SST CLASS 10th economic ch-1

Development : It is a comprehensive term which include Growth and proper positive changes

Growth means increase in the production of goods and services whereas proper positive changes include positive administrative changes , social changes,  political changes  and economical changes.

Development promise different goals to different  people 

Development goals of different people depends on different condition , needs and aspiration

SR NO	CATEGORY OF THE PEOPLE	DEVELOPMENT GOALS /ASPIRATION
1	Landless rural casual labourer’s	Full time work and better wages ,good school for children ,health facility, respect and honour in village community
2	A big factory owner	Availability of cheap labour, no labour strike, assured supply of raw material and electricity ,higher profit, low tax , luxurious life in society ,expansion of business
3	An untrained worker in a factory	Higher income ,benefit of social security, Good working condition ,smaller working hours , assured supply of essential goods through fair price shop.
4	Farmers who depends only on rain	Irrigation facilities ,a tube well ,education and health ,remunerative prices for his crops ,happy and respectful life.

From these examples we learn following conclusions:

1.All the people in the country do not have the same notion of development or    

    progress. Different categories of people seek different things . They seek things that

    are most important for them according to their aspiration and desires thus different

    people have different development goals

2.It is possible that two different categories of people may seek things which are    

    conflicting to each other.

   For example , a new generation girl would like to have as much freedom as her   

   brother and expect that her brother should also share in the household work. But her

   brother may not like to share in the household work.

   Similarly workers in the factory are interested in higher wages and more facilities .   

   But industrialist may like to keep the wages as low as possible . Industrialist want

   that government should acquire land for SEZ  but farmer may oppose it . Thus it is

   clear that what may be development for one person may not be the development for

    the other.  Not only that ,even development of one section may be the cause for

     destruction of the other

Important development goals for individuals:

The important common goals can be classified into two main groups material and non- material goals

1.Material goals: there are certain material things which people want to seek . All people want regular work ,better wages or remuneration and remunerative price for their product . In other word all  people want more  income . Thus higher income is an important gal which every person wants to seek . Higher income provides opportunities for more consumption.

2.Non-material goals: Beside higher income people also want to seek other important non-material things for example ,people want to have equal treatment ,Freedom,Security,Tension free life ,affectionate behavior ,no discrimination. These non-material things cannot be measured in monetary terms they are important in life . Quality of life depends on both income and  non –material things .friendship and family affection may contribute a lot in having a happy and peaceful life.

Suppose a person gets a job in a remote place at a higher salary. whether he should accept or not?Apart from salary he would like to consider Working condition , facilities ,clinical facilities, climatic condition ,scope for promotion and learning

World bank criteria or indicators or measures of development are:

1.   National income : the level of national income indicate the level of development of a country .National income is the value of all final goods and services produced in a country during a financial year . Increase in income means more availability of goods and services to the people ,hence increase in national income is regarded as an important development goal for a country.

2.   Per capita income : national income connot solely be accepted as an index of development , especially in the case of those country  where the rate of population growth is higher than the rate of increase in national income. We know that the population of poor countries is rising at a very fast rate ,hence development should be measured in terms of average income of per capita income . Increase in per capita income ensure availability of more goods and services per head hence per capita income is regarded as better indicator of development . It is calculated by dividing the total national income by the total population 

Limitation of per capita income :

1.National income is estimated in the domestic currency of each country . This  

        estimate is converted into dollars at the current rate of exchange . Such a   

        conversion does not tell anything about the purchasing power of each currency  

        for example : India PCI is $750 and PCI of USA is $40000 i.e. 50 times more

       than India's . Now it is difficult to understand that an average American enjoys a

        standard of living 50 times better than an average Indian does ,in fact the

         purchasing power of 1 dollar is less than that of Rs 45.

 2.PCI is affected by the size of population .Even with large national income ,per capita

        income will be low if a country has a large population.

 

  3.PCI does not tells  us anything about the availability of various services and   

       facilities that influence the quality of life e.g., health facilities ,education ,sanitation   

       sewerage etc. 

  4.Since per capita income is an average measures, it is possible that with the  

       increase in income the rich may become richer and the poor poorer . It is thus

        possible that with the rise in PCI  greater inequality in the distribution of income

        may crop up ,Average income is useful for comparison but it does not tell us how

        income is distributed among the people in a country this we can understand by

        the following example :

country	Monthly income of citizens
	I	II	III	IV	V	AVERAGE
A	8000	8500	9500	10500	10800	9460
B	500	600	6500	750	44800	9460

Other criteria or measures for development :

Apart from higher income people must also get basic amenities of life such as food clothing housing health and education

Infant mortality rate: it refers to the number of children that die before the age of one year.per thousand

Literacy rate : It measures the proportion of literate population in the 7 and above age group.

Net Attendance Ratio:  It is the total number of children of age group 6-10 attending school as a percentage of total number of children in the same age group                   (year 2013-14)

State	Per capita income
Maharashtra	117091
Kerala	103820
bihar	31119
State	Infant mortality rate per 1000	Literacy rate	Net Attendance ratio
Maharashtra	24	82	64
Kerala	12	94	78
bihar	42	62	35

Criterion  used by UNDP :

UNDP used a different criterion for measuring development .this criterion is known as the Human Development Index (HDI) and is published annually in the Human Development Report  (HDR).

It is the composite measure of achievements of a nation in terms of three important variables that determine the quality of life along with the PCI. These three variables are as follows :

1.longevity(life expectancy) : The number of year a new born child ,on an average ,is expected to live .

2.Knowledge or educational attainment or literacy rate:  It is measured by a combination of adult literacy(it refers to the proportion of literate persons in the total population of age 7 and above ) and gross enrolment ratio(It is the proportion of primary school-going children to the total number of children in school –going age )

3.Standard of living : It is measured by real per capita income (measured in PPPs)

All the three component relating to a country are measured on a scale of 0 to 1 . The  three are aggregated together , and the result is divided by 3 . The resultant number is the HDI for the country .All  the countries are ranked by this number ,i.e., the HDI.

The country with 0 HDI  will be at bottom and the one with 1 HDI will be at the top . All other countries  will be in between

Difference between the criterion used by the world bank and UNDP for measuring development

The  main difference between these two criterion are as follows:

1.   Average income focuses just on the increase in the goods and services while human development focuses on the qualitative improvement of human life .

2.   Human development index is a wider and multi-dimensional concept . It  include health and educational aspects also along with per capita income.

3.   Income is important but the utilization of income in the proper direction is much more important which is taken care of by the HDI

Sustainable development:

 It may be define as development that meets the needs of the present generation   

   without compromising the ability of the future generation to meet their own needs.  

   How to maintain the sustainability of development?

        The development which ignores the environmental issues cannot be sustained   \

       ,Hence the sustainability of environment is the pre-condition for sustainable

       development

        Increased use of natural product has two consequences :

1.   Many of these products are non-renewable resources .If more of these products are currently used ,little stocks may be left for the future

2.   Uncontrolled and unrestricted use of natural products also results in pollution and environmental degradation

 example : the ground water level continuously decline , Exhaustion of natural resources like crude oil

Strategy to attain sustainable development :
1 use of non conventional resources of energy : 

       solar ,biogas, wind ,thermal ,tidal and geothermal

   2 use of CNG

    3.upgraded technology should be used to restrict   

        wastage during mining

    4.Using public transport of sharing conveyance to exercise economy and to reduce the consumption of oil

    5.principal of 5 R should be followed

     6.educating the people to create awareness

     7 regular checking of vehicles

    8.use of organic manure instead of chemical fertilizers

     9. establishing mini power plant in hilly areas on small streams

     10.switch off fan and light when not in use

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