Economics - I : Previous Year Questions (2022)

2022

Time: 3 Hours

Max Marks: 50

PART – A

Answer the following question in one sentence each. (10 x 1 = 10)

Q1. Why does the ‘problem of choice’ arise?

Ans. The 'problem of choice' fundamentally arises from scarcity.

It is a consequence of two basic facts:

1. Unlimited Human Wants: Human wants are endless and keep increasing.
2. Limited (Scarce) Resources: The resources (like land, labour, capital, etc.) available to satisfy these wants are limited.

Because we cannot satisfy all our unlimited wants with our limited resources, we are forced to choose which wants to satisfy first and how to best use the scarce resources, leading to the "problem of choice."

Q2. Define Marginal Utility?

Ans. It is the utility derived from marginal units (additional units consumed). It refers to change in total utility obtained from the consumption of a commodity and can be expressed as: MU = ΔTU / ΔQ.

Q3. Give any two examples of Competitive goods.

Ans. The term "Competitive Goods" is synonymous with Substitute Goods. These are goods that can be used in place of one another to satisfy a similar want or need. When the price of one good increases, the demand for its competitive (substitute) good typically increases.

Here are two examples:

1. Tea and Coffee: If the price of coffee rises significantly, many consumers may switch to buying tea instead.
2. Pepsi and Coca-Cola: These soft drinks serve essentially the same purpose, so an increase in the price of one may lead consumers to buy more of the other.

Q4. What is the shape of Demand Curve under Perfect Competition?

Ans. The demand curve for a firm under perfect competition is perfectly elastic and horizontal at the market price. This is because the firm is a price-taker, meaning it cannot influence the market price, and must sell its homogenous products at the prevailing market rate. A firm can sell any quantity it wants at this price without affecting it.  

Q5. State the law of supply.

Ans. Law of Supply states that other things remaining constant, the quantity supplied varies directly with the price of the commodity. It also explains that when price of a commodity increases, the supply expands and vice-versa. The relationship between supply and price is positive. Therefore, higher the price, larger is the supply; lower the price, lesser is the quantity supplied. This direct relationship occurs because higher prices generally mean higher potential profits, incentivizing producers to supply more, while lower prices make production less attractive.

Q6. What is Cartel?

Ans. A cartel is a group of separate companies that agree to increase profits by fixing prices and not competing with each other.

In other words, it is the collection of businesses or countries that act together as a single producer and agree to influence prices for certain goods and services by controlling production and marketing.

Q7. What is meant by net domestic product at factor cost?

Ans. Net Domestic Product at Factor Cost, often simply called Domestic Income, refers to the total income earned by the factors of production (land, labour, capital, and entrepreneurship) within the domestic territory of a country during an accounting year.

1. Net implies that the value of depreciation (Consumption of Fixed Capital) has been subtracted.
2. Domestic means it includes income generated within the geographical boundaries of the country.
3. Factor Cost means the value is calculated at the cost of the factors of production, excluding Net Indirect Taxes (Indirect Taxes - Subsidies).

Q8. What is SLR?

Ans. It is the minimum percentage of a bank's NDTL that it must maintain in the form of liquid assets (cash, gold, unrestricted government securities).

An increase in SLR reduces bank’s lending capacity. As a resultant, there is decrease in money supply in the economy. And vice-versa.

Q9. What do you understand by relative poverty?

Ans. Relative poverty is the condition of having less income or fewer resources than the average person in your society, preventing you from maintaining the standard of living considered acceptable within that community. It highlights economic inequality and social exclusion rather than a lack of basic biological survival needs. They are considered poor because rest of the community have the access to superior services and amenities.

Q10. State the components of M1, measure of money supply.

Ans. M1 includes currency with public (coins, currency notes), Net Demand Deposits held by the public with commercial banks and other deposits with RBI. It is the most liquid portion of a country’s money supply.

M1 is called "narrow money" because it represents the most liquid forms of money, meaning the assets that are readily and immediately accessible for transactions, such as cash (notes and coins) and demand deposits in bank accounts. The term "narrow" emphasizes the restricted and limited scope of these highly spendable assets, differentiating them from broader measures of the money supply that include less liquid forms like savings or time deposits. 

PART – B

Answer the following questions. Each question carries 4 marks. (4 x 4 = 16)

Q11. Distinguish between extension of demand and increase in demand.

Ans.

Q12. Why is Production Possibility Curve concave?

Ans. The Production Possibility Curve (PPC) is concave to the origin (bowed outwards) due to the Law of Increasing Marginal Opportunity Cost (or Marginal Rate of Transformation - MRT).

This concept is the primary reason and is explained by two interconnected factors:

1. Law of Increasing Marginal Opportunity Cost (MRT)

1. Definition: Marginal Opportunity Cost (MOC) is the additional amount of one good that must be sacrificed to produce one more unit of the other good. This is also called the Marginal Rate of Transformation (MRT).

1. The Law: The Law of Increasing MOC states that as more and more units of one good (say, Good X) are produced, the sacrifice of the other good (Good Y) increases.

1. Concave Shape: The increasing sacrifice (MOC or MRT) means that the slope of the PPC becomes steeper as we move along the curve to the right. A curve with an increasingly steep slope when moving to the right is, by definition, concave to the origin.

2. Imperfect Substitutability of Resources (The Root Cause)

1. The reason the MOC/MRT increases is that resources are not equally efficient or perfectly adaptable for the production of both goods. They are often specialized.

1. Explanation:
2. When an economy decides to increase the production of Good X, it must first transfer the resources that are best suited for Good X (and least suited for Good Y) from the production of Good Y. This initial transfer results in a relatively small loss of Good Y.
3. However, as the economy continues to increase Good X production, it is forced to transfer resources that are less and less suited for Good X (and more suited for Good Y).
4. Using resources that are inefficient for Good X means a much larger quantity of Good Y must be sacrificed for each additional unit of Good X.
5. For example, fertile farmland (best for agriculture, Good Y) must be converted into factory land (less efficient for industry, Good X) to further increase industrial output. The sacrifice of agricultural output will be very high for a small gain in industrial output.

In summary, the PPC is concave because the need to reallocate less and less suitable resources to the production of one good results in an increasing sacrifice of the other good, demonstrating the Law of Increasing Opportunity Cost.

Q13. What is inflation, describe the various types of inflation.

Ans. Inflation is the rate of increase in prices over a given period of time. Inflation is typically a broad measure, such as the overall increase in prices or the increase in the cost of living in a country. But it can also be more narrowly calculated—for certain goods, such as food, or for services, such as a haircut, for example. Whatever the context, inflation represents how much more expensive the relevant set of goods and/or services has become over a certain period, most commonly a year.

Types of Inflation –

Broadly inflation can be divided into (on the basis of cause): -

1. Demand Pull Inflation – it is caused by an increase in the aggregate demand for goods and services whereas, the aggregate supply is not increasing. It is a situation where too much money is chasing too few goods.

2. Cost Push Inflation – any increase in the cost of production of industry, either because of increase in the price of raw materials or increase in wages of labourers, brings cost push inflation. This is generally caused by wage increase enforced by labour union. This type of inflation is characterised by lack of aggregate demand, unemployment, unused resources and excess capacity.

Inflation is also divided on the basis of speed, at rate which prices increase – 

1. Creeping Inflation (Mild or Low Inflation): A gradual increase in prices, usually less than 3% annually, which is considered manageable and may positively stimulate demand and investment.

2. Walking Inflation (Trotting Inflation): Prices increase at a moderate pace, generally around 3% to 10% per year. If unchecked, it can lead to economic overheating.

3. Galloping Inflation (Hopping or Running Inflation): This inflation occurs when prices increase rapidly at double—or triple-digit annual rates, between 10% and 50%. It disrupts economic stability and can severely affect consumer purchasing power.

4. Hyperinflation: An extreme form of inflation where prices rise over 50% monthly. Hyperinflation can decimate a currency’s value.

Q14. Write four characteristics of Capitalist economy.

Ans. Four characteristics of a capitalist economy are as follows:

1. Right to Private Property: This is the essence of capitalism. This right means that private property such as property, factories, machines, plants etc. can be owned under private individuals and companies. Every individual can acquire any amount of property, he can use these properties as he wishes, he also has the right of inheritance. So, he can inherit the property from his forefathers. And he can also pass it on to his successors on his death.

1. Price Mechanism: Price mechanism is like an invisible hand that controls the workings of a capitalist economy. The forces of supply and demand will determine the prices and the level of productions in the economy. The government will not have any interference in this matter.

1. Profit Motive: The driving force behind any capitalist economy is the profit motive. All companies wish to produce and sell their products to maximize their profits. This also induces healthy competition in the economy.

1. Freedom of Enterprise: In capitalism, every individual is free to make his own economic choices without any intervention. This includes both the consumer and the producers. So, a producer is free to produce any goods or services. And the consumer is free to buy whatever he desires and from whomever, he wants without restrictions.

PART – C

Answer any three of the following questions. Each question carries 8 marks. (3 x 8 = 24)

Q15. State the central problems of an economy. Explain the various central problems with the help of diagram.

Ans. The central problems of an economy arise due to the fundamental fact of scarcity: human wants are unlimited, but the resources available to satisfy them are limited and have alternative uses. This forces every economy to make choices.

The three fundamental central problems that every economy (whether developed or developing, capitalist, socialist, or mixed) must address are:

1. What to Produce? (The Problem of Allocation of Resources)
2. How to Produce? (The Problem of Choice of Technique)
3. For Whom to Produce? (The Problem of Distribution of Output)

1. What to Produce? (Problem of Allocation)

This problem involves two main aspects:

1. Which goods to produce: Since resources are scarce, an economy cannot produce all goods and services. It must choose which goods (e.g., consumer goods like clothes and food, or capital goods like machinery and tools) and services (e.g., health or education) it should prioritize.

1. In what quantities to produce: After selecting the goods, the economy must decide the quantity of each commodity to be produced. Producing more of one good necessarily means producing less of another.

Example: Should the country focus on producing more defence goods (guns) or more consumer goods (butter)? A choice must be made on the quantum of resources to be allocated to each.

2. How to Produce? (Problem of Choice of Technique)

This problem refers to the selection of the most efficient technique of production for the chosen goods and services. The core choice is between:

1. Labour-Intensive Technique (LIT): This method uses a higher proportion of labour and a lower proportion of capital (machinery).
2. Advantage: Promotes employment.
3. Disadvantage: May lead to lower output and higher cost.

1. Capital-Intensive Technique (CIT): This method uses a higher proportion of capital (machinery and technology) and a lower proportion of labour.
2. Advantage: Promotes efficiency, high output, and faster growth.
3. Disadvantage: May lead to unemployment.

The objective is to use a technique that minimizes the cost of production while maximizing output, depending on the availability of resources (e.g., a labour-abundant country might prefer LIT)

3. For Whom to Produce? (Problem of Distribution)

This problem is about how the total national product is to be distributed among the different sections of society. It concerns the distribution of income and wealth.

1. Should goods be produced primarily for the rich (who have greater purchasing power) or for the poor (whose needs are more urgent)?

1. This problem is essentially about deciding the share of the final output that each individual or household will receive.

The decision largely depends on the prevailing social and economic system and the government's priorities (e.g., maximizing profit vs. maximizing social welfare).

Explanation with the help of a Diagram (Production Possibility Curve – PPC)

The central problem of "What to Produce?" is best explained with the help of the Production Possibility Curve (PPC), also known as the Production Possibility Frontier (PPF).

The Production Possibility Curve (PPC)

The PPC is a graphical representation of the maximum possible combinations of two goods that an economy can produce, given its limited resources and available technology, provided the resources are fully and efficiently utilized.

Diagram: The Production Possibility Curve

Explanation of the Diagram:

1. The Curve (PP):

1. The curve PP is the Production Possibility Curve. Every point on the curve (like A, B, and C) represents a combination of Goods X (Guns) and Goods Y (Butter) that can be produced when the economy's resources are fully and efficiently utilized.
2. The downward slope of the curve illustrates the problem of What to Produce? —to produce more of Good X (Guns), the economy must necessarily give up some production of Good Y (Butter). This trade-off is the Opportunity Cost.

2. The Problem of "What to Produce?":

1. The economy has to make a choice among the countless combinations on the PPC.
2. Point A represents a combination with a greater production of Guns (high military focus) and less Butter.
3. Point B represents a combination with a greater production of Butter (high consumer focus) and less Guns.
4. The movement from Point A to Point B shows the shift in resource allocation from military goods to civil goods, thus solving the problem of what and how much to produce.

3. The Problem of "How to Produce?" (Efficiency):

1. Point D (Inside the Curve): Any point inside the PPC (like D) represents a combination where the economy's resources are being used inefficiently or are lying underutilized (e.g., due to unemployment or idle capital). This is a situation the economy must avoid.
2. The problem of How to Produce? is solved by reaching a point on the curve, like A, B, or C, by using the most efficient technique (e.g., choosing the technique that minimizes cost).

4. Points Outside the Curve:

1. Point E (Outside the Curve): Any point outside the PPC (like E) represents a combination that is unachievable with the current level of resources and technology. It can only be reached if there is economic growth (e.g., new technology or more resources), which would shift the entire PPC outward.

Q16. What are the characteristics of a perfect competition? Explain.

Ans. Characteristics of perfect competition are as follows:

1. Large Number of Buyers and Sellers –

There exists a large number of buyers and sellers in a perfectly competitive market. The number of buyers and sellers are so large that a single buyer or a single seller cannot influence the price or output through his influence.

2. Homogenous Product –

The products sold in the market are homogenous, i.e., identical in its shape, size, colour, design, quality etc.

3. Freedom of Entry and Exit –

There is freedom of entry and exit to the firms under perfectly competitive market. Any firm (buyer or seller) can enter the market or exit from the market as and when required.

4. Perfect Knowledge –

Buyers and sellers must have a perfect knowledge about the market conditions. They should have complete information about the price at which goods are bought and sold and the places where the transactions take place etc.

5. Perfect mobility of factors of production –

The factors of production are perfectly mobile in the sense that they are completely free to move from one industry to another or from one market to another or from one occupation to another.

6. Absence of Transportation Cost –

It is assumed that all the sellers are equally near or far away from the markets, and as such there are uniform transport costs to all the sellers. So, ti is assumed that the transport cost is absent or constant for all sellers.  

7. Absence of Government Intervention –

There is no government intervention in respect of production, transportation, and exchange of goods.

8. Uniform Price –

There exists a single uniform price in the market and it is determined by the force of demand and supply.

Q17. Explain the primary and secondary functions of money.

Ans. Money is any item or medium of exchange that symbolizes perceived value. As a result, it is accepted by people for the payment of goods and services, as well as for the repayment of loans. Economies rely on money to facilitate transactions and to power financial growth.

As a medium of exchange, money is a value that buyers give to sellers when they buy goods and services. Money is accepted by sellers because they know that they can use it to buy other goods and services.

Primary Functions of Money:

These are the most basic and vital roles that money must perform. They solve the inefficiencies of the old barter system, such as the need for a 'double coincidence of wants.'

1. Medium of Exchange

1. Explanation - Money acts as an intermediary for transactions. It separates the acts of buying and selling. Instead of directly exchanging goods for goods (barter), a person sells a good or service for money and then uses that money to buy another good or service.
2. Significance - This function eliminates the need for the buyer and seller to both want exactly what the other has, thereby facilitating trade and reducing transaction costs immensely.
3. Example - A doctor can sell their medical services for currency, and then use that currency to buy groceries from a farmer, who can then use the same currency to buy a new tool.

2. Measure of Value (Unit of Account)

1. Explanation - Money provides a common standard for expressing the value of all goods and services. It is the unit in which prices are quoted and accounts are kept.
2. Significance - It makes comparison easy. Instead of having to determine how many apples are worth one bicycle, both are priced in the common monetary unit, allowing their relative values to be immediately clear.
3. Example - A laptop is priced at $1000, and a phone is priced at $500. It is immediately clear that the laptop is twice as valuable as the phone.

Secondary Functions of Money:

These functions support the primary ones and are particularly important for the development of credit, saving, and capital markets.

1. Store of Value

1. Explanation - Money allows purchasing power to be transferred from the present to the future. It is a convenient and generally accepted way to store wealth.
2. Significance - Unlike many physical goods (which may be perishable, bulky, or subject to depreciation), money is a durable and liquid asset that can be held for later use without significant storage costs. This facilitates saving and investment.
3. Note - The effectiveness of this function depends heavily on the stability of the money's value (i.e., low inflation).

2. Standard of Deferred Payment

1. Explanation - Money serves as an accepted unit for stating debts, loans, and other future payments. It is the standard in which credit transactions are settled.
2. Significance - This function is crucial for modern economies built on borrowing and lending (credit systems). It provides certainty to both the borrower and the lender regarding the value to be repaid in the future.
3. Example - When a person takes out a car loan, the repayment terms (principal and interest) are stated in monetary units to be settled over a specified future period.

3. Transfer of Value

1. Explanation - Money facilitates the transfer of purchasing power from one person to another, and from one place to another.
2. Significance - A person selling an asset (like a house or land) in one location can receive the value in money and easily use that money to purchase another asset in a different location or transfer it to another person. This promotes trade across regions and international borders.

Q18. Write a short note on the following –

1. Employment generation schemes in India.
2. Poverty alleviation programmes in India.

Ans.

Employment Generation Schemes in India:

Various employment generation schemes in India are as follows: -

1. Swarna Jayanti Gram Swarozgar Yojana (SGSY) –

1. Launched – April 1, 1999
2. Objective – to organize rural below poverty line households into self-help groups and link them with training, credit, technology and markets so that they can take up self-employment and create income-generating assets.
3. The scheme was implemented on a cost-sharing basis of 75:25 between the Centre and State Governments and had special focus on vulnerable sections such as Scheduled Castes, Scheduled Tribes, women and persons with disabilities. 
4. It was restructured and renamed the National Rural Livelihoods Mission (NRLM) and subsequently Deendayal Antyodaya Yojana - National Rural Livelihoods Mission (DAY-NRLM) in 2016.

2. Swarna Jayanti Shahari Rozgar Yojana (SJSRY) –

1. Operated from – December 1, 1997
2. The scheme provides gainful employment to the urban unemployed and underemployed poor by encouraging the setting up of self – employment ventures by the urban poor and also by providing wage employment and utilising their labour for construction of socially and economically useful public assets.
3. It has five components –
4. The Urban Self – Employment Programme;
5. The Urban Women Self – Help Programme;
6. Skill Training for Employment Promotion amongst Urban Poor;
7. Urban Wage Employment Programme; and
8. Urban Community Development Network.
9. it was restructured and renamed the National Urban Livelihood Mission (NULM) in 2014-15. The NULM is the current program that provides gainful employment to the urban poor through self-employment and wage employment opportunities. 

2. Pradhan Mantri Rozgar Yojana (PMRY) –

1. Launched on – October 2, 1993
2. It was designed to provide self – employment to more than a million educated unemployed youth by setting up of 7 lakh micro – enterprises under 8^th five - year plan.
3. PMRY was replaced with Swarna Jayanti Shahari Rozgar Yojana (SJSRY) in 1997.

3. National Rural Employment Programme (NREP) –

1. Launched in – October 1980
2. Aimed at – generating employment opportunities in rural areas by creating durable community assets.
3. NREP was a centrally sponsored scheme, with the central and state governments sharing the financial burden.
4. It focused on providing wage employment to the rural poor, thereby improving their income levels and quality of life.
5. NREP was later merged with Rural Landless Employment Guarantee Programme in 1989 to form Jawahar Rozgar Yojana.

4. Rural Landless Employment Guarantee Programme –

1. Launched on – August 15, 1983
2. Aim – at providing guarantee of employment to at least one member of the landless household for 100 days in a year.
3. Infrastructural development was undertaken with a view to create employment opportunities for rural landless households.

5. Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) –

1. Launched in – 2005
2. It provides at least one hundred days of guaranteed wage employment in every financial year to every household whose adult members volunteer to do unskilled manual work.
3. Workers are entitled to the statutory minimum wage.
4. MGNREGA acts as a safety net, providing employment when other opportunities are scarce.

6. Atmanirbhar Bharat Yojana (ABRY) –

1. Launched on – 1^st October 2020
2. Aim/Objective - to incentivize employers for creation of new employment and restoration of loss of employment during Covid-19 pandemic.
3. Since inception of the scheme, as on 31.03.2024, benefits have been provided to 60.49 lakhs beneficiaries in the country.

7. Pradhan Mantri Rojgar Protsahan Yojana (PMRPY) –

1. Launched on – 1 April 2016
2. Aim/Objective - to incentivise employers for creation of new employment.

8. National Career Service (NCS) Project –

1. Ministry of Labour and Employment, Government of India, is running the National Career Service (NCS) Portal which is a one-stop solution for providing career related services including jobs from private and government sectors, information on online & offline job fairs, job search & matching, career counselling, vocational guidance, information on skill development courses, skill/training programmes etc. through a digital platform.

9. Rural Self Employment and Training Institutes (RSETIs) –

1. Rural Self Employment and Training Institutes (RSETIs) is a Bank led Ministry of Rural Development (MoRD) funded training institution established by the Sponsor Banks in their Districts, to provide training for Skill and Entrepreneurship Development.
2.  MoRD extends financial support for the construction of RSETI building and also bears the cost of training the Rural Poor candidates. 
3. Any unemployed youth in the age group of 18-45 years having an aptitude to take up self-employment or wage employment and having some basic knowledge in the related field can undergo training at RSETI. Some of the trained candidates may also seek regular salaried jobs / wage employment.

Poverty Alleviation Programmes in India:

Poverty alleviation programmes in India are as follows: -

1. National Food for Work Programme –

1. Launched on - November 14, 2004
2. Aim/Objective - to intensify the generation of supplementary wage employment
3. The programme is open to all rural poor who are in need of wage employment and desire to do manual unskilled work.
4. It is implemented as a 100 per cent centrally sponsored scheme and the food grains are provided to States free of cost. However, the transportation cost, handling charges and taxes on food grains are the responsibility of the States.
5. The collector is the nodal officer at the district level and has the overall responsibility of planning, implementation, coordination, monitoring and supervision.

2. Rural Housing – Indira Awaas Yojana (IAY) –

1. Operationalised from – 1999 – 2002
2. Aim/Objective - construction of houses for the poor, free of cost.
3. The Ministry of Rural Development (MORD) provides equity support to the Housing and Urban Development Corporation (HUDCO) for this purpose.

3. Pradhan Mantri Gram Sadak Yojana (PMGSY) –

1. Launched on – 25^th December 2000
2. Aim/Objective - to provide connectivity to eligible unconnected rural habitations as part of a poverty reduction strategy.
3. It’s a 100% centrally sponsored scheme.
4. Its primary goal is to facilitate overall socio-economic development by improving access to health, education, and markets, creating jobs, and enhancing economic opportunities for villagers.
5. The scheme is implemented by State Governments and overseen by the National Rural Infrastructure Development Agency (NRIDA).

4. Antyodaya Anna Yojana (AAY) –

1. Launched in – December 2000
2. Aim/Objective – to provide food grains at a highly subsidized rate of Rs.2.00 per kg for wheat and Rs.3.00 per kg for rice to the poor families under the Targeted Public Distribution System (TPDS).
3. Eligible households receive 35 kg of food grains monthly, including rice and wheat, at a low Central Issue Price (CIP) to ensure food security for the most vulnerable segments of the population. 
4. The scheme is part of the Targeted Public Distribution System (TPDS) and targets specific groups such as households headed by widows, disabled persons, the elderly without support, landless labourers, and daily wage earners. 

5. Valmiki Ambedkar Awas Yojana (VAMBAY) –

1. Launched in – December 2001
2. Aim/Objective – to facilitate the construction and upgradation of dwelling units for the slum dwellers and provide a healthy and enabling urban environment through community toilets under Nirmal Bharat Abhiyan, a component of the scheme.
3. The Central Government provides a subsidy of 50 per cent, the balance 50 per cent being arranged by the State Government.
4. The VAMBAY scheme was followed by the Rajiv Awas Yojana (RAY), launched in June 2011, to further the vision of a "Slum free India". 

6. Pradhan Mantri Awas Yojana – Gramin (PMAY – G) –

1. Formerly known as Indira awas Yojana (IAY)
2. Launched on – 1^st April 2016
3. Aim/Objective - providing a pucca house, with basic amenities, to all houseless households and those households living in kutcha and dilapidated house.
4. PMAY-G addresses the rural housing shortage and bridges the housing deficit in rural areas of India, contributing significantly to the mission of "Housing for All".
5. The beneficiaries are identified using the Socio-Economic and Caste Census (SECC) parameters and verified by the Gram Sabhas. The amount is transferred directly to the Aadhaar-Linked Bank Account / Post-Office Account of the beneficiary.

7. Integrated Rural Development Programme (IRDP) –

1. Launched in – 1978 – 79
2. Aim/Objective - to raise families above the poverty line through self-employment, skill development, and access to credit.
3. The scheme was discontinued in 1999 and merged into the Swarna Jayanti Gram Swarozgar Yojana.

8. Indira Gandhi National Old Age Pension Scheme (IGNOAPS) –

1. Launched in – 1995
2. Aim/Objective – give needy senior citizens, who lack sufficient income or support, a monthly pension.
3. It is for citizens who are 60 years or older and belong to a household below the poverty line. 
4. It is implemented in both rural and urban areas across all States and Union Territories. 
5. A monthly pension of Rs. 200 for citizens in the age bracket of 60 – 79 years, and Rs. 500 for citizens aged 80 years and above.

9. Annapurna Scheme –

1. Launched on – April 1, 2000
2. Aim/Objective - to provide 10 kg of food grains free of cost to destitute senior citizens aged 65 or above who were eligible but not covered by the National Old Age Pension Scheme (NOAPS).
3. The scheme aimed to ensure food security for these vulnerable individuals, who lacked regular income or financial support. 

10. Pradhan Mantri Jan Dhan Yojana (PMJDY) –

1. Launched on – 15 August 2014
2. Aim/ Objective – Financial Inclusion
3. It provides a platform for universal access to banking facilities with at least one basic banking account for every household, financial literacy, and access to credit, insurance and pension facility.