Question

Which of the following could be said to have prevented the ‘trickle down’ effects in Indian economy ?

1. Increased dependence of agriculture on purchased inputs and privately managed irrigation
2. More employment of labour by larger landholding farmers.
3. Lowered participation of women in agricultural workforce due to new technology.
4. The failure of the Green Revolution

• A. iii only
• B. i only
• C. i, iii
• D. All

Answer 1

Answer:

C. i, iii

Trickle-down theory

• In Economics, 'trickle-down' is a term used to describe an economic theory that suggests that policies benefiting the wealthy or businesses will ultimately benefit everyone in society,
•  It states that as the wealth and prosperity generated by the wealthy will "trickle down" to the rest of the population.
• This theory is often associated with conservative and supply-side economic ideologies.
• The core idea behind trickle-down economics is that if the government reduces taxes on businesses and high-income individuals, they will have more money to invest and create jobs.
• As businesses grow and generate more wealth, it is believed that this wealth will flow down through the economy, leading to increased employment opportunities, higher wages, and improved living standards for all.
  
  
• In the context of Indian economy, increased dependence of agriculture on purchased inputs and privately managed irrigation could contribute to preventing trickle-down effects because it suggests a shift towards modern agricultural practices that may benefit larger and more financially capable farmers, potentially leaving smaller and marginalized farmers behind.
• Also lowered participation of women in the agricultural workforce due to new technology could contribute to preventing trickle-down effects because if new technology reduces the participation of women in the workforce, it can lead to unequal distribution of benefits.
• So here Statement i & iii  said to have prevented the ‘trickle down’ effects in Indian economy