ECONOMICS
UNIT – 1 DEVELOPMENT
I. Fill in the blanks with suitable answers :
1. Economic development is a __________. (process)
2. Development occurs when ___________ income increases. (national income)
3. In an underdeveloped country, basically the _________ is lower. (per capita income)
4. Human development indicates expansion of _________________.(HDI)
5. The________ is responsible for publishing global Human Development Reports. (The United Nations Development Programme (UNDP))
6. India ranked _______ in HDI in 2014. (135)
7. India ranked _______ in GII in 2015. (130)
8. Sex ratio was _______ in India in 2011. (945)
II. Answer the following questions:
1.What is development?
The process of enhancing society‟s capacity to satisfy its needs on a larger scale is referred to as development.
2. What is economic development?
Economic development refers to increase in a country‟s capacity to serve the economic interests of its citizens and overcoming economic problems such as poverty, unemployment, inequality, inflation, etc.
3. What did Prof. Meier and Baldwin say about economic development?
According to Prof. Meier and Baldwin, “economic development is a process whereby an economy‟s real national income increases over a long period of time”.
4. What is process?
The term „process‟ refers to the operation of the forces that bring about changes in supply of factors of production and, in the structure of demand for the products.
5. What is National income?
National income is the total value of all goods and services produced in a country during one year.
6. What is Underdevelopment?
The word „underdevelopment‟ denotes a backward and stagnant situation where levels of living of people are low due to lower level of per capita income and lower productivity levels, apart from high population growth.
7. What is developing countries?
All countries with „middle‟ and low income are referred to as developing countries.
8. What does the United Nations say about an underdeveloped country?
According to the United Nations, an underdeveloped country is one whose real per capita income is lower than that of the USA, Canada, Australia and Western Europe.
9. What is per capita income?
It is the average income of each individual in the country, which is calculated as national income divided by total population, in a given year.
10. How is percapita income calculated?
Percapita income is calculated as national income divided by total population, in a given year.
11. What is Human Development Index?
The average of three indicators such as life expectancy of the people, educational achievements and per capita income is called Human Development Index.
12. What is Sex ratio?
Sex ratio means the number of females for every 1000 males
13. What was the sex ratio in 2011?
The sex ratio in 2011 was 945
14. Mention the literacy rate of men and women in 2011.
Women-65.46% Men- 82.14%
15. Why sex ratio is declining in the country ?
An evil practice of detecting the gender of the foetus and destroying it if found to be a female one, is growing. So sex ratio is declining in the country.
16. Why self help groups are being formed?
In order to promote participation of women in economic activities and thereby achieve economic empowerment, self help groups are being formed.
17. The dignity and autonomy of women has increased.why?
self help groups have been instrumental in helping women to earn, save and spend at their willingness. so the dignity and autonomy of women has increased.
18. What is women Empowerment?
Women Empowerment may be described as the expansion in womens ability to make strategic life choices in a context where this ability was previously denied to them.
II. Answer the following questions :
1. Define development and explain the process of development.
The process of enhancing society‟s capacity to satisfy its needs on a larger scale is referred to as development.
Changes in factor supply take place due to discovery of additional resources, education and skill development, capital accumulation, population growth, adoption of better techniques of production, etc.
Demand for products changes due to change in size and composition of population; level and distribution of income; tastes etc.
These changes contribute to an increase in national income.
2. What do you mean by underdevelopment? What are its causes?
The word „underdevelopment‟ denotes a backward and stagnant situation where levels of living of people are low due to lower level of per capita income and lower productivity levels, apart from high population growth Causes for underdevelopment:
Lower national income
inequality
poverty
unemployment
inequality
non conservation of resources
3. What is HDI? How is it calculated?
The average of three indicators such as life expectancy of the people, educational achievements and per capita income is called Human Development Index.
HDI is calculated with the help of life expectancy ,literacy attainments and per capita income.
4. Examine the causes for low HDI of India.
Lack of food
Lack of shelter
Lack of clothing
Lack of education
Lack of health
Lack of social security
Lack of clean water
impure air
polluted environment.
5. How to achieve gender equality?
empowerment of women
laws should be enacted to curb violence against women at home and at work places
to guarantee equal wages
providing reservation of seats in elected bodies
6. Explain the importance of women self help groups.
A women self help group is a group of women (usually 20) who come together to share their meagre resources, obtain external support, undertake business jointly and earn income.
They are trained in managing accounts, handling bank transactions and skills to take up remunerative income generating activities.
SHGs have been instrumental in helping women to earn, save and spend at their willingness.
Their dignity and autonomy has increased.
7. Comparison of economic development between countries with different levels of population will not be correct.Why?
levels of population will not be correct. Economic progress in a country will be slower, if the population expands along with the increase in national income. Therefore, comparison of economic development between countries with different
8. Percapita income is not true Indicators of Development.Why?
Percapita income does not consider the distribution of income among people as well as the availability of basic amenities like food, shelter, education, health or other similar social factors. So Percapita income is not true Indicators of Development.
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