UPSC Prelims 1996 · General Studies
Question 65: Economy and Social Development
In India, rural incomes are generally lower than the urban incomes. Which of the following reasons account for this? I. A large number of farmers are illiterate and know little about scientific agriculture. II. Prices of primary products are lower than those of manufactured products. III. Investment in agriculture has been low when compared to investment in industry.
AnswerThe answer is (a).
Statement I is the only one the key accepts: widespread illiteracy and little knowledge of scientific farming hold down farm productivity, and hence farm incomes. The key does not count the price and investment statements as reasons, although the relative price of farm goods and the level of investment in agriculture are often discussed. Remember: low productivity, dependence on farming and low skills keep rural incomes down.
- I. Illiteracy and little knowledge of scientific agriculture lower farm productivity and income.
- II. The key does not accept this, though farm-to-factory price disparity is often cited.
- III. The key does not accept this, though investment in agriculture has lagged behind industry.
Why each option is right or wrong
- (a) Right per the key: only statement I.
- (b) Adds II, which the key does not accept.
- (c) Adds III, which the key does not accept.
- (d) Adds both II and III, which the key does not accept.
Worth knowing: Low public investment in agriculture and weak farm prices relative to manufactured goods are standard explanations of the rural-urban income gap, so excluding II and III is arguable.
Explanation: written by UPSC Grade, not by UPSC.
Source: UPSC, Civil Services (Preliminary) Examination 1996, General Studies. UPSC's own paper isn't online; the words are from a published compilation. The paper on upsc.gov.in.