CBSE Class 10 Economics Points to Remember Chapter 1-Development.

Understanding Development

Development is the sum total of income plus quality of life. Besides seeking more income, people also seek things like equal treatment, freedom, security, and respect from others.
Different people have different goals in their lives. What may be development for one may not be development for another. For example, an industrialist may want more dams to get more electricity, but this may submerge land and disrupt the lives of displaced people, such as tribes.
A common desire among all people is for more income, which allows them to buy goods and services for their daily needs. Quality of life also depends on non-material factors; for example, a job may offer less pay but provide regular employment that enhances security.
Ideas of development differ at individual and national levels. For instance, a landless rural laborer may desire more workdays and better wages individually, but at the national level, they may want better educational and health facilities in their local area.

Average income can be calculated by dividing national income by the population, also known as per capita income.
The standard of living of people in a country depends on their per capita income. Countries with higher per capita income are generally more developed than those with lower per capita income.
Education and health also play significant roles in a country’s development. Key indicators include:
- Infant Mortality Rate (IMR): Indicates the number of children who die before the age of one year, per 1000 live births in that year.
- Literacy Rate: Measures the proportion of literate people aged 7 and above.
- Net Attendance Ratio: The percentage of children aged 6-10 attending school out of the total number of children in that age group.

Public facilities are provided by the government to satisfy collective needs, such as schools, hospitals, and community halls. They are the most efficient and cost-effective way to provide these goods and services collectively.

The Human Development Index (HDI) is a quality of life index prepared by the UNDP and includes three main indicators:
- Life Expectancy at Birth: Denotes the average expected length of life at birth.
- Gross Enrolment Ratio: Shows enrolment ratios in primary, secondary, and higher education.
- Per Capita Income: Calculated in dollars for comparability across countries.
HDI is calculated by adding all three indicators and dividing by 3:
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HDI = (LE index + GER index + Per Capita Income index) / 3
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The Human Development Report published by the UNDP is useful for comparing different countries regarding their educational levels, health status, and real per capita income.

Sustainable development is the process of fulfilling the needs of the present generation without compromising the ability of future generations to meet their own needs.
It requires the preservation of resources, including non-renewable natural resources and environmental resources.
Recent studies indicate that groundwater in India is being depleted due to overuse, with one-third of the country overusing its groundwater reserves. Additionally, crude oil resources are expected to last only another 43 years.