1.

State any 4 Causes of Unemployment.

Answer»

Causes of Unemployment: 

  • The slow rate of economic development: Slow rate of economic development has resulted in the inability of the economy to give employment to the additional labour force. Therefore, unemployment is increasing. 
  • Excessive use of machinery: Industries are undergoing modernization and using more machines and less labour. This reduces employment opportunities. Also, in the agricultural sector, producers are increasingly substituting capital for labour. 
  • Migration of rural population: Agriculture being seasonal, in the offseason, there are no alternative jobs available. So they migrate to urban areas and the number of unemployed increases in urban areas. 
  • Expectation towards employment: Educated people have high expectations about the salary and they want ‘white-collar jobs which are not enough. They prefer to remain unemployed rather than accepting a lower salary. This also causes unemployment.


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