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Q80 (IAS/2019) Economy › Growth, Development, Poverty & Employment › Social capital Official Key

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

Result
Your answer:  ·  Correct: D
Explanation

The correct answer is option D because families are primary building blocks for social capital, creating norms and social ties, and providing a social network that benefits its members[1]. More broadly, civic engagement, honesty and social trust can reinforce each other[2], indicating that mutual trust and harmony are key components of social capital.

The other options represent different forms of capital: Option A (literacy proportion) relates to human capital, as the role of government in sustaining social capital is less clear than in the context of human capital[3], suggesting these are distinct concepts. Option B (buildings, infrastructure, and machines) represents physical capital. Option C (working-age population) is demographic capital or human resources. Social capital specifically refers to the networks, norms, trust, and social relationships that facilitate cooperation and coordination within society, making option D the only correct choice.

Sources
  1. [1] https://www.oecd.org/content/dam/oecd/en/publications/reports/2001/05/the-well-being-of-nations_g1gh268d/9789264189515-en.pdf
  2. [2] https://www.oecd.org/content/dam/oecd/en/publications/reports/2001/05/the-well-being-of-nations_g1gh268d/9789264189515-en.pdf
  3. [3] https://www.oecd.org/content/dam/oecd/en/publications/reports/2001/05/the-well-being-of-nations_g1gh268d/9789264189515-en.pdf
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PROVENANCE & STUDY PATTERN
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Don’t just practise – reverse-engineer the question. This panel shows where this PYQ came from (books / web), how the examiner broke it into hidden statements, and which nearby micro-concepts you were supposed to learn from it. Treat it like an autopsy of the question: what might have triggered it, which exact lines in the book matter, and what linked ideas you should carry forward to future questions.
Q. In the context of any country, which one of the following would be considered as part of its social capital? [A] The proportion of liter…
At a glance
Origin: Books + Current Affairs Fairness: Low / Borderline fairness Books / CA: 2.5/10 · 7.5/10
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This is a classic 'Definition by Elimination' question. While 'Social Capital' is a sociological term, options A, B, and C are standard NCERT definitions for Human Capital, Physical Capital, and Demographic Dividend respectively. If you know what the others are, the answer reveals itself.

How this question is built

This question can be broken into the following sub-statements. Tap a statement sentence to jump into its detailed analysis.

Statement 1
In the context of a country, is the proportion of literates in the population considered part of its social capital?
Origin: Web / Current Affairs Fairness: CA heavy Web-answerable

Web source
Presence: 4/5
"… but the role of government in sustaining social capital is less clear than in the context of human capital…"
Why this source?
  • Explicitly distinguishes social capital from human capital, implying they are separate categories.
  • If literacy is treated as an outcome of education/human capital, this passage supports that literacy is not automatically part of social capital.
Web source
Presence: 3/5
"The first known reference to “social capital” in its contemporary sense was in the context of its importance for education and local communities (Hanifan, 1916)."
Why this source?
  • Notes the historical link between social capital and education, indicating some conceptual overlap.
  • Shows that social capital has been discussed in the context of education and local communities.
Web source
Presence: 3/5
"Families are primary building blocks for social capital. ... Although much attention has been given to the role of voluntary and civic associations, the key roles of families, schools and firms have been relatively neglected in recent debates and analyses of social capital."
Why this source?
  • Identifies families and schools as primary building blocks for social capital, linking institutions related to education to social capital formation.
  • Suggests that elements connected to education (schools) contribute to social capital, indicating some aspects of education relate to social capital.

Economics, Class IX . NCERT(Revised ed 2025) > Chapter 2: People as Resource > Quality of Population > p. 20
Strength: 5/5
“The quality of population depends upon the literacy rate, health of a person indicated by life expectancy and skill formation acquired by the people of the country. The quality of the poulation ultimately decides the growth rate of the country. Literate and healthy population are an asset.”
Why relevant

States that the 'quality of population' depends on literacy and that a literate population is an asset — framing literacy as a population attribute linked to broader societal quality.

How to extend

A student could combine this with a standard distinction between 'human capital' (skills, education) and 'social capital' (networks, norms) to judge whether literacy more naturally fits human or social capital.

Economics, Class IX . NCERT(Revised ed 2025) > Chapter 2: People as Resource > Overview > p. 16
Strength: 5/5
“Like other resources population also is a resource — a 'human resource'. This is the positive side of a large population that is often overlooked when we look only at the negative side, considering only the problems of providing the population with food, education and access to health facilities. When the existing 'human resource' is further developed by becoming more educated and healthy, we call it 'human capital formation' that adds to the productive power of the country just like 'physical capital formation'. Investment in human capital (through education, training, medical care) yields a return just like investment in physical capital.”
Why relevant

Defines population as a 'human resource' and describes education/skill formation as 'human capital formation', directly associating literacy/education with human capital.

How to extend

Using this, a student can infer literacy is commonly treated as human capital and thus weigh against classifying it as social capital without additional social-network evidence.

Exploring Society:India and Beyond ,Social Science, Class VIII . NCERT(Revised ed 2025) > Chapter 7: Factors of Production > Challenges to human capital > p. 169
Strength: 5/5
“Our nation has come a long way in various aspects of human capital since independence. Literacy is an important characteristic of the population and helps enhance the skills and productivity of human capital. The Adult Literacy Rate in India is 85 per cent for males and 70 per cent for females as of 2023, as per the World Bank estimates. Despite progress in many areas, India faces challenges in developing human capital. Productivity: Ability to do more in a particular time period.”
Why relevant

Explicitly calls literacy an important characteristic that enhances skills and productivity of 'human capital'.

How to extend

A student could use this pattern to argue literacy is primarily an input to individual productive capacity (human capital) and only secondarily related to social capital unless linked to social networks/trust.

Geography of India ,Majid Husain, (McGrawHill 9th ed.) > Chapter 13: Cultural Setting > LITERACY RATE > p. 89
Strength: 4/5
“literacy is that it provides relatively more opportunity of employment. The literate and educated persons have better personality and can interact with the superiors and inferiors in a better and more confident way. The rate of literacy is largely determined by a large number of socio-cultural, political, and physical factors.”
Why relevant

Notes literacy provides opportunities for employment and is determined by socio-cultural factors, linking literacy to social conditions and interactions.

How to extend

A student might extend this to hypothesize that because literacy affects social interaction and status, it could influence social capital (networks/trust), so proportion literate may indirectly affect social capital measures.

INDIA PEOPLE AND ECONOMY, TEXTBOOK IN GEOGRAPHY FOR CLASS XII (NCERT 2025 ed.) > Chapter 1: Population: Distribution, Density, Growth and Composition > Rural – Urban Composition > p. 8
Strength: 3/5
“Composition of population by their respective places of residence is an important indicator of social and economic characteristics. This becomes even more significant for a country where about 68.8 per cent of its total population lives in village (2011).”
Why relevant

Says population composition by residence is an important indicator of social and economic characteristics, illustrating how demographic attributes serve as social indicators.

How to extend

A student could analogously treat literacy proportion as a demographic indicator that signals social characteristics (and thereby may correlate with social capital), prompting empirical comparison across regions.

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Statement analysis

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Statement analysis

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