Development economics focuses on improving economies in developing countries by enhancing factors like health, education, working conditions, and domestic and international policies. It examines both macroeconomic and microeconomic factors relating to the structure of developing economies and how to create domestic and international growth. National development is measured using indicators like national income, average income per capita, which is total national income divided by population. Sustainable development aims to manage natural, human, financial, and physical assets to increase long-term wealth and well-being while reducing pollution and sustainably using natural resources to meet future generations' needs.

1. DEVELOPMENT
Chapter-1 Economics
S.Madan Kumar M.A.,M.A.,B.Ed.,M.Phil.,M.B.A., 1

2. MEANING OF DEVELOPMENT
 A branch of economics that focuses on improving the economies of developing
countries. Development economics considers how to promote economic
growth in such countries by improving factors like health, education, working
conditions, domestic and international policies and market conditions. It
examines both macroeconomic and microeconomic factors relating to the
structure of a developing economy and how that economy can create
effective domestic and international growth.
S.Madan Kumar M.A.,M.A.,B.Ed.,M.Phil.,M.B.A., 2

3. DIFFERENT DEVELOPMENT GOALS
Category of Persons Development goals /Aspiration
 A. Landless Rural labourers 1. More days or work
2. Better wages
3. Economic and social equality
 B. Rich person
1) Higher family income
2) Better education to their children
3) To settle heir children abroad
S.Madan Kumar M.A.,M.A.,B.Ed.,M.Phil.,M.B.A., 3

4. METHOD OF MEASURING NATIONAL
DEVELOPMENT
 National income –it refers to the market values of all good and services which
produce in financial year within the country
 Average income / per capita income – it’s the ratio of total national income
of a country with respect to total population
 PCI = Total income /Total population
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5. NATIONAL DEVELOPMENT
In the process of national development ,a heavy industry is set up
Or we can say that it’s a all round development of nation Like – education, health, and national
income
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6. WORLD DEVELOPMENT REPORT
World bank has used the criterion of per capita income for classifying into high
income and low-income countries .
2006 WDR(WORLD DEVELOPMENT REPORT):-
a) $10066 per annum and above in 2004 are called rich countries .
b) countries with a PCI of 825 $ or less per annum in 2004
c) In the year 2004, India's PCI was a mere $620 per annum
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7. LIMITATION OF PCI COMPARISON OF TWO
COUNTRIES
country Monthly Income of citizen In 2007 ( in Rupees)
I II III IV V PCI
Country X 8500 9500 8800 9000 9200 9000
Country Y 500 500 500 500 43000 9000
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8. INCOME AND HUMAN DEVELOPMENT
HDR published by UNDP compares countries based on educational level of the
people their health status and PCI
Human development indicators
I. Infant mortality rate:- it indicates the number of children that die before the
age of one year as a proportion of 1000 lives
II. Literacy rate:- it measures the proportion of literate population in the 7 and
above age group.
III. Net Attendance ratio:- it is the total number of children of age group 6-10
attending school as a percentage of total number of children in the same age
group.
IV. Sex ratio:-it is the total number of female per thousand of males.
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9. SUSTAINABLE DEVELOPMENT
Meaning –the word sustainable means something which is not short lived but can
continue in future also.
Robert Repetto,” sustainable development is a development strategy that
manages all natural resources and human resources as well as financial and
physical assets for increasing long term wealth and well being .”
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10. OBJECTIVE OR FEATURES OF
SUSTAINABLE DEVELOPMENT
1.Sustained rise in the real PCI and quality of life
2.Reduction in pollution
3.Rational use of natural resources
4. To fulfils the requirements of future generations
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11. Thank You
S.Madan Kumar M.A.,M.A.,B.Ed.,M.Phil.,M.B.A., 11