Indirect Employment Generation Example

When a government steel company increases output and private companies also expand, this is an example of:

Correct Answer Explanation

When government enterprise output increases and private enterprises receiving raw materials also expand, this is indirect employment generation.

Key Points:

• Direct: Government employs people directly in departments and enterprises.
• Indirect: Private companies expand due to increased government production.
• Example: Government steel company output increases → private companies buying steel also increase employment.

Why Other Options Are Wrong

• A: Direct employment is when government hires workers itself.
• C: This describes a type of employment, not the mechanism.
• D: Self-employment is a different category.