Good morning, students. Welcome to today's economics lesson. I am so happy to see all of you here, ready to learn something new and important. Today, we are going to study Chapter 1 of your Economics textbook, and the title of this chapter is "Development". This is a very interesting chapter because it talks about something that affects all of us directly — the progress and well-being of people, both as individuals and as a nation.
Now, students, let me ask you a question. What do you understand by the word "development"? When we say a country is developing or developed, what does that actually mean? You might have heard terms like "developed nation" or "developing country" in news and discussions. But have you ever thought about what exactly we mean by development? This chapter will help you understand this concept in depth.
So, let us begin our journey into understanding development.
## WHAT DEVELOPMENT PROMOTES — DIFFERENT PEOPLE, DIFFERENT GOALS
Students, let me start with a very interesting exercise. Look at Table 1.1 in your textbook. This table talks about different categories of persons and their developmental goals or aspirations. I want you to think about what different people might want for themselves and their families.
Let me explain what this table contains. The first column lists different categories of people — like landless rural laborers, prosperous farmers, urban unemployed youth, and so on. The second column is supposed to contain what these people aspire to achieve or what would make their lives better.
Now, students, the textbook has already filled in some entries. Let me read them out to you and then we will complete the rest together.
For landless rural laborers, the goals are: more days of work and better wages, local school providing quality education for their children, no social discrimination, and the ability to become leaders in the village.
For prosperous farmers from Punjab, the goals are: a high family income through higher support prices for their crops and through hardworking and cheap laborers, and the ability to settle their children abroad.
For a girl from a rich urban family, the goal is: getting as much freedom as her brother, being able to decide what she wants to do in life, and pursuing studies abroad.
Now, students, I want you to think about the other categories. What do you think would be the developmental goals for farmers who depend only on rain for growing their crops? These are farmers who do not have irrigation facilities and rely entirely on monsoon rains. What would such farmers want? They would probably want proper irrigation facilities so that they are not dependent on the rains. They would want better seeds, fertilizers, and technical guidance. They would want protection from crop failure due to drought. They would want fair prices for their produce. So, students, you can fill in the table with goals like: regular and adequate irrigation facilities, drought-resistant seeds, fair minimum support prices, and insurance against crop loss.
Now think about a rural woman from a land-owning family. What would be her aspirations? She might want her children to get good education. She might want her family to have better healthcare facilities. She might want equality within the household and in society. She might want to participate in village governance and decision-making. She might want her daughters to have the same opportunities as her sons. These would be her developmental goals.
What about an urban unemployed youth? This is a young person living in a city or town but without a job. What would such a person want? Obviously, they would want employment — a steady job that provides decent income. They would want skills training so that they can get better jobs. They would want opportunities to prove themselves. They would want dignity in society. They would want to be able to support their family.
Now, what about a boy from a rich urban family? This is a young man who comes from a wealthy family in the city. What would be his developmental goals? He might want to maintain or increase the family wealth. He might want to get a good education, perhaps from a prestigious institution. He might want to travel abroad for studies or work. He might want to start his own business. He might want recognition and respect in society.
Finally, think about an adivasi, that is, a tribal person from the Narmada valley. What would be their developmental goals? They would want protection of their land and forest rights. They would want to preserve their culture and traditions. They would want basic facilities like healthcare and education. They would want employment opportunities that respect their way of life. They would want to be consulted and involved in decisions that affect their lives, especially regarding projects like dams that displace them from their lands.
Now, students, having filled this table, let us analyze what we have written. Do all these persons have the same notion of development or progress? Most likely not. Each one of them seeks different things. They seek things that are most important for them, that which can fulfill their aspirations or desires.
And here is a very important point, students. At times, two persons or groups of persons may seek things that are conflicting. Let me give you an example from the textbook itself. A girl expects as much freedom and opportunity as her brother, and that he also shares in the household work. Her brother may not like this idea. Similarly, to get more electricity, industrialists may want more dams to be built. But building large dams may submerge land and disrupt the lives of people who are displaced — such as tribal communities. They might resent this and may prefer small check dams or tanks to irrigate their land instead of large hydroelectric projects.
So, students, two things are quite clear from this discussion: first, different persons can have different developmental goals, and second, what may be development for one person may not be development for another. It may even be destructive for the other person or group.
This is a very fundamental concept to understand. Development is not the same for everyone. What one person considers progress might be seen as harmful or unfair by another.
## INCOME AND OTHER GOALS
Now, students, let us look at Table 1.1 again. What is the common thing that you notice? What do most people desire? They all want regular work, better wages, and decent prices for their crops or other products that they produce. In other words, they all want more income.
But is income the only thing that people want? The answer is no. Besides seeking more income, one way or the other, people also seek things like equal treatment, freedom, security, and respect of others. They resent discrimination. All these are important goals. In fact, in some cases, these may be more important than more income or more consumption because material goods are not all that you need to live.
Let me explain this with an example. Think about your own life. You may have a certain amount of pocket money. But is having more pocket money the only thing that makes you happy? Probably not. You also value your friendships, your family relationships, your freedom to make choices, and the respect you receive from others. Similarly, there are many things that are not easily measured in monetary terms but they mean a lot to our lives. These are often ignored when we only focus on income.
Now, students, let me give you another example to make this clearer. Consider if you get a job in a far-off place. Before accepting it, you would try to consider many factors apart from income. You would think about facilities for your family, the working atmosphere, and opportunities to learn new skills. In another case, a job may give you less pay but may offer regular employment that enhances your sense of security. Another job, however, may offer high pay but no job security and also leave no time for your family. This will reduce your sense of security and freedom. So, you would weigh all these factors, not just the income.
Similarly, for development, people look at a mix of goals. It is true that if women are engaged in paid work, their dignity in the household and society increases. However, it is also the case that if there is respect for women, there would be more sharing of housework and a greater acceptance of women working outside the home. A safe and secure environment may allow more women to take up a variety of jobs or run a business.
So, students, the developmental goals that people have are not only about better income but also about other important things in life like freedom, security, respect, and equality.
Now, let me ask you to work through the "Let's Work These Out" questions based on what we have learned so far.
### Question 1: Why do different persons have different notions of development? Which of the following explanations is more important and why? (a) Because people are different. (b) Because life situations of persons are different.
Students, both explanations have merit, but I believe the second one is more important. The life situations of persons are different because of various factors such as their economic status, social background, place of living, access to resources, and opportunities. A landless laborer has different needs and aspirations compared to a rich businessman. Their life situations shape what they consider as development or progress. However, even people with similar situations might have different personalities and preferences, so both factors matter. But the primary reason is that life situations are different.
### Question 2: Do the following two statements mean the same? Justify your answer. (a) People have different developmental goals. (b) People have conflicting developmental goals.
Students, these two statements are not the same. When we say people have different developmental goals, it simply means that different people want different things. For example, one person may want more income, another may want better education. But when we say people have conflicting developmental goals, it means that the goals of one person or group directly contradict or oppose the goals of another person or group. For example, industrialists may want more dams for electricity, but displaced communities may oppose these dams because they lose their land and livelihoods. So, all conflicting goals are different, but not all different goals are conflicting.
### Question 3: Give some examples where factors other than income are important aspects of our lives.
Students, here are some examples. Having good health is important, and you cannot buy good health with money alone — you need clean environment, good healthcare facilities, and healthy lifestyle. Education is another aspect — you may have money to afford a private school, but what if there are no good schools nearby? Freedom to make choices about your life is important — you may have money but lack freedom to decide your own career. Respect from others and equal treatment in society are important — no amount of money can buy dignity and respect if society discriminates against you. Friendship and family relationships are important — money cannot buy true friendship or love.
### Question 4: Explain some of the important ideas of the above section in your own words.
Students, in your own words, you can explain that development is not just about having more money. People have different goals depending on their needs and circumstances. Some people may prioritize income, while others may value freedom, respect, security, or equality more. Development for one person may not be development for another. Sometimes, the goals of different groups can conflict with each other. Therefore, when we think about development, we need to consider all these different perspectives and goals.
## NATIONAL DEVELOPMENT
Now, students, we move from individual goals to national goals. If, as we have seen, individuals seek different goals, then their notion of national development is also likely to be different. Let me ask you to think about what India should do for development.
Most likely, you would find that different students in the class have given different answers to this question. In fact, you might yourself think of many different answers and not be too sure of any of these. It is very important to keep in mind that different persons could have different as well as conflicting notions of a country's development.
However, can all the ideas be considered equally important? Or, if there are conflicts, how does one decide? What would be a fair and just path for all? We also have to think whether there is a better way of doing things. Would the idea benefit a large number of people or only a small group? National development means thinking about these questions.
So, students, national development is about making decisions that affect the entire country. It involves considering the needs and aspirations of all sections of society and finding a balance that benefits the maximum number of people while being fair and just.
Now, let me help you work through the "Let's Work These Out" questions for this section.
### Question 1: Look at the picture on the right. What should be the developmental goals for such an area?
Students, I cannot see the picture as we are in a spoken lesson, but typically such pictures might show a rural area, an urban slum, or an industrial area. The developmental goals would depend on what is shown. For a rural area, goals might include better roads, electricity, healthcare facilities, schools, irrigation facilities, and employment opportunities. For an urban slum, goals might include proper housing, clean water, sanitation, healthcare, and education for children. The key is to identify the needs of the people living in that area and work towards meeting those needs.
### Question 2: Read this newspaper report and answer the questions that follow:
A vessel dumped 500 tonnes of liquid toxic wastes into open-air dumps in a city and in the surrounding sea. This happened in a city called Abidjan in Ivory Coast, a country in Africa. The fumes from the highly toxic waste caused nausea, skin rashes, fainting, diarrhoea, etc. After a month, seven persons were dead, twenty in hospital, and twenty-six thousand treated for symptoms of poisoning. A multinational company dealing in petroleum and metals had contracted a local company of the Ivory Coast to dispose the toxic waste from its ship.
(i) Who are the people who benefited and who did not?
Students, in this case, the multinational company benefited because they got rid of their toxic waste cheaply by paying the local company. The local company that disposed of the waste also benefited financially from this contract. However, the people of Abidjan — the residents, workers, and fishermen in the surrounding areas — did not benefit. They suffered from health problems, and some even died. The environment was also severely damaged.
(ii) What should be the developmental goal for this country?
Students, the developmental goal for such a country should be sustainable development that prioritizes the health and safety of its citizens over economic gains. The country should have strict laws against dumping toxic waste and should ensure that such incidents do not happen. Development should not come at the cost of people's health and lives. The goal should be to balance economic growth with environmental protection and public health.
### Question 3: What can be some of the developmental goals for your village, town, or locality?
Students, I want you to think about your own village, town, or locality. What are the things that need improvement? Some common developmental goals could include: better roads and transportation, reliable electricity supply, clean drinking water, good schools and colleges, healthcare facilities, employment opportunities, pollution control, garbage disposal, parks and recreation areas, and so on. You can list the specific needs of your area.
Now, students, we have an Activity 1. Let me explain what you need to do.
### Activity 1
The activity says: If even the idea of what constitutes development can be varied and conflicting, then certainly there can be differences about ways of developing. If you know of any such controversy, try to find out arguments advanced by different people. You may do so by talking to different persons or you may find it from newspapers and television.
Students, this is an important activity. You need to observe and understand that people can have different views about how development should happen. For example, some people might support building a big dam for electricity and irrigation, while others might oppose it because it displaces people and damages the environment. You should talk to different people — your parents, neighbors, teachers — and find out their views on such controversies. You can also watch news and read newspapers to find examples of such debates.
## HOW TO COMPARE DIFFERENT COUNTRIES OR STATES?
Now, students, we come to an important question. You might ask: if development can mean different things, how come some countries are generally called developed and others underdeveloped? This is a very good question.
Before we answer this, let us consider another question. When we compare different things, they could have similarities as well as differences. Which aspects do we use to compare them? Let us look at students in the class itself. How do we compare different students? They differ in their height, health, talents, and interests. The healthiest student may not be the most studious one. The most intelligent student may not be the friendliest one. So, how do we compare students? The criterion we may use depends on the purpose of comparison. We use different criteria to choose a sports team, a debate team, a music team, or a team to organize a picnic. Still, if for some purpose, we have to choose the criterion for the all-round progress of children in the class, how shall we do it?
Usually, we take one or more important characteristics of persons and compare them based on these characteristics. Of course, there can be differences about what are important characteristics that should form the basis of comparison: friendliness and spirit of cooperation, creativity, or marks secured?
This is true of development too. 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. This is based on the understanding that more income means more of all things that human beings need. Whatever people like, and should have, they will be able to get with greater income. So, greater income itself is considered to be one important goal.
Now, what is the income of a country? Intuitively, the income of the country is the income of all the residents of the country. This gives us the total income of the country.
However, for comparison between countries, total income is not such a useful measure. Since countries have different populations, comparing total income will not tell us what an average person is likely to earn. Are people in one country better off than others in a different country? Hence, we compare the average income, which is the total income of the country divided by its total population. The average income is also called per capita income.
In World Development Reports brought out by the World Bank, this criterion is used in classifying countries. Countries with per capita income of US$ 66,500 per annum and above in 2024 are called high-income or rich countries, and those with per capita income of about US$ 2,300 or less are called low-income countries. India comes in the category of low-middle income countries because its per capita income in 2024 was just about US$ 11,000 per annum. The rich countries, excluding countries of Middle East and certain other small countries, are generally called developed countries.
So, students, the main criterion used by the World Bank to classify countries is per capita income, which is the average income per person in a country. Countries with higher per capita income are considered more developed.
## AVERAGE INCOME
Now, students, let me explain an important concept. While averages are useful for comparison, they also hide disparities.
For example, let us consider two countries, A and B. For the sake of simplicity, we have assumed that they have only five citizens each. Based on data given in Table 1.2, let us calculate the average income for both the countries.
Table 1.2 shows the monthly incomes of citizens in Rupees.
For Country A: The incomes are 9,500; 10,500; 9,800; 10,000; and 10,200 rupees. To find the average, we add all these numbers and divide by 5.
So, 9,500 + 10,500 + 9,800 + 10,000 + 10,200 = 50,000 rupees. Average = 50,000 ÷ 5 = 10,000 rupees per month.
For Country B: The incomes are 500; 500; 500; 500; and 48,000 rupees. So, 500 + 500 + 500 + 500 + 48,000 = 50,000 rupees. Average = 50,000 ÷ 5 = 10,000 rupees per month.
Interesting, isn't it? Both countries have the same average income of 10,000 rupees per month. But look at the distribution. In Country A, everyone earns between 9,500 and 10,500 — fairly equal. In Country B, four people earn only 500 rupees each, while one person earns 48,000 rupees!
Now, students, the question is: Will you be equally happy to live in both these countries? Are both equally developed? Perhaps some of us may like to live in Country B if we are assured of being its fifth citizen — the one who earns 48,000 rupees. But if it is a lottery that decides our citizenship number, then perhaps most of us will prefer to live in Country A. Even though both the countries have identical average income, Country A is preferred because it has more equitable distribution. In this country, people are neither very rich nor extremely poor. On the other hand, most citizens in Country B are poor, and one person is extremely rich.
Hence, while average income is useful for comparison, it does not tell us how this income is distributed among people. This is a very important limitation of using average income as a measure of development.
Now, let me help you with the "Let's Work These Out" questions for this section.
### Question 1: Give three examples where an average is used for comparing situations.
Students, here are three examples. First, average temperature of a city — we might say the average summer temperature in Delhi is 40°C. Second, average marks in a class — a teacher might say the average score in the math test was 75 out of 100. Third, average rainfall — meteorologists often talk about the average annual rainfall in a region.
### Question 2: Why do you think average income is an important criterion for development? Explain.
Students, average income is considered important because it gives us a rough idea of the economic well-being of the average person in a country. Higher average income generally means that people can afford more goods and services that they need for a decent life. It indicates the overall economic strength of a country. However, as we saw, it has limitations because it does not tell us about the distribution of income.
### Question 3: Besides size of per capita income, what other property of income is important in comparing two or more societies?
Students, the distribution of income is very important. As we saw in the example of Country A and Country B, two countries can have the same average income but very different distributions. A country with more equitable distribution of income might be considered more developed than one where a few people are extremely rich while many are poor.
### Question 4: Suppose records show that the average income in a country has been increasing over a period of time. From this, can we conclude that all sections of the economy have become better? Illustrate your answer with an example.
Students, no, we cannot conclude that all sections have become better just because average income has increased. The increase in average income might be due to a few people becoming much richer, while the majority remain poor or even become poorer. For example, imagine a country where the average income increased from Rs 10,000 to Rs 15,000 per month over ten years. However, if you look closer, you might find that the richest 10% saw their incomes increase from Rs 50,000 to Rs 1,00,000 per month, while the poorest 50% saw their incomes actually decrease from Rs 3,000 to Rs 2,500 per month. The average increased because of the huge gains of the rich, but the poor actually became worse off. So, average income can be misleading if we do not look at how income is distributed.
### Question 5: From the text, find out the per capita income level of about 10-15 low-income countries as per World Development Reports.
Students, the textbook mentions that countries with per capita income of about US$ 2,300 or less are called low-income countries. However, it does not provide a specific list of 10-15 low-income countries. According to World Bank classification, countries like Afghanistan, Burkina Faso, Burundi, Central African Republic, Chad, Democratic Republic of Congo, Eritrea, Ethiopia, Guinea, Guinea-Bissau, Haiti, Korea (North), Madagascar, Malawi, Mali, Mozambique, Nepal, Niger, Rwanda, Sierra Leone, Somalia, South Sudan, Sudan, Syrian Arab Republic, Togo, Uganda, Yemen, and Zimbabwe are some of the low-income countries. But I must tell you that these classifications change over time as countries' economies grow or shrink.
### Question 6: Write a paragraph on your notion of what should India do, or achieve, to become a developed country.
Students, this is an open-ended question, and you can write your own thoughts. However, I will give you some points to consider. To become a developed country, India should focus on: increasing per capita income through economic growth; ensuring equitable distribution of income so that benefits reach all sections of society; improving education and healthcare facilities; investing in infrastructure like roads, railways, ports, and airports; promoting sustainable development by protecting the environment; reducing poverty and unemployment; ensuring food security and nutritional well-being for all; and promoting equality and social justice.
## INCOME AND OTHER CRITERIA
Now, students, we have seen that when we looked at individual aspirations and goals, we found that people not only think of better income but also have goals such as security, respect for others, equal treatment, freedom, etc. Similarly, when we think of a nation or a region, we may, besides average income, think of other equally important attributes.
What could these attributes be? Let us examine this through an example. Table 1.3 gives the per capita income of Haryana, Kerala, and Bihar. Actually, these figures are of Per Capita Net State Domestic Product at Current Prices for 2023–24. Let us ignore what this complicated term exactly means. Roughly, we can take it to be the per capita income of the state. We find that of the three, Haryana has the highest per capita income and Bihar is at the bottom. This means that, on an average, a person in Haryana earned Rs 3,25,759 in one year, whereas on an average, a person in Bihar earned only around Rs 60,337. So, if per capita income were to be used as the measure of development, Haryana will be considered the most developed and Bihar the least developed state of the three.
Now, let us look at certain other data pertaining to these states given in Table 1.4.
Table 1.4 gives us information about Infant Mortality Rate, Literacy Rate, and Net Attendance Ratio for these three states.
Let me explain these terms:
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 15-17 years attending school as a percentage of total number of children in the same age group.
Now, look at the data:
For Haryana: Infant Mortality Rate is 28 per 1,000 live births, Literacy Rate is 82%, and Net Attendance Ratio is 73.
For Kerala: Infant Mortality Rate is 6 per 1,000 live births, Literacy Rate is 94%, and Net Attendance Ratio is 94.
For Bihar: Infant Mortality Rate is 27 per 1,000 live births, Literacy Rate is 62%, and Net Attendance Ratio is 69.
What does this table show? The first column of the table shows that in Kerala, out of 1000 children born, only 6 died before completing one year of age. But in Haryana, the proportion of children dying within one year of birth was 28, which is nearly three times more than that of Kerala. On the other hand, the per capita income of Haryana is more than that of Kerala, as shown in Table 1.3.
Just think, students, how dear you are to your parents. Think of how everyone is so happy when a child is born. Now, try to think of parents whose children die before they even celebrate their first birthday. How painful it must be for these parents? Next, note the year to which this data pertains. This was during 2018. So we are not talking of old times; it is 70 years after independence when our metro cities are full of high-rise buildings and shopping malls!
The problem does not end with Infant Mortality Rate. The last column of Table 1.4 shows that about one-third of the children aged 15-17 years in Bihar are not attending school in secondary classes. This means that if you went to school in Bihar, nearly one-third of your class friends would be missing. Those who could have been in school are not there! If this had happened to you, you would not be able to read what you are reading now.
So, students, this example clearly shows that per capita income alone is not enough to measure development. Other factors like health and education are equally, if not more, important.
## PUBLIC FACILITIES
Now, students, let us understand why this is so. How is it that the average person in Haryana has more income than the average person in Kerala but lags behind in these crucial areas? The reason is — 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.
Actually, for many of the important things in life, the best way, also the cheapest way, is to provide these goods and services collectively. Just think — will it be cheaper to have collective security for the whole locality or for each house to have its own security staff? What if no one, other than you, in your village or locality is interested in studying? Would you be able to study? Not unless your parents could afford to send you to some private school elsewhere. So you are actually able to study because many other children also want to study and because many people believe that the government should open schools and provide other facilities so that all children have a chance to study. Even now, in many areas, children, particularly girls, are not able to go to high school because the government/society has not provided adequate facilities.
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.
So, students, the key point is that public facilities like schools, hospitals, roads, and PDS shops play a very important in development. These are things that the government provides for everyone, and they can make a big difference in people's lives, especially for those who cannot afford private alternatives.
Now, let me help you with the "Let's Work These Out" questions for this section.
### Question 1: Look at data in Tables 1.3 and 1.4. Is Haryana ahead of Kerala in literacy rate etc., as it is in terms of per capita income?
Students, no, Haryana is not ahead of Kerala in literacy rate and other indicators. While Haryana has a higher per capita income than Kerala (Rs 3,25,759 vs Rs 2,81,001), Kerala has much better literacy rate (94% vs 82%), better Infant Mortality Rate (6 vs 28), and better Net Attendance Ratio (94 vs 73). So, despite lower income, Kerala performs better in human development indicators.
### Question 2: Think of other examples where collective provision of goods and services is cheaper than individual provision.
Students, here are some examples. Street lighting is cheaper when provided collectively by the government than if every household had to light their own streets. Police services are better provided collectively for the whole community. Public parks and playgrounds are cheaper to maintain collectively. Vaccination drives are more effective when done collectively. Clean water supply through taps is cheaper and more hygienic than if every household had to buy water from private tankers.
### Question 3: Does availability of good health and educational facilities depend only on amount of money spent by the government on these facilities? What other factors could be relevant?
Students, no, it does not depend only on money. Other factors include: efficient utilization of funds, proper planning and implementation, availability of trained teachers and doctors, infrastructure like buildings and equipment, community participation and awareness, political will and governance, and monitoring and evaluation of programs. Sometimes, states like Kerala perform better even with less money because they have better governance, more community participation, and a tradition of prioritizing education and health.
### Question 4: In a study, it was found that in Tamil Nadu, 90 per cent of the people living in rural areas used a ration shop, whereas in West Bengal only 35 per cent of rural people did so. Where would people be better off and why?
Students, people in Tamil Nadu would be better off in terms of accessing the Public Distribution System. Higher usage of ration shops means that more people are able to get essential commodities like rice, wheat, sugar, and kerosene at subsidized prices. This helps in ensuring food security, especially for the poor. In West Bengal, low usage could mean that either the ration shops are not functioning well, or people prefer to buy from private shops, or there is less awareness about the scheme. So, Tamil Nadu seems to have a better functioning PDS.
Now, students, we have Activity 2. Let me help you complete it.
### Activity 2
Study Table 1.5 carefully and fill in the blanks in the following paragraphs. For this, you may need to make calculations based on the table.
Table 1.5 gives educational achievement of rural population of Uttar Pradesh.
The data shows: - Literacy rate for rural population: Male 76%, Female 54% - Literacy rate for rural children in age group 10-14 years: Male 90%, Female 87% - Percentage of rural children aged 10-14 attending school: Male 85%, Female 82%
Now, let me fill in the blanks:
(a) The literacy rate for all age groups, including young and old, is 76% for rural males and 54% for rural females. However, it is not just that these many adults could not attend school but that there are children who are currently not in school.
To find the number of children not in school, we need to calculate: Percentage attending school is given, so those not attending would be 100 minus the percentage attending. For males aged 10-14: 100 - 85 = 15% are not attending. For females aged 10-14: 100 - 82 = 18% are not attending. So, there are children who are currently not in school.
(b) It is clear from the table that 18% of rural girls and 15% of rural boys are not attending school. Therefore, illiteracy among children in the age group 10-14 is as high as 13% for rural females (100 - 87 = 13%) and 10% for rural males (100 - 90 = 10%).
Wait, let me reconsider. The literacy rate for children aged 10-14 is given as 90% for males and 87% for females. This means that 10% of males and 13% of females in this age group are illiterate. So, the blanks should be filled as: 18% of rural girls and 15% of rural boys are not attending school. Illiteracy among children in the age group 10-14 is as high as 13% for rural females and 10% for rural males.
(c) This high level of illiteracy among children age group, even after more than 75 years of our independence, is most disturbing. In many other states also we are nowhere near realization of the constitutional goal of free and compulsory education for all children up to the age of 14, which was expected to be achieved by 1960.
Now, students, we have Activity 3, which is about Human Development Report.
### Activity 3
The activity explains how to calculate Body Mass Index, or BMI. Let me explain this to you.
BMI is a measure to find out if a person has a healthy weight for their height. To calculate BMI, you take your weight in kilograms and divide it by the square of your height in meters. The formula is: BMI = weight (kg) / [height (m)]².
For example, if a student weighs 50 kg and is 1.6 meters tall, then BMI = 50 / (1.6)² = 50 / 2.56 = 19.53.
Then, you compare your BMI with standard tables for your age to see if you are underweight, normal, or overweight.
The activity then talks about how once we realize that the level of income is important but inadequate for measuring development, we begin to think of other criteria. Health and education indicators, such as the ones we used in comparison of Kerala and Haryana, are among them.
Over the past decade or so, health and education indicators have come to be widely used along with income as a measure of development. For instance, Human Development Report published by UNDP compares countries based on the educational levels of the people, their health status, and per capita income.
Let us look at Table 1.6, which gives data regarding India and its neighbors for 2023.
The table shows: - Sri Lanka: GNI Per Capita $12,616, Life Expectancy 77.5 years, Mean Years of Schooling 10.8 years, HDI Rank 89 - India: GNI Per Capita $9,047, Life Expectancy 72 years, Mean Years of Schooling 6.9 years, HDI Rank 130 - Myanmar: GNI Per Capita $4,919, Life Expectancy 66.9 years, Mean Years of Schooling 6.4 years, HDI Rank 150 - Pakistan: GNI Per Capita $5,501, Life Expectancy 67.6 years, Mean Years of Schooling 4.3 years, HDI Rank 168 - Nepal: GNI Per Capita $4,726, Life Expectancy 70.4 years, Mean Years of Schooling 4.5 years, HDI Rank 145 - Bangladesh: GNI Per Capita $8,498, Life Expectancy 74.7 years, Mean Years of Schooling 6.8 years, HDI Rank 130
Now, let me explain some terms:
HDI stands for Human Development Index. It is a measure that combines income, health (life expectancy), and education (mean years of schooling) to give a single number that indicates the overall development of a country. Higher HDI rank (lower number) means better development.
Life Expectancy at birth denotes, as the name suggests, the average expected length of life of a person at the time of birth.
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. This is called Purchasing Power Parity, or PPP.
Now, students, looking at this table, isn't it surprising that a small country in our neighborhood, Sri Lanka, is much ahead of India in every respect, and a big country like ours has such a low rank in the world? The table also shows that though Nepal and Bangladesh have lower per capita income than India, yet they are better than India in life expectancy.
Many improvements have been suggested in calculating HDI, and many new components have been added to the Human Development Report, but by prefixing "Human" to "Development," it has made it very clear that what is important in development is what is happening to citizens of a country. It is people, their health, their well-being that is most important.
Now, let me ask you: Do you think there are certain other aspects that should be considered in measuring human development? Some possible aspects could be: inequality in income and opportunities, gender equality, environmental sustainability, access to technology, political freedom and democracy, safety and security, happiness and well-being, and cultural preservation.
## SUSTAINABILITY OF DEVELOPMENT
Now, students, we come to another very important aspect of development: sustainability.
Suppose for the present that a particular country is quite developed. We would certainly like this level of development to go up further or at least be maintained for future generations. This is obviously desirable. However, since the second half of the twentieth century, a number of scientists have been warning that the present type and levels of development are not sustainable.
There is a famous quote: "We have not inherited the world from our forefathers — we have borrowed it from our children."
This means that we are using up resources and damaging the environment in a way that will make it difficult for future generations to live well. We need to think about whether our current development path can be continued indefinitely or if it will cause problems for our children and grandchildren.
Let us understand why this is so through examples.
### Example 1: Groundwater in India
The textbook tells us that recent evidence suggests that groundwater is under serious threat of overuse in many parts of the country. About 300 districts have reported a water level decline of over 4 meters during the past 20 years. Nearly one-third of the country is overusing their groundwater reserves. In another 25 years, 60 per cent of the country would be doing the same if the present way of using this resource continues. Groundwater overuse is particularly found in the agriculturally prosperous regions of Punjab and Western U.P., hard rock plateau areas of central and south India, some coastal areas, and the rapidly growing urban settlements.
Now, let me ask you: Why is groundwater overused? And can there be development without overuse?
Groundwater is overused because of excessive extraction for agriculture, industry, and domestic use. Farmers use groundwater for irrigation, especially in areas where surface water is insufficient. Cities and towns grow and need more water for residents and industries. Many times, we extract more water than what nature replenishes through rainfall.
Can there be development without overuse? This is a challenging question. Development typically requires water for agriculture, industry, and domestic purposes. However, we can try to use water more efficiently through techniques like drip irrigation, rainwater harvesting, and recycling. We can also develop alternative sources of water and reduce wastage. So, sustainable development is possible, but it requires careful planning and management.
Now, students, let me explain the difference between renewable and non-renewable resources.
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 a few years of use. We have a fixed stock on earth which cannot be replenished. We do discover new resources that we did not know of earlier. New sources in this way add to the stock. However, over time, even this will get exhausted.
For example, crude oil that we extract from the earth is a non-renewable resource. However, we may find a source of oil that we did not know of earlier. Explorations are being undertaken all the time, but eventually, oil will run out.
### Example 2: Exhaustion of Natural Resources
Look at Table 1.7, which gives data for crude oil reserves.
The table shows: - Middle East: Reserves 836 thousand million barrels, will last 70 years - United States of America: Reserves 69 thousand million barrels, will last 10.5 years - World: Reserves 1732 thousand million barrels, will last 47 years
The table gives an estimate of reserves of crude oil. More important, it also tells us for how many years the stock of crude oil will last if people continue to extract it at the present rate. The reserves would last only 50 years more. This is for the world as a whole. However, different countries face different situations. Countries like India depend on importing oil from abroad because they do not have enough stocks of their own. If prices of oil increase, this becomes a burden for everyone. There are countries like USA which have low reserves and hence want to secure oil through military or economic power.
Now, let me ask you:
(a) Is crude oil essential for the development process in a country? Discuss.
Crude oil is currently essential for development because it is used for transportation, running industries, generating electricity, and many other purposes. Most of our vehicles, factories, and power plants depend on oil. However, we are trying to develop alternative sources of energy like solar, wind, and electric power. So, while oil is important now, it may become less important in the future as we develop cleaner and renewable sources of energy.
(b) India has to import crude oil. What problems do you anticipate for the country looking at the above situation?
India imports a large portion of its crude oil requirements. This creates several problems. First, India has to spend valuable foreign exchange to buy oil. Second, if oil prices increase in the international market, it becomes a huge burden on the economy. Third, India becomes dependent on other countries for its energy needs, which can be a security concern. Fourth, fluctuations in oil prices can affect inflation and overall economic stability. Fifth, if oil reserves in the world deplete faster than expected, India may face energy shortages.
The question of sustainability of development raises many fundamentally new issues about the nature and process of development.
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.
In general, the question of development or progress is perennial. At all times, as a member of society and as individuals, we need to ask where we want to go, what we wish to become, and what our goals are. So, the debate on development continues.
Now, students, we have reached the Exercises section. Let me help you solve each question.
## EXERCISES
### Question 1: Development of a country can generally be determined by (i) its per capita income (ii) its average literacy level (iii) health status of its people (iv) all the above
The correct answer is (iv) all the above. Development is a multi-dimensional concept and cannot be measured by just one indicator. Per capita income, literacy level, and health status are all important indicators of development. A country with high per capita income but poor health and literacy cannot be considered fully developed. Similarly, a country with good health and literacy but very low income also faces challenges. So, all three factors, along with others, are important for determining development.
### Question 2: Which of the following neighboring countries has better performance in terms of human development than India? (i) Bangladesh (ii) Sri Lanka (iii) Nepal (iv) Pakistan
The correct answer is (ii) Sri Lanka. Looking at Table 1.6, Sri Lanka has an HDI rank of 89, which is much better than India's rank of 130. Sri Lanka has higher life expectancy (77.5 years vs 72 years), higher mean years of schooling (10.8 years vs 6.9 years), and higher per capita income ($12,616 vs $9,047) compared to India. Among the options, Sri Lanka clearly performs better in human development.
### Question 3: Assume there are four families in a country. The average per capita income of these families is Rs 5000. If the income of three families is Rs 4000, Rs 7000 and Rs 3000 respectively, what is the income of the fourth family? (i) Rs 7500 (ii) Rs 3000 (iii) Rs 2000 (iv) Rs 6000
Let me solve this step by step.
We know: - Number of families = 4 - Average per capita income = Rs 5000 - Total income of all families = Average × Number = 5000 × 4 = Rs 20,000 - Income of three families = 4000 + 7000 + 3000 = Rs 14,000 - Income of fourth family = Total - Income of three families = 20,000 - 14,000 = Rs 6000
So, the correct answer is (iv) Rs 6000.
### Question 4: What is the main criterion used by the World Bank in classifying different countries? What are the limitations of this criterion, if any?
The main criterion used by the World Bank in classifying countries is per capita income, also called GNI per capita. Countries with higher per capita income are classified as high-income or developed countries, while those with lower per capita income are classified as low-income or developing countries.
However, this criterion has several limitations:
First, it does not consider the distribution of income. A country with very high inequality might have a high average income but most people may be poor.
Second, it does not account for non-economic factors like health, education, environmental sustainability, and quality of life.
Third, it uses US dollars for comparison, which may not accurately reflect purchasing power in different countries due to exchange rate fluctuations.
Fourth, it treats all income equally, regardless of whether it comes from sustainable or unsustainable sources.
Fifth, it does not capture the informal economy or black money, which can be significant in some countries.
### Question 5: In what respects is the criterion used by the UNDP for measuring development different from the one used by the World Bank?
The UNDP uses the Human Development Index (HDI), which is different from the World Bank's criterion in several ways:
First, while the World Bank uses only per capita income, the UNDP uses three indicators: per capita income (measured in PPP dollars), life expectancy at birth (health indicator), and mean years of schooling (education indicator).
Second, the UNDP's approach is more comprehensive as it considers human well-being, not just economic output.
Third, the UNDP publishes the Human Development Report annually, which provides a more holistic picture of development by including other dimensions like inequality, gender equality, and poverty.
Fourth, the UNDP's HDI is a composite index that gives equal weight to health, education, and income, providing a balanced view of development.
### Question 6: Why do we use averages? Are there any limitations to their use? Illustrate with your own examples related to development.
We use averages because they provide a single number that summarizes a large amount of data. They make comparison easier between different countries, states, or time periods. For example, per capita income is the average income of all residents of a country, which helps us compare different countries' economic status.
However, averages have limitations, as we discussed earlier. They hide disparities and variations within the data. For example, if the average income of a country is increasing, it might be because a few rich people are becoming richer, while the poor are becoming poorer. The average does not tell us about income distribution.
Another example: Suppose the average literacy rate of a state is 80%. This might hide the fact that female literacy is only 60% while male literacy is 100%. So, averages can be misleading if we do not look at the underlying data.
### Question 7: Kerala, with lower per capita income has a better human development ranking than Haryana. Hence, per capita income is not a useful criterion at all and should not be used to compare states. Do you agree? Discuss.
Students, I do not fully agree with this statement. While it is true that Kerala performs better than Haryana in human development indicators despite lower per capita income, it would be wrong to say that per capita income is not useful at all.
Per capita income is still a useful indicator because: - It provides a measure of the economic resources available in a region. - Higher income can help fund better health and education facilities. - It is relatively easy to measure and compare across regions.
However, the example of Kerala and Haryana shows that per capita income alone is not sufficient. Other factors like government spending efficiency, social infrastructure, community participation, and political will also matter. So, we should use per capita income along with other indicators like health, education, and inequality to get a complete picture of development.
The correct approach is to use multiple indicators, not rely on just one. Per capita income is useful but should be combined with other measures of human development.
### Question 8: Find out the present sources of energy that are used by the people in India. What could be the other possibilities fifty years from now?
Students, the present sources of energy in India include:
- Coal: This is the largest source of energy for electricity generation in India. - Petroleum and natural gas: Used for transportation, cooking, and industry. - Hydroelectric power: Generated from dams and rivers. - Nuclear energy: A small but growing source. - Renewable energy sources: Including solar, wind, and biomass.
Fifty years from now, the energy mix could change dramatically. Possible possibilities include:
- Much greater use of solar energy as technology improves and costs decrease. - Wind energy becoming a major source of electricity. - Electric vehicles replacing petrol and diesel vehicles. - Hydrogen fuel becoming a viable alternative. - Nuclear fusion (if mastered) could provide virtually unlimited clean energy. - Biofuels from agricultural waste. - Geothermal energy being exploited more.
The goal would be to move towards cleaner, renewable, and sustainable sources of energy to address climate change and resource depletion.
### Question 9: Why is the issue of sustainability important for development?
The issue of sustainability is important for development because:
First, if we use up resources unsustainably, future generations will not have enough resources to meet their needs. Development should not come at the cost of our children's future.
Second, environmental degradation can have serious consequences for human health and well-being. Pollution, deforestation, and climate change can undermine development gains.
Third, many resources are non-renewable, meaning they will run out eventually. We need to find alternative ways to meet our energy and resource needs.
Fourth, sustainable development ensures that economic growth does not damage the environment, allowing us to maintain a good quality of life in the long run.
Fifth, in a globalized world, environmental issues cross borders. Climate change, for example, affects all countries, and we need to work together to address it.
So, sustainability is not an option but a necessity for long-term development.
### Question 10: "The Earth has enough resources to meet the needs of all but not enough to satisfy the greed of even one person." How is this statement relevant to the discussion of development? Discuss.
This statement is very relevant to the discussion of development. It highlights the difference between needs and wants. Everyone has basic needs like food, shelter, clothing, education, and healthcare. These needs can be met with the Earth's resources. However, greed — the desire for unlimited wealth and consumption — can never be satisfied, no matter how many resources we have.
In the context of development, this means: - We should focus on meeting the basic needs of all people, which is possible with proper distribution of resources. - Unsustainable consumption by the rich few can deplete resources and harm the environment. - Development should be equitable, ensuring that everyone has access to resources and opportunities. - We need to control our greed and focus on sustainable consumption patterns. - The goal of development should be to improve the quality of life for all, not to satisfy the unlimited wants of a few.
This statement reminds us that development is not just about increasing production and consumption, but about doing so in a way that is fair and sustainable.
### Question 11: List a few examples of environmental degradation that you may have observed around you.
Students, here are some examples of environmental degradation that you might have observed:
- Air pollution from vehicles, factories, and burning of fuels. - Water pollution from industrial waste, sewage, and agricultural runoff. - Deforestation for construction, agriculture, or firewood. - Plastic pollution in water bodies and landfills. - Noise pollution from traffic and construction. - Soil erosion and degradation due to overgrazing or improper farming. - Drying up of lakes and ponds due to overuse of groundwater. - Increase in temperature due to climate change. - Loss of biodiversity due to habitat destruction. - Garbage accumulation in public places.
These are all examples of environmental degradation that need to be addressed for sustainable development.
### Question 12: For each of the items given in Table 1.6, find out which country is at the top and which is at the bottom.
Table 1.6 contains data on GNI Per Capita, Life Expectancy, Mean Years of Schooling, and HDI Rank for six countries: Sri Lanka, India, Myanmar, Pakistan, Nepal, and Bangladesh.
Let me identify the top and bottom for each item:
1. GNI Per Capita (2021 PPP $): - Top: Sri Lanka ($12,616) - Bottom: Nepal ($4,726)
2. Life Expectancy at birth: - Top: Sri Lanka (77.5 years) - Bottom: Myanmar (66.9 years)
3. Mean Years of Schooling of People aged 25 and above: - Top: Sri Lanka (10.8 years) - Bottom: Pakistan (4.3 years)
4. HDI Rank in the world (2021-22): - Top: Sri Lanka (rank 89 — lower rank number means better) - Bottom: Pakistan (rank 168)
So, Sri Lanka performs best on most indicators, while Pakistan and Myanmar perform relatively poorly.
### Question 13: The following table shows the proportion of adults (aged 15-49 years) whose BMI is below normal (BMI <18.5 kg/m²) in India. It is based on a survey of various states for the year 2019-21. Look at the table and answer the following questions.
The table shows: - Kerala: Male 8.5%, Female 10% - Karnataka: Male 17%, Female 21% - Madhya Pradesh: Male 28%, Female 28% - All States: Male 20%, Female 23%
(i) Compare the nutritional level of people in Kerala and Madhya Pradesh.
Students, looking at the data, Kerala has much better nutritional status compared to Madhya Pradesh. In Kerala, only 8.5% of males and 10% of females have BMI below normal. In contrast, in Madhya Pradesh, 28% of both males and females have BMI below normal. This means that nearly one-third of adults in Madhya Pradesh are undernourished, compared to less than one-tenth in Kerala. So, people in Kerala are much better nourished than those in Madhya Pradesh.
(ii) Can you guess why around one-fifth of people in the country are undernourished even though it is argued that there is enough food in the country? Describe in your own words.
This is a very important question. Even though India produces enough food to feed everyone, about one-fifth of the population is undernourished. This seems paradoxical, but there are several reasons for this:
First, there is inequality in distribution. Even though there is enough food, not everyone has equal access to it. The poor may not be able to afford nutritious food.
Second, there is wastage of food. A lot of food is wasted during storage, transportation, and distribution due to poor infrastructure.
Third, the Public Distribution System may not be functioning effectively in all states. Some people may not have access to subsidized food grains.
Fourth, there is lack of awareness about nutrition. People may not know what constitutes a balanced diet.
Fifth, poverty is still a major issue. Many people simply cannot afford enough food.
Sixth, social inequalities like caste and gender discrimination can affect access to food.
Seventh, unemployment and low wages mean that people cannot buy enough food for their families.
So, having enough food production is not enough; we also need proper distribution, affordability, and awareness to ensure that everyone is well-nourished.
Now, students, we have completed the Additional Project/Activity. Let me explain what you need to do.
### Additional Project/Activity
Invite three different speakers to talk to you about the development of your region. Ask them all the questions that come to your mind. Discuss these ideas in groups. Each group should prepare a wall chart, giving reasons about ideas that you agree or do not agree with.
Students, this is a great activity to apply what you have learned. You can invite speakers such as: - A government official involved in development planning - A social worker working on rural development - A businessman or entrepreneur - A teacher or educationist - An environmentalist
Ask them about their views on development, the challenges faced, and the solutions they suggest. Then, in groups, discuss these ideas and prepare a wall chart showing what you agree with and what you disagree with, along with reasons.
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Now, students, we have covered the entire chapter. Let me give you a summary of everything we have learned today.
## SUMMARY
In today's lesson, we studied Chapter 1: Development from your NCERT Economics textbook. Let me summarize the key points:
1. **Different People, Different Goals**: Development means different things to different people. A landless laborer wants more work and wages, a prosperous farmer wants higher crop prices, an urban youth wants employment, and a tribal person wants protection of their rights and culture. What is development for one may not be development for another, and sometimes goals can even conflict.
2. **Income and Other Goals**: While people want more income, they also value non-economic things like freedom, security, respect, and equality. These are equally important for a good life.
3. **National Development**: Different people have different views about what national development should look like. We need to consider what benefits the largest number of people while being fair and just.
4. **Comparing Countries**: The World Bank uses per capita income to classify countries. High-income countries are called developed, while low-income countries are called developing or underdeveloped.
5. **Average Income and Its Limitations**: Average income is useful but can be misleading. Two countries with the same average income can have very different distributions of income. One may have equitable distribution while the other may have extreme inequality.
6. **Other Development Indicators**: Per capita income alone is not enough. Health indicators like Infant Mortality Rate and education indicators like Literacy Rate and Net Attendance Ratio are equally important. The example of Kerala and Haryana shows that a state with lower income can have better human development.
7. **Public Facilities**: Money alone cannot buy everything. Public facilities like schools, hospitals, and clean water are essential for development and are often better provided collectively.
8. **Human Development Index (HDI)**: The UNDP publishes the Human Development Report, which measures development using per capita income, life expectancy, and education. Sri Lanka performs better than India on all these indicators.
9. **Sustainability of Development**: Development must be sustainable, meaning it should not compromise the ability of future generations to meet their needs. We must use resources carefully and protect the environment.
10. **Environmental Issues**: Examples like groundwater overuse and crude oil depletion show that we need to think about long-term sustainability. Renewable and non-renewable resources must be managed carefully.
11. **Exercises**: We solved various questions that tested our understanding of concepts like per capita income, HDI, average income limitations, sustainability, and environmental degradation.
Students, development is a complex and multi-dimensional concept. It is not just about having more money but about ensuring a good quality of life for all, now and in the future. As responsible citizens, we need to think about these issues and work towards sustainable and equitable development.
Thank you for your attention. I hope you enjoyed this lesson and learned something valuable. Remember, development starts with each one of us understanding its true meaning and working towards it in our own ways. Good luck with your studies!