Questions, Activities and Projects
Q1. How are economic activities different from non-economic activities?
Answer: The main differences lie in the motive and the outcome of the activity:
| Basis of Difference | Economic Activities | Non-Economic Activities |
|---|---|---|
| Motive | To earn money, profit, or livelihood. | Love, care, duty, gratitude, or satisfaction. |
| Monetary Aspect | Involves exchange of money or money’s worth. | Does not involve any monetary exchange. |
| Outcome | Creates income and wealth. | Creates social welfare, happiness, and well-being. |
| Example | A chef cooking in a restaurant for a salary. | A mother cooking for her family at home. |
Q2. What kind of economic activities do people engage in? Illustrate with examples.
Answer: People engage in various economic activities based on their skills and opportunities. These can be categorized by the type of compensation or the nature of work:
- Business/Trading: Buying and selling goods for profit.
- Example: A shopkeeper selling uniforms or a vegetable vendor selling produce.
- Employment (Salary/Wage): Working for an organization or individual.
- Example: A pilot flying a plane (Salary), a factory worker operating machines (Wage).
- Professional Services (Fee): Providing specialized skills.
- Example: A doctor treating patients or a lawyer arguing a case for a fee.
- Agriculture/Production: Producing goods to sell.
- Example: A farmer growing crops to sell in the market.
Q3. There is great value attached to people who are engaged in community service activities. Comment on this statement.
Answer: This statement is true because community service activities, though non-economic, provide immense social value:
- Social Bonding: They bring people together, strengthening unity and brotherhood (e.g., celebrating festivals together).
- Support System: They provide help to the needy without cost (e.g., Langars or free medical camps).
- Environment & Health: Campaigns like Swachh Bharat Abhiyan or Van Mahotsav improve our living conditions and environment.
- Emotional Satisfaction: They foster feelings of gratitude, peace, and satisfaction for both the giver and the receiver.
Therefore, while they may not have a “price tag,” their value to society is priceless.
Q4. What are the various ways in which people are compensated for various economic activities? Give some examples.
Answer: People are compensated in four main ways:
- Salary: A fixed regular payment, usually monthly.
- Example: An office manager or a school teacher employed by a school.
- Wage: Payment calculated daily or weekly, often for manual work.
- Example: A construction worker or a farm labourer.
- Fee: Payment for a specific professional service or advice.
- Example: A doctor’s consultation fee or a tutor’s tuition fee.
- Payment in Kind: Receiving goods or services instead of cash.
- Example: A farm worker receiving a sack of rice or mangoes as part of their payment for working in the fields.