UPSC Prelims 2018 · GS Paper I
Question 48: Economy and Social Development
Increase in absolute and per capita real GNP do not connote a higher level of economic development, if
AnswerUPSC’s answer is (c).
Growth in absolute and per capita real GNP measures a rise in output, but development also requires wider improvement in living standards. If poverty and unemployment rise at the same time, the benefits of growth are not reaching the people, so a higher GNP does not signal development. The sector balance between agriculture and industry, or imports growing faster than exports, are structural concerns but do not by themselves cancel development.
Why each option is right or wrong
- (a) The sector mix is a structural concern, not a failure of development.
- (b) Likewise, sector imbalance alone does not cancel growth.
- (c) Right: rising poverty and unemployment mean growth has not become development.
- (d) A trade deficit does not by itself negate development.
Answer: UPSC’s key. Explanation: written by UPSC Grade, not by UPSC.
Source: UPSC, Civil Services (Preliminary) Examination 2018, General Studies Paper I, Series A. The paper on upsc.gov.in.