2) Why does underemployment exist in the primary sector?
Answers
Answer:Business cycle. One of the main reasons for underemployment is the business cycle. ...
Supply and demand. Underemployment also occurs when the supply of workers is greater than its demand. ...
Technological change
Explanation:
Answer:
ANSWER
More than half of the workers in the country are working in the primary sector, mainly in agriculture, producing only a quarter of the GDP. There are more people in agriculture than is necessary. So, even if we move a few people out, production will not be affected. In other words, workers in agricultural sector are underemployed.
There are thousands of casual workers in the service sector in urban areas who search for daily employment. They are employed as painters, plumbers, repair persons and others doing odd jobs. Many of them don’t find work everyday. Similarly, we see other people of the service sector on the street pushing a cart or selling something where they may spend the whole day but earn very little.