CBSE Class 10 Notes Economics Chapter 1: Development

In the CBSE Notes Class 10 Economics Chapter 1, you will learn about the concept of development, what it means, & how it is measured. The chapter begins with a discussion of the different ways in which people define development, & the various indicators that are used to measure it, such as Gross Domestic Product (GDP), Human Development Index (HDI), Average Income, Infant Mortality Rate (IMR), etc. The chapter also covers the different dimensions of development, such as economic, social, & political.

The chapter also examines the concept of sustainable development & the need to balance economic growth with environmental conservation. It concludes by highlighting the importance of inclusive & sustainable development in creating a better future for all. Overall, the chapter provides a broad introduction to the concept of development.

Introduction to Development

Development refers to a positive change or improvement or progress in people’s life or well-being, which can be economic, social, or political. It enshrines economic, social, political, cultural, and environmental dimensions, thus, causing a significant & positive effect on one’s life. Development helps people to grow & make a mark in society.

What Development Promises – Different People Have Different Goals

Different people have different goals for development, which may include higher income, better health, education, equality, freedom, & environmental sustainability. Thus, development has many aspects & they vary from person to person.

People tend to seek things that are most important to them. Example: For a girl, having freedom & will to decide what she wants, as her brother have, would be her notion of development. 

At times, the idea of development can be contrasting. In simpler terms- Different persons can have different developmental goals & what may be developed for one may not be developed for the other. It may even be destructive for the other.
Example: In order to reserve land for forestation, those residing in the nearby area would need to relocate from the area.

Income And Other Goals

Income is widely associated with the notion of development as it can be a good & common parameter for measuring development. Besides income, people also expect- security, equal treatment & freedom. At times, they become more important than income & materialistic goods. For development, people look at a mix of goals.

Example: An inclusive, safe & sound workplace would pave the way for greater participation & engagement of women in jobs.

National Development

National development refers to the improvement of the economic, social, and political conditions of a country over time. National development can be compared across countries or states using different indicators, such as Gross Domestic Product (GDP), Human Development Index (HDI), etc. These indicators provide a comprehensive picture of the different dimensions of development, including income, education, health, and standard of living.

How to Compare Different Countries or States?

For comparing the countries, their income is considered to be one of the most important attributes, and countries which have higher income are more developed as compared to the other countries which have less income. As different countries usually have different populations, comparing the total income will not let us know what the average person earns. So, we compare the average income of the countries.

Average Income refers to the total income of the country which is divided among its total population and is known as per capita income.

Average Income or Per Capita Income: Total income of the country/Total population of the country

Example

Country A has a total income of 50,000/- INR & has a population of 10 citizens.

So, in this case, to calculate the average income we would simply do a simple calculation which is as follows:

50000/10 = 5000/- INR would be the average income of country A

In World Development Reports, brought out by the World Bank, this criterion is used in classifying countries:

1. Countries with a per capita income of US$ 49,300 per annum and above in 2019, are called high-income or rich countries and those with a per capita income of US$ 2500 or less are called low-income countries.
2. India comes in the category of low-middle-income countries because its per capita income in 2019 was just US$ 6700 per annum. The rich countries, excluding countries of the Middle East and certain other small countries, are generally called developed countries. 

Income and Other Criteria

When thinking about a country or region, apart from average income, public facilities also play an important role.

1. Infant Mortality Rate (or IMR) indicates the number of children that die before the age of one year as a proportion of 1000 live children born in that particular year.
2. The literacy Rate measures the proportion of the literate population in the 7-and-above age group.
3. Net Attendance Ratio is the total number of children of age group 14 and 15 years attending school as a percentage of the total number of children in the same age group.

Public Facilities

Public facilities are essential components of development, as they provide basic services to people, such as health care, education, transportation, and communication. Government via- Public welfare schemes, boosting infrastructure in the health & education sector, can pave the way for the effective & comprehensive delivery of development & progress to the citizens.

Public facilities can be a mode to create an inclusive & open society as they provide equal access to services & resources for everyone irrespective of background.

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Sustainability of Development

Sustainable Development is the kind of development that meets the needs and demands of the present generation without compromising the availability of resources for future generations. Sustainable development requires a balance between economic growth, social well-being, and environmental protection. The pursuit of economic growth should not come at the expense of environmental degradation, as this can have negative consequences for people's health, livelihoods, and future opportunities.

Scientists have been warning that present use and methods are not sustainable. Some examples are as follows:

1. Overuse of groundwater
2. Exhaustion of natural resources

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1. Public Facilities
2. Sustainability of Development