Licchavi Lyceum

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Licchavi Lyceum

UPSC Prelims PYQ | Unemployment

Q1. Maximum number of workers are employed in which of the following industries in India ?
(a) Sugar
(b) Textiles
(c) Jute
(d) Iron and Steel

(UPSC Prelims 1979)

Answer: (b) Textiles

Explanation: The textile industry is India’s largest employer in the industrial sector, providing jobs to millions across spinning, weaving, dyeing, and garment production. It plays a vital role in rural and urban employment and export earnings.

Q2. Unemployment insurance will result in
(a) Maintenance of consumption level
(b) Decrease in consumption level
(c) Decrease in savings
(d) Increase in savings

Answer: (a) Maintenance of consumption level

Explanation: Unemployment insurance provides financial support during job loss, helping individuals maintain their consumption levels. This stabilizes the economy, prevents demand shocks, and supports social welfare.