UP High Court RO / ARO 06 Jan 2022 Shift 1

Disguised unemployment is prominently found in :

Verified Answer
A. Urban areas
B. Organised sector
C. Rural areas
D. Private sector

Explanation:

Disguised unemployment, a situation where more people are employed in a task than are actually required, such that removing some workers would not reduce total output, is most prominently found in rural areas, particularly within the agricultural sector of developing economies. In these regions, entire families often work on small farms, and the marginal productivity of some laborers is close to zero. While underemployment can exist in urban or organized sectors, disguised unemployment is a defining characteristic of traditional agriculture. The organized and private sectors typically prioritize efficiency, making this less common.