In the first quarter of fiscal year 2020-21, GDP contracted by 23·9 pe

In the first quarter of fiscal year 2020-21, GDP contracted by 23·9 percent and in the second quarter, by 7·5 percent. The Economic Survey, 2020-21 preferred to call it a recovery in

Join Our Telegram Channel

U-shape

V-shape

K-shape

W-shape

Answer is Right!

Answer is Wrong!

This question was previously asked in

UPSC CAPF – 2022

Download PDF Attempt Online

The correct answer is B) V-shape.

– The data presented (GDP contraction of 23.9% in Q1 and 7.5% in Q2) shows a sharp decline followed by a significant rebound (or lessening of the decline).
– A V-shaped recovery is characterized by a rapid fall in economic activity followed by an equally rapid and sustained recovery. This pattern aligns with the data reflecting the impact of and recovery from the COVID-19 pandemic and associated lockdowns.

– The Economic Survey 2020-21 explicitly used the term “V-shaped recovery” to describe India’s economic trajectory after the initial steep contraction caused by the pandemic-induced lockdown.
– Other shapes describe different recovery patterns: U-shape (prolonged slump before recovery), K-shape (different sectors/groups recover at different rates, widening inequality), W-shape (double-dip recession).

More similar MCQ questions for Exam preparation:-