kerala, with lower per capita income has a better human development ranking than punjab . Hence, per capita income is not as useful criterian to all and should not be used to compare states. Do you agree? Discuss
Answers
Answer:
this is true
Kerala invested in human capital so it developed
punjab has money but not development
hence, Development is the main criteria to compare states
like Japan
No, I do not agree with the statement that per capita income is not a useful criterion at all. Kerala, with lower per capita income has a better human development ranking than Maharashtra because, human development ranking is determined using a combination of factors such as health, education, and income. So, this does not imply that per capita income is not useful. Rather, per capita income is one of the development factors and can not be neglected. The World Bank uses per capita income as the criterion for measuring development and comparing states. But this criterion has certain limitations because of which determination of Human Development Index (HDI) is done using this criterion along with some other development factors like health, education etc. If the rate of population growth, is higher than the rate of growth of national income, this will lead to fall in per capita availability of goods and services and economic welfare.