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UPSC 1998: The misery index is the sum of a country’s unemployment and inflation rate. The higher the index, the more miserable is the country to live in. In the figure given below is the Misery Index for various countries in Europe: Which of the following conclusions can be drawn from the misery index given above? I. Britain is the most miserable country to live in. II. The inflation rate in Spain is less than that in Belgium and Britain. III. Italy and France seem to have almost identical unemployment rate. IV. The higher the misery index, the higher the inflation rate. Select the correct answer using the codes given below:
(a)I alone
(b)II and III
(c)I, II, III and IV
(d)None of the above
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Not attemptedCorrect Answer: (b) II and III
From the chart Britain is not the worst (Spain’s index is higher) and a higher index can arise from unemployment not just inflation, so I and IV are wrong. The bars show Spain’s inflation lower than Belgium’s and Britain’s, validating II, and Italy‐France unemployment bars are almost equal, validating III. Therefore only II and III hold. ([scribd.com](https://www.scribd.com/document/731910048/1998))
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Frequently Asked Questions
What is the correct answer to this UPSC 1998 Indian Economy question?▼
The correct answer is option (b): II and III. Watch the detailed video explanation in our Sherlocking Prelims course on UnlockIAS.
Which year was this Inflation & Price Indices question asked in UPSC Prelims?▼
This question was asked in UPSC CSE Prelims 1998, GS Paper 1, as Question 131. It falls under Indian Economy > Inflation & Price Indices.
What is the difficulty level of this UPSC question?▼
This question is rated "moderate". It requires sound conceptual understanding of the topic.
How many UPSC Prelims questions have been asked from Inflation & Price Indices?▼
UPSC has asked 15 questions from Inflation & Price Indices (under Indian Economy) across multiple years. Visit the topic page to see the full list and year-wise trends.