CBSE Notes for Class 10 Economics Chapter 1 Development

What Development Promises – Different Peoples, Different Goals

• Different people can have different developmental goals
• What may be development for one may not be development for the other
person. It may even be destructive for the other.
• For example, a girl from a rich urban family gets as much freedom as her
brother and is able to decide what she wants to do in life. She is able to
pursue her studies abroad.

Income and Other Goals

• People want more income. Money, or material things that one can buy
with it, is one factor on which our life depends.
• However, the quality of our life also depends on non-material things such
as equal treatment, freedom, security and respect for others.
• Companies provide material thing like, money. But people also want non-
material thing like, freedom, security, and respect of others.
• Some companies provide less salary but offer regular employment which
enhances sense of securities. In other case, some companies provide high
salary but offer no job securities. They reduce sense of securities.
• For development, people look at a mix of goals. The developmental goals are
not only about better income but also about other important things in life.

National Development
• National development refers to ability of a nation to improve standard of
living of its citizens.
 • Standards of living of citizens depend upon per capital income, Gross
Domestic Product, literacy rate and availability of health etc. These
factors also consider as measure of improvement.
• Different persons could have different as well as conflicting notions of a
country’s development.

How to Compare Different Countries or States?

• To compare countries, their income is considered to be one of the most
important attributes.
• Countries with higher income are more developed than others with less
income.
• As different countries have different populations, comparing total income
will not tell us what an average person earns.
• So, we compare the average income of countries.
• Average income is the total income of the country divided by its total
population. It is also called per capita income.
• Average Income = Total Income of Country / Total Population of Country
In World Development Reports, per capita income is used in classifying
countries.
1. Countries with per capita income of US$ 12,056 per annum and above in
2017, are called rich countries.
2. Countries with per capita income of US$ 955 or less are called low-income
countries.

Income and Other Criteria

• For achieving development goal of people, people not only want better
income, they also want non-material thing like, freedom, security, and
respect of others.
Some important terms:

• Literacy Rate : It measures the proportion of literate population in the 7

and above is group.
 • Infant Mortality Rate (IMR) : It indicates the number of children that die
before the age of 1 year as a proportion of 1000 live children born in that
particular year.
• Net Attendance Ratio : It is the total number of children of age group 14
and 15 years attending school as a percentage of total number of children
in the same age group.

Public Facilities
• When we think of a nation or a region, besides average income, public
facilities are equally significant attributes.
• These are the services provided by the government to its citizens.
• Some of the important public facilities include infrastructure, sanitation,
public transport, health care, water, etc.
• As we know that Punjab has more income than the average person in
Kerala but Kerala has a low infant Mortality Rate because of better public
system like, Public Distribution System which provide Health and
nutritional status to the state.
• We need public facility because we are not able to purchase all things by
money. We cannot able to buy a pollution free environment with the help
of money.

Sustainability of Development
• Sustainable development is defined as development that meets the needs
of the present, without compromising the ability of future generations.
• Scientists have been warning that the present type and levels of
development are not sustainable.
• Some of the examples are:
1. Overuse of ground water
2. Exhaustion of natural resources
• For sustainable development, we have to use non-renewable resources like
carbon based originally designed fuel for the quantity how much we
needed.
• Some renewable resources like groundwater will take long time for
replenished. So, we should use that resource in finite quantity.