Class 10 Economics Chapter 1 ~ DEVELOPMENT

                                           

                  DEVELOPMENT

DEVELOPMENT

Different persons can have different developmental goals and two, what may be development for one may not be development for the other. It may even be destructive for the other.

What Development Promises – Different Peoples, Different Goals

1. Different people can have different developmental goals
2. What may be development for one may not be development for the other person. It may even be destructive for the other.

Income and Other Goals

People want more income. Money, or material things that one can buy with it, is one factor on which our life depends. However, the quality of our life also depends on non-material things such as equal treatment, freedom, security, and respect for others. For development, people look at a mix of goals. The developmental goals are not only about better income but also about other important things in life.

National Development

Different persons could have different as well as conflicting notions of a country’s development.

How to Compare Different Countries or States?

For comparing countries, their income is considered to be one of the most important attributes. Countries with higher income are more developed than others with less income. As different countries have different populations, comparing total income will not tell us what an average person earns. So, we compare the average income of countries.

Average income is the total income of the country divided by its total population. It is also called per capita income.

Average Income = Total Income of Country / Total Population of Country

In World Development Reports, per capita income is used in classifying countries.

1. Countries with per capita income of US$ 12,056 per annum and above in 2017, are called rich countries.
2. Countries with per capita income of US$ 955 or less are called low-income countries. Eg: India.

PER CAPITA INCOME

• Per capita income or average income measures the average income earned per person in a given area (city, region, country, etc.) in a specified year.
• It is calculated by dividing the area’s total income by its total population.

In World Development Reports, brought out by the World Bank, this criterion is used in classifying countries.

• Countries with per capita income of US$ 12736 per annum and above in 2013, are called rich countries and those with per capita income of US$ 1045 or less are called low-income countries.
• India comes in the category of low middle income countries because its per capita income in 2013 was just US$ 1570 per annum.
• The rich countries, excluding countries of Middle East and certain other small countries, are generally called  developed countries.

INCOME AND OTHER CRITERIA

People not only think of better income but also have goals such as security, respect for others, equal treatment, freedom, etc. in mind. Similarly, when we think of a nation or a region, we may, besides average income, think of other equally important attributes.

The other important criteria to measure the development of any reason are:-

Infant Mortality Rate (or IMR) indicates the number of children that die before the age of one year as a proportion of 1000 live children born in that particular year.

Literacy Rate measures the proportion of literate population in the 7 and above age group.

Net Attendance Ratio is the total number of children of age group 14 and 15 years attending school as a percentage of total number of children in the same age group.

PUBLIC FACILITIES

Money in your pocket cannot buy all the goods and services that you may need to live well. So, income by itself is not a completely adequate indicator of material goods and services that citizens are able to use.

For example, normally, your money cannot buy you a pollution-free environment or ensure that you get unadulterated medicines, unless you can afford to shift to a community that already has all these things. Money may also not be able to protect you from infectious diseases, unless the whole of your community takes preventive steps.

• Kerala has a low Infant Mortality Rate because it has adequate provision of basic health and educational facilities.
• Similarly, in some states, the Public Distribution System (PDS) functions well. Health and nutritional status of people of such states is certainly likely to be better.

Sustainability of Development

Sustainable development is defined as development that meets the needs of the present without compromising the ability of future generations. Scientists have been warning that the present type, and levels, of development are not sustainable. Some of the examples are:

• Overuse of ground water
• Exhaustion of natural resources

NOTES:

1. HDI stands for Human Development Index. HDI ranks in above table are out of 188 countries in all.

2. Life Expectancy at birth denotes, as the name suggests, average expected length of life of a person at the time of birth.

3. Per Capita Income is calculated in dollars for all countries so that it can be compared. It is also done in a way so that every dollar would buy the same amount of goods and services in any country.

The present type, and levels, of development are not sustainable.

• Groundwater is an example of renewable resources. These resources are replenished by nature as in the case of crops and plants.
• However, even these resources may be overused. For example, in the case of groundwater, if we use more than what is being replenished by rain then we would be overusing this resource.
• Non-renewable resources are those which will get exhausted after years of use.

Consequences of environmental degradation do not respect national or state boundaries; this issue is no longer region or nation specific. Our future is linked together. Sustainability of development is comparatively a new area of knowledge in which scientists, economists, philosophers and other social scientists are working together.

One Mark Questions With Answers

1. What is Life Expectancy at birth?
2. What is GDP?
3. What are Public facilities?
4. Which organization publishes the Human Development Report?
5. What are the Non-renewable resources?

Answers of 1 Mark Questions

1. It is the average expected length of a person’s life at the time of birth.
2. It stands for Gross Domestic Product. It meant for monetary measure of the market value of all final goods and services produced in a given period of time.
3. Public facilities are those which are provided by the government to satisfy the collective needs of the people. Such as — Hospital, School and so on.
4. United Nations Development Programme (UNDP).
5. These resources will get exhausted after some time and are not regenerated by the nature. For example, crude oil and so on.

Multiple Choice Questions – MCQ

1. Which of the following is most likely to be a development goal for landless rural labourers:
(a) Highest support prices
(b) High literacy rate
(c) Raised Wages
(d) Settle the children abroad
2. Life expectancy at Birth means:
(a) Average expected length of life of a person at the time of birth.
(b) Average expected length of life of a person at time of death.
(c) Average expected length of a child at time of birth.
(d) None of above
Q.3 Which one of the following countries has the largest size of illiterate population in the age group of 15 in the world.
(a) India
(b) Myanmar
(c) Srilanka
(d) Bangladesh
Q.4. Kerala has low infant mortality rate what in the reason for the same?
(a) It has adequate provision of basic health & educational facilities.
(b) It has highest per capita income
(c) It has natural resources
(d) The government of Kerala is very efficient.
Q.5. Which state among the following has lowest literacy rate?
(a) Punjab
(b) Bihar
(c) Kerala
(d) Tamil Nadu

Answers of MCQ

1. (c)
2. (a)
3. (d)
4. (a)
5 (b)

Question 1.
Why is Per Capita Income calculated in the US dollars?
Answer:
The Per Capita Income is calculated in the US dollars because US dollar is considered as the medium of international exchange. It is accepted as method of payment across the world.

Question 2.
“People have conflicting development goals”. Support the statement with suitable example.
Answer:
It is true to say that people have conflicting developmental goals. What may be the development for one may not be for the other. Different people have different interests, life situations and state of mind. They visualize things, actions, etc. according to their level of understanding.
For example, the construction of a flyover to reduce the congestion and traffic jams may be a development goal especially for the daily commuters. But for the construction of the flyover, surrounding houses, shops, etc. need to be demolished which may not be like by the occupants of these shops and houses. This may not be a development goal for them.

Question 3.
Describe any three possible development goals of landless rural labourers.
Answer:
The following can be the developmental goals of landless rural labourers.

• More days of work with better wages.
•  Social and economic equality.
•  Low price food grains.
• Better education facilities for their children.

Question 4.
“Money cannot buy all the goods and services that one needs to live well” Do you agree with this statement? Justify your answer with any three suitable arguments.
Answer:
Yes, we agree with the statement that money cannot buy all the goods and services that one needs to live well because of the following reasons.

•  Money can buy things that can be one factor on which our life depends like food. But the quality of non-material things like freedom, security and respect cannot be bought with money.
•  We cannot buy pollution free environment, unadulterated medicines and peace with money.
•  Schools, colleges, parks, hospitals, etc. are the facilities which cannot be run individually. There has to be a collective effort of team work between the government or society in providing these to the general public.

Question 5.

Give any two common developmental goals of the people.
Answer:
Social equality, freedom, peace, pollution-free environment, improved health and literacy levels, awareness and control on population are common development goals of the people.

Question 6.
Suggest any one way to solve under-employment situation in rural areas.
Answer:
The problem of under employment in the rural areas can be solved by setting up industries, schools, tourism, regional craft industry, information technology, etc

Question 7.
Mention any one limitation of per capita income as an indicator of development.
Answer:
One limitation of per capita income is that it is impossible to come out to a well-defined conclusion about the real income of the people or nation

Question 8.
Through which act is Right to Work implemented?
Answer:
Right to Work is implemented through National Rural Employment Guarantee Act (NREGA) 2005.

Question 9.
What is the rank of India as per the HDI report of 2004?
Answer:
India ranked 127 as per the HDI report of 2004.

Question 10.
Define average income.
Answer:
Average income measures the average income earned per person in a given area in a specified year. It is calculated by dividing the area’s total income by its total population.

Question 11.
Differentiate between Human Development Report and World Development
Answer:
The following are the differences between Human Development Report and World Development Report.

Question 12.
Why does Kerala have a better Human Development Index ranking in comparison to Punjab? Explain with three reasons.
Answer:
Kerala has a better Human Development Index ranking in comparison to Punjab even though Punjab has a higher per capita income in comparison to Kerala because of the following reasons.

•  Education: Kerala has a higher level of literacy rate than Punjab. In fact, the literacy rate of Kerala is the highest in India. In Kerala, the literacy rate is ninety-one per cent which is almost as high as that of China. This is mainly because education has been made available to everyone in Kerala whether they are upper caste or the lower caste. There is no bias in the field of education, which is one of the major reasons why Kerala has a better HDI than Punjab.
•  Health care: The health care facilities in Kerala are far better than those in Punjab. Kerala has over 2700 government medical hospitals, with 330 beds per 1,00,000 population which is the highest in India, making it achieve a higher ranking in the HDI.
• Politics: The political parties in Kerala have taken steps for genuine welfare of the people and have invested intelligently and methodologically in the field of health and education. The government of Kerala has even worked for the land reforms in the State to support the people.

Question 13.
What is the main norm used by the World Bank in classifying different countries as rich and poor countries? What are the restrictions of such norms?
Answer:
Average income or per capita income is the main domain used by the World Bank in classifying different coutries as rich and poor countries. According to the World Bank, income is one of the most important attributes. Countries with average income of USD 12616 per annum and above are called rich countries. Countries with average income of USD 1530 or less are called middle-income countries and countries with average income of USD 1035 or less are called poor countries.
This is based on the conception that the higher the total income of the country, the developed it is.
However, there are certain restrictions to this norm because income, although an important measure for calculating growth and development, is not the only attribute. Over the past few decades, health and education have made an important mark in the development of a country. So, even if the country has high per capita income and literacy rate but does not have good medical facilities, it cannot be considered developed.

Question 14.
Besides income, what are the six other things people may look for growth and development?
Answer:
The following are the six things that people may look for growth and development, besides income.

•  freedom
•  security
•  respect
•  quality of life
•  health
•  education

Question 15.

“Though the level of income is important, it is an inadequate measure of the level of development.” Justify the statement.
Answer:
It is true that income is an important way to measure the level of development but it is also true that it is not the only way to measure the level of development. It is an inadequate method of measuring development since it is only the materialistic measure of development based on money.
Over the past few decades, health, education, sanitary and other non-materialistic indicators have become an important criteria in measuring the level of development.
The Human Development Index, for example, is a better measure of development since it takes into consideration health and education indicators as well.
For example, even though the income of Punjab is more than that of Kerala, Kerala has a higher HDI because it has better health and educational facilities. The literacy rate of Kerala is higher than that of Punjab.

Question 16.
What is Human Development Index? Which organization measures the HDI? Explain the three major indicators of the HDI.
Answer:
Human Development Index is a tool developed by the United Nations to measure and rank countries based on the level of social and economic development. The HDI makes it possible to track changes in development levels from time to time and to compare development levels in different countries. The concept of HDI goes beyond income and growth to cover overall development with the object of improving the conditions of people from all angles.
The organization that measures the HDI is the United Nations.
Three major indicators of the HDI are as follows.

• Health: Without proper health facilities, no matter how much a country earns, it will not be able to provide basic facilities to its people.
•  Education: Over the past few decades, education has become an important factor in leading a quality life. So, if the country has high income but the literacy rate is low, it cannot be considered developed.
• Security: More than income, people want to have a secured life. A country should be able to provides its citizens a sense of security.

Question 17.

Suppose there are four families in a country with per capita income of $15000. The income of three families is $10000, $20000 and $12000. What is the income of the fourth family?
Answer:
The income of the fourth family is $18,000.The income of the fourth family is $18,000.

Question 18.
Study the data given below and answer the question that follow.
Some comparative data on Punjab, Kerala and Bihar:

Which state appears the most developed?
Answer:
Kerala appears the most developed.

Question 19.
What may be the development for one may be the destruction for the other.” Explain the statement with appropriate examples.
Answer:
Yes, it is true that what may be called development for some may turn out to be destruction for the others.
For example, the Sardar Sarovar dam built over the Narmada river led to a major evacuation of the tribes near the Narmada river and as a result the tribes lost their land and homes. This development of Sardar sarovar dam turned out to be a destruction for the tribes.
Another example, On the border of Madhya Pradesh and Uttar Pradesh, in the Singrauli region, over 200,000 people have been displaced on different occasions. First by the Rihand dam, then by a series of thermal power plants of the National Thermal Power Corporation. Singrauli has illuminated the lives of many in the urban centres, but has seen its natives groping in endless darkness, grappling to overcome the trauma of displacement. So the development in Singrauli led to destruction of its people.
Multinational companies take away the land of the farmers for the construction of industries. It may be beneficial for boosting production but at the same time it causes loss of cultivable land and livelihood of the farmers. Various movements have been launched against the acquisition of land from the farmers.

Question 20.

State the three factors other than human income, that are important in life.
Answer:
Human Development Index is a tool developed by the United Nations to measure and rank countries based on the level of social and economic development. The HDI makes it possible to track changes in development levels from time to time and to compare development levels in different countries. The concept of HDI goes beyond income and growth to cover overall development with the object of improving the conditions of people from all angles.
The organization that measures the HDI is the United Nations.
Three major indicators of the HDI are as follows

•  Health: Without proper health facilities, no matter how much a country earns, it will not be able to provide basic facilities to its people.
•  Education: Over the past few decades, education has become an important factor in leading a quality life. So, if the country has high income but the literacy rate is low, it cannot be considered developed.
• Security: More than income, people want to have a secured life. A country should be able to provides its citizens a sense of security.

Question 21.
Explain the importance of sustainable development with reference to groundwater by giving example.
Answer:
Sustainable development means a development in a manner that satisfies the demands of today without hampering or compromising the ability of the future generations to meet their needs by utilizing the resources.
In lay man’s language it means using the resources in a manner that you and the future generations can use them tomorrow as well.
It is important because of the reason that we may enjoy the gifts of nature, but cannot think of our generations to live without such benefits. It becomes our duty to use nature for the fulfillment of our needs and not our greed. Our development should not hamper the needs of the future generations.
In the case of groundwater, we have utilized it to the maximum. It is a natural resource which is replenished by nature. People living in the areas with surplus water reserves should take care for its conservation. Efforts should be made not to overuse or degrade the quality of water. Recent evidences show that groundwater is under serious threat of disappearance. If suitable steps are not taken, it can pose serious consequences.

Question 22.
What is sustainable development? Suggest any two ways in which resources can be used judiciously.
Answer:
Sustainable development is a pattern of development that promises the use of resources in a way that meets human needs while preserving the environment so that these needs can be met not only in the present, but also for generations to come.
In basic understanding, like today we are able to use the resources given to us, the future generations should also be able to use them for which we need to keep a tab on our usage and use the resources judiciously.
Today, we need to fuel the concept of sustainable development to make sure that resources are also available for the future generations.
Resources can be used judiciously in the following manner.

• Using bicycle or walking for short distances rather than using a two wheeler or four wheeler can help in saving fuel and also will help in reducing air pollution.
•  Urbanization without deforestation can help us to sustain the natural environment.
•  By using CNG in place of petrol, we can help in reducing air pollution.
• Judiciously using water resources and not polluting them will help us to preserve our water resources.

Question 23.
Which countries are known as rich countries on the basis of per capita income?
Answer:
Countries with per capita income of USD 12616 per annum and above in 2012 are known as rich countries.

Question 24.
Average income is important but it has limitations while using it. Explain
Answer:
The following are the limitations while using the average income.

• It ignores equitable distribution of income.
•  It is impossible to come out to a well-defined conclusion about the real income of the people or nation.
•  It does not reflect the standard of living of the people

Question 25.
Study the data given below and answer the questions that follow. Some Comparative Data on Punjab, Kerala and Bihar

• Which state has the highest infant mortality rate?
•  Why does this state have the highest infant mortality rate? Give two reasons.
  
  Answer:
•  Bihar has the highest infant mortality rate.
•  Bihar has the highest infant mortality rate because of the following reasons.
•  Lack of health facilities
• Lack of food security

Question 26.
What is Human Development Report? Which organization measures HDR? Explain three major indicators of HDR.
Answer:
Human Development Index is a tool developed by the United Nations to measure and rank countries based on the level of social and economic development. The HDI makes it possible to track changes in development levels from time to time and to compare development levels in different countries. The concept of HDI goes beyond income and growth to cover overall development with the object of improving the conditions of people from all angles.
The organization that measures the HDI is the United Nations.
Three major indicators of the HDI are as follows.

•  Health: Without proper health facilities, no matter how much a country earns, it will not be able to provide basic facilities to its people.
• Education: Over the past few decades, education has become an important factor in leading a quality life. So, if the country has high income but the literacy rate is low, it cannot be considered developed.
•  Security: More than income, people want to have a secured life. A country should be able to provides its citizens a sense of security.

Question 27.
What is meant by economic development? WTiat are the two bases of measuring economic development of a country?
Answer:
Economic development can be defined as efforts that seek to improve the economic well-being and quality of life for a community by creating and/or retaining jobs and supporting or growing incomes and the tax base. It is the increase in the growth and welfare of people, improvement of quality. In layman’s language it is a process, which makes people in general, better off by increasing their
command over goods and services and by increasing the options open to them. The two bases of measuring economic development of a country are as follows.

•  HDI (Human Development Index)
• Per capita income

Question 28.
Explain sustainable development. Suggest two measures to ensure sustainable development
Answer:
Sustainable development is a pattern of development that promises the use of resources in a way that meets human needs while preserving the environment so that these needs can be met not only in the present, but also for generations to come.
In basic understanding, like today we are able to use the resources given to us, the future generations should also be able to use them for which we need to keep a tab on our usage and use the resources judiciously.
Today, we need to fuel the concept of sustainable development to make sure that resources are also available for the future generations.
Resources can be used judiciously in the following manner.

• Using bicycle or walking for short distances rather than using a two wheeler or four wheeler can help in saving fuel and also will help in reducing air pollution.
• Urbanization without deforestation can help us to sustain the natural environment.
•  By using CNG in place of petrol, we can help in reducing air pollution.
•  Judiciously using water resources and not polluting them will help us to preserve our water resources.

Question 29.
In what respects is the criterian used by the UNDP for measuring development different from the one used by the World Bank?
Answer:
The criterion used by the UNDP for measuring development is different from the criterion used by the World Bank in the following ways.

• The UNDP compares the development of the countries on the basis of literacy rate, gross enrolment ratio and health status of their people. On the their hand, the World Bank compares the development of the countries on the basis of per capita income or average income.
•  On the basis of the comparison done by the UNDP, the countries are ranked as first, second, third… whereas on the basis of the comparison done by the World Bank the countries are divided into three categories:

1.  Rich or developed or high-income countries
2.  Middle-income or developing countries
3.  Poor or underdeveloped or low-income countries

•  The UNDP has a broader concept of development and the World Bank has a narrow concept of development.

Question 30.
What is the main criterion used by the World Bank is classifying different countries? What are the limitations of this criterion, if any? In what respects is the criterion used by the UNDP for measuring development different from the one used by the World Bank?
Answer:
The criterion used by the UNDP for measuring development is different from the criterion used by the World Bank in the following ways.

•  The UNDP compares the development of the countries on the basis of literacy rate, gross enrolment ratio and health status of their people. On the their hand, the World Bank compares the development of the countries on the basis of per capita income or average income.
• On the basis of the comparison done by the UNDP, the countries are ranked as first, second, third… whereas on the basis of the comparison done by the World Bank the countries are divided into three categories:

1. Rich or developed or high-income countries
2. Middle-income or developing countries
3.  Poor or underdeveloped or low-income countries

•  The UNDP has a broader concept of development and the World Bank has a narrow concept of development.

Limitation: Limitation of this criterion is that average or per capita income is not the only factor important for development. This factor hides the other important factor—distribution of income, which also affects development. Higher average income, along with equitable distribution of income is considered favourable for development.

Question 31.
Which countries are known as rich countries on the basis of per capita income?
Answer:
Countries with per capita income of USD 12616 per annum and above in 2012 are known as rich countries

Question 32.
Compare India and Sri Lanka on the basis of any three indicators of Human Development Index for 2004.
Answer:
Comparison between India and Sri Lanka on the basis of three indicators of HDI.

• Per capita income: In 2004, per capita income of Sri Lanka ($5170) was much more than that of India ($3285). Literacy rate: Sri Lanka’s literacy rate (90.6%) was much more than that of India (62.85%). Life expectancy at birth: In terms of life expectancy at birth, Sri Lanka (75.15%) was ahead of India (65.8%)

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