Answer: b) Some sectors thrive while others remain stagnant or decline

• • Explanation: K-shaped recovery highlights unequal recoveries within different sectors or groups within the economy, potentially exacerbating existing inequalities.

Answer: b) U-shaped

• Explanation: U-shaped recoveries take longer than V-shaped ones, often lasting several years, and resemble a "U" on a graph.

Answer: The correct answer is A:

• A gradual and sustained upward trajectory for the entire economy, eventually exceeding pre-recession levels.
• A J-shaped recovery is a type of economic recovery that is characterized by a gradual and sustained upward trend for the entire economy. After an initial decline, the economy begins to grow slowly but steadily, eventually surpassing its pre-recession levels. This type of recovery is often seen as the most desirable outcome, as it benefits all sectors of the economy and leads to a reduction in unemployment.

Answer: a) V-shaped

• • Explanation: A V-shaped recovery is the quickest turnaround, resembling a sharp "V" on a graph, with minimal long-term damage.

Answer: a) Stagflation

• • Explanation: Stagflation is a complex and challenging situation where prices rise while unemployment remains high.

Answer: d) L-shaped

• • Explanation: L-shaped recoveries represent the worst-case scenario, where the economy suffers a substantial decline and fails to bounce back, often due to severe structural damage.

Answer: b) Early signs of potential economic improvement

• • Explanation: Green shoots, though not guaranteeing a full recovery, provide hope for future growth based on early positive indicators.

Answer: (D)

• • Explanation: The Economic Survey 2022-23 emphasizes policy measures that support inclusive growth, such as rural development initiatives, manufacturing sector revival, and formalization of the informal sector. It does not mention stricter regulations on businesses as a specific measure for inclusive recovery.

Answer: c) W-shaped

• • Explanation: W-shaped recoveries resemble a double-dip recession, with a brief recovery interrupted by another dip before eventual improvement.

Answer: (B)

• • Explanation: The SBI study found that income inequality in India actually decreased, with over 33% of taxpayers moving to higher income brackets between 2014 and 2022. This challenges the K-shaped recovery narrative, which suggests that income inequality would widen during the post-pandemic recovery.