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Question : The concept of "jobless growth" refers to:

Option 1: Economic growth without a significant increase in employment opportunities

Option 2: Economic growth driven by the agricultural sector

Option 3: Economic growth accompanied by a decrease in labor force participation

Option 4: Economic growth without any negative impact on the unemployment rate


Team Careers360 20th Jan, 2024
Answer (1)
Team Careers360 24th Jan, 2024

Correct Answer: Economic growth without a significant increase in employment opportunities


Solution : The correct answer is (a) Economic growth without a significant increase in employment opportunities.

Jobless growth occurs when an economy experiences positive economic growth, such as an increase in GDP, but fails to generate enough employment opportunities to absorb the growing labor force or reduce unemployment rates. In other words, the economy is expanding, but job creation is insufficient to keep pace with the expanding labor force or reduce unemployment levels. This phenomenon can lead to social and economic challenges, as it indicates a mismatch between economic growth and employment generation, potentially resulting in high levels of unemployment or underemployment.

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