Important MCQ questions for Class 11 Economics Chapter-Human capital formation in India
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MCQ Questions set-1 for chapter-Human capital formation in India class 11 Economics
Economics - MCQ on Human capital formation in India
Class XI
Q.1. Human capital formation in india_bipasha_ShaliniHow many types of capital are there?
i) 1
ii) 2
iii) 3
iv) 4
Answer:
(ii) 2.
Expln. Capital is of two types i.e. Physical capital and Human capital.
Q.2. Human capital means –
i) Using of natural resources
ii) Formation of assets by man
iii) Human resources
iv) The men in the government who run the country
Answer:
(iii) human resources.
Expln. Proper investment in education, health and other social infrastructural facipties can turn human resources (e.g. Students) into human capital (e.g. doctors, engineers, teachers etc.) for any country.
Q.3. We need investment in human capital to produce more human capital out of –
i) Natural resources
ii) Other resources
iii) Human resources
iv) Them
Answer:
(iii) human resources.
Expln. Only good human capital has the capabipty to turn uneducated, unskilled human resources into human capital in future if proper support and investments are provided.
Q.4. Which Investment considered as one of the main sources of human capital –
i) Education
ii) Entertainment
iii) Nutrition
iv) Travepng
Answer:
(i) education.
Expln. Individuals invest in education for a secured future and to increase their earning potential, which in turn is a way to produce more good human capital for the country.
Q.5. What do firms provide to their workers for producing human capital?
i) good salary
ii) satisfactory work environment
iii) target based incentives
iv) on the job training
Answer:
(iv) on the job training.
Expln. This kind of training enhances labour productivity. We can say that this is a way of producing human capital for the firm’s income growth.
Q.6. Which expenditure is a source of human capital formation?
i) Immigration
ii) Migration
iii) Popcy framing
iv) Skill development
Answer:
(ii) migration.
Expln. People are most of the time ready to bear the monetary and emotional costs of relocation or migration for better paying jobs. The enhanced earning outweighs the costs of migration and forms a good bunch of human capital in the new places.
Q.7. What is a source of human capital formation?
i) cash capital
ii) Natural resources
iii) Physical capital
iv) Human resources are the base for conceptuapzing human capital
Answer:
(iii) physical capital.
Expln. Physical capital means raw natural resources modified into the forms of usable raw materials for production purposes and country’s economic growth. The same concept is apppcable for human resources which in turn takes the form of human capital for a country’s growth and development.
Q.8. Whose availabipty faciptates adaptation to New technology
i) educated labour force
ii) skilled labour
iii) cash capital
iv) human resources
Answer:
(i) educated labour force.
Expln. Education provides knowledge to understand changes in society and scientific advancements. It’s always easy for a group of educated labour force to grasp the new methods of production and get easy with newer technologies in the field.
Q.9. What is based on the idea that education and health are integral to human well-being?
i) Human capital
ii) Human resources
iii) Human development
iv) Human growth
Answer:
(iii) Human development.
Expln. Only when people have the abipty to read and write and the abipty to lead a long and healthy pfe, they will be able to make other choices which they value for their well-being.
Q.10. Human capital treats means to an end as a
i) Human beings
ii) Human development
iii) Human growth
iv) Education
Answer:
(i) human beings.
Expln. The end being the increase in productivity, the concept of human capital treats human resources as a means to reach that end by producing more and more good human capital out of that.
Q.11. Government should provide basic education and health services free Of cost to the –
i) children
ii) senior citizens
iii) women
iv) Socially oppressed classes
Answer:
(iv) socially oppressed classes.
Expln. Irrespective of their contribution to labour productivity every individual has the right to have basic education and health facipties. Government should take care of the fact that the poor and needy sections of the society get these basic facipties without spending any extra penny.
Q.12. The expenditure on education by the government is expressed in –
i) One
ii) Two
iii) Three
iv) Four ways
Answer:
(ii) two.
Expln. i) As a percentage of total government expenditure and ii) as a percentage of Gross Domestic Product.
Q.13. The percentage of ‘education expenditure of GDP’ expresses how much of our
i) Income
ii) Expenditure
ii) Savings
iv) Paid tax
Answer:
(i) income.
Expln. GDP stands for Gross Domestic Product of the country i.e. income or money value of the total production in a financial year for a country. Education expenditure of GDP thus expresses the percentage amount of our income that goes as an investment in the education sector.
Q.14. Which education takes a major share of total education expenditure?
i) Higher
ii) Tertiary
iii) Vocational
iv) Elementary
Answer:
(iv) elementary.
Expln. Government spends major portion of the education fund to ensure elementary education i.e. the education from class I to class VIII for the children from all sections of the society.
Q.15. On an average, the government spends less on –
i) Tertiary
ii) Technical
iii) Primary
iv) Vocational education
Answer:
(i) tertiary.
Expln. Tertiary or secondary level of education is to some extent a continuation of the elementary education for those who can bear the expenditure involved in it. Government seems not to be bothered to ensure this much level of education for citizens.
Q.16. The per capita education expenditure differs considerably across –
i) Villages
ii) Cities
iii) Metros
iv) States in India
Answer:
(iv) states.
Expln. It is as high as Rs. 3,440 in Lakshadweep to as low as Rs. 386 in Bihar.
Q.17. In 1950, it was noted in the Directive Principles of the Constitution that the government should provide free and compulsory education for all children up to the age of –
i) 10
ii) 14
iii) 15
iv) 18
Answer:
(ii) 14.
Expln. The makers of the Constitution visuapzed an India where every child i.e. every future citizen of the country would be pterate and will have the access to the minimum level of education.
Q.18. The Indian education pyramid is steep indicating –
i) Lesser
ii) More
iii) An average
iv) Total number of people reaching the higher education level
Answer:
(i) lesser.
Expln. The costs involved in higher education, the scenario in the domestic job market, the social infrastructure are some reasons for lesser admission rate in the higher education level in India.
Q.19. As per NSSO data, in 2000, the unemployment rate of educated youth was 7.1% and unemployment of people with up to –
i) Vocational
ii) Higher
iii) Tertiary
iv) Primary education was only 1.2%
Answer:
(iv) primary.
Expln. The good human capital of any country does not want to compromise in the job market. Thus educated and skilled people sometimes bear the pain of unemployment out of frustration. But the section of the society who are not that much educated take up any kind of job for their pving hood. This leads to the difference in the percentage rate of unemployment among higher educated youth and people with education up to primary level.
Q.20. The government should increase allocation for –
i) Primary
ii) Tertiary
iii) Higher
iv) Vocational education
Answer:
(iii) higher.
Expln. The allocation for higher education should be increased and standard of higher education institutes should be improved. Students should be imparted with employable skills in such institutions.
MCQ Questions set-2 for chapter-Human capital formation in India class 11 Economics
Q.21. The need of the hour is to better the rich manpower in India quantitatively and provide such conditions so that they can be utipzed
i) by other nations
ii) In our own country
iii) Globally
iv) For increasing our dollar earning
Answer:
(ii) In our own country.
Expln. Brain drain is a main problem faced by a developing nation pke India. To stop this drainage, government should take initiatives for the betterment of our higher education system where there would be better infrastructure, better placement assistance for the students. Above all, thegovernment should alsotake steps to ensure a satisfactory working condition for the highly quapfied youth in our country.
Q.22. To make human beings more productive we need to produce –
i) Human capital
ii) Physical capital
iii) Technical colleges
iv) All
Answer:
(i) Human capital.
Expln. The purpose of human capital formation is to make human beings
More productive. Human capital represents enhanced labour productivity. It stimulates innovations and creates abipty to absorb newer technologies.
Q.23. Which education is elementary education –
i) Class I to class V
ii) Class I to class VII
iii) Nursery I to class I
iv) Class I to class VIII
Answer:
(iv) class I to class VIII.
Expln. Government considers that this level of education according to the syllabus formed by NCERT or State Education Boards is the minimum requirement for all individual.
Q.24. The Indian education system is considered to be faulty from –
i) Higher education
ii) Going to abroad
iii) Employment
iv) Building moral values angle
Answer:
(iii) employment.
Expln. Syllabus of the degree courses in most of the cases does not have any pnk with the employment opportunities. After studying long years in schools and colleges a major section of the educated Indian youth remain unemployed because they lack the practical training or knowledge.
Q.25. What is the cause of poor health in India?
a. Rapid growth rate of population
b. Growing death rate
c. Rapid growth rate of GDP
d) Rapid rate of growth in agriculture
Answer:
(i) Rapid growth rate of population.
Expln. It has become difficult to provide hygienic water supply, sanitation and garbage disposal facipties to the community because of rapidly growing population.
Q.26. What is the desired level of pubpc expenditure on education?
I. 5%
II. 6%
III. 7%
IV. 8%
Answer:
(ii) 6%
Explanation: The desired level of pubpc expenditure on education is 6% of GDP
Q.27. When was the University Grants Commission estabpshed?
I. 1954
II. 1956
III. 1960
IV. 1965
Answer:
(ii) 1956
Explanation: UGC was estabpshed in 1956
Q.28. vocational education aims at
I. Education
II. Employment
III. Physical education
IV. Skills
Answer:
(iv) Skills
Explanation: Education which aims at providing skills for particular occupation is called vocational education.
Economics - MCQ on Human Capital Formation in India
Class XI
Q. 1. The similarity between human and physical capital is
(a) completely mobile between countries.
(b) can be increased by investment.
(c) nature of benefits.
(d) both are tangible.
Answer:
(b)
Explanation: Human and physical capital can be increased by investment.
Q 2. Population becomes human capital, when investment is made in
(a) education.
(b) transportation.
(c) agriculture.
(d) industries.
Answer:
(a)
Explanation: Population becomes human capital, when investment is made in education, training and medical care. Human capital contributes in the creation of national income.
Q. 3. High level of human capital development
(a) promotes literacy among females.
(b) promotes health facilities.
(c) causes growth of national income.
(d) Promotes literacy among males.
Answer:
(c)
Explanation: High level of human capital development causes growth of national income. Educated labour facilitates adaptation to new technologies. This enhanced productivity of human beings subsequently, contributes to national income.
Q 4. The huge expansion of primary schools in India has been diluted by
(a) poor health.
(b) high dropout rates.
(c) lack of government policy.
(d) migration.
Answer:
(b)
Explanation: The primary school system has expanded to over 5,00,000 villages in India. But this huge expansion of schools has been diluted by poor quality of schooling and high dropout rates.
Q. 5. “Sarva Siksha Abhiyan” is a step towards providing elementary education to all children in the age group of
(a) 6 – 14 years.
(b) 7 – 14 years.
(c) 6 – 15 years.
(d) 7 – 15 years.
Answer:
(a)
Explanation: “Sarva Siksha Abhiyan” is a significant step taken by the central government, in partnership with the states and local government for achieving universalisation of elementary education.
Q 6. The best capital that you consider is
(a) land.
(b) working capital.
(c) physical capital.
(d) human capital.
Answer:
(d)
Explanation: Human beings are the tools that use the other resources, namely land.
The more skilled, educated and healthy a population is, the higher will be the productive output of the country.
Q 7. The major determinants for earning of an individual is
(a) education, skill and health.
(b) urbanisation.
(c) food and health.
(d) health only.
Answer:
(a)
Explanation: The major determinants of the earnings of an individual in the market are his education level, skills and exposure to technology.
Q 8. To encourage attendance and retention of children in school the government has introduced
(a) “mid day meal” scheme.
(b) holidays are curtailed.
(c) late school scheme.
(d) establishment of residential school.
Answer:
(a)
Explanation: In order to encourage students to attend school regularly and retain the students, government schools have introduced the system of “Mid-day meal”.
Q 9. A large population can be turned into a productive asset
(a) by spending resources on education and health for all.
(b) through urbanisation.
(c) through industrialisation.
(d) through migration of people from rural area to urban area.
Answer:
(a)
Explanation: When people are provided with education and health facilities their productivity improves.
Q 10. Educated parents invest heavily on the education of their children
(a) because only educated person can earn.
(b) because education is the only field to invest in.
(c) because education gives higher return.
(d) because they have realized the importance of education.
Answer:
(c)
Explanation: Human is a form of capital. If, investment is made on human through education, training, health care, etc., then it yields return in future.
Q 11. Population becomes liability for the economy, if it is
(a) healthy.
(b) unhealthy.
(c) literate.
(d) trained.
Answer:
(b)
Explanation: Unhealthy and illiterate population cannot contribute to any productive activity. Thus, unhealthy population is burden for an economy.
Q 12. Step that have been taken by the government to promote education is
(a) to increase the literacy rate.
(b) to provide free education till the age of 14.
(c) to establish more schools in urban areas.
(d) to enhance social security scheme.
Answer:
(b)
Explanation: In order to promote education in the country, government has made provisions for providing universal access to elementary education.
Q. 13. The government of India levied a 2 per cent “educational cess” on all union taxes. The revenue earned will be spend on
(a) elementary education.
(b) higher education.
(c) adult education.
(d) women’s education.
Answer:
(a)
Explanation: In the Union Budget 2000-05, the Government of India levied a 2% “educational cess” on all union taxes. The estimated revenue earned from this is Rs. 4000-5000 crore. The entire amount is allocated for elementary education.
Q 14. Human capital in a way superior to other resources like: land and physical capital because
(a) human capital can produce more human capital.
(b) humans are god gift whereas land and other things are man-made.
(c) human resource is a more efficient way to make a firm profitable.
(d) human beings are more productive then any other factors.
Answer:
(a)
Explanation: Land and other capital cannot become useful on its own. Trained, educated and skilled people are responsible for creating more “human capital” for the economic development of a country as a whole.