Social Science (087) — AI-generated practice question

Value addition means transforming raw materials into finished goods of higher value through manufacturing. For example, wood is converted into paper, or iron ore into steel.

It is important because countries that convert raw materials into a wide variety of finished goods become prosperous. It also generates employment, reduces dependence on agriculture, and earns foreign exchange through exports.

Source: Chapter 6 — Manufacturing Industries, Introduction and Importance of Manufacturing

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• The term "value addition" comes directly from the textbook: "Countries that transform their raw materials into a wide variety of finished goods of higher value are prosperous."
• Link it to India's prosperity — examiners expect you to connect the concept to the country's economic development.
• Mention at least two reasons why it matters (employment + foreign exchange + prosperity) to secure both marks.
• Keep it to 2–3 sentences; no need to list all points from the chapter.