AP Inter 2nd Year Economics Question Paper March 2017

Thoroughly analyzing AP Inter 2nd Year Economics Model Papers and AP Inter 2nd Year Economics Question Paper March 2017 helps students identify their strengths and weaknesses.

AP Inter 2nd Year Economics Question Paper March 2017

Time: 3 Hours
Maximum Marks: 60

Instructions:

Note : Read the following instructions carefully :

1. Answer all the questions as per the choice specified. Draw suitable diagrams wherever necessary.
2. Questions from Serial Nos. 1 to 5 in Section – ‘A’ are of Long Answer Type. Each question carries ten marks. Any three questions may be answered out of five given questions. Every answer may be limited to 40 lines.
3. Questions from Serial Nos. 6 to 17 in Section – ‘B’ are of Short Answer Type. Each question carries five marks. Any eight questions may be answered out of twelve given questions. Every answer may be limited to 20 lines.
4. Questions from Serial Nos. 18 to 37 in Section – ‘C’ are of Very Short Answer Type. Each question carries two marks. Any fifteen questions may be answered out of twenty given questions. Every answer may be limited to 5 lines.

Question 1.
Explain the features of developing countries with special reference to India.
Answer:
Developing economies are distinguished from developed economies on the basis of their per capita income. Most of the economies are agarian in nature and their present rate of capital formation is low and inadequate to meet the requirements of their development.

According to United Nations “The countries which have real per capita income less than a quarter of the per capita income of the United States are developing countries”.

The following are the characteristic features of developing countries with special reference to India.
1) Low per capita income : One of the basic features of developing countries is low per capita income. The low income and middle income countries combined together are called developing countries.
The per capita G.N.I. of India has increased from $ 1,070 to $ 1,530 (2011) entered into the group of lower middle income countries.

2) Scarcity of capital: The rate of capital formation is low in most of the developing countries. In the most of developing countries the saving rates range between 15 to 20%.
According to C.S.O estimates the growth of gross domestic saving was 27.9% and capital formation was 24% in the year 2011 – 12.

3) Unemployment : Wide spread unemployment is one of the important features of developing countries. In India unemployment is due to the deficiency of capital. There is disguised unemployment in rural areas. Around 60% of the population is depending on agriculture for* employment. The planning commission estimated that there was a back log of 37 million unemployed at the beginning of 11th plan and it was expected that 82 million by the end of the plan.

4) Demographic characteristics : The developing countries are facing the problem of heavy population. They are successfully reducing the mortality rates by improving the medical facilities but failed to control the birth rates, this led to population explosion. India is also facing the problem of heavy population. It’s population was 1210 million in 2011 and it increased to 1278 million in 2015.

5) Predominance of agriculture : One of the basic features of developing countries is that they are predominantly agrarian economies. The share of agriculture in G.D.P is between 20 to 30%.

According to Indian economic survey 2013 – ’14, 54.6% of the working population is engaged in the agriculture sector and it contributes 13.9% of the G.D.P.

6) High incidence of poverty : The another important feature of developing countries is the prevalence of mass poverty. The people in these countries suffer from low level of income, malnutrition, ill health and illiteracy.
India is also facing the problem of poverty. As per Tendulkar committee reports, the planning commission has updated the poverty line. Based on this; The percentage of population living below the poverty line was 29.8% in 2009 – ’10.

7) Income inequalities : The most important feature of developing economies is the disparities in income and wealth. Compared to the developed countries, the income inequalities are larger in the developing countries.

According to 68^th round of NSSO for the year 2011 – ’12 the monthly per capita consumption expenditure of the poorest 10% of the rural population rise by 11.5% in 2011 – ’12 compared with the 66^th round for the year 2009 – ’10. In urban areas, the growth was 17.2% and 30.2% respectively over the same period.

8) High density of population : The density of population is very high in the developing countries due to the large size of population. The density of population of the world was 50 per sq.km in 2011. It is in India was 382 per sq.km in 2011, where it was 3 in Australia, 33 in USA, 145 in China etc.

9) Low quality of life : The quality of life in the developing countries is very low in comparison with developed countries. These countries people suffer from malnutrition, high population, safe drinking water and lack of sanitation etc. The life expectancy at birth is below 65 years.

10) Technical backwardness : In the developing countries the production techniques are backward due to lack of research and development. These countries use labour intensive technique because high population and capital deficiency.

Indian economy is also technically backward. Modem and traditional techniques are used side by side in different sectors of the economy. It has affected the productivity in the economy.

11) Dual economy : Economists talk of various types of dualism existing in developing economies.
They are
(a) Social dualism
(b) Technological dualism
(c) Financial dualism.

Indian economy also characterised by the dualism, the product and factor markets in India are divided with different degree of imperfections. Technological dualism is existed in India. There prevailed two kinds of economic sectors i.e., organised and unorganised sectors. The industrial sector uses the modern technology and agriculture sector still follows old method of production.

12) Price instability: The price instability is also basic feature of the developing countries. In India there is continuous price instability because of shortage of essential commodities and gap between consumption and production.

Question 2.
What are the causes for Poverty in India ?
Answer:
Poverty can be defined as a social phenomenon in which a section of the society is unable to fulfill even its basic necessities of life.
There are two types of poverty.
1. Absolute poverty
2. Relative poverty

1) Absolute poverty : Absolute poverty of a person means that his income or consumption expenditure is so meager that he lives below the minimum subsistence level.
2) Relative poverty : Relative poverty merely indicates the large inequalities of income. Those who are in the lower income groups receive less than those in the higher income groups.

Causes of poverty : Poverty cannot be attributed to any one single set of causes. It is a complex phenomenon and as such is the outcome of interaction of diverse factors, economic and non-economic.

1) Underdevelopment : The root cause of poverty is the underdevelopment of Indian economy. Dandekar and Rath have argued that unviable and unprofitable farms with little capacity for capital accumulation have been responsible for rural poverty in India. Small and scattered holdings, lack of adequate inputs, lack of credit facilities and insecure tenancy system are all responsible for backwardness of Indian agriculture which causes rural poverty. Industrial development has failed to make any dent on poverty.

2) Unemployment and low levels of wages : Poverty is caused by under-employment or unemployment coupled with low rates of wages. This is because supply of labour is more than that of demand for labour. Due to shortage of capital, the industrial sector is not in a position to absorb more number of people. This causes poverty.

3) Population explosion : In India population has increased from 361.09 millions in 1951 to 1210.19 millions in 2011. Due to scarce capital and low level of technology, it is not possible to provide sufficient goods services to the fast growing population. Rapid growth of population is another important cause for the prevailing poverty in the country.

4) Inequality in Assets and Income Distribution : The relative poverty is to be attributed to inequality in the distribution of National Income. Most of the agricultural labourers are in a states of poverty because; they have less than one hectares land to cultivate. Likewise, inequality in,the ownership Of industrial and commercial capital is one of the reasons of urban poverty in India.

5) Low availability of essentials : Another important cause for poverty in India is the low availability of essential commodities. The country is not able to produce sufficient goods and services as needed by the rapid growing population. The consumer goods shortage is responsible for low level of standard of living. There is a wide disparity in the consumption levels of the top rich and the bottom poor.

6) Inflation : Continuous rise in prices is another cause of poverty. When the prices rise, the,purchasing power of money falls and it leads to improverishment of,the lower middle and poorer sections of the society. Inflation affects the living standards of the people having low incomes.

7) Failure of five year plans : The main objective of the planning is to provide minimum level of living to all its citizens. It was felt that growth rate achieved during the five decades of planning would not be sufficient to remove poverty.

8) Social factors : Economic development depends not only on available resources but also on social factors. Indian people lack initiative and resourcefulness. In short, dogmatic and fatalistic attitude is responsible for inertia, lack of initiative and dynamism. Thus, Indian social institutions and attitudes hamper economic progress and are responsible for perpetuating poverty. The caste system and joint family system and the laws of inheritance are a great obstacle to economic progress.

9) Political Factors : Being under foreign rule, India was exploited under the British regime. Since Independence, the other political factors have adversely affected the economic progress. We have political leaders who have placed self before service and who do not hesitate to enrich themselves at the cost of the country. The Indian administration is known to be corrupt and inefficient. The legislators would not pass laws which may help the poor. Some times they may hit their interest.

10) Institutional factors : There are certain institutional factors operative in rural areas as well as urban area having a strong bearing on ownership, management and work. Semi-feudalism is an institutional factor responsible for rural poverty. The social and political institutions in rural areas have not allowed the land reforms and technological reforms to make a dent on rural poverty. The government is providing agricultural inputs like electricity seeds fertilizers and credit facilities at subsidized prices to be farmers. But these facilities are not catering the needs of poor farmers having small holdings and also the tenants. The institutional rigidities have not allowed equitable sharing of public goods such as education and health.

Question 3.
What are the causes for low productivity in agriculture , in India ? Suggest some measured to improve it.
Answer:
Agriculture plays a predominant role in Indian economy. The productivity in Indian Agriculture is too low when we compared to the agricultural productivity of other countries in the world.

The causes for low level of agriculture productivity in India are manifold. They can be grouped into four broad categories.
1) General causes
2) Institutional causes
3) Technical causes
4) Environmental causes

1) General causes:
i) Pressure of Population on Agriculture : Pressure of population on agriculture is heavy as a result of high growth rate of population and slow growth rate of other sectors of the economy. In 2011, about 263 million workers out of 348 million rural working populations are employed in agriculture. Increasing pressure of population on agriculture results, in the subdivisions and fragmentation of holding. Consequently the productivity in agriculture sector remains low in India.

ii) Social Environment: The social environment of villages is an obstacle in agricultural development. The farmers in rural are illiterate, superstitious, conservative and unresponsive to new agriculture techniques. The decline of joint family system and land hunger are also discouraging the rural atmosphere. Peasants are not able to take proper care of their agriculture. Unless this atmos-phere is changed, it is too difficult to enhance the productivity of agriculture.

iii) Lack of Infrastructural Facilities : Infrastructural facilities like transport, storage,,credit and marketing are inadequate in rural areas to the growing population, due to lack of these adequate infrastructure facilities, the agricultural productivity in rural areas is very low.

iv) Impact of the British Regime: During British rule in India, they have not shown any interest in developing agriculture sector but made our economy as colonial one. Moreover, their policies like land tenure system, collection of land cess.gave a deadly blow to the Indian agriculture.

2) Institutional causes :
i) Uneconomic Land Holding : According to the National Sample Survey, 52 percent land holdings had a size of less than 2 hectares in 1961 – 62. In 2010 – 11,85 percent of total land holdings are less than 2 hectares. As a result of laws of inheritance and other reasons there is a further divisions and fragmentation of land holdings. Hence, these small holdings are adversely affecting productivity of agriculture.

ii) Defects in Land Tenancy System: The Indian agriculture system was adversely affected before Independence because of defectives in Zamindari, Jagirdari, Mahalvari systems which exploited the farmers. In this system lack of certainty in rent, security of tenure and ownership right the tenants don’t show any attention to develop agriculture. Hence, India has become less productivity.

iii) Lack of credit and marketing facilities : The cultivators are not able to invest requisite sources in agriculture due to lack of marketing facilities and required credit at fair rate of interest. Even support price policy and subsidies to inputs of agriculture fired by the Government are unsatisfactory. Hence, peasants follow traditional/methods which results in low productivity.

3) Technical causes :
i) Outmoded Agricultural Techniques : T. W. Schultz of famous economist opined that the peasants in India are still using traditional or outmoded techniques. Indian farmers are still using wooden ploughs, bullock carts, sickles etc. Use of fertilizers and new high yielding varieties of seeds is also extremely limited. Hence, the productivity in agriculture is low.

ii) Inadequate Irrigation Facilities : Gross cropped area in India in 2010 – 11 was 198.97 million hectares but only 89.36 million hectares of land had irrigation facilities. It implies that 55 percent of the gross cropped area continues to depend on rains. Rainfall is often insufficient, uncertain and irregular. In such atmosphere it is difficult to extend the new agricultural technology all over the country.

iii) Scarcity of Agricultural Inputs : The supply of modem agricultural inputs like fertilizers, pesticides, hybrid seeds, farm machinery etc., are inadequate to meet the requirements of our country. In order to achieve high production in agriculture requisite supply of inputs is essential.

4) Environmental causes : Environment also plays a vital role in affecting the productivity of agriculture, increase in the temperature. Degradation of soil, changes in temperature, pollution of water and air etc., adversely affect the productivity of agriculture are

• Global warming.
• Soil Degradation.
• The intensive cultivation of high yielding variety crops.
• The reckless use of fertilizers.
• Shifting cultivation.
• Displacement of the traditional practies of crops.

Measures to increase agricultural productivity in India :

1. The proportion of people depending upon agriculture must decrease. Development of non- farm activities in rural areas go a long way for decreasing the dependency load in agriculture.
2. A favourable support price policy leads to increased yield levels in agriculture.
3. Agriculture, like industry must be protected for favourable terms of trade.
4. Public investment in agriculture must increase.
5. Timely and adequate institutional credit automatically enhances the access to vital inputs in agriculture.
6. Strict implementation of land reforms is necessary. Land reforms remove the structural deficiencies in agriculture.

Question 4.
What are the merits and demerits of small scale enterprises in Indian economy ?
Answer:
The small scale and cottage industries play avital role in the Indian economy. As ancillary industries, they are contributing to the growth of the agriculture and industrial sectors in a developing country like India.

The recommendations of Abid Hussian Committee, the Government raised the investment limit on plant and machinery for small units and ancillaries to 3 crores and that for tiny units to ₹ 25 lakhs.

Merits :

1. Expansion of small scale industrial sector and its share in industrial production : The rapid growth of small scale units from 2006 – 07 onwards contributing much to India’s gross domestic product.
2. Employment opportunities : The small industries are labour intensive they could generate employment opportunities to the tune of 191.4 lakh persons in 1994 – 95, 249.3 lakh persons in 2001 – 02 and it increased to 1012.6 lakh persons in 2011 – 12.
3. Capital fonnation : The spreading of industry over the country side would encourage the habits of thrift and investment in the rural areas.
4. Low’capital : The small scale units are best suited to the developing countries like India, which are labour intensive and capital scarce economics. It does not require much capital for the establishment of these units.
5. Skill formation : A small scale enterprise does not require any sophisticate skill. But it provide industrial experience for large number of small scale managers.
6. Low import intensity : Low import intensity in the capital structure of small scale enterprises reduces the need for foreign capital.
7. Decentralized industrial development : Development of small scale industries will bring about decentralization of industries. It will promote the object of balanced regional development.
8. Equitable distribution : The profits earned by small scale enterprises distributed among large number of entrepreneurs leads to decentralization of income and wealth.
9. Exports : The contribution of small scale enterprises to earn foreign exchange is very high. The share of exports from the small scale sector represents about 31.1% of total exports in 2006 – 07.

Demerits :

1. Inefficient human factor : Most of the rural people are illiterates and lack technical know-how in the areas of production, finance, accounting and marketing management.
2. Lack of credit facilities : The small industrialists are generally poor and there are no facilities of cheap credit either. Thus, they are caught up in the vicious circle of debt trap.
3. Problem of raw materials : The quantity, quality and regularity of the supply of raw materials are all highly unsatisfactory. According to .an estimate, about 40 percent of such units have become sickpwing to non – availability of raw materials regularly.
4. Absence of organized marketing: Since marketing is not properly organized, the helpless artisans are, completely at the mercy of middlemen. The small scale units cannot afford to spend lavishly on advertisement to promote their sales.
5. Lack of machinery and equipment : Small scale units are facing inadequate modem machines and equipment. This leads to low productivity in small scale units.
6. Power shortage : In recent years power shortage and frequent power cuts played havoc with small scale industries. More hours of power cut are there in rural areas which affect the growth of small scale units.
7. Lack of technological up – gradation : It is found that the levels’ of productivity and technology used by the small scale sector are not globally competitive. Without technological upgradation these units may not serve in a globally integrated economy.
8. Heavy taxation : Cottage and small scale industries have also to bear a heavy burden of taxation both on raw materials and also on finished goods.

Question 5.
Explain the objectives of Twelfth Five Year Plan.
Answer:
The Government on 4^th October approved the 12^th five year plan (2012 – 2017) to achieve annual average economic growth rate of 8.2 percent, down from 9 percent envisaged earlier, in view of fragile global recovery. According to officials the projected average rate gross capital formation in the 12^th plan is 37 percent of GDP. The projected gross domestic savings rate is 34.2 percent of GDP.

Main objectives :
The main objectives of twelfth five year plan with its central aim faster, sustainable and more inclusive growth are discussed under the following heads.

a) Economic Growth :

1. Real GDP Growth Rate of 8.0 percent.
2. The per capita income should grow at 6.5 percent per annum.
3. Agriculture growth rate of 4.0 percent.
4. 10 percent annual growth rate of manufacturing or industrial sector.
5. Industrial sector growth rate of 7.6 percent.
6. Service sector growth rate of 9.0 percent.
7. Every state must have a higher average growth rate in the Twelfth plan than that achieved in the Eleventh plan.

b) Poverty and Employment:

1. Head – Count ratio of consumption poverty to be reduced by 10 percentage points over the preceding estimates by the end of twelfth five year plan.
2. Generate 50 million new work opportunities in the non-farm sector and provide skill certification to equivalent numbers during the twelfth five year plan.

c) Education :

1. Increase in literacy to 85 percent by 2017.
2. Mean years of schooling to increase to seven years by the end of twelfth five year plan.
3. Enhance access to higher education by creating two million additional seats for each age cohort aligned to the skill needs of the economy (RUSA).
4. Eliminate gender and social gap in school enrollment (that is, between girls and boys, and between SCs, STs, Muslims and the rest of population) by the end of the twelfth five year plan.

d) Health:

1. Reduced IMR to 25 and MMR to 1 per 1000 live births, and improve child sex ratio (0 – 6 years) to 950 by the end of the twelfth five year plan.
2. The outlay on health would include increased spending in related areas of drinlong water and sanitation.
3. Reduce Total Fertility Rate to 2.1 by the end of Twelfth five year plan.
4. Reduce under nutrition among children aged 0 – 3 years to half of the NFHS – 3 levels by the end of the plan.

e) Infrastructure, Including Rural Infrastructure :

1. Increase investment in infrastructure as a percentage of GDP to 9 percent.
2. Increase the Gross Irrigated Area from 90 million hectare to 103 million hectare.
3. Provide electricity to all villages and reduce AT & C losses to 20 percent by the end of twelfth five year plan.
4. Connect all villages with all weather roads by the end of twelfth five year plan.
5. Upgrade national and state highways to the minimum two – lane standard by the end of twelfth five year plan.
6. Complete Eastern and Western Dedicated Freight Corridors by the end of twelfth five year plan.
7. Increase rural tele – density to 70 percent.
8. Ensure 50 percent of rural population has access to 55 LPCD piped drinking water supply and 50 percent of gram panchayats achieve the Nirmal Gram Status by the end of plan.

f) Environment and Sustainability :

1. Increase in forest and tree cover to 33 percent.
2. Increase green cover (as measured by satellite imagery) by 1 million hectare every year during the twelfth five year plan.
3. Add 30,000 MW of renewable energy capacity in the plan.
4. Reduce emission intensity of GDP in line with the target, of 20 percent to 25 percent reduction by 2020 over 2005 levels.
5. Cleaning of all major polluted rivers.

g) Service Delivery:

1. Provide access to banking services to 90 percent Indian households by the end of the plan.
2. Major subsidies and welfare related beneficiary payments to be shifted to a direct cash transfer by the end of the twelfth plan, using the Aadhar platform with linked bank accounts.

Section – B (8 × 5 = 40)

Note : Answer any eight out of the following twelve questions

Question 6.
What are the Family Planning Programmes in India ?
Answer:
Importance of the family planning programme as a device to control population explosion is now universally recognised. In China, the state approved of one child norm and has succeeded in bringing down the birth rate 21.6 per thousand as against 26 per thousand in India in 2012. China is successful in bringing down the birth rate because of wide spread use of contraceptives.

The following aspects of the family planning programme in this country deserve particular mention.
1. Public Information Programme : Under public information programme, couples in the reproductive age are explained the usefulness of adopting family planning. Hence, the Government has decided to use all kinds of publicity, including cinema, radio, television and newspapers to propagate the importance of family planning.

2. Incentives and Disincentives : The Government has introduced various schemes under which incentives are being given to those who accept family planning. The system of cash prizes has given some inducement to the people in it for sterilisation. Family planning is completely voluntary in this country, coercive methods have been generally avoided. During the emergency period, forcible sterilisation was done. The Govt, take policy of decision that preference for employment will be given to the people who accept small family norm and those who reject family planning may be denied certain facilities.

3. Family planning centres: Establishment of family planning centres is an integral part of any family planning programme. These centres provide various clinical facilities needed for family planning. In addition to these, clinical centres, a large number of contraceptive distribution centres should also be located in both urban and rural areas.

4. Research: Research in the field of demography, communication action, reproduction biology and fertility control has to be given a high priority in any family planning programme.

Question 7.
What are the different types of Unemployment ?
Answer:
Types of unemployment : Unemployment is broadly defined into two types.
A) Unemployment in Urban areas and
B) Unemployment in Rural areas.

A) Unemployment in Urban areas :
i) Educated unemployment : The large number of educated unemployed shows, “a measurement, between the kind of job opportunities that are needed and that are available in the job market”. The defective educational system, with its theoretical base, lack of aptitude and technical qualifications for various types of working among job-seekers and Maladjustments between demand on supply of education workers are some well-known causes of educated unemployment.

ii) Industrial unemployment: In India, the manufacturing sector has indeed expanded and employment in it has steadily increased. One of the reasons for this is the low employment elasticity in the manufacturing sector. As a result, industrial unemployment increased.

B) Unemployment in Rural areas :
i) Seasonal unemployment : If in agriculture is a normal phenomenon in India. In India farmers cultivating approximately 75 percent of their land remain involuntarily unemployed for 3 to 4 months in a year and most of them fail to find some temporary employment in this period. The main reason for its unemployment is lack of irrigation facilities.

ii) Disguised unemployment : Indian agriculture is characte-rized by the existence of considerable amount of surplus labour. In technological language, it is said that marginal productivity of such labour is zero. The kind of disguised unemployment is also comes underemployment.

Other types of unemployment :
1) Cyclical Unemployment : If unemployment occurs as a result of trade cycles, if it is called cyclical unemployment. Trade cycles refers to the frequent booms and depression, up swings and low swings. Keynes said that cyclical unemployment is the result of the deficiency in efficient demand. Therefore, if effective demand increased, the level of employment can also be increased.

2) Structural Unemployment : It is one of the main type of unemployment within an econdmic system. It focuses on the structural unemployment within an economy and inefficiencies in labour markets. Structural unemployment occurs when a labour market is not able to provide jobs for everyone who is seeking unemployment.

3) Under employment : Labour that falls under the underdevelopment classification includes those workers that are highly skilled but working in low paying jobs.

4) Frictional Unemployment : It is another type of unemployment within an economy. It is the time period between jobs when a worker is searching for or transistioning from one job to another. Frictional unemployment is always present to some degree in an economy. It occurs when there is a mismatch between the workers and jobs.

Question 8.
Need for Land Reforms;
Answer:
Introduction : According to UNO, the redistribution of land with’a view to safeguard the interests of small, marginal farmers and farm labourers is land reforms.

• Agriculture development : Agricultural development takes places when land reforms are entrusted in agrarian sector to avoid the hindrances to agricultural development. In such atmosphere technical reforms will be fruitful in agricultural sector.
• Economic Development : Agrarian sector influences largely the economic development of our country. In order to attain sustainable growth rate in Indian agriculture, it is inevitable to implement land reforms.
• Social Justice : Land reforms are aimed at alleviating rural poverty by distributing land among the landless, providing security to tenant, protecting the interests of tribals. Land reforms aim at achieving social justice in the economy by eradicating poverty and disparities in income.
• Increase in Agricultural productivity: Land reforms are essential to increase the production ahd productivity in Agriculture.

Question 9.
Describe the impact of Green Revolution on Indian Economy.
Answer:
The Government of India has announced the New Agricultural Strategy in 1965 to ensure rapid agricultural progress. Prof. Norman Borlog is the father of green revolution. The new strategy of agriculture which resulted in revolutionary progress in the farm sector during the period 1960 – 70 is termed as Green Revolution. Willian S. Gand is the first economist who used the term green revolution.

Impact of Green Revolution on Indian Economy :
1. Increase in Foodgrain production : The rice production from 35.0 mts in 1960 – 61 increased to 99.37 mts in 2008 – 09. The production of wheat was 11.0 mts and rose to 77.63 mts. The production of pulses was only 12.7 mts in 1960 – 61 which has increased to 14.2 mts. Totally production of food grains was 82.0 mts in 1960 – 61 and that has increased 229.9 mts by the year 2008 – 09.

2. Boost to employment generation : Green revolution is the small farm revolution. Labour intensive crops like rice, sugarcane, potato, vegetables, fruits have increased the employment opportunities in agriculture sector. The entry of corporate houses has generated more employment opportunities in retailing business of fruits and vegetables.

3. Improvement in incomes : The impact of green revolution revealed that the farmers in Kerala, Madhya Pradesh, Andhra Pradesh, Tamilnadu, Gujarat, Punjab and Himachal Pradesh had good chances of improving their incomes. It facilitates the farmers to follow simple but scientific and technical ways like grading the produce in the field itself selling directly to the corporate retail companies by avoiding middlemen. Organised retailers have provided better remunerations to the farmers. So the consumers were benefited in the form of quality produce at lower prices.
Therefore the green revolution has also widened the inequalities between big and small farmers in rural areas.

4. Forward and backward linkages strengthened : Agriculture supplies raw material to industries which is known as forward linkage. Thie new technology in agriculture has strengthened the backward linkage. This way the linkage between agriculture and industry has got strengthened.

5. Decrease in Poverty : The result of green revolution surplus in the production of food grains is achieved.

Question 10.
What are the objectives of Industrial Economy.
Answer:
Objectives :
a) To promote the development of small scale industries.
b) To relieve congestion in the industrial areas of metropolitan towns.
c) To bring about a balanced dispersal of industries in semiurban and rural areas;
d) To relieve unemployment and under-employment in rural areas;
e) To encourage the growth of ancillary industries in the largescale industries sector.

During the first two Plans, 66 estates were completed against a target of 120 estates. According to the Sixth Plan (1980 – 85) by March 1979, there were 662 completed industrial estates wherein 13,467 small scale units were functioning. The production from these units amounts to Rs. 636 crores and the units are providing employment to about 2.2 lakh persons.

A working group appointed by Reserve Bank of India about the progress of industrial estates reveals;
a) General failure to bring about a dispersal of industries.
b) Wrong location of estates.
c) Faulty planning and execution of estates.
d) Lack of effective machinery to supervise the day-to-day operations of estates.

The success of industrial estates depends upon suitable location, proximity to markets, transport, availability of skilled workers, housing and other worker amenities, construction cost in relation to existing rental levels in the location, availability of equipment and raw materials, adequacy of power and other utilities.

Quetsion 11.
What are the advantages of Roadways ?
Answer:
The principle mode of connectivity between places in road-ways. India has one of the largest road networks in the world, spread over 48.65 lakh k.m. district and villages road constitutive 95.2% of the total road network in our country.

Advantages of Roadways :

1. Road transport connects all the villages and regions and finally it connects to the railways.
2. Road transport does not required heavy capital expenditure.
3. The chances of delay, damages are less in case of road transport.
4. Road transport provides transports the goods to the railway station.
5. Road transport help the farmers particularly easily and quickly to transport to mandis and towns.
6. Road transport is more Flexible when compared to other means of transport. It can provide door to door service.
7. Enables to defence forces to move areas inaccessible by railways in emergencies,

Quetsion 12.
Give reasons for regional imbalances in India.
Answer:
Regional imbalances stand in the way of Nation’s Integrity, economic growth and development.
a) Geographical Reasons : Physical geography controls economic growth in developing countries than the developed countries. For example, Himachal Pradesh, Hill district of UP, Northern Kashmir etc., remained backward mainly because of inaccessibility.

b) Climatic Conditions: Climate too plays an important role in the economic development of many region in India, region with adverse climatic conditions reflected in low agricultural output and absence of large – scale industries.

c) British Rule : Historically the existence of backward regions started from the British rule in India. The British helped the developed of only those regions which are endowed with conducive facilities to drain Indian wealth to their country like Calcutta, Bombay etc.

d) Concentration of Industries : New investment, in the private sector has attendance to concentrate in already well developed areas, thus reaping the benefits of external economic. Since, well developed area offers private investors certain basic advantages viz., skilled labour, infrastructure, transport etc.

e) Scarcity of Natural Resources : Certain regions are endowed with natural resources, where as same regions are not. Those regions with great natural resources endowment are developed faster.

f) Lack of Infrastructural Facilities : Those regions where there are no proper roads, electricity, telecommunication, drinking water, education, medical, technical training facility etc., tend to remain underdeveloped.

Question 13.
Explain the objectives of Planning Commission.
Answer:
Preparing plans for the most effective and balanced utilization of the country’s man power, physical and capital resources is the obligation of planning commission.

Objectives and functions :

1. To make an assessment of the material, capital and human resources of the country and to examine whether they are sufficient to meet the requirement.
2. To define the stages, on the basis of priority in which the plan should be carried out *and propose the allocation of resources for the due completion of each stage.
3. To indicate the factors that tend to retard economic development and find feasible ways to overcome these factors.
4. To determine the conditions for the successful execution of the plan.
5. To determine the nature of the machinery required for securing the successful implementation of each stage of the plan in all its aspects.
6. To appraise from time to time the progress achieved in the execution of each stage of the plan and to recommend alternative policy measures when they are needed.

Question 14.
Explain the measures for the Conservation of Forests.
Answer:
Forests are the carbon sinks and treasures of scenic beauty.
The following are some protective measures such important forests.

1. Forest land should not be allotted to poor for house sites.
2. Specific areas must be developed under social forestry programmes.
3. Waste land must be brought under plantations.
4. Forest must be protected from fires particularly in summer.
5. Measures must be taken to refill the depleted forest area.
6. Establishment of Joint Forest Management Communities is necessary.
7. Cattle grazing and illegal cutting of trees should not be allowed.
8. Local communities must be involved in the conservation of forests.

Question 15.
Explain the occupational distribution of Labour in A.P.
Answer:
Occupational distribution pattern in any country decides the level of economic growth. Any economy can be divided into

1. Agriculture sector
2. Industrial sector
3. Service sector

Dividing the total population according to their occupation or work is known as occupational distribution of population or labour.

According to the statistical abstract of A.P 2014, prepared on the basis of the 2011 census, the total number of workers is A.P is 2,30,80,964. Among them, the total number of workers in industry sector in A.P is 33,40,133 which is 14.47% of total work force. Totaf number of workers related to primary sector is 1,43,92,736. i.e., 62,36% and 34.77% of total work force based on service sector.

The number of people depending on agriculture sector is stili very high. Tertiary sector is in the second place and providing livelihood to the larger percent of population after agriculture sector. In A.P secondary sector’s contribution is steady and constant.

Question 16.
What are the Environmental Protection Activities in the A.R ?
Answer:
1) Environmental Protection Programmes : State is imple-menting programmes like Community Forest Management (CFM), National Afforestation Programme (NAP), and National River Conservation Plan etc.

2) Chettu-Neeru Programme : The State Government launched ‘neeru-chettu’, a programme aimed at conserving water and saving trees, in all districts in 2015. The programme was launched at all municipalities and corporations, including Visakhapatnam, Vijayawada, Guntur, Rajahmundry and Tirupati. The Government will number each sapling, and steps will be taken to ensure 90 percent survival of saplings. More than 10 lakh saplings will be planted in the State as part of the programme.

3. Non-Conventional Energy: Andhra Pradesh Department of Energy decided to make the State as a largest “Green Energy Corridor”, by increasing the production of renewable energy through solar and wind sources. In a meeting on 2^nd February, 2015, – it decided to provide “Must Run” status to the solar, wind power, to get energy from those sources throughout the year. Solar and wind power will be given industrial status. All approvals will be sanctioned in “Single Window Clearance”. Wind power policy of 2015 aims generation of 4000 MW of wind energy.

4. Vanamahotsava : Forest Department celebrated 64^th Vanamahotsava in 2013 with a view of “two million tree plantation”. Celebrations took place simultaneously in all District Head Quarters. This is a part of the Social Forestry Programme.

5. Wildlife Conservation : To protect the rich bio-diversity of Flora, Fauna and eco system, Govt, declared 16 protected areas which include 13 Wildlife Sanctuaries and 3 National Parks. Apart from wetlands like Kolleru, Nelapattu and Pulicat Wildlife Sanctuaries, two more sanctuaries Coringa in East Godavari and Krishna in Krishna districts were identified. Two important Zoological Parks i.e., Indira Gandhi Zoological Park, Vishakhapatnam and Sri Venkateshwara Zoological Park, Tirupati were recognized by Central Zoo Authority. 3 Deer parks in the State also recognized.

6. Project Tiger : Project Tiger programme is being imple-mented with the objective of increase the number of our national animal tiger. The Nagaijunasagar Srisailam Tiger Reserve (NSTR) spreads over the districts of Kumool, Prakasam and Guntur, which is the home to over 50 tigers and able to support even more. Gundla Bramheswaram Wildlife Sanctuary will be now merged with NSTR. The NSTR is Country’s one of the rich biodiversity hot spot having a contiguous landscape of a good forest eco-system of un-fragmented Nallamalai of the Eastern Ghats.

7. Environmental Education : In order to create nature care awareness among the people moSt of the Sanctuaries and National Parks in the State have environment education centres with exhibitions, write-ups, mini auditoriums and a library. On the. other hand Government decided to bring environment protection awareness among students, environmental education is now a compulsory part of their curriculum at all levels.

Question 17.
Calculate the Standard Deviation of the following values :
5, 10, 25, 30, 50.
Answer:

Section – C (15 × 2 = 30)

Note : Write notes on any fifteen out of the following twenty questions :

Question 18.
Dual Economy.
Answer:
An economy where both technically advanced and technically primitive sectors exist side by side is called as dual economy.

Question 19.
Population Explosion.
Answer:
When birth rate exceeds death rate during particular period time.

Question 20.
Sarva Siksha Abhiyan.
Answer:
This was introduced during 2001 – 2002 with an aim to pro-vide universal elementary education for all children in the 6 to 14 age group by 2014 SSA has how been renamed as ‘Rajiv Vidya Mission’ in A.P.

Question 21.
Total Fertility Rate.
Answer:
The no. of live births by a woman during the entire reproductive period. It is also an important factor which increases the population growth rate of the economy.

Question 22.
Microfinance.
Answer:
Micro provision of thrift, credit and other financial services and produces of very small quantity to the poor in rural, semiurban areas for enabling them to raise their incomes and improving living standards.

Question 23.
Rythu Bazar.
Answer:
It is a market where there is no existence of middle men between farmer Vs buyer.

Question 24.
Kissan Credit Card.
Answer:
It was introduced in 1998 to facilitate the flow for crop loan by providing adequate, timely cost, effective short term loans. It also enables the farmers to purchase agriculture inputs and to draw cash for their production needs.

Question 25.
Marketable Surplus.
Answer:
The farmers keep a part of their produce for the purpose of wages, seeds etc. The surplus skill available at the farmer after meeting all these requirements is called marketable surplus.

Question 26.
Special Economic Zones.
Answer:
The government of India announced special Economic Zones policy in April – 2000. This policy aims at rapid economic growth supported by quality infrastructure completed by an attractive fiscal package, both at central and state level, with minimum possible regulations.

Question 27.
Service Sector.
Answer:
Service sector is also known as tertiary sector. Service sector is the life line for the social and economic growth of a country. The service sector activities include trade, transport, communications, banking, insurance, education, health, energy, marketing etc., all these facilities and services constitutes collectively the tertiary sector.

Question 28.
Tourism.
Answer:
The activities of persons or tourists travelling and staying in places outside their usual environment for not more than one consecutive year of leisure, business and other purposes.

Question 29.
W.T.O.
Answer:
The WTO Agreement came into force from January 1, 1995. WTO is a new international organisation setup as a permanent body and is designed to play the role of a watch dog in the spheres of trade in goods, trade in services, foreign investment, intellectual property rights etc.

Question 30.
Greenhoue Effect.
Answer:
It is a phenomenon in which the atmosphere of a planet traps radiation emitted by the sun caused by gases such as CO₂, water vapor and methane, that allow incoming sunlight to pass through but retain heat radiated back from the planet’s surface. It leads radiation climate changes etc.

Question 31.
Water Pollution.
Answer:
Water pollution is defined as the additions of same substance or factor present in water which degrades its quality, so that it becomes health hazard or unfit for use.

Question 32.
Biodiversity.
Answer:
The word biodiversity was coined by Walter Rosen in 1986. The variety and variability among living organisms is called as biodiversity or totality of genes species and ecosystems in a region.

Question 33.
Ozone Layer.
Answer:
The Ozone layer is present in the stratosphere which is immediately above the troposphere at a height of 12 k.m from the earth. It is 40 k.m thick layer. Ozone absorbs the dangerous ultra violet rays from the sun and protects life on earth from death.

Question 34.
Eco-tourism.
Answer:
Andhra Pradesh vision – 2020 envisaged East Godavari tourism as a growth engine. It is one of the important type of tourism in A.P. Maredumilli, Nelapattu (Nellore) Mamandur,

Question 35.
Sea ports in A.P.
Answer:
Ports are a gateway to trade and commerce. A.P has the sec-ond longest coastline of 972 km after Gujarat in India. Ports provide development and growth of maritime activities. Visakha is the largest port in the State and also one of the largest port in terms of handling cargo in Country.

Question 36.
Correlation.
Answer:
Correlation is an analysis of the co-variation between two or more variables. There are two types of correlation.

1. Karl Pearson’s method.
2. Spearman’s Rank method.

Karl Pearson’s correlation (r) = \(\frac{\Sigma x y}{\sqrt{\Sigma x^2 \times \Sigma y^2}}\)
Spearman’s correlation (rk) = 1 – \(\frac{6 \Sigma D^2}{N\left(N^2-1\right)}\)
(OR) 1 – \(\frac{6 \Sigma D^2}{N^3-N}\)

Question 37.
Range.
Answer:
Range is the simplest method of studying dispersion. It is defined as the difference between the value of the smallest item and the value of the largest item included in the distribution.
Range = L – S
Where L = Largest item; S = Smallest item.