4. There is no socio-economic diversity in India
Answers
Within a context of overall backwardness lie substantial variations in the level of development of the different states of India. Six out of 28 states (Maharashtra, Uttar Pradesh, Andhra Pradesh, Tamil Nadu, Gujarat and West Bengal) account for a little more than 50 per cent of the GDP generated by all of them together. Per capita gross state domestic product in 2010 varied from a third of the national average in the state of Bihar to more than one-and-a-half times the national average in the case of Maharashtra and Haryana.
In a country as large as India, regional variations are inevitable. Variations in geographical terrain that affect agricultural productivity, differences in climatic conditions and differentials in the availability of crucial raw materials, among other factors, affect a state’s performance relative to that of others. But what stands out from an even impressionistic examination of differentials in economic performance suggest that these kinds of “initial conditions” are not the prime determinants of regional inequalities. States rich in mineral resources such as Bihar, Chattisgarh, Jharkand and Orissa are among the more backward, and the performance of the North-eastern states cannot be explained by their geographical weaknesses alone.
What seems to be crucial here is the evolution of economic policy over a long period of time, especially since the colonial period. The impact of colonialism came first through the operations of the British East India Company and then through the workings of the imperial government. The impact of colonialism was not only regionally concentrated, with its full force visible in the Presidencies of Bengal, Bombay and Madras, but indeed very different across even these regions.