MaargX UPSC by SAARTHI IAS

RPSC Economy — Ch9: Skill Development and Employment Generation (100 MCQs with Answers & Explanations)
Chapter 9 · 100 Questions · Answers & Explanations

Master Skill Development & Employment for the RPSC exam

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100
MCQs
Ch 9
RPSC Economy Vol-5
4
Options each
100%
With explanations
Score 0 / 0
1
Skill Development and Employment Generation

Which of the following best defines the “skill gap” in the context of the Indian labor market?

Explanation

The concept of a skill gap identifies a significant mismatch between the specific competencies possessed by the labor force and the actual requirements of the industry. This phenomenon often leads to high unemployment rates among educated youth while industries struggle to find qualified personnel. Addressing this misalignment is critical for enhancing national productivity and economic growth.

2
Skill Development and Employment Generation

Match the sub-missions under the National Skill Development Mission in List I with their core objectives in List II: List I: (Sub-missions) A. Institutional Training B. Convergence C. Trainers D. Overseas Employment List II: (Core Objectives) i. Coordinating skill efforts across various Central and State ministries ii. Upgrading ITIs and improving training delivery iii. Ensuring global mobility of skilled Indian workers iv. Improving the quality and availability of vocational teachers

Explanation

Mission utilizes specialized sub-missions to streamline vocational training. Institutional training focuses on upgrading Industrial Training Institutes for better delivery. Convergence ensures unified efforts across various ministries. The trainers sub- mission improves teacher quality, while overseas employment initiatives facilitate global mobility for the Indian workforce. These components collectively aim to create a highly skilled and employable labor pool.

3
Skill Development and Employment Generation

Which of the following statements regarding the National Skill Development Corporation (NSDC) is incorrect? Employment

Explanation

The National Skill Development Corporation is a unique public-private partnership where the private sector holds a majority stake of fifty-one percent. The Government of India, through the Ministry of Skill Development and Entrepreneurship, maintains the remaining forty-nine percent of the equity. This structure allows for industry-led initiatives in the skilling landscape while receiving strategic government support.

4
Skill Development and Employment Generation

Consider the following statements regarding the Pradhan Mantri Kaushal Vikas Yojana (PMKVY): I. It is the flagship scheme of the Ministry of Skill Development & Entrepreneurship. II. Recognition of Prior Learning (RPL) is a key component to certify individuals with informally acquired skills. III. The scheme places the entire financial burden of training on the enrolled candidates. Which of the above statement(s) is/are correct?

Explanation

The Pradhan Mantri Kaushal Vikas Yojana serves as the premier scheme for skill certification under the Ministry of Skill Development and Entrepreneurship. It incorporates Recognition of Prior Learning to validate competencies acquired through informal experience. Unlike many vocational programs, the scheme provides free training and monetary rewards, ensuring that the financial burden does not fall on candidates.

5
Skill Development and Employment Generation

The Skill India Mission, launched in 2015, originally set a quantitative target to train a specific number of individuals by the year 2022. What was this target?

Explanation

When the Skill India Mission was officially inaugurated in July 2015, the government established an ambitious quantitative objective. The primary goal was to provide vocational training and certification to over forty crore individuals by the year 2022. This target encompassed several flagship schemes designed to improve employability and standardise training protocols across diverse industrial sectors nationwide.

6
Skill Development and Employment Generation

Given below are two statements, one labeled as Assertion (A) and the other as Reason (R): Assertion (A): Industrial Training Institutes (ITIs) in India have increasingly adopted the Dual System of Training (DST). Reason (R): The Dual System of Training bridges the gap between theoretical learning and practical industry requirements by integrating on-the-job training. In the context of the above statements, which one of the following is correct?

Explanation

Industrial Training Institutes are adopting the Dual System of Training to better prepare students for the modern job market. This model combines theoretical classroom education with practical on-the-job training within industrial units. By allowing students to gain real-world experience during their course, the system effectively bridges the historical gap between vocational education and actual industrial requirements.

7
Skill Development and Employment Generation

Under the National Apprenticeship Promotion Scheme (NAPS), what is the maximum percentage of the prescribed stipend that the Government of India reimburses to the employer?

Explanation

The National Apprenticeship Promotion Scheme provides financial incentives to encourage establishments to engage more apprentices. Under this initiative, the Government of India reimburses twenty-five percent of the prescribed monthly stipend paid to each apprentice, capped at fifteen hundred rupees. This financial support reduces the burden on employers, particularly small enterprises, while promoting essential hands-on learning opportunities.

8
Skill Development and Employment Generation

Match the types of unemployment in List I with their defining characteristics in List II: List I: (Types of Unemployment) A. Structural Unemployment B. Frictional Unemployment C. Cyclical Unemployment D. Disguised Unemployment List II: (Defining Characteristics) i. Temporary unemployment when workers are transitioning between jobs ii. More workers are engaged in a job than actually required iii. Job losses due to an economic recession or downturn iv. Mismatch between the skills workers possess and the skills demanded by industry

Explanation

reflect various economic conditions. Structural issues arise from a mismatch between worker skills and industry needs. Frictional unemployment occurs during brief transitions between jobs. Cyclical trends are linked to economic downturns and recessions. Disguised unemployment is specifically characterized by an excess number of workers performing a task that requires fewer individuals for optimal productivity.

9
Skill Development and Employment Generation

Consider the following statements regarding the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA): I. It guarantees 100 days of wage employment in a financial year to a rural household whose adult members volunteer to do unskilled manual work. II. At least one-third of the beneficiaries under the scheme must be women. III. If work is not provided within 15 days of demand, the applicant is entitled to an unemployment allowance. IV. Social audits of MGNREGA works are mandatorily conducted by the State Government officials only. Which of the above statement(s) is/are correct?

Explanation

The Mahatma Gandhi National Rural Employment Guarantee Act provides a legal guarantee for one hundred days of wage employment to rural households. It emphasizes gender equality by reserving one-third of jobs for women. Furthermore, the provision of an unemployment allowance ensures government accountability if work is not offered within fifteen days. Social audits are conducted by the Gram Sabha.

10
Skill Development and Employment Generation

Which of the following statements correctly describes the primary objective of the Pradhan Mantri Rozgar Protsahan Yojana (PMRPY)?

Explanation

Pradhan Mantri Rozgar Protsahan Yojana was designed to encourage employers to hire more workers in the formal sector. By paying the full employer contribution towards the Employee Pension Scheme and Employee Provident Fund for new employees, the government significantly reduces recruitment costs. This initiative facilitates the formalization of the workforce while ensuring that more workers receive social security benefits.

11
Skill Development and Employment Generation

Which of the following is the most direct economic effect of the rapidly expanding start- up ecosystem in India’s metropolitan cities?

Explanation

India’s thriving start-up ecosystem has fundamentally transformed urban employment patterns by facilitating the rise of the gig economy. Digital platforms now offer numerous flexible, task-based roles across various services like delivery and consulting. While this provides immediate income opportunities, it also creates a shift toward non-traditional employment structures, moving away from the conventional long-term job security models previously found.

12
Skill Development and Employment Generation

Consider the following landmark government initiatives targeting employment and livelihood: I. Mahatma Gandhi National Rural Employment Guarantee Act II. Pradhan Mantri Kaushal Vikas Yojana III. PM SVANidhi IV. Startup India Action Plan Which of the following represents the correct chronological order of their launch?

Explanation

Landmark employment initiatives followed a specific timeline in India. The rural employment guarantee act was passed in two thousand five, followed by the skill development scheme in two thousand fifteen. The startup action plan was subsequently launched in early two thousand sixteen. Finally, the specialized scheme for street vendors was introduced in two thousand twenty to provide relief during the pandemic.

13
Skill Development and Employment Generation

India is currently experiencing a “demographic dividend.” Which of the following is an exception to the conditions required for a country to reap the benefits of this demographic dividend?

Explanation

To capitalize on a demographic dividend, a country requires a high proportion of working- age individuals relative to dependents. A sudden surge in fertility rates would increase the child dependency ratio, diverting resources from productive investments into basic childcare. Successful realization of the dividend instead depends on improved healthcare, quality education, skill development, and the creation of ample employment opportunities.

14
Skill Development and Employment Generation

Consider the following statements regarding the recent Labour Reforms in India (the Four Labour Codes): I. The Code on Wages universally applies minimum wages across all sectors. II. The Industrial Relations Code increases the threshold for requiring government permission for retrenchment from 100 to 300 workers. III. The Occupational Safety, Health and Working Conditions Code mandates welfare facilities for inter-state migrant workers. IV. The Code on Social Security introduces a framework to provide social security to gig workers and platform workers. V. The Four Labour Codes were created by adding 29 entirely new laws to the Constitution without replacing any existing central labour acts. Which of the above statement(s) is/are incorrect?

Explanation

The recent labor reforms in India involved the consolidation of twenty-nine existing central labor laws into four simplified codes. These codes address wages, industrial relations, social security, and occupational safety. The claim that these codes were created without replacing any existing acts is incorrect, as the primary objective of this legislative overhaul was to modernize and streamline the historical legal framework.

15
Skill Development and Employment Generation

Which of the following characteristics is the odd one out when describing employment in the informal sector in India?

Explanation

The informal sector in India is primarily characterized by the absence of formal legal protections and social security benefits for workers. Employment in this segment typically lacks written contracts, paid leave, and job security, making individuals highly vulnerable to economic fluctuations. Mandatory enrollment in retirement funds like the provident fund organization is a hallmark of formal employment and does not apply here.

16
Skill Development and Employment Generation

Consider the following statements: Statement I: The Female Labour Force Participation Rate (FLFPR) in India has historically been significantly lower than the male participation rate. Statement II: The burden of unpaid domestic care work is one of the primary structural constraints limiting women’s participation in the formal workforce. Which of the following is correct in respect of the above statements?

Explanation

Female labor participation in India remains lower than male participation due to various deep- seated structural and social factors. One of the most significant barriers is the disproportionate burden of unpaid domestic care work placed on women. This responsibility often prevents them from seeking or maintaining formal employment, highlighting the need for policies that support child care and flexible working arrangements.

17
Skill Development and Employment Generation

Which of the following is the most appropriate description of the SVAMITVA scheme’s role in the rural economy?

Explanation

The SVAMITVA scheme utilizes advanced drone technology to accurately map land parcels in rural inhabited areas. By providing villagers with formal property cards, the initiative establishes clear ownership records for residential assets. These legal documents allow rural residents to use their property as financial collateral, thereby facilitating access to institutional credit and reducing land-related disputes within the village community.

18
Skill Development and Employment Generation

In the context of the PM SVANidhi scheme, identify the correct pair of loan tranches available to street vendors upon timely repayment:

Explanation

SVANidhi scheme provides affordable working capital loans to street vendors to help them resume their livelihoods. Initially, vendors can access a first tranche of ten thousand rupees. Upon timely repayment of this initial loan, they become eligible for an enhanced second tranche of twenty thousand rupees. This graduated credit structure encourages financial discipline and helps vendors build credit history.

19
Skill Development and Employment Generation

A family of six is working on a 2-hectare agricultural farm. Even if two members migrate to the city for work, the total agricultural output of the farm remains unchanged. This scenario is a classic application of which economic concept?

Explanation

Disguised unemployment is a common phenomenon in the agricultural sector where the number of people working on a farm exceeds the actual requirement. In such cases, the marginal productivity of additional workers is zero, meaning their removal does not decrease the total output. This situation reflects a lack of alternative employment opportunities, forcing family members to share existing agricultural tasks inefficiently.

20
Skill Development and Employment Generation

In the context of the “Future of Work,” the integration of Artificial Intelligence (AI) and robotic process automation in manufacturing is most likely to result in which of the following?

Explanation

integration of advanced technologies like artificial intelligence and automation is reshaping the manufacturing landscape. These tools primarily automate routine, repetitive tasks that were previously performed by human workers. However, this shift simultaneously increases the demand for high-level cognitive skills, complex problem-solving abilities, and technical expertise required to manage, maintain, and innovate alongside these sophisticated robotic and digital systems.

21
Skill Development and Employment Generation

Which skill domain is most commonly cited by employers as lacking among fresh technical graduates, leading to a demand-supply mismatch in the labor market?

Explanation

While many technical graduates possess strong theoretical knowledge, employers frequently report a significant deficit in essential soft skills and practical application abilities. Effective communication, teamwork, and the capacity to solve real-world problems are highly valued in the modern workplace. This gap between academic learning and industry requirements is a major factor contributing to the prevailing employability challenges among Indian graduates.

22
Skill Development and Employment Generation

Consider the following statements regarding the institutional framework of the National Skill Development Mission (NSDM): I. At the apex level, it has a Governing Council chaired by the Prime Minister. II. It operates independently without any coordination with the State Skill Development Missions. III. The implementation is driven by an Executive Committee chaired by the Minister of Skill Development and Entrepreneurship. Which of the above statement(s) is/are incorrect?

Explanation

The National Skill Development Mission features a structured three-tier framework for implementation. While the Governing Council is led by the Prime Minister, it maintains deep coordination with various State Skill Development Missions to ensure regional alignment. Furthermore, the day-to-day operations and executive functions are typically overseen by an Executive Committee chaired by the Secretary of the Ministry, rather than the Minister.

23
Skill Development and Employment Generation

Which of the following statements accurately describes the role of Sector Skill Councils (SSCs) under the NSDC?

Explanation

Skill Councils play a pivotal role in the Indian skilling ecosystem as industry-led organizations. They are responsible for identifying the specific skill requirements of various sectors and developing National Occupational Standards for different job roles. By creating Qualification Packs, these councils ensure that vocational training remains aligned with current industry needs, thereby improving the employability and quality of the certified workforce.

24
Skill Development and Employment Generation

Match the iterations of the Pradhan Mantri Kaushal Vikas Yojana (PMKVY) in List I with their defining features in List II: List I: (PMKVY Iteration) A. PMKVY 1.0 (2015) B. PMKVY 2.0 (2016-2020) C. PMKVY 3.0 (2020-2021) D. PMKVY 4.0 (2023 onwards) List II: (Defining Features) i. Introduced a decentralized model empowering District Skill Committees ii. Emphasizes on-the-job training, Industry 4.0 courses, and skill hubs in schools iii. The pilot launch focusing on rapid mass training and reward-based certification iv. Expanded scale with increased focus on placement and standardized curriculum across states

Explanation

Vikas Yojana has evolved through several iterations to refine its impact. The initial launch focused on mass training and rewards. The second version expanded scale and standardized curricula. The third iteration introduced a decentralized model empowering local committees to address regional needs. Currently, the fourth version emphasizes modern Industry 4.0 courses, on-the-job training, and integrated skill hubs.

25
Skill Development and Employment Generation

Which of the following is NOT one of the primary pillars or sub-schemes of the overarching Skill India Mission?

Explanation

The Skill India Mission encompasses several strategic initiatives designed to enhance the vocational capabilities of the workforce. These include the flagship training scheme for youth, the apprenticeship promotion program, and efforts to modernize industrial training institutes. However, the direct income support scheme for farmers is focused on providing financial assistance to agricultural households and does not fall under the skill development mandate.

26
Skill Development and Employment Generation

Which of the following features is the odd one out regarding the conventional training model of Industrial Training Institutes (ITIs) before recent reforms?

Explanation

Historically, traditional Industrial Training Institutes faced challenges such as outdated curricula, obsolete machinery, and a heavy reliance on theoretical classroom instruction. Weak linkages with local industries often resulted in a gap between training and employment. Integration with advanced technologies like artificial intelligence and robotics is a recent reform measure and was not a characteristic feature of the conventional vocational training model.

27
Skill Development and Employment Generation

Consider the following steps in the candidate participation flow for the National Apprenticeship Promotion Scheme (NAPS):

Explanation

in the National Apprenticeship Promotion Scheme follow a systematic process to ensure effective skill development. The journey begins with registration on the official portal, followed by the formal generation of an apprenticeship contract. Students then receive basic theoretical training before moving into practical on-the-job training within an industry. The cycle concludes with a formal assessment to certify the candidate’s proficiency.

28
Skill Development and Employment Generation

Given below are two statements, one labeled as Assertion (A) and the other as Reason (R): Assertion (A): Structural unemployment tends to be long-term in nature compared to frictional unemployment. Reason (R): Structural unemployment arises from fundamental shifts in an economy, such as technological advancements, which make older skills obsolete. In the context of the above statements, which one of the following is correct?

Explanation

Structural unemployment is distinct from frictional unemployment because it results from fundamental economic shifts that make certain skills irrelevant. While frictional unemployment is temporary and involves workers switching jobs, structural issues require extensive retraining and time to resolve. Technological advancements often automate older processes, creating long- term unemployment for individuals whose traditional expertise no longer aligns with the demands of the modern labor market.

29
Skill Development and Employment Generation

Consider the following statements regarding the MGNREGA scheme: Statement I: The implementation of MGNREGA has led to a significant increase in the financial inclusion of rural women by mandating wage payments directly into their bank or post office accounts. Statement II: The scheme places no emphasis on the creation of durable rural assets, focusing solely on immediate wage distribution. Which of the following is correct in respect of the above statements?

Explanation

The implementation of the rural employment guarantee scheme has significantly enhanced financial inclusion by mandating direct wage transfers into the bank accounts of workers, especially women. However, the scheme is not solely about wage distribution; it places a heavy emphasis on the creation of durable community assets, such as water conservation structures and rural roads, to improve local infrastructure and productivity.

30
Skill Development and Employment Generation

Consider the following statements regarding the PM Rozgar Protsahan Yojana (PMRPY): I. It is implemented by the Employees’ Provident Fund Organisation (EPFO). II. It applies only to workers earning wages up to Rs 15,000 per month. III. It aims to incentivize the formalization of the workforce. IV. The government pays the full 12% of the employer’s contribution to the EPF and EPS for new employees. Which of the above statement(s) is/are correct?

Explanation

The Pradhan Mantri Rozgar Protsahan Yojana is a comprehensive initiative managed by the Employees’ Provident Fund Organisation. It targets the formalization of workers earning up to fifteen thousand rupees monthly. By covering the entire twelve percent employer contribution to social security funds, the government incentivizes businesses to declare their workforce. This dual strategy boosts formal job creation while extending essential welfare.

31
Skill Development and Employment Generation

Match the start-up ecosystem terms in List I with their correct descriptions in List II: List I: (Terms) A. Incubator B. Angel Investor C. Unicorn D. Bootstrapping List II: (Descriptions) i. A start-up company valued at over $1 billion ii. Building a business using only personal savings and initial revenue iii. An organization that helps early-stage start-ups grow by providing workspace and mentorship iv. A high-net-worth individual who provides financial backing for small start-ups

Explanation

several specialized terms to describe growth and funding stages. Incubators provide essential mentorship and workspace for early ventures. Angel investors are individuals who offer critical initial capital. A unicorn refers to a private company reaching a valuation of one billion dollars. Finally, bootstrapping involves entrepreneurs growing their business using only personal savings and revenue without external funding.

32
Skill Development and Employment Generation

Under the Atmanirbhar Bharat package, the definition of Micro, Small and Medium Enterprises (MSMEs) was revised. According to the revised criteria, what is the investment and turnover limit for an enterprise to be classified as a “Small” enterprise?

Explanation

Under the Atmanirbhar Bharat initiative, the government introduced a revised definition for micro, small, and medium enterprises based on combined criteria of investment and turnover. To be classified as a small enterprise, a unit must have an investment in plant and machinery or equipment not exceeding ten crore rupees and an annual turnover not exceeding fifty crore rupees. This reclassification supports business growth.

33
Skill Development and Employment Generation

Consider the following factors: I. Improving access to quality healthcare II. Modernizing the education system III. Encouraging early marriages IV. Promoting skill development programs V. Implementing business-friendly labor reforms Which of the above combinations represents the correct factors required for India to maximize its demographic dividend?

Explanation

Maximizing the benefits of a demographic dividend requires a healthy and well-educated workforce. Key factors include providing quality healthcare, modernizing the education system, and implementing robust skill development programs. Additionally, business-friendly labor reforms are essential to create productive jobs for the growing population. Encouraging early marriages is counterproductive as it often leads to higher dependency ratios and limits the economic potential of women.

34
Skill Development and Employment Generation

Which of the following statements about the Occupational Safety, Health and Working Conditions Code, 2020 is incorrect?

Explanation

The Occupational Safety, Health and Working Conditions Code modernizes the legal framework by consolidating thirteen existing labor laws. It introduces mandatory appointment letters and provides comprehensive welfare provisions for inter-state migrant workers. Notably, it does not prohibit women from night shifts; instead, it allows them to work during the night in all establishments with their consent, provided that adequate safety measures are ensured.

35
Skill Development and Employment Generation

The e-Shram portal was launched by the Ministry of Labour and Employment to address the challenges of which specific segment of the workforce?

Explanation

The e-Shram portal was established to create the first comprehensive national database of unorganized workers, including migrant laborers, construction workers, and gig workers. By registering on this platform, individuals in the informal sector receive a unique identification number that facilitates access to various social security schemes and government benefits. This initiative is a critical step toward improving the welfare and formalization of the vulnerable workforce.

36
Skill Development and Employment Generation

Identify the correct pair regarding initiatives promoting women’s workforce participation:

Explanation

Mission Shakti serves as a comprehensive umbrella initiative designed to strengthen interventions for women’s safety and empowerment. It integrates various schemes to provide a holistic support system throughout their life cycle. Other initiatives, like the amended maternity act, actually increased paid leave to twenty-six weeks. Such policies are vital for encouraging higher female labor force participation by addressing safety, healthcare, and work-life balance requirements.

37
Skill Development and Employment Generation

What is the most common cause and effect relationship associated with chronic rural unemployment and distress in India?

Explanation

rural unemployment in India is often exacerbated by a lack of diverse, non-agricultural job opportunities in villages. When agricultural productivity stagnates or becomes seasonal, rural residents face severe economic distress. This situation frequently forces individuals to migrate to urban centers in search of livelihoods, often resulting in the expansion of urban slums and increased pressure on city infrastructure and basic services.

38
Skill Development and Employment Generation

Consider the following statements regarding the PM SVANidhi scheme: I. It is a Central Sector Scheme funded fully by the Ministry of Housing and Urban Affairs. II. The Small Industries Development Bank of India (SIDBI) is the implementation partner for the scheme. III. It penalizes street vendors for conducting digital transactions to promote a cash economy. Which of the above statement(s) is/are correct?

Explanation

The PM SVANidhi scheme is a central sector initiative fully funded by the Ministry of Housing and Urban Affairs to support street vendors. The Small Industries Development Bank of India serves as the technical implementation partner. Rather than penalizing digital usage, the scheme actively promotes a digital economy by offering monthly cashback incentives to vendors who conduct transactions electronically, fostering greater financial inclusion.

39
Skill Development and Employment Generation

The phenomenon where rural surplus labor is drawn from agriculture to the growing urban industrial sector at constant subsistence wages is famously described by which economic model?

Explanation

The Lewis model explains how developing economies grow by shifting surplus labor from a traditional subsistence sector, like agriculture, to a modern industrial sector. This transition occurs at a constant wage rate as long as there is an unlimited supply of labor in the rural areas. This movement of workers facilitates capital accumulation and industrial expansion, driving the overall structural transformation of the economy.

40
Skill Development and Employment Generation

Which of the following is the most appropriate strategy to prepare the Indian workforce for the “Future of Work” driven by Industry 4.0?

Explanation

upvilling in digital technologies To thrive in the era of Industry 4.0, the workforce must adapt to rapid technological disruptions by embracing continuous skill development. Lifelong learning and frequent upskilling in digital domains ensure that workers remain relevant as automation changes job roles. This proactive strategy focuses on enhancing human capabilities rather than resisting technological progress, allowing the labor force to leverage new opportunities created by digital innovation.

41
Skill Development and Employment Generation

Match the types of skills in List I with their corresponding examples in List II: List I: (Types of Skills) A. Cognitive Skills B. Technical Skills C. Soft Skills D. Vocational Skills List II: (Examples) i. Welding, carpentry, and plumbing ii. Communication, teamwork, and adaptability iii. Coding in Python and operating CNC machines iv. Critical thinking, problem-solving, and analytical reasoning

Explanation

requires a diverse range of competencies. Cognitive skills involve critical thinking and analytical reasoning. Technical skills are specific to a profession, such as coding or machine operation. Soft skills encompass interpersonal qualities like communication and teamwork. Finally, vocational skills refer to practical, craft-based expertise in trades like welding or carpentry. Mastery across these domains is essential for comprehensive professional development.

42
Skill Development and Employment Generation

Consider the following statements regarding the institutional structure of skill development in India: Statement I: The National Skill Development Corporation (NSDC) is entirely funded and operated by private sector enterprises without any government involvement. Statement II: The Ministry of Skill Development and Entrepreneurship (MSDE) acts as the apex nodal ministry for all skill development initiatives in the country. Which of the following is correct in respect of the above statements?

Explanation

The Ministry of Skill Development and Entrepreneurship is the primary nodal agency responsible for coordinating all vocational training efforts across the country. In contrast, the National Skill Development Corporation is not a purely private entity; it operates as a public- private partnership with significant government involvement and funding. It was established specifically to catalyze the private sector’s participation in building the national skilling infrastructure.

43
Skill Development and Employment Generation

Consider the following functions: I. Providing concessional funding to private entities for setting up training centers. II. Directly administering and examining candidates in all government-run public schools. III. Enabling support systems such as quality assurance, information systems, and train- the-trainer academies. IV. Regulating the fiscal policy and corporate tax rates for manufacturing industries. Which of the above functions of the National Skill Development Corporation (NSDC) are incorrect?

Explanation

The National Skill Development Corporation is tasked with funding private training initiatives and providing critical support systems like quality assurance and trainer academies. However, it does not directly manage or examine candidates in public schools, which falls under educational boards. Additionally, the organization has no mandate to regulate national fiscal policies or corporate tax rates, as those functions are handled by the Ministry of Finance.

44
Skill Development and Employment Generation

Which of the following statements regarding the Recognition of Prior Learning (RPL) component of PMKVY is incorrect?

Explanation

Recognition of Prior Learning is a vital component of the national skill development scheme that validates the skills of uncertified workers in the informal sector. It aligns their existing competencies with the national qualification framework to improve their employability. Contrary to the idea of high costs, the program is designed to be accessible and does not require candidates to pay heavy examination fees to the government.

45
Skill Development and Employment Generation

Consider the following institutional milestones in India’s skill development ecosystem: I. Formation of National Skill Development Corporation (NSDC) II. Creation of Ministry of Skill Development and Entrepreneurship (MSDE) III. Establishment of the first Industrial Training Institutes (ITIs) IV. Launch of the National Skill Development Mission (NSDM) Which of the following represents the correct chronological order of these milestones?

Explanation

The institutional journey of skill development began with the establishment of the first Industrial Training Institutes in the post-independence era. Decades later, the National Skill Development Corporation was formed as a public-private partnership. This was followed by the creation of a dedicated Ministry of Skill Development and Entrepreneurship in twenty-fourteen. Finally, the National Skill Development Mission was launched in twenty-fifteen to provide a unified framework.

46
Skill Development and Employment Generation

The grading system introduced for Industrial Training Institutes (ITIs) by the Directorate General of Training (DGT) primarily serves to:

Explanation

The grading system for Industrial Training Institutes is a quality assurance initiative implemented by the Directorate General of Training. It uses a star-rating mechanism, from one to five, to evaluate the performance and infrastructure of these centers. This transparent categorization helps prospective students and employers identify high-quality training providers and encourages institutes to improve their standards through healthy competition and systematic assessments.

47
Skill Development and Employment Generation

Match the components of the National Apprenticeship Promotion Scheme (NAPS) in List I with their respective descriptions in List II: List I: (Components) A. Target Beneficiaries B. Implementing Agency C. Financial Support (Stipend) D. Basic Training Provider List II: (Descriptions) i. Up to Rs. 1500 per month per apprentice shared by the government ii. Institutions facilitating theoretical learning for fresh apprentices iii. Youth looking for on-the-job training to enhance employability iv. Directorate General of Training (DGT) / NSDC

Explanation

Scheme consists of several key elements designed to boost vocational training. It targets youth seeking on-the-job experience while the Directorate General of Training and the skill corporation act as implementing agencies. The government provides financial support by sharing part of the monthly stipend. Specialized institutions act as basic training providers, offering the necessary theoretical foundation before practical industry exposure begins.

48
Skill Development and Employment Generation

Consider the following statements about unemployment types: I. Seasonal unemployment is most prevalent in the Indian agricultural sector. II. Frictional unemployment is considered harmful and indicates an economy in deep recession. III. Disguised unemployment means that the marginal productivity of an extra worker is zero or negative. IV. Cyclical unemployment is irrelevant in modern capitalist economies. V. Structural unemployment can be solved simply by lowering interest rates. Which of the above statement(s) is/are incorrect?

Explanation

Frictional unemployment is a natural part of a healthy economy where workers transition between jobs. Cyclical unemployment remains highly relevant during business cycles, while structural unemployment requires long- term retraining rather than simple monetary policy adjustments. Conversely, seasonal unemployment is common in agriculture, and disguised unemployment is defined by zero marginal productivity. Understanding these distinctions is crucial for designing effective and targeted economic policies.

49
Skill Development and Employment Generation

The initiative ‘GeoMGNREGA’ was introduced to:

Explanation

The GeoMGNREGA initiative leverages advanced space technology and Geographic Information Systems to enhance the transparency and accountability of the rural employment scheme. By geo-tagging every asset created, such as check dams or roads, the government can track physical progress and verify the existence of projects in real-time. This digital mapping ensures that public funds are utilized effectively for the creation of durable community infrastructure.

50
Skill Development and Employment Generation

Which of the following establishments is explicitly excluded from claiming benefits under the PM Rozgar Protsahan Yojana (PMRPY)?

Explanation

Pradhan Mantri Rozgar Protsahan Yojana specifically targets the entry-level workforce to promote formal job creation. To qualify for the government-paid pension and provident fund contributions, the new employees must have a monthly wage of fifteen thousand rupees or less. Workers earning above this threshold are not covered under the scheme’s incentives, as the primary goal is to support low-wage workers in the informal sector.

51
Skill Development and Employment Generation

Given below are two statements, one labeled as Assertion (A) and the other as Reason (R): Assertion (A): The proliferation of technology- driven start-ups has a complex impact on employment generation. Reason (R): While start-ups create new high- skilled jobs in tech sectors, their capital- intensive and automated models can sometimes displace traditional routine jobs. In the context of the above statements, which one of the following is correct?

Explanation

Technology-driven start-ups have a dual impact on the national employment landscape. While they generate high-skilled opportunities in software development, data science, and engineering, their reliance on automation and capital-intensive models can displace traditional job roles. This complexity necessitates a balanced approach to economic planning, focusing on both the promotion of innovation and the widespread reskilling of the workforce to adapt to digital shifts.

52
Skill Development and Employment Generation

The ‘Atmanirbhar Bharat Abhiyan’ is based on five foundational pillars. Which of the following is NOT one of the five official pillars?

Explanation

The Atmanirbhar Bharat Abhiyan is built upon five foundational pillars designed to create a self-reliant India. These include the economy, infrastructure, a technologically driven system, vibrant demography, and demand. The inclusion of autocratic governance is entirely incorrect, as the initiative operates within a democratic framework aiming to empower citizens and businesses through structural reforms, improved supply chains, and enhanced domestic manufacturing capabilities.

53
Skill Development and Employment Generation

Which of the following demographic segments is most appropriately referred to as the “working- age population” in the context of calculating India’s demographic dividend?

Explanation

the context of the demographic dividend, the working-age population is traditionally defined as the cohort between fifteen and fifty-nine years of age. This group represents the productive engine of the economy. A high proportion of individuals in this age bracket, compared to dependents like children and the elderly, allows a nation to achieve higher economic growth through increased labor supply and savings.

54
Skill Development and Employment Generation

Consider the following statements regarding the Code on Wages, 2019: I. It consolidates four major wage-related laws including the Minimum Wages Act, 1948. II. It prohibits gender discrimination in matters related to wages and recruitment. III. It introduces the concept of a statutory “National Floor Wage” fixed by the Central Government. Which of the above statement(s) is/are correct?

Explanation

The Code on Wages serves as a major legislative reform that simplifies four earlier labor laws into a single unified framework. It ensures universal minimum wages across all sectors and introduces a statutory national floor wage. Furthermore, the code explicitly prohibits gender-based discrimination in recruitment and wage payments, promoting a more equitable and transparent labor market for both formal and informal workers.

55
Skill Development and Employment Generation

The National Commission for Enterprises in the Unorganised Sector (NCEUS), which provided critical insights into informal sector employment in India, was chaired by:

Explanation

The National Commission for Enterprises in the Unorganised Sector was established to analyze the conditions of the informal workforce in India. Under the chairmanship of Arjun Sengupta, the commission highlighted the extreme vulnerabilities of millions of workers lacking formal contracts and social security. Its landmark reports provided the intellectual foundation for many subsequent social welfare policies and reforms targeting the vast unorganized segment.

56
Skill Development and Employment Generation

Identify the correct statement regarding legislation impacting women’s workforce participation in India:

Explanation

support working mothers, the amended Maternity Benefit Act introduced several critical provisions, including the requirement for creche facilities in establishments with fifty or more workers. This legislation also increased paid maternity leave to twenty-six weeks. Such measures are essential for reducing the structural barriers that often force women to choose between their careers and childcare, thereby promoting higher workforce participation.

57
Skill Development and Employment Generation

Consider the following statements regarding rural development and employment programs: I. The PURA (Provision of Urban Amenities to Rural Areas) concept was envisioned by Dr. A.P.J. Abdul Kalam. II. The Shyama Prasad Mukherji Rurban Mission aims to develop a cluster of smart villages. III. These schemes intend to curb distress migration by bridging the rural-urban divide. IV. Both schemes focus heavily on establishing large-scale metropolitan airports in villages. Which of the above statement(s) is/are correct?

Explanation

Rural development initiatives like the smart cluster mission and the urban amenities concept aim to bridge the rural-urban divide. By improving local infrastructure and economic opportunities, these programs help reduce distress migration to cities. While they focus on creating essential services like healthcare, education, and digital connectivity within village clusters, the establishment of large-scale metropolitan airports is not part of their mandate.

58
Skill Development and Employment Generation

Consider the following statements regarding the PM SVANidhi scheme: Statement I: The scheme encourages the digital empowerment of street vendors by offering monthly cashback incentives on digital transactions. Statement II: The scheme requires vendors to deposit heavy gold collateral to avail the working capital loan. Which of the following is correct in respect of the above statements?

Explanation

The PM SVANidhi scheme encourages the digital empowerment of street vendors by offering monthly cashback incentives to those who adopt electronic payment methods. This initiative helps vendors build a verifiable digital footprint. Importantly, the scheme is designed to be accessible to poor urban dwellers; therefore, it does not require any collateral, such as gold or property, to avail of the working capital loan.

59
Skill Development and Employment Generation

Given below are two statements, one labeled as Assertion (A) and the other as Reason (R): Assertion (A): Disguised unemployment in agriculture does not negatively affect the total farm output if surplus workers are withdrawn. Reason (R): The marginal physical productivity of the surplus workers in a situation of disguised unemployment is essentially zero. In the context of the above statements, which one of the following is correct?

Explanation

In many agricultural regions, the presence of more workers than necessary leads to disguised unemployment. Because the marginal physical productivity of these surplus laborers is essentially zero, their withdrawal does not decrease the total farm output. This situation indicates that the available labor is not being utilized efficiently, highlighting the urgent need for creating non- farm employment opportunities to absorb the excess rural workforce.

60
Skill Development and Employment Generation

Match the technological trends of the “Future of Work” in List I with their primary employment implications in List II: List I: (Technological Trends) A. Artificial Intelligence B. Gig Economy Platforms C. Blockchain Technology D. Internet of Things (IoT) List II: (Employment Implications) i. Transition from long-term contracts to freelance, task-based work ii. Automation of cognitive tasks and data analysis iii. Demand for skills in secure, decentralized digital ledger systems iv. Demand for hardware-software integration and smart sensor management

Explanation

changing employment dynamics. Artificial intelligence automates complex cognitive tasks, while gig platforms facilitate a shift toward freelance work. Blockchain creates demand for experts in secure, decentralized ledgers. Additionally, the growth of interconnected devices requires professionals skilled in managing sensors and hardware-software integration. Understanding these implications is vital for aligning education and training with the evolving requirements of the global digital economy.

61
Skill Development and Employment Generation

Consider the following stages of the skill acquisition and placement process:

Explanation

The standard process for skill development programs begins with mobilization, where potential candidates are identified and encouraged to enroll. Once enrolled, they undergo rigorous vocational training followed by a formal assessment to evaluate their progress. Successful candidates receive official certification, which validates their competencies. The final and most crucial stage is placement, where certified individuals are connected with relevant employment opportunities.

62
Skill Development and Employment Generation

The apex decision-making body of the National Skill Development Mission (NSDM) is its Governing Council. Who serves as the Chairperson of this Governing Council?

Explanation

The National Skill Development Mission features a robust governance structure to ensure high- level political commitment. At the apex level, the Governing Council is chaired by the Prime Minister of India. This council provides the overarching policy direction and monitors the progress of skilling initiatives across various ministries. Having the Prime Minister at the helm ensures better coordination and prioritized implementation of national skills programs.

63
Skill Development and Employment Generation

The funding model of the National Skill Development Corporation (NSDC) involves providing financial assistance to the private sector. This financial assistance is primarily delivered in which form?

Explanation

To catalyze the growth of a sustainable vocational training ecosystem, the National Skill Development Corporation provides critical financial assistance to private sector partners. This support is primarily delivered through soft loans with favorable terms and equity investments in training ventures. This funding model encourages private entities to establish high-quality training centers while maintaining financial accountability, rather than relying solely on non-refundable government grants.

64
Skill Development and Employment Generation

Consider the following statements regarding the third iteration of PMKVY (PMKVY 3.0): I. It marked a shift towards a more decentralized approach with greater responsibilities given to States/UTs. II. District Skill Committees (DSCs) were empowered to identify local skill gaps and mobilize candidates. III. It introduced an exclusive focus on IT and coding skills, banning all traditional vocational courses. IV. It was heavily integrated with the ‘Skill India Portal’ for robust data management. V. It was designed to cater strictly to the age group of 45-60 years. Which of the above statement(s) is/are correct?

Explanation

The third phase of the national skill development scheme introduced a decentralized approach by empowering District Skill Committees to identify local needs. It leveraged the integrated skill portal for better data management and tracking. While it focused on modernizing skills, it did not ban traditional courses or restrict age groups to older adults. Instead, it sought to make the skilling process more responsive to regional industrial requirements.

65
Skill Development and Employment Generation

Identify the correct pair among the following initiatives operating under the Skill India Mission:

Explanation

SANKALP is a World Bank-assisted project focused on strengthening institutional mechanisms at the state and district levels to ensure high-quality skill development. It aims to improve the market relevance of vocational training across the country. Other initiatives like STRIVE focus on upgrading industrial training institutes, while JSS targets the rural and marginalized populations, reflecting the multi- faceted approach of the mission.

66
Skill Development and Employment Generation

Match the institutional bodies in India’s skill ecosystem in List I with their primary functions in List II: List I: (Institutional Bodies) A. NCVET (National Council for Vocational Education and Training) B. DGT (Directorate General of Training) C. CSTARI (Central Staff Training and Research Institute) D. NIMI (National Instructional Media Institute) List II: (Primary Functions) i. Overarching regulatory body for vocational education and training entities ii. Apex organization for development and coordination of vocational training including ITIs iii. Responsible for research, development of curricula, and training of trainers iv. Develops instructional materials, e-learning content, and question banks

Explanation

functions in India’s skilling landscape are distributed among specialized bodies. The vocational council serves as the overarching regulator. The training directorate coordinates nationwide vocational education, including the management of training institutes. Research and curriculum development are handled by specialized staff training institutes, while the instructional media institute creates high-quality learning materials and e-content for students and trainers.

67
Skill Development and Employment Generation

Consider the following statements regarding Apprenticeship Training in India: I. The Apprentices Act, 1961 makes it legally optional for all companies, regardless of size, to engage apprentices. II. Apprentices are legally considered regular employees and are entitled to provident fund and bonus benefits. III. The National Apprenticeship Training Scheme (NATS) covers degree and diploma holders in engineering and non-engineering streams. Which of the above statement(s) is/are incorrect?

Explanation

Under the Apprentices Act, it is legally mandatory for establishments with a certain workforce size to engage apprentices. Furthermore, apprentices are not legally classified as regular employees and, therefore, are not entitled to statutory benefits like provident funds or bonuses during their training period. However, the national apprenticeship training scheme effectively covers degree and diploma holders to enhance their practical employability in technical fields.

68
Skill Development and Employment Generation

Which of the following examples is the odd one out when describing the phenomenon of structural unemployment?

Explanation

Structural unemployment occurs when workers’ skills become obsolete due to long-term technological or industrial changes, such as miners losing jobs to renewable energy or typists being replaced by computers. In contrast, being laid off during a nationwide economic recession is a classic example of cyclical unemployment. This type of job loss is tied to fluctuations in the business cycle rather than permanent shifts.

69
Skill Development and Employment Generation

What has been a widely observed economic effect of the implementation of the MGNREGA scheme on the rural labor market?

Explanation

The implementation of the rural employment guarantee scheme has provided a reliable wage floor for laborers in the countryside. By offering a guaranteed alternative source of income, the scheme has significantly enhanced the bargaining power of rural workers. This shift has led to a widely observed upward pressure on agricultural wages, compelling private farmers to match or exceed the government-stipulated rates.

70
Skill Development and Employment Generation

The PM Rozgar Protsahan Yojana (PMRPY) was a significant scheme for incentivizing employment. During the COVID-19 pandemic recovery phase, which successor scheme was launched to boost job creation in the formal sector?

Explanation

Following the challenges of the pandemic, the government introduced the Atmanirbhar Bharat Rojgar Yojana to accelerate the recovery of the formal labor market. Similar to its predecessor, it provided financial incentives by covering employee and employer contributions to social security funds for new hires. This scheme was specifically designed to boost job creation and support the restoration of employment lost during the nationwide lockdowns.

71
Skill Development and Employment Generation

Which of the following statements regarding the Startup India Seed Fund Scheme (SISFS) is incorrect?

Explanation

The Startup India Seed Fund Scheme provides essential financial support for early-stage ventures to develop prototypes and prove their business concepts. Managed by the industry and internal trade department, the scheme operates through certified incubators that evaluate and support promising startups. However, the funds are strictly intended for business development activities and cannot be used by founders to cover their personal living expenses.

72
Skill Development and Employment Generation

Consider the following statements about the Production Linked Incentive (PLI) scheme and its link to employment: I. It aims to make domestic manufacturing globally competitive. II. It covers labor-intensive sectors such as textiles and electronics manufacturing. III. It has the potential to absorb semi-skilled labor shifting away from agriculture. IV. It completely ignores employment generation and focuses only on corporate tax cuts. Which of the above statement(s) is/are correct?

Explanation

The production-linked incentive scheme aims to transform India into a global manufacturing hub by rewarding companies for increased domestic production. It specifically targets labor- intensive sectors like textiles and electronics, which have a high capacity for job creation. By expanding the manufacturing base, the scheme offers significant potential to absorb semi-skilled workers who are currently underemployed in the agricultural sector.

73
Skill Development and Employment Generation

Match the stages of demographic transition in List I with their population characteristics in List II: List I: (Stages of Transition) A. Stage 1 (Pre-industrial) B. Stage 2 (Developing) C. Stage 3 (Industrializing) D. Stage 4 (Developed) List II: (Population Characteristics) i. High birth rate, high death rate, slow population growth ii. High birth rate, rapidly falling death rate, population explosion iii. Falling birth rate, low death rate, increasing working-age demographic iv. Low birth rate, low death rate, aging population

Explanation

populations change over time. Initial stages feature high birth and death rates, leading to slow growth. As healthcare improves, death rates fall rapidly, causing a population explosion. Later, birth rates begin to decline, leading to a surge in the working-age demographic. Finally, developed societies experience low birth and death rates, eventually resulting in an aging population with high dependency ratios.

74
Skill Development and Employment Generation

Given below are two statements, one labeled as Assertion (A) and the other as Reason (R): Assertion (A): The consolidation of 29 central labour laws into Four Labour Codes promotes the “Ease of Doing Business” while protecting workers’ rights. Reason (R): The consolidation eliminates the multiplicity of definitions, authorities, and contradictory compliances that plagued the earlier legal regime. In the context of the above statements, which one of the following is correct?

Explanation

Consolidating twenty-nine central labor laws into four codes is a strategic move to improve the business environment while protecting worker interests. This reform eliminates the previous complexity of multiple definitions and contradictory compliance requirements. By simplifying the legal framework, the government aims to encourage investment and formalize employment, ensuring that businesses can operate more efficiently and workers can access their rights more easily.

75
Skill Development and Employment Generation

Consider the following statements regarding the informal sector in India: Statement I: The Unorganised Workers’ Social Security Act provides a framework for providing welfare benefits to workers not covered by formal labor laws. Statement II: More than 80% of India’s total workforce is currently employed in the formal, organized sector. Which of the following is correct in respect of the above statements?

Explanation

The social security act for unorganized workers provides a necessary legal framework to extend welfare benefits to the informal workforce. It is important to note that the vast majority of India’s labor force—exceeding eighty percent—is actually employed in the informal or unorganized sector. The claim that most workers are in the formal segment is incorrect and overlooks the significant challenges of the workforce.

76
Skill Development and Employment Generation

Increased mechanization of agriculture, absence of safe transport, and deep-rooted patriarchal norms are key factors contributing to which socio-economic outcome?

Explanation

Several complex factors contribute to the low participation of women in the Indian workforce. Mechanization in agriculture often displaces female labor, while the lack of safe and accessible transportation limits their ability to seek urban jobs. Additionally, deep-rooted patriarchal norms often restrict women’s mobility and prioritize their domestic roles. Addressing these diverse challenges is crucial for empowering women and achieving inclusive national growth.

77
Skill Development and Employment Generation

The rural economy offers multiple avenues for livelihood. Which of the following is NOT primarily a measure for addressing rural unemployment and poverty?

Explanation

Efforts to address rural poverty focus on enhancing local livelihoods through agricultural development, food processing, and rural life missions. These initiatives aim to create jobs within the village ecosystem to curb distress migration. While high-tech projects like semiconductor fabrication are vital for national industrial growth, they are typically located in specialized urban zones and do not serve as primary measures for rural unemployment.

78
Skill Development and Employment Generation

Which of the following categories of individuals is the odd one out regarding the primary target beneficiary group of the PM SVANidhi scheme?

Explanation

PM SVANidhi scheme was specifically designed to provide financial relief to vulnerable urban workers who rely on street-side businesses. This includes fruit sellers, cobblers, and tea stall operators who lack access to formal credit. In contrast, owners of large shopping complexes are established commercial entities with access to traditional banking services and do not fall within the intended target group for this micro- credit scheme.

79
Skill Development and Employment Generation

The term “Feminization of Agriculture” in the Indian context accurately refers to which of the following phenomena?

Explanation

The feminization of agriculture in India is a phenomenon driven primarily by the migration of men from rural areas to cities in search of better wages. As men leave the villages, women increasingly take over the primary responsibility for farming and management of land. While this increases their role in production, it often occurs without a corresponding increase in their land ownership or legal rights.

80
Skill Development and Employment Generation

Consider the following statements regarding platform workers in the gig economy: I. They typically enjoy the flexibility of choosing their working hours. II. They face vulnerabilities regarding social security, health benefits, and income stability. III. They are fully covered by the traditional definitions of an ‘employee’ under the Factories Act, 1948. Which of the above statement(s) is/are correct?

Explanation

Platform workers in the modern gig economy benefit from the flexibility to choose their own working schedules. However, they often lack the social security, health insurance, and job stability associated with traditional employment. Most current labor laws, including the Factories Act, do not fully cover these workers, as their relationship with digital platforms does not fit the conventional definition of a formal employee- employer bond.

81
Skill Development and Employment Generation

Which of the following accurately describes a common method used to assess the “skill gap” in a regional economy?

Explanation

Assessing a regional skill gap involves a systematic analysis of the difference between the actual competencies of the local labor force and the specific skills demanded by regional employers. This process identifies areas where vocational training is lacking, allowing policymakers to design more effective educational interventions. Closing this gap is essential for reducing unemployment and ensuring that local industries have access to a qualified workforce.

82
Skill Development and Employment Generation

Which of the following statements regarding the institutional framework of the National Skill Development Mission (NSDM) is incorrect?

Explanation

The National Skill Development Mission operates as a collaborative framework that actively encourages state governments to establish their own specialized missions. These state-level bodies are essential for implementing skilling initiatives on the ground and addressing regional labor market needs. The central mission provides overall policy guidance and coordination through its governing and executive committees, ensuring a unified yet decentralized approach to vocational training.

83
Skill Development and Employment Generation

In the context of Rajasthan, which is the apex body executing state-level skill development and employment generation initiatives?

Explanation

In the state of Rajasthan, the Skill and Livelihoods Development Corporation serves as the apex agency for promoting vocational training and employment. It was established to design and implement various state-specific schemes that address the unique livelihood challenges of the local population. By partnering with private training providers and industries, the corporation aims to create a skilled workforce that can drive regional economic development.

84
Skill Development and Employment Generation

Consider the following statements regarding PMKVY 4.0: Statement I: It introduces “Skill Hubs” in schools and higher education institutions to integrate vocational education with general education. Statement II: It completely eliminates the role of private training providers in the skilling ecosystem. Which of the following is correct in respect of the above statements?

Explanation

The fourth iteration of the national skill development scheme introduces “Skill Hubs” within schools and colleges to integrate vocational training with mainstream education. This initiative aims to make skill development accessible to a larger student population. Contrary to the idea of eliminating private providers, the scheme continues to rely on a collaborative model that involves both government institutions and private training partners.

85
Skill Development and Employment Generation

Match the skill development initiatives in List I with their salient features in List II: List I: (Skill Initiatives) A. SANKALP B. STRIVE C. PMKVY D. NAPS List II: (Salient Features) i. Short-term training and RPL certification ii. Financial support to employers for apprenticeship iii. World Bank assisted project for improving the relevance and efficiency of ITIs iv. World Bank assisted project for strengthening institutional mechanisms for skill development

Explanation

various specialized projects. SANKALP focuses on strengthening institutional frameworks, while STRIVE aims to improve the efficiency of industrial training institutes. Both receive support from the World Bank. The flagship skill development scheme provides short- term training and certification, whereas the national apprenticeship program offers financial incentives to employers to promote essential on- the-job learning for the youth.

86
Skill Development and Employment Generation

Consider the following statements regarding the recent reforms and upgradation of Industrial Training Institutes (ITIs): I. Several state governments have partnered with private sector giants to upgrade ITIs into Centers of Excellence. II. The focus of the upgradation is on introducing Industry 4.0 trades like robotics, 3D printing, and IoT. III. The upgradation process strictly bans the involvement of industry experts in curriculum design. IV. It aims to boost the employability of ITI graduates in the modern manufacturing sector. V. The reforms include digitizing the functioning and assessment processes of ITIs. Which of the above statement(s) is/are correct?

Explanation

Recent reforms have focused on modernizing Industrial Training Institutes by partnering with private industry giants to create Centers of Excellence. These upgrades prioritize Industry 4.0 trades, such as robotics and the internet of things, to improve graduate employability. Crucially, the process encourages the active involvement of industry experts in designing the curriculum to ensure that the training remains relevant to modern manufacturing standards.

87
Skill Development and Employment Generation

Which of the following is NOT provided for under the National Apprenticeship Promotion Scheme (NAPS)?

Explanation

The National Apprenticeship Promotion Scheme provides critical support to both employers and trainees by sharing the cost of stipends and basic training. It specifically encourages small and medium enterprises to participate in vocational training. However, the scheme is a short-term skill development initiative and does not include provisions for lifelong pensions or other long- term retirement benefits once the apprenticeship period is concluded.

88
Skill Development and Employment Generation

Consider the following measures of unemployment as traditionally calculated by the National Sample Survey Office (NSSO): I. Current Daily Status (CDS) II. Usual Principal Status (UPS) III. Current Weekly Status (CWS) Which of the following represents the correct sequence of these measures in decreasing order of their reference period (from longest period to shortest period)?

Explanation

The National Sample Survey Office utilizes different reference periods to estimate unemployment. The Usual Principal Status measures employment based on a person’s activity over the preceding three hundred and sixty-five days. The Current Weekly Status uses a shorter reference period of seven days. Finally, the Current Daily Status provides the most detailed estimate by considering an individual’s work status for each day.

89
Skill Development and Employment Generation

Under MGNREGA, if an eligible rural applicant demands work and the Gram Panchayat fails to provide employment within the stipulated 15 days, the financial liability to pay the unemployment allowance rests primarily with:

Explanation

Under the legal framework of the rural employment guarantee act, the responsibility to provide work within fifteen days lies with the state authorities. If the government fails to fulfill this demand, the state becomes financially liable to pay an unemployment allowance to the applicant. This provision ensures that the right to work is upheld and that local administrations remain accountable for effective implementation.

90
Skill Development and Employment Generation

Identify the correct pair regarding schemes and their core mechanism:

Explanation

The Pradhan Mantri Rozgar Protsahan Yojana incentivized formal employment by having the government pay the full employer’s contribution to social security funds for three years. This mechanism lowered the cost of hiring new workers for businesses. Other schemes like the rural employment guarantee provide manual work rather than IT jobs, while vendor initiatives focus on credit rather than agricultural equipment or permanent public roles.

91
Skill Development and Employment Generation

In which year was the “Startup India Action Plan” officially launched to build a strong ecosystem for nurturing innovation and start- ups in the country?

Explanation

The Startup India Action Plan was officially launched in January twenty-sixteen to foster a robust ecosystem for innovation and entrepreneurship. The initiative introduced various measures, such as tax exemptions, simplified compliance, and funding support, to encourage the growth of new ventures. By reducing regulatory burdens, the plan aims to transform India into a nation of job creators rather than just job seekers.

92
Skill Development and Employment Generation

The Atmanirbhar Bharat Rojgar Yojana (ABRY) was launched to incentivize employers for creation of new employment and restoration of loss of employment. This scheme was introduced as a direct response to which major event?

Explanation

Atmanirbhar Bharat Rojgar Yojana was introduced as a vital part of the economic stimulus package following the global health crisis. Its primary goal was to incentivize the creation of new jobs and the re-employment of those who lost work during the pandemic- induced lockdowns. By subsidizing social security contributions, the government aimed to accelerate the formalization of the labor market during recovery.

93
Skill Development and Employment Generation

India’s demographic dividend is often described as a “closing window of opportunity.” What is the demographic effect that eventually causes this window to close?

Explanation

A demographic dividend is a temporary opportunity that occurs when a nation’s working- age population is large. However, this window eventually closes as the large workforce grows older, leading to a transition into an aging society. When the elderly dependency ratio increases significantly, the economic burden shifts, making it essential for a country to have invested in productivity during the dividend phase.

94
Skill Development and Employment Generation

The introduction of “Fixed Term Employment” under the recent Labour Reforms is most appropriately aimed at:

Explanation

The introduction of fixed-term employment in the recent labor codes provides industries with the flexibility to hire workers for a specific duration based on project needs. Crucially, this reform ensures that such workers are entitled to the same statutory benefits as permanent employees, including wages and social security. This balanced approach supports seasonal business requirements while protecting the welfare of the workforce.

95
Skill Development and Employment Generation

The Pradhan Mantri Shram Yogi Maandhan (PM-SYM) scheme is an important step towards the formalization and welfare of the informal sector. What is its primary objective?

Explanation

Pradhan Mantri Shram Yogi Maandhan is a voluntary, contributory pension scheme designed specifically for workers in the informal sector. It targets individuals like street vendors, rickshaw pullers, and domestic workers. Upon reaching the age of sixty, beneficiaries who have made regular contributions receive a guaranteed minimum monthly pension of three thousand rupees, providing essential financial security in their old age.

96
Skill Development and Employment Generation

To obtain high-frequency data on the labor force, employment, and unemployment in India, the government introduced the Periodic Labour Force Survey (PLFS). The PLFS estimates key employment indicators for urban areas at what frequency?

Explanation

The Periodic Labour Force Survey was established to provide more frequent and reliable data on the Indian labor market. In urban areas, the survey provides key employment and unemployment indicators every three months. This quarterly frequency allows policymakers to track labor trends in real-time and respond effectively to economic shifts, unlike earlier surveys that were conducted only once every five years.

97
Skill Development and Employment Generation

The SVAMITVA scheme, which impacts the rural economy by providing property cards that can be monetized, is implemented by which nodal central ministry?

Explanation

The SVAMITVA scheme is a major property validation initiative implemented by the Ministry of Panchayati Raj. By using drone-based surveys to map rural residential land, the ministry provides villagers with formal property documents. This effort is critical for empowering rural citizens, as it clarifies land ownership, enables the use of property as collateral for loans, and supports more effective local governance and planning.

98
Skill Development and Employment Generation

What is the intended economic effect of offering an enhanced loan limit in subsequent tranches under the PM SVANidhi scheme upon the timely repayment of the earlier loan?

Explanation

By offering enhanced loan limits in subsequent tranches, the PM SVANidhi scheme incentivizes street vendors to maintain disciplined repayment schedules. This process allows vendors to gradually build a verifiable credit history, which is essential for accessing larger loans from formal financial institutions in the future. This graduated credit structure serves as a bridge for integrating informal workers into the mainstream banking system.

99
Skill Development and Employment Generation

Which of the following statements regarding employment in the Indian agricultural sector is incorrect?

Explanation

the agricultural sector remains the largest employer in India, providing livelihoods for nearly half of the workforce, its contribution to the national Gross Domestic Product is significantly lower. This mismatch indicates low productivity and widespread underemployment within the sector. A key objective of economic development is to shift this surplus labor into more productive manufacturing and service industries to ensure balanced growth.

100
Skill Development and Employment Generation

In discussions about the “Future of Work,” which of the following statements is widely accepted as correct regarding the impact of Artificial Intelligence and automation?

Explanation

Expert discussions on the future of work emphasize that artificial intelligence and automation will not eliminate all human labor. Instead, these technologies will likely displace workers in routine, repetitive tasks while simultaneously creating entirely new job categories. This transition underscores the urgent need for widespread reskilling and upskilling programs to ensure that the workforce can navigate these structural changes and leverage new opportunities.

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Frequently asked questions

What does this RPSC Economy Chapter 9 MCQ set cover?

It covers 100 multiple-choice questions on Skill Development and Employment Generation, a chapter of the RPSC Prelims Economy syllabus, each with the correct answer and a detailed explanation.

How many practice questions are included?

There are 100 multiple-choice questions, each with four options, the correct answer, and a detailed explanation.

Are answers and explanations provided?

Yes. After you choose an option, the page instantly marks the correct answer and shows a full explanation for each question.

Is this useful for RPSC Prelims preparation?

Yes. These questions map directly to the RPSC Prelims Economy syllabus, making this set strong revision and self-assessment practice for the RPSC examination.

RPSC Prelims Economy (Vol-5) — Chapter 9: Skill Development and Employment Generation. 100 MCQ practice set with answers and explanations for RPSC Prelims preparation.

For revision and self-assessment. Questions and explanations are reproduced from the source MCQ book; verify critical facts against your official syllabus and standard textbooks.

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