Choose if the given statement is True/False.

Underemployment is also known as disguised employment.

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True

False

answer is A.

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Detailed Solution

The given statement is True.
Underemployment and disguised unemployment are the same. Underemployment is a situation where people seem to be employed, but they are not. In underemployment, workers are made to work less than their potential. Production would not suffer if we relocated the extra workers. For example, Roshini, who has a plot of land, works on her land along with her husband and five young children. For the cultivation of crops, only three people are required, but there are four people extra. If the additional four people were removed and placed in a factory, then Roshni's family income would increase, and the production from the land would increase. Hence, the job is hidden in underemployment.

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