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Gross Domestic Product (GDP) and Per Capita Income: India's GDP was USD 2.7 trillion in 2020, making it the world's sixth-largest economy. However, the per capita income in India is only about USD 1,947 per year, which is much lower than the world average of USD 11,570. This means that the overall economic output in India is high, but the benefits are not evenly distributed among the population.
Human Development Index (HDI): HDI is a composite index that measures the overall development of a country based on indicators such as life expectancy, education, and income. According to the United Nations Development Program (UNDP), India's HDI value in 2020 was 0.645, which is below the world average of 0.737.
This indicates that while India has made significant progress in improving human development indicators in recent years, there is still a long way to go.
Propose any two measures to be taken by India in improving its HDI.
Answer by student
Two measures to improve India’s HDI are:
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Increase public spending on health and education -
This can improve the quality and access to health care and education services, which can enhance the health and skills of the population, leading to higher life expectancy and income levels
- To reduce poverty and inequality - This can improve the living standards and opportunities of the poor and disadvantaged sections of society, which can increase their consumption and demand in the economy, leading to higher income levels.
Detailed Answer by Teachoo
- India’s low HDI is mainly due to its low scores on the following indicators:
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Life expectancy
: This measures the average number of years a person can expect to live at birth. India’s life expectancy in 2020 was 69.7 years, which was lower than the world average of 72.7 years. This reflects the poor health status and outcomes of the population, especially among women and children.
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Education
: This measures the average number of years of schooling a person has received and the expected number of years of schooling a person can expect to receive. India’s mean years of schooling in 2020 was 6.5 years, which was lower than the world average of 8.5 years. India’s expected years of schooling in 2020 was 12.3 years, which was lower than the world average of 12.7 years. Thiin s reflects the low quality and access to education, especially among girls and rural areas.
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Income
: This measures the gross national income (GNI) per capita based on purchasing power parity (PPP). India’s GNI per capita in 2020 was USD 6,681, which was lower than the world average of USD 17,811. This reflects the low level and distribution of income, especially among the poor and marginalized sections of society.
- Two measures to improve India’s HDI are:
-
Increase public spending on health and education
: This can improve the quality and access to health care and education services, which can enhance the health and skills of the population, leading to higher life expectancy and income levels. This can also reduce the disparities and gaps in health and education outcomes among different groups of people, such as gender, caste, religion, and region.
- Reduce poverty and inequality : This can improve the living standards and opportunities of the poor and disadvantaged sections of society, which can increase their consumption and demand in the economy, leading to higher income levels. This can also reduce the social and economic exclusion and discrimination faced by these groups, which can enhance their participation and empowerment in society.
