Notes For All Chapters Economics Class 10 CBSE
1. Introduction
- We participate in the market both as producers (producing goods and services) and as consumers (buying final goods and services).
- In the marketplace, consumers are often in a weaker position compared to producers or traders.
- Sellers sometimes shift all responsibility onto buyers, saying: “If you don’t like it, go elsewhere.”
- To prevent exploitation, rules and regulations are required to protect consumers.
2. Exploitation in the Marketplace
Consumers face exploitation in various ways, such as:
- Under-weighing goods (less than promised weight).
- Overcharging beyond Maximum Retail Price (MRP).
- Selling adulterated goods (e.g., mixing stones in food grains, harmful colors in vegetables).
- Selling defective goods (damaged or low-quality products).
- Forcing consumers to buy unwanted goods along with what they need.
- Giving false information through advertisements (e.g., baby milk formula claiming to be better than mother’s milk, or tobacco companies hiding health hazards).
Reason for exploitation:
- Few, powerful producers vs. scattered, weak consumers.
- Lack of awareness among consumers.
- Weak enforcement of laws.
3. Consumer Movement in India
- Originated as a social force in the 1960s.
- Causes: food shortages, hoarding, black marketing, and adulteration of food and edible oils.
- Early activities: articles, exhibitions, consumer groups checking ration shops and public transport.
- 1985: UN adopted Guidelines for Consumer Protection, inspiring global action.
- 1986: India enacted the Consumer Protection Act (COPRA), a major step for consumer rights.
- Result: Increase in consumer awareness and pressure on businesses to follow fair practices.
4. Consumer Rights
COPRA ensures six rights for consumers:
1. Right to Safety
- Protection against hazardous goods and services.
- Example: pressure cookers with defective safety valves, LPG cylinders, or unsafe medicines.
2. Right to Information
- Consumers must be informed about ingredients, price, expiry date, batch number, manufacturer’s address, and directions for use.
- Example: expiry date on medicines, washing instructions on clothes.
3. Right to Choice
- Consumers should have the freedom to choose between products.
- Example: gas dealers cannot force customers to buy stoves along with new connections.
4. Right to Representation
- Consumers have the right to voice complaints and be heard in decision-making forums.
5. Right to Redressal
- Consumers can seek compensation for defective goods or poor services.
- Example: Abirami received a refund for coaching fees when she discontinued the course.
6. Right to Consumer Education
- Consumers must be educated about their rights and responsibilities to protect themselves from exploitation.
5. Case Studies
Reji Mathew Case (Safety):
- A student was crippled for life due to improper anaesthesia during surgery. The National Commission ordered compensation from the hospital.
Abirami Case (Choice & Redressal):
- A student demanded a refund from a coaching institute after one year. The Commission upheld her Right to Choice and ordered refund plus compensation.
Prakash Case (Redressal):
- Prakash sent money through a money order that never reached his daughter. He filed a case in the District Commission and got justice.
6. Redressal Mechanism under COPRA
A three-tier quasi-judicial system was set up:
1. District Consumer Disputes Redressal Commission
- Deals with claims up to ₹1 crore.
2. State Consumer Disputes Redressal Commission
- Deals with claims between ₹1 crore and ₹10 crore.
3. National Consumer Disputes Redressal Commission
- Deals with claims above ₹10 crore.
- Consumers can appeal from District → State → National level.
- 2019 Amendment:
- Includes online shopping.
- Service providers/manufacturers held responsible.
- Mediation introduced to solve disputes faster.
7. Consumer Organisations
- Consumer Forums / Councils:
- Guide consumers on filing cases.
- Sometimes represent them in commissions.
- Receive government support for awareness campaigns.
- Residents’ Welfare Associations (RWAs):
- Take up unfair trade practice cases on behalf of residents.
8. Quality Certification Marks
To protect consumers, certain marks indicate product quality:
- ISI Mark: Bureau of Indian Standards certification (e.g., LPG cylinders, packaged drinking water, cement).
- Agmark: Certification for agricultural products (e.g., edible oils, cereals).
- Hallmark: Certification for jewellery.
- +F mark: For food fortification.
These marks give assurance, but not all products are certified. For essential goods, certification is compulsory.
9. Consumer Awareness
- National Consumers’ Day: 24 December (COPRA enactment day).
- World Consumers’ Day: 15 March.
- Awareness is spreading slowly but steadily.
- Consumers must become alert and responsible:
- Insist on bills/cash memos.
- Check ISI, Agmark, Hallmark logos.
- Verify expiry dates.
- Refuse adulterated or substandard goods.
10. Limitations of Consumer Movement
- Redressal process is time-consuming and expensive.
- Lawyers often required.
- Evidence is difficult to collect (no bills issued in small purchases).
- Many consumer groups exist (2000+), but only 50–60 are well-organised.
- Weak enforcement of laws.
11. Duties of Consumers
- Be alert while buying goods.
- Demand bills and keep them safely.
- Check for certification marks.
- File complaints when cheated.
- Do not get carried away by flashy advertisements.
- Educate others about consumer rights.
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