UPSC Prelims 2019 GS Paper I · Q80 of 100 Economy easy

In the context of any country, which one of the following would be considered as part of its social capital?

  1. (a) The proportion of literates in the population
  2. (b) The stock of its buildings, other infrastructure and machines
  3. (c) The size of population in the working age group
  4. (d) The level of mutual trust and harmony in the society ✓ UPSC's answer

Why the answer is (d)

• Social capital refers to the networks, norms, trust and cooperation that enable people in a society to act together effectively (Putnam, Coleman) — option (d).

• Literacy (a) and the working-age population (c) are aspects of human capital and demography; buildings, infrastructure and machines (b) are physical capital.

• High social capital lowers transaction costs and strengthens institutions and collective action.

• Hence option (d).

Why the other options are wrong

(a) The proportion of literates in the population
Literacy is human capital.
(b) The stock of its buildings, other infrastructure and machines
Buildings and machines are physical capital.
(c) The size of population in the working age group
Working-age population is a demographic measure, not social capital.

Asked in the GS Paper I of the UPSC Civil Services Preliminary Examination 2019, held on 2 June 2019. Question and answer key: Union Public Service Commission. Explanation: UPSC Answer Check.

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