CBSE Board Class 10, Consumer Rights - NCERT Solutions for Economics Chapter Exercise Questions


CBSE Class 10, NCERT Economics (Understanding Economic development)


NCERT Solutions – NCERT Answers (Chapter exercise)

Question 1: Why are rules and regulations required in the marketplace? Illustrate with a few examples.
Solution: Rules and regulations are required in the marketplace because individual consumers often find themselves in a weak position. Whenever there is a complaint regarding a good or service, the seller tries to shift all the responsibility on to the buyer. For example:
     1) Many dishonest shopkeepers weigh less than what they should. I purchased 2 kg honey       which was underweight. When I complained it to the seller, he said, "If you didn't like,           why you bought. Please go elsewhere."
     2) Sometimes traders add charges that were not mentioned before.
     3) Some unscrupulous traders play with the health of the nation by indulging in adulteration      of wink edible oils, milk, ghee, honey, etc. As we know, in 1999, adulteration in mustard oil    claimed various lives in Delhi.


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Question 2: What factors gave birth to the consumer movement in India? Trace its evolution.
What were the reasons for the rise and growth of the consumer movement in India?
 Solution: The following factors gave birth to the consumer movement in India:
      1) Uncontrolled food shortages,
      2) Hoarding,
      3) Black marketing,
      4) Adulteration of food and edible oil.
References to the protection of consumer's interest against exploitation by traders and businessmen are found in the Kautilya's Arthashastra. But an organized and systematic movement against the above factors started in the 1960s. But til the 1970s, consumer organizations were largely engaged in writing articles and holding exhibitions. They formed consumer groups to look into the malpractices in ration shops and overcrowding in the road passenger transport.


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Question 3: Explain the need for consumer consciousness by giving two examples.
Solution: The need for consumer consciousness may be clear by the following examples:
     1) Tata Tele Communications sent a flawed phone bill of 400 to Mr.Jayashree Pillai, a             teacher in Delhi. She complained it to the consumer forum. Ultimately, she has been             awarded a compensation of 45,000 over this disputed bill of 400.
     2) Mr. Manoj Gupta complained of poor construction of a society flat in Delhi. But his                 complaints were ignored by the society. A consumer court uphold his complaint of                 deficiency in service and directed the society to pay 20,000 as compensation.

Question 4: Mention a few factors which cause exploitation of consumers. (Reasons of exploitation).
Solution: The following are the major factors that cause exploitation of the consumers:
     1) Limited information: Providing full and correct information about the product to                  consumers is of great importance. In the absence of information regarding the price,              quality, composition, conditions of use, terms of purchase etc., consumers are likely to          make a wrong choice and lose money.
     2) Limited supplies: When the supply of goods is less than their demand, this situation           encourages the tendency of hoarding. As a result, the prices rise and consumers are             exploited.
     3) Limited competition: When there is only one producer or a few producers of a product       then, they are in a position to control or restrict the availability of the product. There is a         possibility of manipulation in prices and supply and as a result, the consumer will get             exploited.
     4) Low literacy: Illiteracy causes ignorance of products and the market. This leads to               exploitation of consumers.

Chapter 5, CONSUMER RIGHTS(Understanding Economic Development)

NCERT Solutions – CBSE Guide

Question 5: What is the rationale behind the enactment of Consumer Protection Act 1986?
Solution: The rationale behind the enactment of Consumer Protection Act 1986, is to provide better protection of the interests of consumers.
The consumer movement succeeded in bringing pressure on business firms to correct business conduct which may be unfair and against the interests of consumers at large.

Question 6: Describe some of your duties as consumers if you visit a shopping complex in your locality.
List some of the duties of the consumers.
Solution: The following are our duties as consumers:
     1) A consumer should look at the price, quality of the products as well as at the guarantee of     the products and services. A consumer should purchase quality marked products by ISI,       Agmark, Hallmark etc.
     2) A consumer should ask for cash memo for the goods purchased.
     3) A consumer must make complaint for our genuine grievances.
     4) A consumer should take the help of consumer organisations in seeking redressal of their      grievances.
     5) A consumer must know their rights and exercise them.

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Related study: For answers of Chapter 5 NCERT Intext Questions please visit our post -

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