About This Section
This is a collection of important questions with complete model answers covering the whole of Chapter 1 — Development. Use it to revise the key ideas: different developmental goals, per capita income and its limits, income vs other criteria, HDI, public facilities, and the sustainability of development.
Questions and Answers
Q1. Why do we use averages? What is the limitation of using averages?
Answer: We use averages to compare situations that involve large numbers, such as the income of different countries. Average income lets us compare countries with different populations on a common basis. The limitation is that an average hides disparities — it does not show how the total is distributed. Two countries with the same average income can have very different levels of inequality, as the Country A and Country B example shows.
Q2. Kerala has a lower per capita income than Haryana, yet a better human development ranking. Does this mean per capita income is useless and should not be used? Discuss.
Answer: No, per capita income is not useless, but it is not sufficient by itself. It remains a useful and important indicator of the material means available to people, and it is one of the three components of HDI. However, Kerala's example shows that income must be combined with health and education indicators. The right conclusion is not to reject per capita income but to supplement it with other measures of well-being.
Q3. '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 relevant to development?
Answer: The statement (by Mahatma Gandhi) captures the idea of sustainable development. The Earth's resources are sufficient for everyone's basic needs, but over-consumption and greed — such as overusing groundwater or burning fossil fuels wastefully — exhaust resources and damage the environment. Development must therefore be need-based and sustainable, so that resources remain available for future generations.
Q4. Assume there are four families in a country with an average per capita income of Rs 5,000. If three families earn Rs 4,000, Rs 7,000 and Rs 3,000, what is the income of the fourth family?
Answer: Total income of four families = average × number = 5,000 × 4 = Rs 20,000. Income of three families = 4,000 + 7,000 + 3,000 = Rs 14,000. So the fourth family's income = 20,000 - 14,000 = Rs 6,000.
Q5. Why is the issue of sustainability important for development?
Answer: Sustainability is important because the resources on which development depends are limited. Non-renewable resources like crude oil will get exhausted, and even renewable resources like groundwater are being overused. If we do not use resources responsibly, the present pace of development cannot continue and future generations will suffer. Sustainability ensures that development lasts and does not destroy the environment.
Q6. What are the limitations of per capita income as a measure of development?
Answer: Per capita income has three main limitations: (i) it is an average that hides income distribution and inequality; (ii) it ignores non-income aspects of well-being such as health, education, and a clean environment; and (iii) it does not capture the value of public facilities and other things money cannot buy. This is why measures like the HDI are used alongside it.
Q7. Distinguish between developed and developing (under-developed) countries.
Answer: Developed countries generally have a high per capita income, good health and education facilities, high life expectancy and a high HDI rank — for example, the rich industrial nations. Developing countries have a lower per capita income, weaker health and education indicators and a lower HDI rank; India is an example. The World Bank classifies them mainly by per capita income, while the UNDP uses the broader HDI.