Question : Which one of the following would not constitute an economic activity?
Option 1: A teacher teaching students in his class.
Option 2: A teacher teaching students under Sarva Shiksha Abhiyaan.
Option 3: A teacher teaching his own daughter at home.
Option 4: A teacher providing consultancy services from his residence.
Correct Answer: A teacher teaching his own daughter at home.
Solution : The correct option is A teacher teaching his daughter at home.
Since there is no exchange of money or products, a teacher instructing his daughter at home is not an economic activity. The creation, distribution and consumption of commodities and services traded for money or other goods constitute economic activity. There is no exchange of money or products when a teacher instructs his daughter at home; it is not a business transaction. It is not regarded as an economic activity.
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