VELAMMAL BODHI CAMPUS -KOLAPAKKAM

UNIT EXAM -2

CLASS -12 ECONOMICS MAX MARK: 40

SECTION A (10*1=10)

[Link]:C

[Link]: A. OR. Ans: A

3. Ans:D

4. Ans: A

5. Ans:B

6. Ans:C

7. Ans:D

[Link]:B

9. Ans:C

10. Ans:C

SECTION B (2*3=6)

11. Ans: Yes, the statement is accurate. Human capital formation, which
involves developing the knowledge, skills, and abilities of a population, is
a crucial driver of innovation, invention, and technological advancement.
Investments in education, training, and healthcare increase a population's
capacity to create, adapt, and implement new technologies, leading to
economic growth and development.

Human capital formation helps in innovation and creates ability to absorb

new technology and skills.

Education helps in providing knowledge to understand technological

changes, adapt and accept the changes which facilitates innovation and
invention in the economy.

The availability of skills and educated labour force facilitates adoption to

new technology.

12. Ans: Following steps have been taken for attaining sustainable
development in India:

(i) Use of input-efficient technology.

(ii) Use of environment-friendly sources of energy.

(iii) Integrated rural development so that migration of rural population to
urban areas curtailed.

(Iv) Conversion of sunlight into solar energy and solar energy into
electricity.

(v) A focus on organic farming.

(Vi) Efficient management of the wastes.

(vii) Stringent laws on the disposal of chemical effluents.

(viii) Spread of awareness to conserve natural assets for inter-generational

equity.

(ix) Use of public means of transport.

OR

Ans: It is true that recently we have drifted from the traditional knowledge
and practices and have caused large scale damage to the environment.
Here is an example:

Traditional farm practices relied on the use of organic manures. We now

have shifted to the use of chemical fertilizers. It has led to an extensive
use of water as well as pollution of water. No doubt we have raised
productivity. But we should not forget that there has been a serious
damage to the environment in terms of (i) depletion of water table, and
(2) pollution of water.

It is high time that we revert to farming based on organic manures, and

contribute to the process of sustainable development (Health sector also
can be given as example)

SECTION C ( 3*4=12)

13. Ans: Following are the main difficulties being faced in the human
capital formation in India:

(i) Rising Population: Rapidly rising population adversely affects the

quality of human capital. This is because it reduces per head availability of
the existing facilities relating to housing, sanitation, drainage, water-
system, hospitals, education, power supply, etc. In turn, this leads to a fall
in the capacity to acquire specialised skills and knowledge.

(ii) Brain Drain: Migration of persons (born, educated and trained in India)
to developed countries is a serious threat to the process of human capital
formation in the country. This is described as the problem of brain drain.
This slows down the process of human capital formation in the domestic
economy.
(iii) Deficient Manpower Planning: India is facing an explosive problem
relating to graduate unemployment. It is a sad reflection on the wastage
of human power and human skill.

(iv) Insufficient On-the-Job Training in Primary Sector: Primary sector

(agriculture in particular) is the backbone of Indian economy.
Unfortunately, it has not received due attention in the area of professional
skills.

(V) Low Academic Standards: As a result of opening up of many

universities (in enthusiasm to spread higher education), we have a large
army of half-baked graduates and post-graduates whose deficient skills
only lowers the level of efficiency/productivity.

14. a) Ans: Yes, India has the potential to become a leading knowledge
economy, and there are several reasons to support this belief. India
possesses a large and growing pool of skilled professionals, particularly in
the IT sector, and has shown a strong capacity for innovation and
technological advancement.

b) Ans: Economically, migration can boost the economy of the receiving

country through remittances and filling labor shortages, while the origin
country might experience "brain drain." Socially, migrants can enrich the
culture of the receiving area, but they may also face discrimination or
challenges integrating

15.a) Ans. Ozone depletion refers to the thinning of the ozone layer in the
Earth's stratosphere, which is primarily caused by human-made chemicals
like chlorofluorocarbons (CFCs). These chemicals, once released into the
atmosphere, rise to the stratosphere where they break down ozone
molecules, reducing the layer's ability to block harmful ultraviolet (UV)
radiation.

Phasing out Ozone-Depleting Substances

Promoting Alternatives

Reducing Vehicle Emissions

Using Eco-Friendly Cleaning Products etc..( any other points

b) Ans. Absorptive capacity refers to an entity's ability to recognize,

assimilate, and utilize new knowledge or resources, while carrying
capacity defines the Resource extraction should remain below the rate of
resource regeneration. Generation of waste should remain within the
absorption capacity of the environment

OR
Ans: India has made significant strides in education, including increased
access to primary education, expansion of secondary and higher
education, and the establishment of world-renowned institutions like IITs
and IIMs. However, challenges remain in areas like educational inequality,
quality of education, infrastructure, and teacher shortages, particularly in
rural areas. Future reforms need to address these issues while also
focusing on holistic learning, technology integration, and vocational
training to prepare students for the evolving global landscape.

Achievements

Increased enrollment

Expansion of secondary and higher education

Literacy rate improvement

Establishment of IIT IIM etc..

Challenges

Educational inequality

Quality of education

Infrastructure deficiency

Funding etc.

SECTION D ( 2*6=12)

16.I)

(a) Ans:True. The program focuses on providing vocational training and

skill development to India's youth, aiming to make them more employable
and productive, thus enhancing the nation's overall human capital .

(b) Ans: True. Environmental degradation occurs due to production activity

without caring for environmental protection. This is certainly an avoidable
opportunity cost.

II)

a) Ans: Brain drain (migration of person born, educated and trained in

India to developed countries) is a serious threat to the process of human
capital formation in the country. Those who migrate are persons of high
calibre such as scientists, doctors, engineers, etc. This slows down the
process of capital formation in the domestic economy.

b) Ans: Physical capital refers to tangible, man-made assets like

machinery and buildings, while human capital represents the knowledge,
skills, and abilities of individuals that contribute to productivity.
Essentially, physical capital is the tools, and human capital is the skilled
worker using those tools.

17.a)* Use of non-conventional sources of energy

Conventional sources of energy like thermal power and hydro power are
highly damaging to the environment.

*Thermal power is generated by burning coal. This releases carbon dioxide

(a green house gas) which adds to global warming.

*Hydro power generation requires construction of dams. This leads to

deforestation and submerging of forest and agricultural lands.

Sustainable development requires extensive use of non-conventional

sources of energy

*LPG, gobar gas in rural areas

Households in rural areas use different types of fuels like wood, dried
dung. etc. These fuels are not energy efficient. Moreover, they cause
pollution.

A good strategy for sustainable development is the promotion of LPG

(Liquified Petroleum Gas) and gobar gas in rural areas. LPG is an energy
efficient clean fuel. Gobar gas produced from cattle dung is a renewable
resource. The slurry left after gas production is a very good organic
fertiliser.

*CNG in urban areas

CNG (Compressed Natural Gas) is now increasingly used in public

transport system. This reduces air pollution. CNG is used in public
transport system in New Delhi.

* Wind energy

Wind energy is an important renewable energy. This is suitable in areas

where the speed of wind is high. India is now a major exporter of wind
turbines. Wind energy which is an environmentally friendly energy should
be extensively promoted.

*Solar energy

The sun is an inexhaustible source of energy. India is a tropical country

endowed with abundant sunlight. If this sunlight can be harnessed into
solar energy, that would be a great leap in solving the energy crisis. Solar
energy can be stored in photovoltaic cells. It can be used in cooking,
water heating, lighting, etc. The advantage of solar energy is that it is a
renewable source of energy and is completely pollution free.

*Mini-hydel Projects

Hydro energy generated from large dams is a major source of energy. But,
large dams destroy or submerge forests and therefore, they are
environment unfriendly. This problem can be solved by mini-hydel
projects. Mini-hydel projects are constructed across streams. They
generate power to meet local needs. The advantage of mini-hydel projects
is that they do not destroy the environment. The capital expenditure is
very low compared to large hydel projects

b). I) Bio compost is a nutrient-rich, soil-like substance produced through

the natural decomposition of organic materials like plant and food waste,
by microorganisms. It's a key component in organic farming, enhancing
soil fertility and promoting healthy plant growth.

II) Bio pesticides are a type of pesticide derived from natural materials like
animals, plants, bacteria, and certain minerals. They are used to control
pests, diseases, and weeds in agriculture and other settings, and are
generally considered to be more environmentally friendly than traditional
chemical pesticides.

OR

a) A population explosion, characterized by a rapid and significant

increase in human population, puts immense pressure on the
environment. This relationship is multifaceted, with the growing
population leading to increased consumption of resources, pollution, and
habitat destruction, while also potentially exacerbating climate change
and other environmental issues.

b) Gender injustice in education refers to unequal treatment and

opportunities for individuals based on their gender, which can manifest as
limited access to education, gender-based biases in curriculum and
teaching, and societal norms that dictate different roles for males and
females in the educational context. To address this, strategies include
ensuring equal access, reforming curricula, providing gender-sensitive
training for educators, and fostering inclusive school cultures.