People as a Resource Flashcards
(19 cards)
Define:
1. Asset/Resource
1. Liability
1. People as a Resource
2. Human Capital Formation
Resource
* Resource is defined as a service or an asset that is used to produce goods and services that the human needs and wants
Liability
* Liability is something that a person owes to someone
People as a Resource
* People as Resource is a way of referring the country’s working people in terms of their existing productive skills and ability
Human Capital Formation
* When the existing human resource is further developed by becoming more educated and healthier, it is called human capital formation
What are the advantages of human capital?
- It adds to the productive power of the country
- It can be seen directly in the form of higher incomes earned because of higher productivity
- The advantages of a more educated and healthier population spreads to others who are not educated or are not given health care
- Human capital is superior to other resources like land and capital as it can make use of these resources.
- Land and capital cannot become useful by their own
- A large population can be turned from a liability to a productive asset by investment in human capital by spending resources on education and health care for all, training and research
What is the benefit of a educated and healthy population?
- Long years of education and health care adds to the quality of labour
- This enhances the total productivity of an individual
- Total productivity adds to the growth of the economy
- This in turn pays an individual through salary or in some other form
- With this salary, they will be able to support themselves and their families and provide education and healthcare to their children
- This cycle continues and hence leads to the development of the nation
Differentiate between a virtuous cycle and a vicious cycle
Virtuous Cycle
* A virtuous cycle is formed when educated and hygienic parents invest in their children’s education and health
Vicious Cycle
* A vicious cycle is formed when uneducated and unhygienic parents keep their children in a similar state as them
How do countries without natural resources develop?
- These countries have invested on people, especially in education and health
- These people have made efficient use of other resources like land and capital
- Efficiency and the technology evolved by the people have made these countries developed
- Example: Japan
What are the main sectors of activities?
- Primary sector – this sector includes agriculture, forestry, animal husbandry, mining, fishing
- Secondary sector – manufacturing is included in this sector
- Tertiary sector – trade, transport, education, health, services are included in this sector
Write a short note on tertiary activities
- Trade, transport, communication, education, health, services are activities under tertiary sector
- These activities result in the production of goods and services
- These activities add value to the national income
- These activities are also called economic activities
- Economic activities are also called market activities
Differentiate between market and non-market activities
Market Activities
* Market activities are performed for pay or profit
* These include production of goods and services
Non-Market Activities
* Non market activities are performed for self-consumption
* They include consumption and processing of primary product
Write a short note on the quality of population
- The quality of population depends on the literacy rate, health of a person indicated by life expectancy and the skill formation acquired by the people of the country
- The quality of population ultimately decides the growth rate of the country
- Illiterate and unhealthy people are a liability to the economy
- Literate and healthy people are an asset to the economy
What are some efforts initated by the government to increase literacy rates among people
- Sarva Siksha Abhiyan is a significant step towards providing elementary education to all children between the age group of 6 to 14 years
- Bridge courses and back-to-school camps have been initiated to increase the enrolment in elementary education
- There is also an establishment of pace setting of schools like Navodaya Vidyalaya in each district
- Vocational streams have also been developed to equip a large number of high school students with occupations related to knowledge and skills
- Mid-day meal scheme has also been implemented to encourage attendance and retention of children and improve their nutritional status
- These policies help in increasing the literacy rate of India
What is the significance of health?
- The health of a person helps one to realise one’s potential and the ability to fight illness
- One will not be able to maximise one’s output to the overall growth of the organisation
- Health is an indispensable basis for realising one’s wellbeing
- Hence, improvement in the overall health of the population has been the priority of our country
- Healthy people will encourage their children to be healthy too and hence this cycle continues
What are some efforts initiated by the government to increase health?
- Our national policy aims at improving the accessibility of healthcare, family welfare and nutritional service with a special focus on the underprivileged section of the population
- Over the last 5 decades, India has built a vast health infrastructure and developed the manpower required at the government and private sector
What is the variation in health across India
- States like Andhra Pradesh, Karnataka, tamil nadu and Maharashtra have over 100 medical colleges
- However, states like bihar have poor health indices and have only 15 medical colleges
Define:
1. Infant Mortality Rate
1. Birth Rate
1. Death Rate
1. Unemployment
Infant Mortality Rate:
* Infant mortality rate is the death of a child under one year of age
Birth Rate:
* Birth rate is the number of babies born there for every 1000 people during a particular period of time
Death Rate:
* Death rate is the number of people per 1000 who die during a particular time
Unemployment
* Unemployment is said to exist when people who are willing to work at the going wages cannot find jobs
Describe the types of unemployment in rural areas
Types of Unemployment in Rural Areas
* Seasonal unemployment occurs when people are not able to find jobs during some months of the year
* Example – In a ski resort, the rate of unemployment would be higher in summer when there is no snow
* Disguised unemployment occurs when more people are engaged in some activity than the number of people required for it
* Example – An agricultural field requires 4 farm labourers but the number of people engaged in this activity are 6, this means that 2 labourers will face disguised unemployment
Describe the types of unemployment found in urban areas
- Among educated people, many are underemployed because their qualification does not match with the job
- The factors for unemployment among educated youths in India are:
○ Faulty education system
○ Mass output
○ Preference for white collar jobs
○ Lack of employable skills
○ Decrease in formal salaried jobs
Describe the types of unemployment found in urban areas
- Among educated people, many are underemployed because their qualification does not match with the job
- The factors for unemployment among educated youths in India are:
○ Faulty education system
○ Mass output
○ Preference for white collar jobs
○ Lack of employable skills
○ Decrease in formal salaried jobs
What are the effects of unemployment
- Unemployment leads to wastage of manpower resource
- People who are an asset for the economy turn into a liability
- There is a feeling of hopelessness and despair among youth
- People do not have enough money to support their family
- The dependence on the working population increases
- The quality of life of the individual and the society is adversely affected
- Unemployment has detrimental impact on the overall growth of the economy
Write a short note on the rate of unemployment in India
- According to statistics, the rate of unemployment in India is low
- This is because a large number of people represented with low income and productivity are counted as employed
- They appear to work throughout the year but in terms of their potential and income, it is not adequate for them
- The work that they are pursuing seems forced upon them
- Poor people cannot sit idle, hence they tend to engage in any activity irrespective of its earning potential
- Their earning keeps them on a subsistence level
