What may be the effect of jobless GDP growth on broad welfare?
Answer and explanation
Correct answer: Broad income security may not improve despite higher output
Jobless growth means measured output rises without a comparable expansion of employment. Since many households depend on labour income, higher GDP may fail to provide them with earnings, security, or improved purchasing power. B is therefore correct. A assumes equal gains without evidence, C contradicts the meaning of jobless growth, and D wrongly dismisses distribution as a welfare concern.
Frequently asked questions
What is the correct answer to this question?
Broad income security may not improve despite higher output
Why is this the correct answer?
Jobless growth means measured output rises without a comparable expansion of employment. Since many households depend on labour income, higher GDP may fail to provide them with earnings, security, or improved purchasing power. B is therefore correct. A assumes equal gains without evidence, C contradicts the meaning of jobless growth, and D wrongly dismisses distribution as a welfare concern.
Which subject and chapter does this question cover?
This is a Class 11 Economics question. Chapter: National Income and Related Aggregates. Topic: GDP and Welfare.
