Question

Answer in detail.

What are the indicators of economic development?

Answer 1

The following are some of the indicators of economic development.

a. Productivity per hectare of land- Productivity per hectare is measured by dividing the total production of crops by total land area under the crop. It is an important indicator of the economic development of a country. The major factors that affect the productivity of land are rainfall, climate, soil, fertilizers, etc.
b. Industrial progress- An important technique to increase the national output is the process of industrialization. It plays a significant role in the economic development of a country as it is concerned with an increase in urbanization, modernization and technology.
c. Per Capita Income (PCI) - It is the mean income of the people living in a country. It is calculated by dividing the total income of the population by the total population of that country. Also known as average income, it is mainly used to measure the economic welfare of the people in an economy.
d. Gross National Product- GNP is the market value of all products and services produced in one year by labour and property supplied by the residents of a country.
e. Physical Quality of Life Index (PQLI) and Human Development Index (HDI)- PQLI involves the well-being of the population of a country and depends upon life expectancy, literacy and infant mortality rate. Whereas, HDI indicates the average of life expectancy, education and GDP.
f. Environmental balance- Environment refers to the complete set of water, climate, soil and other resources of a country on which the growth of agriculture and industrial sector of that country depends upon. Therefore, we should aim at sustainable development and maintain environmental balance in the country.