All person who do economic activities and contribute to GNP (Gross National product) are called Workers

 

In this case,there are 2 main activites :

1 Economic Activities

2 GNP

 

Lets learn about it one by one

 

What are Economic Activities?

Different Activities carried out in producing goods and services which leads to Generation of Income are called Economic Activities

Concept 1 - What are Economic Activities - Teachoo.JPG

Is Factory OwnerWorker doing Economic Activities - Teachoo.JPG

What is GDP and GNP?

GDP

It means Gross Domestic Product

It is total monetary value of goods and service produced in India

 

GNP

It means Gross National product

If we add net earning from foreign transactions to GDP

We get GNP

GNP = GDP + Exports - Imports

Concept 2  GDP Vs GNP - Teachoo.JPG

Who all are Considered Workers?

All person who do economic activities and contribute to GNP (Gross National product) are called Workers

Example

All Salaried Employes, Casual Labour as well as Self Employed are Workers

Who is a Worker - Teachoo.JPG

Are the following Considered Workers?

Farmer

Yes

He is engaged in Economic Activity of growing crops and earning Income

 

Worker in a Factory

Yes

He is engaged in producing goods and earning income

 

A Truck driver

Yes

Even those who provide service to other economic activities are workers

 

Factory Owner

Yes

Those owning an enterprise are also considered a worker in economic sense

 

Housewife

No

Women are involved in lot of work like cooking, looking after children, farm work etc

However, she is not getting paid for it

She is not a worker as she is not doing any economic activity and earning income

 

Beggar,Thief,Smuggler,Gambler

No

Although they are earning Income

They are not doing any economic activity

So they are not considered worker

 

 

NCERT Questions

Q1

Who is a worker?

View Answer

 

Q3

Are the following workers — a beggar, a thief, a smuggler, a gambler? Why?

View Answer

 

Q7

Raj is going to school.

When he is not in school, you will find him working in his farm.

Can you consider him as a worker?

Why?

View Answer

 

Q9

Meena is a housewife.

Besides taking care of household chores, she works in the cloth shop which is owned and operated by her husband.

Can she be considered as a worker?

Why?

View Answer

 

Other Books

Q1

Who all are considered as workers?

View Answer

 

  1. Class 12 NCERT
  2. Indian Economic Development

Transcript

Concept 1 - What are Economic Activities? Activities of Producing Goods and Services which lead to Generation of Income Are these Economic Activities? She is giving service which leads to Generation of Income So it is an Economic Activity Teacher Teacher teaching free He is giving service but does not generate income So it is not an Economic Activity Is Factory Owner/Worker doing Economic Activities? Economic Activities means Activities of Producing Goods and Services which lead to Generation of Income He is producing goods which leads to Generation of Income So it is an economic activity He is producing goods which leads to Generation of Income So it is an economic activity He is Owning an enterprise which is producing goods which leads to Generation of Income So it is an economic activity Factory Owner Concept 2 – GDP Vs GNP What is GDP? It means Gross Domestic Product or Domestic income It is total monetary value of goods and service produced in India What is GNP? It means Gross National Product or National Income If we add net earning from foreign transactions to GDP We get GNP This is taken into account while considering person is worker Who is a Worker? All person who do Economic Activities and Contribute to GNP Are these Workers? Housewife No Women are involved in lot of work like cooking, looking after children, farm work etc. However, she is not getting paid for it She is not a worker as she is not doing any economic activity and earning income Beggar, Thief, Smuggler, Gambler No Although they are earning Income They are not doing any economic activity So they are not considered worker

About the Author

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CA Maninder Singh
CA Maninder Singh is a Chartered Accountant for the past 10 years. He also provides Accounts Tax GST Training in Delhi and Pune.