Welcome to Prof. Praveen Baldua’s Free Smart NotesCommon Proficiency Test (CPT) Subject ECONOMICS Topic: Chapter 6: Select Aspects of Indian Economy (Unit 1 to Unit 3) Terms & Conditions We have put a lot of work into developing all these smart notes and retain the copyright in them. Students can use them freely providing that they do not redistribute or sell them. DoUse these smart notes for yourreference. If you like these smart notes, we would always appreciate a link back to ourwebsite. Many thanks. Don’tResell or distribute these smart notes. Put these smart notes on a website fordownload. This includes uploading them onto file sharing networks like Slideshare, Myspace, Facebook, bit torrent, Orkut etc. Pass off any of our created content as your own work.Use these smart notes in any othercoaching classes or educational institutions. You can find many more free Smart Notes on the Praveen Sir’s website www.pravinsir.com
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8/6/2019 Unit 6a Final
http://slidepdf.com/reader/full/unit-6a-final 1/9
Welcome to Prof. Praveen Baldua’s
Free Smart Notes
Common Proficiency Test (CPT)
Subject
ECONOMICS
Topic:
Chapter 6: Select Aspects of Indian Economy
(Unit 1 to Unit 3)Terms & Conditions
We have put a lot of work into developing all these smart notes and retain the copyright in them. Studentscan use them freely providing that they do not redistribute or sell them.
Do Use these smart notes for your
reference. If you like these smart notes, we would
always appreciate a link back to our website. Many thanks.
Don’t Resell or distribute these smart notes. Put these smart notes on a website for
download. This includes uploadingthem onto file sharing networks likeSlideshare, Myspace, Facebook, bit
torrent, Orkut etc. Pass off any of our created content as
your own work. Use these smart notes in any other
coaching classes or educationalinstitutions.
You can find many more free Smart Notes on the Praveen Sir’s website
1.0.] INTRODUCTION:• Population refers to the total number of people residing in a place.
• Australia gives incentives to people to have large families. • Large and growing population is an asset or liability for the economy depends on economy to economy.
1.1] DEMOGRAPHIC TRENDS IN INDIA:POINTS EXPLANATION
1 Size of population • According to the latest census(2001) the total population was 102.70 crores.
• Thus from the last hundred years (i.e. 1901‐2001) the size of population is
Quadrupled.
• In 2008‐09 the population was 115 crores.
• India ranked second in the world after China.
• India’s share in world’s:
Area→→→→ 2.4%
Population→ → 16.7%
Income→ →→ 1.2%
• Every sixth person is an Indian.
2 Rate of growth • The year 1921(1911‐1921) is known as year of great divide.
• The growth rate of population has remain more than 2%p.a.
3 Birth rate & Death
Rate• Birth rate→ No. of birth per thousand population.
• Death rate→→ No. of death per thousand population.
• As per trend:
Birth rate is declined but not so remarkable.
Death rate is declined
4 Density of Population • Density of population refers to number of person per square kilometer.
Period Density of population in India
Before Independence 100
2001 324
• Density Higher than nation’s average in states like:
Kerala, West Bengal, Bihar & UP
• Density Lower than nation’s average in states like:
1.3] GROWTH OF POPULATION IN INDIA & ITS EFFECT ON ECONOMIC DEVLOPMENT.This theory says that every country passes through 3 stages:
Stage 1
Both birth rate & Death rate are very high hence population remains stable (Undeveloped country)
Stage 2
Birth rate comes down slightly but death rate comes down very heavily, hence there is population
explosion. (Developing country like India, India is passing through 2nd stage)Stage 3
Birth rate is low & Death rate is also low (Developed countries).
EFFECT ON ECONOMIC GROWTH DUE TO POPULATION EXPLOSION.1) Growth of national income get nullified & per capital income remains low i.e. NI rose by more than 12
time during 1950‐51 but per capital income rose only by 3.25 times.
2) Shortage of food supply
3) Unproductive consumes.
4) Problem of Unemployment.
5)
Low capital formation.6) Ecological degradation.
1.4] GOVERNMENT MEASURES FOR SOLVING POPULATION PROBLEMS:• A full fledge family planning department was created in 1966
• The marriage age was raised to 18 years & 21 years for Girls & Boys respectively.
• Family planning was made a mass movement by involving mass communities like Zila Parishad,
• This poverty is not related to the income or consumption expenditure distribution.• It is relevant for less developed counties (for e.g.: India)
Relative poverty
• This poverty is related to the income or consumption expenditure distribution.
• It is relevant for developed countries.
• Gini co‐efficient index is used to measure relative poverty.
2.1] POVERTY IN INDIA:• In India we use the concept of absolute poverty for measuring poverty, by fixing a minimum level of
consumption standard called poverty line.
• In India nearly ¼ (22%) population is below poverty live.• According to planning commission, a personal is below poverty line (Considered poor) if his daily
consumption of calories is less than 2400 in Rural areas & 2100 in urban areas.
• Recommendation for new poverty line by “Expert group”
As per expert group, poverty line is defined at the state level, separately for rural & urban
households.
Each poverty line is updated by a state specific price index i.e.
a) State consumer price index for agricultural labours updates Rural’s poverty line.
b) State consumer price index for industrial workers updates Urban’s poverty line.
• Planning commission estimates incidence of poverty on the basis of large sample survey conducted by
National sample survey organization (NSSO) once in a 5 years.
• METHOD OF ESTIMATING POVERTY:‐
a) Uniform recall period consumption (URP) ‐ The respondent is asked to recall all items of
consumption in last 30 days (Both food & Non food item)
b) Mixed recall period consumption (MRP) – The respondent is asked to recall items of food
consumption in last 30 days & Non food items such as cloths, footwear, Durable goods, and
Education & Institutional medical expenses in last 365 days.
2.3] GOVERNMENT PROGRAMME FOR POVERTY ALLEVIATION:PROGRAMMES EXPLANATION
1 Pradhan mantri gram sadak yojana • Launched in December 2000 to provide road
connectivity through good all weather roads of
rural Areas.2 Indira awas yojana • Financial assistance for construction of houses to
be given to the poor living in rural areas.
3 Swarna jayanti gram swarozgar yojana • Launched in April 1999.
• It is only self employment programme for the
rural poor.
• Up to March 2009 about 121 lakh swarojgaris were
assisted
4 Sampoorna grameen rojgar yojana • Launched in 2001