What do you understand by disguised unemployment ❔ explain with an example from rural and urban areas
Answers
This is a type of unemployment which seemed to be employed but actually they are unemployed or their eprk does not give any raise to earning.
Example in rural areas - their is need of 5 farmers to cultivate a land but their are 8 workers so their are 3 extra employed person so this is example of disguised employment in rural area.
If their is 15 member working in family business but their is actually need of 10 so their are 5 extra people. So this is example of disguised unemployment in urban area
Explanation:
Disguised unemployment is a kind of unemployment in which there are people who are visibly employed but are actually unemployed. This situation is also known as 'hidden unemployment'. In such a situation more people are engaged in a work than required. For example:
1. In rural areas, this type of unemployment is generally found in agricultural sector like - in a family of 9 people all are engaged in the same agricultural plot. But if 4 people are withdrawn from it there will be no reduction in output. So, these 4 people are actually facing disguised unemployment.
2. In urban areas, this type of unemployment can be seen mostly in service sectors such as in a family all members are engaged in one petty shop or a small business which can be managed by less number of persons.