Series: DPSS/ECO/QB1/24-25 Code: 087

DELHI PUBLIC SCHOOL SURAT

ECONOMICS QUESTION BANK 1
Chapter: Development Class: X ____
Name: __________________ Roll Number: ___

1 Define development.
Development involves thinking about the betterment of life and working towards progress.
2 Differentiate between human and economic development.
Human Development:
a) It focuses on people and qualitative improvement in human life.
b) It is indicated by human development index.
c) It is a broader term and includes economic development also.
d) It considers human welfare, can be increased through investments in education & health.
Economic Development:
a) It refers to increase in real per capita income that promotes economic welfare by reducing
poverty, unemployment and inequalities in distribution of income.
b) It can be indicated by national income & per capita income.
c) It is narrower term as compared to human development.
d) It considers people can be made better off by economic growth.
3 Why do different people have different goals?
a) As people are different, they have different thinking, mind-set, interest, aspirations.
b) Life situation of people are different. Depending on their life situations the requirements
vary. People seek things that are most important for them, i.e., that which can fulfill their
aspirations or desires. Therefore, people seek those things that are most important to them.
4 Different people have different goals. Justify the statement with examples.
a) Farmers: who depend only on rain wants better irrigation facilities, alternative
employment when the monsoon is over, good education, food security for the family.
b) A rural woman from a land owning family: wants equality no discrimination between
male and female in a family, want to be a part of the family’s decision making, want a right
in the family’s property.
c) An urban unemployed youth: wants credit at low interest rates to set up his business,
more industries should be set up, so that he gets employment opportunities, freedom to
work or show skills.
d) A boy from a rich urban family: wants all luxuries, go abroad for studies.
e) An Adivasi from Narmada valley: wants fishing rights in the reservoir built, wants a
proper house and land when he is rehabilitated, civil rights.
f) Landless rural labourers: wants more days of work and better wages, local school is able
to provide quality education for their children, there is no social discrimination and they
too can become leaders in the village.
g) Prosperous farmers from Punjab: Assures a high family income through higher support
prices for their crops and through hardworking and cheap labourers; they should be able to
settle their children abroad.
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 h) A girl from a rich urban family: She gets as much freedom as her brother and is able to
decide what she wants to do in life. She is able to pursue her studies abroad.

5 People may have different as well as conflicting goals. Justify with an example.
a) What may be developed for one may not be developed for the other. It may even be
destructive for the other.
b) This can be understood by the following example: To get more electricity, an industrialist
may want more dams. But this may submerge the land and disrupt the lives of people who
are displaced, such as tribal people. They might resent this and may prefer small check
dams or tanks to irrigate their lands.

6 What are economic/material goals?

Economic/Material goals: On which our life depends. What people desire are regular work,
better wages and decent price for their crops or other products that they produce. In other
words, they want more income.

7 What are non-economic/non-material goals?

Non-economic/non-material goals: On which quality of our life depends. Other than income
people also seek things like equal treatment, friendship, freedom, security, and respect for
others. There are many things that are not easily measured but they mean a lot to our lives.
These are often ignored.

8 For development people have mix of goals. Explain the statement with examples.
The developmental goals that people have are not only about better income but also about other
important things in life.
e.g. If you get a job in a far off place, before accepting it you would try to consider many
factors, apart from income, such as facilities for your family, working atmosphere, or
opportunity to learn. In another case, a job may give you less pay but may offer regular
employment that enhances your sense of security. Another job, however, may offer high pay
but no job security and also leave no time for your family. This will reduce your sense of
security and freedom.

9 Briefly explain the concept of national development.

a) National development means thinking about fair and just path for all, whether there is a
better way of doing things. National development refers to ability of a nation to improve
standard of living of its citizens.
b) Standards of living of citizens depends upon per capita income, literacy rate and
availability of good health etc.
c) It is very important to keep in mind that different persons could have different as well as
conflicting notions of a country’s development.

10 What do you mean by total income?

The income of the country is the income of all the residents of the country. This gives us the
total income of the country.

11 For comparison between countries, total income is not such a useful measure. Why?
Since, countries have different populations, comparing total income will not tell us what an
average person is likely to earn.

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 12 Define per capita income. How is it calculated?
It is the average income of an individual of a country. The total income of the country is
divided by its total population

13 Which rich countries are excluded from the list of developed countries and Why?
a) Countries of Middle East
b) Although countries of the Middle East are very rich countries due to oil reserves and production,
money alone is not an indicator of development. Along with money, there are other aspects too like
education and other social aspects like individual freedom, democracy, gender equality which are not
available in those countries.

14 Why is per capita income of different countries calculated in dollars and not in their own
currencies by the World Bank?
a) Per Capita Income is calculated in the US dollars because US dollar is considered as the
medium of international exchange. It is accepted as method of payment across the world.
b) It becomes easy to compare the per capita incomes of various countries when these are
converted into a common currency, i.e., US dollar ($).

15 “Money cannot buy all the goods and services that one needs to live well” Do you agree
with this statement? Justify your answer with any three suitable arguments.
Yes, we agree with the statement that money cannot buy all the goods and services that one
needs to live well because of the following reasons.
a. Money can buy things that can be one factor on which our life depends like food but the
quality of non-material things like freedom, security and respect cannot be bought with
money.
b. We cannot buy pollution free environment, unadulterated medicines and peace with money.
c. Schools, colleges, parks, hospitals, etc. are the facilities which cannot be run individually.
There has to be a collective effort of team work between the government or society in
providing these to the general public.

16 Why is the calorie requirement of rural areas more than that in urban areas?
Since people living in rural areas engage themselves in more physical work, calorie
requirements in rural areas are considered to be higher than urban areas.

17 What do you mean by public facilities? Why are they important? Explain the utility of
two public facilities available in India.
a. Public facilities are the facilities provided by the government, instead of by individuals or
private sources. For this reason, they may be either highly subsidised or totally free of cost.
b. They are important because many persons do not have enough income to be able to avail
facilities provided by the private sector, resulting in difficulties faced like inadequate
healthcare, poor nutrition etc.
c. One public facility is the Public Distribution System (PDS) which provides fair average
quality of food grains and other essential items to the weaker sections of the population at
subsidised prices.
d. The other is healthcare in government hospitals and dispensaries, which is provided to all
at subsidised rates. This includes outpatient as well as hospitalization facilities.
e. Government schools which provide education to all at subsidised rates.

18 Define the following terms:

A. Infant Mortality Rate B. Net Attendances Ratio C. Literacy Rate
A. Infant Mortality Rate (or IMR) indicates the number of children that die before the age of
one year as a proportion of 1000 live children born in that particular year.
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 B. Net Attendance Ratio is the total number of children of age group 14 and 15 years attending
school as a percentage of total number of children in the same age group.
C. Literacy Rate measures the proportion of literate population in the 7-and-above age group.

19 What do you mean by Human Development Index? Who publishes it? Mention its
importance.
a. Human Development Index is a composite index of achievements of a nation in terms of
three important variables, namely—longevity, knowledge and standard of living, that
determine the quality of life.
b. Human Development Report is published by UNDP (United Nation Development
Programme).
c. It is useful for comparison between different countries regarding the educational level of
their people, their health status and real per capita income.

20 Explain the attributes/components/indicators used by UNDP to calculate Human

Development Index.
Life Expectancy at Birth: It denotes average expected length of life of a person at the time of
birth.
Mean years of schooling of people aged 25 and above.
Per Capita Income/Gross National Income per capita: It is calculated in dollars for all
countries so that it can be compared. It is calculated by dividing the total income of a country
by its total population.

21 Define BMI. How is it calculated? Describe its importance.

a) Body mass index, or BMI, is a way of describing height and weight in one number that
can help tell if someone's weight is healthy.
b) This is easy to calculate. Divide the weight in kg by the square of the height in meters. The
number you get is called BMI. Then, look at the BMI-for-Age tables given on pages 90–
91. A student’s BMI could be within the normal range or less than that (underweight) or
more (obesity).
c) For example, if a girl student is 14 years and 8 months old and the BMI is 15.2, then she
is undernourished. Similarly, if the BMI of a boy aged 15 years and 6 months is 28, then
he is overweight.

22 Define sustainable development. Suggest some measures to bring about sustainable

development.
Sustainable development refers to the development which is done without damaging the
environment and development in the present should not compromise with the needs of future
generation.
Few measures to bring about stainable development:
a) Using bicycle or walking for short distances rather than using a two wheeler or four
wheelers can help in saving fuel and also will help in reducing air pollution.
b) Controlling deforestation can help us to sustain the natural environment.
c) By using CNG in place of petrol, we can help in reducing air pollution.
d) Judiciously using water resources and not polluting them will help us to preserve our water
resources.
23 "Consequences of environmental degradation does not respect national or state
boundaries". Justify the statement.
Environmental degradation is now a global issue and discussed and debate over decades. The
matter is that environmental degradation does not restrict to the national or state boundary

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 which is causing such degradation. Its consequences are well felt in the surrounding states or
nations or sometimes globally.
For example- Acid rain, climate change, etc are some issues which is transcontinental in
consequence. Deforestation in Brazil have caused disturbance in rainfall pattern throughout
South America. Now, environmental protection is a major issue and taken seriously by almost
all countries and discussions take place internationally and among group of nations.
Textual Exercise:
4. What is the main criterion used by the World Bank in classifying different countries?
What are the limitations of this criterion, if any?
On basis of average income or per capita income.
a) In World Development Report brought out by the World Bank, the countries with per capita
income of US$ 49300 per annum and above in 2019, are called rich countries and those
with per capita income of US$ 2500 or less are called low-income countries. India comes
in the category of low middle income countries because its per capita income in 2019 was
just US$ 6700 per annum.
b) The rich countries excluding countries of Middle East and certain other small countries are
generally called developed countries.
Limitations: a) PCI tells us what an average person is likely to earn but it does not tell us a
how income is distributed among the people. b) The countries with the same per capita
income might be very different with regard to income distribution. One might have
equitable distribution of income, while the other might have great disparities between the
rich and the poor. (eg. on page 9 in TB) c) It does not take into account other indicators like
health and education.

5. In what respects is the criterion used by the UNDP for measuring development
different from the one used by the World Bank?
World Bank UNDP
1 It uses only income for measuring It uses income, health status and
development. educational level.
2 It classifies the countries as rich or poor.
It gives ranks to the different countries.
3 It is based on only per capita income.
It takes into account indicators like mean
years of schooling , per capital income and
life expectancy at birth.
4 India comes in the category of low- India’s rank in HDI is 130. (year 2014).
middle income countries.

6. Why do we use averages? Are there any limitations to their use? Illustrate with your
own examples related to development.
a) We use averages because they are useful for comparing differing quantities of the same
category. For example, to compute the per capita income of a country, averages have to
be used because there are differences in the incomes of different people.
b) However, there are limitations to the use of averages. Even though they are useful for
comparison, they may also hide disparities. While average income is useful for
comparison it does not tell us how this income is distributed among people.
For example, (Pg.9 TB)
7. Kerala, with lower per capita income has a better human development ranking than
Haryana. Hence, per capita income is not a useful criterion at all and should not be used
to compare states. Do you agree? Discuss.
No, I do not agree with the statement that per capita income is not a useful criterion at all.
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 a) Kerala, with lower per capita income has a better human development ranking than
Haryana because, human development ranking is determined using a combination of
factors such as health, education, and income.
b) So, this does not imply that per capita income is not useful, rather per capita income is one
of the most important development factors and cannot be neglected.
c) The World Bank uses per capita income as the criterion for measuring development and
comparing states, but this criterion also has certain limitations

8. Find out the present sources of energy that are used by the people in India. What could
be the other possibilities fifty years from now?
The present sources of energy that are used by the people of India are electricity, coal, crude
oil, cow dung and solar energy. Other possibilities fifty years from now, could include nuclear
energy and a better utilization of wind energy, solar energy especially with the imminent danger
of oil resources running out.

9. Why is the issue of sustainability important for development?

Sustainable development refers to the development which is done without damaging the
environment and development in the present should not compromise with the needs of
future generation.
a) Since the second half of the twentieth century, a number of scientists have been warning
that the present type, and levels, of development are not sustainable.
b) Groundwater is an example of renewable resources. These resources are replenished by
nature as in the case of crops and plants. However, even these resources may be overused.
In the case of groundwater, if we use more than what is being replenished by rain then we
would be overusing this resource.
c) Non-renewable resources are those which will get exhausted after years of use for example
crude oil. We have a fixed stock on earth which cannot be replenished. We do discover new
resources that we did not know of earlier. New sources in this way add to the stock.
However, over time, even this will get exhausted.
d) Consequences of environmental degradation do not respect national or state boundaries;
this issue is no longer region or nation-specific. Our future is linked together
e) Sustainability of developments comparatively a new area of knowledge in which scientists,
economists, philosophers and other social scientists are working together.

10. “The Earth has enough resources to meet the need of all but not enough to satisfy the
greed of even one person.” How is this statement relevant to the discussion of
development? Discuss.
a) This statement is relevant to the discussion of development since both resources and
development go hand in hand.
b) As the statement claims, our earth has enough resources – renewable and non-renewable
to satisfy everyone’s need only if we use them in an economic manner. For the
sustainability of development, the consumption and maintenance of resources is also
crucial.
c) We have to use the resources keeping our environment protected and clear so that there is
a balance between the development and use of our resources. As otherwise after a certain
point of time in future the development will be stagnated.
11. List a few examples of environmental degradation that you may have observed around
you.
Environmental degradation manifests itself in different ways. Deforestation, falling levels of
ground water, soil erosion, water pollution, burning of fossil fuels, the hole in the ozone layer

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 and combustion from automobiles causing extreme air pollution especially in urban areas are
some of the examples of environmental degradation.

In-text Questions:
Let’s us work these out (pg-6)
1. Why do different persons have different notions of development? Which of the following
explanations is more important and why?
(a) Because people are different.
(b) Because life situations of persons are different.
Both the statements are true but second one is more important. Different persons have different
notions of development because life situations of persons are different.
For example:
Development goals of a girl from a rich urban family will be surely different from a farmer in
Rajasthan.
It is because a) of their situations, lifestyle and status which are very different from each other.
b) A goal of a person entirely depends on his or her present life situation. They seek things that
are most important for them, i.e., that which can fulfil their aspirations or desires. c) Over a
period of time if the situation changes, automatically goals of a person will also change.

2. Do the following two statements mean the same? Justify your answer.
(a) People have different developmental goals.
(b) People have conflicting developmental goals.
Both the statements are true but their meanings are different.
Two people may have different developmental goals buy they need not always be conflicting.
But sometimes what may be development for one may not be development for the other. It may
even be destructive for the other.
For example:
a) A boy from a rich urban family desires to get quality education and capital to invest. On the
other hand, an Adivasi from Narmada valley wants rehabilitation and regular work. These
developmental goals are different but not conflicting.
b) To get more electricity, an industrialist may want more dams. But this may submerge the
land and disrupt the lives of people who are displaced, such as tribal people. They might resent
this and may prefer small check dams or tanks to irrigate their lands.
3. Give some examples where factors other than income are important aspects of our lives.
Through income is one of the most important aspects of our lives, there are other important
things which give quality to life, such as:
a) People seek things like equal treatment, freedom, security and respect.
b) Women need safe and secure environment to take up a variety of jobs or run a business.
c) People seek a pollution-free environment.
Let’s us work these out (pg-7)
1. Look at the picture on the right. What should be the developmental goals for such an
area?
The developmental goals for such an area should be:
a) Government should frame and have proper, strict rules and laws regarding pollution and
safe environment.
b) It should create awareness towards the pollution, hygiene, sanitation due to which they
were suffering from nausea, skin rashes, fainting, diarrhea etc.
c) A secure ownership should be provided of the land on which they live availing facilities
like electricity, water, sanitation medical facilities and hospitals.
d) People or any organization violating these laws should be punishable by law.
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 e) Government should create awareness towards the pollution, hygiene, sanitation due to
which they were suffering from nausea, skin rashes, fainting, diarrhea etc.
2. Read this newspaper report and answer the questions that follow:
(i) Who are the people who benefited and who did not?
A multinational company dealing in petroleum and metals had contracted a local company of
the Ivory Coast to dispose the toxic waste from its ship are benefitted and the people who
belonged to Abidjan in Ivory Coast, a country in Africa were not aware of hygiene issues.
They are suffering and are not benefitted.
(ii) What should be the developmental goal for this country?
Similar as question 1
Let’s work these out (Pg-9)
1. Give three examples where an average is used for comparing situations.
a) Average income of two countries. b) Average speed of two vehicles over a distance. c)
Average height of the students in two different classes of a school.
2. Why do you think average income is an important criterion for development? Explain.
It is an important criterion because:
a) It tells us what an average person is likely to earn.
b) It also gives some idea about the rising standard of living of the people.
c) Prosperity of a country depends not only on its national income but also on the number of
people who would share it. In case the number of people is large, the average income will
be less. This is the case in India.
3. Besides size of per capita income, what other property of income is important in
comparing two or more societies?
a. Per capita income is useful for making comparisons but it does not tell us about the
distribution of income among the people. Along with per capita income, equitable
distribution of income is important in comparing two or more countries, uneven distribution
creates disparities.
b. Purchasing power parity is another important property of income; while comparing two or
more societies. Purchasing power parity shows the ability of people to purchase some items
which are taken for comparison.
4. Suppose records show that the average income in a country has been increasing over a
period of time. From this, can we conclude that all sections of the economy have become
better? Illustrate your answer with an example.
No, the increase in average income of a country over a period does not mean that all sections
of the economy have become better.
Let us take an example from India. Average income of India has continuously been increasing
since independence except in some particular years, but share of agriculture in total income of
the economy has been decreasing.
5. From the text, find out the per capita income level of low-income countries as per World
Development Reports.
Per capita income level of low-income countries as per World Development Reports was US$
2500 or less.
6. Write a paragraph on your notion of what should India do, or achieve, to become a
developed country.
To become developed country, India should achieve the following:
a) Have advanced infrastructure facilities like better roads, better telecom network, better
transport etc.
b) Higher per capita income, matching that of other developed countries.
c) A higher general standard of living with enough food to feed the poorest people
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 adequately.
d) The service sector should provide more wealth/ income than the industrial or agriculture
sector.
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PREVIOUS YEARS BOARD QUESTIONS
1 Why is Per Capita Income calculated in US dollars? [2016] 1
2 “People have conflicting development goals.” Support the statement with suitable 3
example. [2016]
3 Describe any three possible development goals of landless rural labourers. [2016] 3
4 “Money cannot buy all the goods and services that one need to live well.” Do you agree 3
with the statement? Justify your answer with any three suitable arguments. [2016]

5 How is the issue of sustainability important for development? Explain with examples. 3/5
[2018, 2020]
6 What may be a developmental goal of farmers who depend only on rain for growing 1
crops? [2019]
7 What may be a developmental goal of urban unemployed youth? [2019] 1
8 “Crude oil reserves are limited all over the world. If people continue to extract it at the 3
present rate, the reserves would last only 35 – 40 years more.” Explain any three ways to
solve this problem. [2019]
9 Why should we use natural resources properly and judiciously? Explain your views. 3
[2019]
10 “Average income is useful for comparison but it may hide disparities.” Support the 3
statement with suitable arguments. [2019]
11 How do different persons have different developmental goals? Explain with examples. 3
[2019]
12 Suggest any three ways to improve health and nutritional status of people 3
in India. [2020]
13 Suggest any three ways to improve public facilities in India. [2020] 3
14 Suggest any three measures to improve environmental degradation. [2020] 3
15 Suggest any three ways to improve education in India. [2020] 3
16 Suggest and explain any three ways to reduce the use of petrol. [2020] 3
17 Describe the importance of an equitable distribution of resources in the 3
society. [2020]
18 “Money cannot buy all the goods and services that you may need to live 5
well.” Explain the statement. [2020]
19 “Different people have different goals of development.” Explain the statement. 5
[2020]
20 Suggest any three ways to maintain Body Mass Index (BMI). [2020] 3
21 'The question of sustainability of development raises many fundamentally new issues 3
about the nature and process of development.' Explain it with examples. [2017, 2023]
22 ‘Different people have different notions of country’s development.’ Explain the statement 2
with examples. [2024]

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