Which technology of production would you prefer in rural India, a 'labour intensive’ one, which would curtail the problem of unemployment to certain extent or a ‘capital intensive’ one, which is very highly productive in nature?
India, being a labour intensive country have a good stock of human resources and is also faced with the problem of high rate of unemployment. So, it would be preferable to opt for a technology which is labour intensive in nature, as a highly capital intensive technique of production would require less labour, causing the problem of unemployment to deteriorate.