High employment  c. Low inflation rate  d. High investment.

11. What is the other name for concealed unemployment?
a. Open  b. Disguised  c. Seasonal  d. Rural

12. How do you term the employment occurring only on a particular season?
a. Open   b. Disguised   c. Seasonal   d. Rural

13. Identify an example for rural industries?
a. Sugar factory  b. Mat making industry  c. Cement industry  d. Paper industry

14. How much share of rural families in India is in debt?
a. Half     b. One fourth    c. Two third   d. Three fourth

15. Identify the cause for rural indebtedness in India.
a. Poverty   b. High population   c. High productivity   d. Full employment

16. In which year, Regional Rural Banks came into existence?
a. 1965   b. 1970   c. 1975    d. 1980

17. Identify the year of launch of MUDRA Bank?
a. 1995    b. 2000   c. 2010  d.2015

18. Identify the year in which National Rural Health Mission was launched.
a. 2000   b. 2005    c. 2010   d. 2015

19. Identify the advantages of rural roads.
a. Rural marketing   b. Rural employment   c. Rural development    d. All the above

20. “ An Indian farmer is born in debt, lives in debt, dies in debt and bequeaths debt”-who said this?
a. Adam Smith    b. Gandhi    c. Amartya Sen    d. Sir Malcolm Darling




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