Q. Why did human development fail to keep pace with economic development in India?

Model Answer: 

India’s Economic Development and Human Development Discrepancy

India’s economic liberalization in 1991 ushered in an era of rapid economic growth, yet human development indicators have not kept pace with this progress. This disconnect between economic and human development merits careful examination.

1. Education:
Despite increased literacy rates, quality education remains elusive for many. The Annual Status of Education Report (ASER) consistently reveals poor learning outcomes in rural schools. While GDP grew, the quality of education stagnated due to:
– Inadequate infrastructure in government schools
– High teacher absenteeism
– Rote-learning based curriculum

2. Healthcare:
Economic growth has not translated into significantly improved health outcomes. Issues include:
– Low public health expenditure (around 1.5% of GDP)
– Urban-rural disparity in healthcare access
– High out-of-pocket expenses leading to medical poverty

3. Unemployment and Underemployment:
The jobless growth phenomenon has persisted. Reasons include:
– Skill mismatch between education and industry requirements
– Limited growth in labor-intensive sectors
– Automation reducing job creation in manufacturing

4. Gender Disparity:
Women’s participation in the workforce has declined despite economic growth. Factors contributing to this include:
– Persistent social norms limiting women’s economic roles
– Lack of safe and flexible work environments
– Inadequate childcare support

5. Income Inequality:
The benefits of economic growth have not been equitably distributed. The Gini coefficient, a measure of income inequality, has risen. Causes include:
– Concentration of wealth in top income brackets
– Limited social mobility
– Uneven regional development

6. Environmental Degradation:
Rapid industrialization has come at an environmental cost, affecting quality of life:
– Increased air and water pollution in urban areas
– Depletion of natural resources
– Climate change impacts on agriculture and livelihoods

7. Social Security:
The lack of comprehensive social security systems has left many vulnerable:
– Limited coverage of pension schemes
– Inadequate unemployment benefits
– Insufficient support for informal sector workers

The root causes of this development disparity lie in:
– Policy focus on GDP growth over human development indicators
– Structural inefficiencies in public service delivery
– Persistence of social and economic inequalities

To address this imbalance, India needs:
– Increased allocation and efficient utilization of resources in social sectors
– Policy reforms to ensure inclusive growth
– Strengthening of local governance for better implementation of development programs
– Focus on skill development aligned with industry needs
– Measures to reduce regional and social disparities

Bridging this gap between economic and human development is crucial for India to harness its demographic dividend and achieve sustainable, inclusive growth.