Differences between the inflationary gap and deflationary gap.

From the given table, following points can be noticed about the nature of workforce distribution

1. Majority of the workforce was residing in the rural areas in India in the year 1972-73. The total workforce was 233 million out of which 194 million workers were from rural areas and 39 million from the urban areas. Thus, 83% of the total workforce was rural as compared to 17% of the urban workforce. The reason for this was that a majority of population was living in rural areas during that period. Agricultural activities were predominant in this period as compared to industries. So a major chunk of the rural population was engaged in agricultural activities. They could find employment in rural areas itself.
2. The rural workforce comprises of 64% of the male workforce and 36% of female workforce. On the other hand, the urban workforce comprises of about 82% of male workforce and 18% of female workforce. This shows that participation of males in both rural as well as urban areas is higher than that of the females because of lack of opportunities available to women for acquiring education and also the social structure and family norms which did not encourage women to work. 
3. Another feature of workforce distribution is the difference between urban female workforce and rural female workforce. Females in the rural areas formed 36 % of the workforce, whereas, the females in the urban areas formed only 18% of the workforce. This is because in rural areas, many people were poor and in order to earn their livelihood, females could find jobs in farms, construction sites and other unskilled jobs but urban females did not have that much job opportunity as industrialisation and other service sectors were not that developed. So there were less jobs available for urban females wanting to take up office jobs or some kind of professional jobs. This may also be attributed to the fact that where men are able to earn high incomes, families discourage female members from taking up jobs. Earnings of urban male workers are generally higher than rural males and so the urban families do not want females to work.
   Thus, it can be concluded by analysing the above table that majority of the workforce was from the rural areas and there was low female participation rate in the workforce during that period.

1. An indifference curve always slopes downward. It implies that to increase the consumption of X-good,the consumer has to reduce the consumption of Y-good so that to remain at the same level of satisfaction .

2. An indifference curve is convex to the origin. This property is based on the principle of diminishing marginal rate of substitution. It implies that as the consumer substitute X for Y, the MRS between them goes on diminishing.

Poverty is an economic state where people are experiencing scarcity or the lack of certain commodities that are required for the lives of human beings like money and material things. Therefore, poverty is a multifaceted concept inclusive of social, economic and political elements.

Circular flow of income refers to the unending flow of activities such as production, income generation and expenditure involved in all the sectors of the economy.

Three Phases of Circular Flow

 The flows of production, income and expenditure form circularity with no end and beginning. Thus it is called circular flow.  Production aspect states the flow of goods and services in the economy or the process of value adding. Income or distribution aspect states the distribution of income in terms of wage, rent, interest and profit. Expenditure or disposition aspect states the disposal of income in terms of consumption expenditure or investment expenditure.
Two-Sector Economy without Financial Market

In a simple economy, there are firms and household sectors economic activity. People from households render factor services to firms and firms hire factor services from households. Households spend their earned income completely on consumption. Products which are produced by firms are sold to consumers. Assume that there is no external trade and government in an economy. Total production of goods and services by firms are equal to the consumption of goods and services by households. Factor payments by firms are equal to the factor incomes of the household sector. Consumption expenditure of household sector is equal to income of the household sector. Money flows are opposite to real flows because factor services flows from households to firms are real flows and the factor payments made by firms to households are money flows.

The following points explain the development of education in India after independence:

1. Expansion of General Education:
   During the period of planning there has been expansion of general education. In 1951, the percentage of literacy was 19.3. In 2001 the literacy percentage increased to 65.4%. The enrolment ratio of children in the age group of 6-11 was 43% in 1951 and in it became 100% in 2001.
2. Primary education: Primary education has  been made  free and compulsory. Mid day meal has been started in schools since 1995 to check drop-out rate. The number of primary schools has risen by three times from 2.10 lakh (1950-51) to 6.40 lakhs (2001-02). There were only 27 universities in 1950-51 which increased to 254 in 2000-01.
3. Development of Technical Education:
   Besides general education, technical education plays important role in human capital formation. The government has established several Industrial Training Institutes, Polytechnics, Engineering colleges and Medical and Dental colleges, Management institutes etc.
4. Women education:
   In India, literacy among women was quite low. It was 52% according to 2001 census. While the literacy among men was 75.8%. Women education was given top priority in National Policy on Education. Many State Governments have exempted the tuition fee of girl’s up to university level. Separate schools and colleges have been established to raise level of literacy among women.
5. Growth of higher education:
   In 1951, there were 27 universities. Their number increased to 254 in 2001. In Orissa state, there was only one university in 1951. Now there are 9 universities.