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Indian Economy

The Care Economy

UPSC Indian Economy MCQs on The Care Economy — topic-wise, with answer explanations.

Indian EconomyLesson 35

Showing 3 of 14 questions

TextbookHard

Q1.Consider the following statements regarding the Care Economy and the Monetised Economy: 1. The Care Economy is characterized by formal paid work, and its value is directly measured in monetary terms and accounted for in GDP. 2. The Monetised Economy is historically associated with women and is a primary driver of gender disparities in labour. 3. Activities such as unpaid domestic work and community care, which are part of the Care Economy, are typically not included in the calculation of Gross Domestic Product (GDP). How many of the above statements are correct?

Explanation: Statement 1 is incorrect. It swaps the characteristics of the Care Economy with the Monetised Economy. The text states that the Care Economy includes unpaid or underpaid activities and its values are not measured in monetary terms or accounted for in GDP. The Monetised Economy involves formal paid work whose value is measured in money. Statement 2 is incorrect. It swaps the characteristics of the Monetised Economy with the Care Economy. The text specifies that the Care Economy is historically associated with women and produces gender disparities, whereas the Monetised Economy is becoming more gender-inclusive. Statement 3 is correct. The provided table explicitly states that the values in the Care Economy are not measured in monetary terms and are not accounted for in GDP. Unpaid domestic work and community care are listed as examples of unpaid care works.
TextbookHard

Q2.Consider the following two statements: **Statement-I:** A significant portion of the work performed by women within the domestic sphere, such as cooking and childcare, is characterized as unproductive in an economic context. **Statement-II:** These household tasks do not generate a direct monetary income and are consequently not accounted for in national income calculations like GDP. Which one of the following is correct in respect of the above statements?

Explanation: Statement-I is correct. The text explicitly mentions that 'The household tasks are unproductive as they don’t fetch income.' This refers to work performed by women in the domestic sphere. Statement-II is also correct. The text clarifies that the Care Economy's values are 'not measured in monetary terms, not accounted in GDP.' Statement-II provides the precise economic reason why the work mentioned in Statement-I is deemed 'unproductive' in the context of national income accounting—it lacks a market transaction and monetary value, leading to its exclusion from GDP. Therefore, Statement-II is the correct explanation for Statement-I.
TextbookMedium

Q3.Consider the following statements: 1. The 'Care Diamond' model proposes that care work in a society should be equally distributed among its four institutional stakeholders: the State, markets, households, and communities. 2. The 'Purple Economy' is a concept that exclusively focuses on women's empowerment and their autonomy in economic functioning. 3. As per the provided text, women perform more than three times the amount of unpaid care work as compared to men. How many of the above statements are correct?

Explanation: Statement 1 is incorrect. The text states that there is an 'unequal distribution of care responsibilities' with women in households performing the larger part. It further states that 'Redistribution of care work... is the need of the hour,' implying the current distribution is not equal, and the model describes the stakeholders, not a pre-existing state of equality. Statement 2 is incorrect. The use of the word 'exclusively' makes this statement false. While the Purple Economy includes women's empowerment and autonomy, the text lists other components as well, such as 'Supporting the specially abled and the Elderly', 'Education', 'Healthcare', and 'Communication'. Statement 3 is correct. The text explicitly states that 'Women perform 76.2 per cent of the total amount of unpaid care work, 3.2 times more than men.' This directly supports the statement.
TextbookHard

Q4.With reference to the ILO's '5R Framework for Decent Care Work', consider the following statements: 1. The 'Reduce' component aims to promote decent work and better remuneration for care workers. 2. The 'Redistribute' component focuses on accounting for the value of unpaid care works. 3. The 'Representation' component involves ensuring social dialogue and collective bargaining for marginalized care providers. How many of the above statements are correct?

Explanation: Statement 1 is incorrect. The 'Reduce' component aims to lessen the time spent on unpaid care work through policy and infrastructure. Promoting decent work and better pay falls under the 'Reward' component. Statement 2 is incorrect. The 'Redistribute' component is about rebalancing the unpaid care work done by women. Accounting for the value of unpaid care works falls under the 'Recognise' component. Statement 3 is correct. The 'Representation' component explicitly includes social dialogue and collective bargaining for marginalized care providers.
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TextbookHard

Q5.Consider the following two statements: Statement-I: In the for-profit care sector, high competition tends to increase the cost of services without a corresponding improvement in quality. Statement-II: The ILO's 'high road' to care work involves recognizing, reducing, and redistributing unpaid care work to achieve decent work for care workers. Which one of the following is correct in respect of the above statements?

Explanation: Statement-I is a correct observation based on the provided text, which notes that high competition among for-profit providers tends to increase cost but not quality. Statement-II is also correct as it accurately describes the ILO's 'high road' approach, which includes recognizing, reducing, and redistributing unpaid care work. However, Statement-II does not explain Statement-I. Statement-I describes a specific market failure dynamic within the for-profit sector. Statement-II describes a broad policy framework for improving the care economy as a whole, including unpaid work. The policy framework is a proposed solution, not an explanation for the underlying cause of the market failure mentioned in Statement-I.
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TextbookHard

Q6.Consider the following statements regarding the sub-schemes under the Atal Vayo Abhyuday Yojana: 1. Under the Rashtriya Vayoshri Yojana (RVY), grants-in-aid are provided to Panchayati Raj Institutions for running and maintaining Senior Citizens Homes. 2. The SACRED portal aims to form Self-Help Groups for senior citizens to provide them a platform to share their time constructively. 3. The SAGE portal facilitates equity support of up to ₹1 crore for start-ups, with the condition that total government equity in the project must not exceed 49%. How many of the above statements are correct?

Explanation: Statement 1 is incorrect. The Integrated Programme for Senior Citizens (IPSrC), not the Rashtriya Vayoshri Yojana (RVY), provides grants-in-aid to agencies like Panchayati Raj Institutions for running Senior Citizens Homes. RVY provides aids and assistive living devices. Statement 2 is incorrect. The SACRED portal is for re-employment of senior citizens by connecting them with private enterprises. It is the 'Action Groups Aimed at Social Reconstruction (AGRASR Groups)' initiative that encourages the formation of Self-Help Groups. Statement 3 is correct. The SAGE (Seniorcare Aging Growth Engine) portal supports start-ups in the elderly care sector with equity of up to ₹1 crore per project, ensuring government equity does not exceed 49%.
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TextbookHard

Q7.Consider the following statements: Statement-I: The Female Labour Force Participation Rate (FLFPR) in India has shown a significant upward trend in recent years. Statement-II: The primary driver for the overall improvement in FLFPR has been the increased participation of women from urban areas in the workforce, facilitated by schemes like the Deendayal Antyodaya Yojana-National Rural Livelihood Mission (DAY-NRLM). Which one of the following is correct in respect of the above statements?

Explanation: Statement-I is correct. The Female Labour Force Participation Rate (FLFPR) in India has risen significantly, from 23.3 per cent in 2017-18 to 41.7 per cent in 2023-24. Statement-II is incorrect. The text explicitly states that the increase in the rural FLFPR is the main driver of the rise in the overall FLFPR. The statement incorrectly attributes this rise to urban women. Furthermore, while DAY-NRLM is a major program for women's empowerment, it is a rural-focused livelihood mission, which contradicts the incorrect premise of urban-led growth.
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TextbookHard

Q8.With reference to government initiatives for women and senior citizens, consider the following statements: 1. The Rashtriya Vayoshri Yojana (RVY) is a Central Sector Scheme that provides assistive living devices to all senior citizens suffering from age-related disabilities, irrespective of their income. 2. The 'Lakhpati Didis' initiative, under the DAY-NRLM, aims to create women with monthly earnings of ₹1 lakh and more through skilling. 3. Under the Companies Act, setting up old age homes and day care centres for senior citizens is an approved activity for Corporate Social Responsibility (CSR) funding. How many of the above statements are correct?

Explanation: Statement 1 is incorrect. The Rashtriya Vayoshri Yojana (RVY) has an income-based eligibility criterion. It is for senior citizens belonging to the BPL category or those who earn less than ₹15,000 per month; it is not for all senior citizens irrespective of income. Statement 2 is incorrect. The 'Lakhpati Didis' initiative targets creating women with annual earnings of ₹1 lakh and more, not monthly earnings. Statement 3 is correct. Schedule VII of Section 135 of the Companies Act includes setting up old age homes and day care centres for senior citizens as approved items for CSR funding.
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TextbookHard

Q9.Consider the following statements regarding international instruments and bodies related to gender equality: 1. The Beijing Declaration and Platform for Action is regarded as the first significant legally binding instrument that took a comprehensive approach to prohibiting discrimination against women. 2. The Millennium Development Goal 3 (MDG3) included a specific target to eliminate gender disparity in all levels of education by the year 2015. 3. UN Women became operational in 2011, succeeding the Millennium Development Goals which concluded in 2000. How many of the above statements are correct?

Explanation: Statement 1 is incorrect. The Convention on the Elimination of All Forms of Discrimination Against Women (CEDAW) is described as the first significant legally binding instrument for prohibiting discrimination against women. The Beijing Declaration was the first to incorporate a detailed action plan. Statement 2 is correct. The text explicitly states that a target under MDG3 was 'to eliminate gender disparity in primary and secondary education by 2005, and in all levels of education by 2015.’ Statement 3 is incorrect. UN Women became operational in 2011, but the Millennium Development Goals were succeeded by the Sustainable Development Goals (SDGs) in 2015, not in 2000. The MDGs were adopted in 2000. Therefore, only one statement is correct.
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TextbookHard

Q10.Consider the following actions: 1. Implementation of policies like Work From Home (WFH) culture. 2. Ensuring equal pay for work of equal value for all care providers. 3. Advocating for social dialogue and collective bargaining in care sectors. How many of the above are explicitly mentioned in the passage as 'Measures to transform Care Economy into Monetised Economy'?

Explanation: Statement 1 is correct. The implementation of policies like Work From Home (WFH) culture is listed under the heading 'Measures to transform Care Economy into Monetised Economy'. Statement 2 is incorrect. 'To ensure equal pay for work of equal value for all care providers' is listed under the separate heading 'Suggested Policy Interventions in Care Jobs', not under the measures for monetization. Statement 3 is incorrect. 'To advocate social dialogue of collective bargaining in care sectors' is also listed under 'Suggested Policy Interventions in Care Jobs', not as a measure to monetize the care economy. Therefore, only one of the listed actions falls under the specific classification of measures for monetization.
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TextbookHard

Q11.Consider the following two statements: Statement-I: A failure to address the current deficits in the quality and availability of care work is projected to exacerbate existing gender inequalities in the global workforce. Statement-II: According to the International Labour Organization (ILO), women and girls perform more than 75% of the total amount of unpaid care work worldwide. Which one of the following is correct in respect of the above statements?

Explanation: Statement-I is correct. The passage states that 'Current deficits in care work and its quality and unsustainable working environment will produce severe global care crises. It can further aggravate gender inequalities in the world of work.' This directly supports the assertion in Statement-I. Statement-II is also correct. The passage mentions, 'According to ILO, women and girls perform more than three-quarters of the total amount of unpaid care work across the world.' Since women bear a disproportionately large burden of unpaid care work, any crisis or deficit in the care sector (as mentioned in Statement-I) will disproportionately affect them, thus aggravating gender inequalities. Therefore, Statement-II provides the underlying reason and is the correct explanation for Statement-I.
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TextbookHard

Q12.With reference to unpaid care work, consider the following statements: 1. The single largest component of unpaid care work is direct personal care for family members. 2. If monetized, the value of unpaid care work is estimated to be equivalent to approximately 9 per cent of global GDP. 3. The gender gap in time spent on unpaid care work widened between the years 1997 and 2012. How many of the above statements are correct?

Explanation: Statement 1 is incorrect. The majority of unpaid care work consists of routine household tasks, making it the largest component. Direct personal care for family members constitutes a smaller portion of this work. Statement 2 is correct. Global estimates suggest that the monetized value of the immense number of hours spent on unpaid care work daily would be equivalent to about 9 per cent of the world's GDP. Statement 3 is incorrect. The gender gap in time allocated to unpaid care work did not widen; it actually narrowed slightly between 1997 and 2012. Therefore, only one of the statements is correct.
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TextbookHard

Q13.Consider the following two statements: Statement-I: The disproportionate burden of unpaid care work on women is a significant factor limiting their ability to increase participation in paid, formal employment. Statement-II: Globally, women’s employment rates saw a substantial increase of over 10 percentage points from 1997 to 2012, indicating a successful redistribution of care responsibilities. Which one of the following is correct in respect of the above statements?

Explanation: Statement-I is correct. The text explicitly states that the 'Gender difference limits women’s potential to enhance their hours in paid, formal work.' This aligns with the assertion in Statement-I. Statement-II is incorrect. The text specifies that there was only a 'marginal increase in women’s employment rates of only 2.8 percentage points globally from 1997 to 2012.' An increase of over 10 percentage points is a factual exaggeration and contradicts the provided data, which describes the increase as 'marginal'.
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Current AffairsHard

Q14.With reference to the trends in women's economic participation in India, consider the following statements: 1. The recent significant increase in the Female Labour Force Participation Rate (FLFPR) has been primarily driven by the expansion of employment opportunities for women in urban areas. 2. A substantial majority of loans disbursed under the Pradhan Mantri MUDRA Yojana (PMMY) have been sanctioned to women entrepreneurs. 3. The 'Lakhpati Didi' initiative aims to enhance the economic status of women primarily through the framework of Self-Help Groups (SHGs). How many of the statements given above are correct?

Explanation: Statement 1 is incorrect. Recent data indicates the rise in FLFPR is predominantly driven by increased participation of rural women, not urban women. Statement 2 is correct. A significant portion, over two-thirds, of loans under the MUDRA scheme have been availed by women, boosting their entrepreneurial activities. Statement 3 is correct. The 'Lakhpati Didi' scheme is integrated with the Self-Help Group ecosystem, aiming to empower women by enabling them to earn a sustainable annual income.
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