unit 1 macro economics

lef\"V vFk'Z kkL= dk ifjp; 63 must be applied. Nevertheless, the presence of required, vkdyu djuk gS rc O;; fof/k dks ykxw fd;k tkuk pkfg,A sufficient and accurate information is another significant fQj Hkh] p;u djus ds fy, visf{kr] i;kZIr vkSj lVhd determinant to make choice. lwpuk dh mifLFkfr ,d vU; egÙoiw.kZ fu/kkZjd gSA gkyk¡fd] jk\"Vªh; vk; dh x.kuk djus dk eq[; rjhdk fuEu Though, the prime method to calculate the national income dkj.kksa ls 'kq) mRikn fof/k gS& is the net product method due to the following reasons: 1) bl fof/k ds vUrZxr] ns’k ds e/; gksus okys vkfFkZd 1) Under this method, the economic activities happening fØ;kdyki fofHkUu {ks=kas ds vuqlkj foHkkftr fd, tkrs inside a country are divided as per the various sector gaS] bl Ádkj ÁR;sd {ks= ls dqy mRiknu dk fu/kkZj.k thus, the determination of total output from each sector iwjs n’s k ds vk; vkSj O;; ds oxhZdj.k dh rqyuk eas is convenient in comparison to the classification of lqfo/kktud gksrk gSA income and expenditure of entire country. 2) pw¡fd ;g fof/k bruh ÁHkkoh gS fd vkfFkZd xfrfof/k;ksa ds 2) As this method is efficient enough to derive and oxhZdj.k }kjk jk\"Vªh; vk; ls lEcfU/kr visf{kr lwpuk accumulate the required information related to the ÁkIr dj mls ,d= fd;k tk ldsA national income through the classification of economic activities. mRiknu fof/k dks ykxw djuk lqfo/kktud gS D;kfsa d vkfFkZd fØ;kvksa ls lEcfU/kr visf{kr lwpuk lgh :i esa miyC/k gAS The output method is convenient to apply because the ijUrq] fQj Hkh dkbs Z ,d mik; ,slk ugha gS tks lgh rjhds ls requisite information regarding the economic activities is jk\"Vªh; vk; dk vkadyu djrk gks D;ksfa d visf{kr lwpuk accurately available. But, yet there is no single method that vkSj mudk dk;kZUo;u loksZÙke ugha gksrkA blfy,] jk\"Vªh; accurately measures the national income because the required vk; dh lEHkkfor vk¡dM+s fu/kkZfjr djus ds fy, nks ;k nks ls information and their implementation are not optimum. vf/kd fof/k;ksa dks feykdj] visf{kr lwpuk ds Lo:i vkSj Hence, a combination of two or more methods must be vkfFkZd {ks=ksa ls ÁkIr lwpuk ij vk/kkfjr gksuk pkfg,A applied to determine the probable figures of national income which must be based on the nature of required information 1.6.11. and the information derived from the economic sectors. jk\"Vªh; vk; ds ekiu eas dqN leL;k,¡ gSa] ,slh leL;k,¡ bl 1.6.11. Problems/Difficulties in Ádkj gSa& 1) vk; fof/k esa dqN Measurement of National Income lhek,¡ gSaA bl Ádkj dh lhek,¡ jk\"Vªh; vk; ds ekiu eas There are certain problems in the measurement of national leL;k,¡ mRiUu dj ldrh gSaA vk; fof/k eas leL;k,¡ bl Ádkj gaS& income, such problems are as follows: i) vk; ?kj ij nwljs 1) Problems related to Income Method: The income O;fDr dks nh tkrh gS] ijUrq blds lkFk gh] tc Lokeh Lo;a vius ?kj ij jgrk gS rks mls fdjk;k method is comprised of certain limitations thus such ugha feyrkA vc loky ;g mBrk gS fd D;k vk; dk ;g vuqikr jk\"Vªh; esa lekfo\"V gS ;k ughaA ;g limitations may cause problems in the measurement /;ku eas j[kk tkuk pkfg, dsoy rHkh x`g dk Lokeh Lo;a dks fdjk,nkj ekurk gS vkSj ml fglkc ls of national income. The problems arises in income fdjk;k nsrk gSA ii) Lofu;ksftr O;fDr;ksa dh method are as follows: vk; ds lEcU/k eas ,d vyx leL;k gks ldrh gAS pw¡fd dkbs Z iw¡th] Hkwfe] Je vkSj mlds O;fDrxr i) Owner-Occupied Houses: Income is earned on dkS’ky vkSj {kerkvksa ds :i eas vius Lo;a ds dkjksckj eas fu;ksftr fuos’kksa dh ek=k fu/kkZfjr ugha the house let out to the other individual but at the dj ldrkA ÁR;sd ?kVd }kjk Ánku dh xbZ lsok dk ewY; bl ekeys eas ekiuk lEHko ugha gSA bl same time the owner is not receiving rent when Ádkj] os jk\"Vªh; vk; eas lfEefyr ugha gSaA he himself occupied his house. Now the question iii) Hkkjr tlS s vfodflr ns’kksa esa fdlkuksa dks vius futh miHkksx ds arises whether this proportion of income is fy, vius lkFk mRiknu dk cM+k Hkkx j[kus ds fy, vf/kd lgkjk fy;k tkrk gSA bl Ádkj] ;g leL;k included in the national income or not. It must be ds :i esa mRiUu gksrk gS fd D;k ,sls oLrvq kas dks jk\"Vhª ; vk; esa 'kkfey fd;k tk, ;k ughaA taken into consideration only if the owner of the * house considers himself as tenant and pays the rent accordingly. ii) Self-Employed Persons: A separate problem may occur in relation to the income of self- employed persons. As one cannot determine the quantity of inputs employed in his own business in form of capital, land, labour and his/her personal skills and abilities. The value of service rendered by each factor is not possible to measure in this case. Thus, they are not included in the national income. iii) Goods Meant for Self-Consumption: In underdeveloped countries like India, farmers are more resorted to keep major portion of production with themselves for their personal consumption. Thus, it arises as problem whether such goods are considered in national income or not. *

64 lef\"V vFkZ'kkL= iv) Wages and Salaries paid in Kind: When an iv) tc fdlh employee is receiving his wages and salaries in deZpkjh dks mldh etnwjh vkSj osru ds /ku ds kind instead of money like in form of free food, cnys eq¶r Hkkstu] vkokl] oLrq ,oa vU; lqfo/kk,¡ lodging, dress and other facilities, it becomes a Ánku dh tkrh gSa rks ;g ,d leL;k cu tkrh gS] problem because they are not measured in D;kfsa d mUgsa ekSfnzd ewY; eas ugha ekik tkrk gS] bl monetary value thus, such wages and salaries are Ádkj dh etnwjh vkSj osru jk\"Vªh; vk; eas not included in national income. lfEefyr ugha gSaA 2) Problems in Product Method: The problem 2) mRikn fof/k esa gqbZ leL;k occurred in product method may arise due to the fuEufyf[kr dkj.kksa ls mRiUu gks ldrh gS& following reasons: i) x`fgf.k;ksa }kjk nh xbZ lsokvksa i) Services of Housewives: The services dk Hkqxrku ugha fd;k tkrk gS vkSj muds dk;Z dks rendered by the house wives are remain unpaid xSj&vkfFkZd fØ;k ekuk tkrk gS] D;ksfa d dksbZ Hkh and considered as the non economic activity mudh lsok dk fu/kkZj.k ekSfndz vof/k eas ugha dj because one cannot determine their service in ldrkA bl Ádkj] ;g ,d leL;k ds :i eas monetary term. Thus, it arises as a problem mRiUu gksrh gSa fd jk\"Vªh; vk; eas muds Á;klksa dks whether to include their efforts in national lfEefyr fd;k tk, ;k ughaA gkyk¡fd] mudh lsok income or not. Though, their service is dks ekU;rk Ánku djus ds fy, egÙoiw.kZ gSa] D;ksfa d significant to be recognised because indirectly vÁR;{k :i ls ;g vkfFkZd fodkl esa ;ksxnku nrs k it contributes to the economic development. gSA x`fg.kh }kjk nh tkus okyh egÙoiw.kZ lsokvksa esa The significant services rendered by a Hkkstu rS;kj djuk] lsok djuk] flykbZ djuk] housewife may include meal preparation, ejEer djuk] /kksuk vkSj lQkbZ rFkk cPpksa dks serving, tailoring, mending, washing and iks\"k.k djuk lfEefyr gSA fQj tc ;s lsok,¡ mlds cleaning, and nurturing the children. When ukSdj&}kjk vius ekyfdu dh tkrh gSa rks mUgsa such services are rendered by a servants or cnys eas dqN 'kqYd fey tkrk gSA bl Ádkj] mistress then they received fees in return. Hkqxrku dh xbZ jkf’k jk\"Vªh; vk; eas lfEefyr gSA Thus, the paid amount is included in the national income. ii) e/;orhZ vkSj vfUre oLrqvksa ds e/; foHksn djuk vklku ugha gS] ;g ii) Intermediate and Final Goods: As it is not easy vfrÁkDdyu ;k jk\"Vªh; vk; eas nksgjh x.kuk dh to differentiate the intermediate and final goods, leL;k dk dkj.k curk gSA pw¡fd vfUre eky dk it leads to the problem of overestimation or jk\"Vªh; vk; dks Kkr djus ds fy, vkdyu fd;k double counting in national income. As only the tkrk gS] tcfd e/;orhZ oLrvq ksa dh mis{kk dj nh final goods are assessed to find out the national tkrh gS] D;kfsa d mudk eYw ; igys ls gh vfUre income while the intermediate goods are ignored oLrqvksa ds eYw ; eas lfEefyr gSA bl Ádkj] ;fn because their value is already included in the e/;orhZ oLrqvksa dk eYw ; blds okLrfod vk; dk value of final goods. Thus, if the value of vf/kd vuqeku ekuk tkrk gSA intermediate goods is considered its results into overestimation of actual income. iii) iqjkus eky dk Ø; ,oa foØ; Hkh ,d leL;k ds :i eas mRiUu gksrh gS iii) Second-Hand Goods and Assets: The purchase D;kfsa d ,sls eky dk eYw ; igys ls gh jk\"Vªh; vk; and sales of second hand goods is also arise as eas ekuk tkrk gS tc os okLro eas mRikfnr gksrs FksA a problem because the value of such good is iqjkuk eky LdwVj] dkj] jsfÝtjVs j] ,;j d.Mh’kuj] already considered in national income when ?kj] e’khuas vkfn tSls fdlh Hkh eky dk gks ldrk they were actually produced. The second hand gSA bl Ádkj] jk\"Vªh; vk; eas iqjkus eky ds eYw ; goods can be any goods like scooters, cars, dks vPNk ugha ekuk tkrk gSA refrigerator, air conditioner, house, machines, etc. Thus, the value of second hand good is not iv) Hkwfexr vFkZO;oLFkk ds ek/;e considered in national income. ls mRiUu vk; dks jk\"Vªh; vk; eas 'kkfey ugha fd;k x;k gS] D;kfsa d blesa voS/k fØ;k,¡ lfEefyr iv) Illegal Activities: The income generated through Fkha tks Á—fr esa mRiknd FkhA eq[; :i ls] bleas underground economy is not included in the tqvk] rLdjh] 'kjkc dk voS/k mRiknu vkfn national income because it comprised of illegal lfEefyr FkkA ,slh fØ;kvksa ls ÁkIr eYw ; dsoy activities which are unproductive in nature. HkkSfrd gksrk gS vkSj yksxksa dh ek¡x iwjh djrk gS] Mainly, it comprised of gambling, smuggling, Hkys gh mRiknu eas dksbZ o`f) gksA bl Ádkj] ,slh illegal production of wine, etc. The value derive vk; jk\"Vªh; vk; dks ekius dh ,d leL;k ds :i by such activities are only physical in nature and eas mRiUu gksrh gSA fulfilling the demand of the people regardless to any make addition to the production. Thus, such * incomes are arises as a problem to measures the national income. *

lef\"V vFkZ'kkL= dk ifjp; 65 v) Consumer’s Services: There are various service v) bleas vuds lsokÁnkrk gSa tSls providers like actors, dancers, doctors, singers, vfHkurs k] urZd] fpfdRld] xk;d] f’k{kd] odhy] teachers, musicians, lawyers, barbers, etc. Who ukbZ vkfnA tks iSls ds cnys verw Z :i esa viuh provide their services in intangible form in lsok,¡ Ánku djrs gSaA mudh lsok ,d leL;k cu exchange of money? Their service may become a ldrh gS D;kfsa d ,slh lsok,¡ erw Z mRiknu eas dksbZ problem because such services are not making o`f) ugha dj jgh gSA bl Ádkj] bl ckr dk any addition to the tangible production of goods. fookn gS fd jk\"Vªh; vk; eas bl Ádkj dh lsok dks Thus, it is debatable whether to include such 'kkfey fd;k tk, ;k ughaA service in national income or not. vi) iwt¡ hxr eky ds dkj.k ,d fHkUu vi) Capital Gains: A separate problem may arise leL;k mRiUu gks ldrh gAS iw¡th lEifÙk;k¡ tSls ?kj] due to capital goods. The capital assets like a dksbZ vU; lEifÙk] LdU/k ;k va’k vkfn vius okLrfod house, any other property, stocks or shares etc. vf/kxgz .k ds ewY; ds rqyuk esa vf/kd ewY; ij foØ; are selling at greater value than at the price dh tkrh gSaA itw¡ hxr lEifÙk;ksa dk ewY; jk\"Vªh; vk; they were actually acquired. The value of esa 'kkfey ugha gksrk gS] D;kfsa d ;g ewY; fdlh capital assets is not included in the national vFkOZ ;oLFkk esa fd, x, oreZ ku le; dh fØ;kvksa ds income because that value is not related to the ifj.kke ls lEcfU/kr ugha gSaA blh Ádkj ls itw¡ hxr result of present period activities performed in gkfu;ksa dh Hkh vogsyuk dh tkrh gAS an economy. In similar way, capital losses are also ignored. vii) gkyk¡fd] ;g ,u-,u-ih- ls ldy jk\"Vhª ; vk; dks ?kVkdj ewY;ºzkl jkf’k dh x.kuk djus ds vii) Depreciation: Though, it is convenient to fy, lfq o/kktud gS] ijUrq ;g ,d gh le; esa calculate the depreciation amount just by jk\"Vhª ; vk; dks de djrh gAS ;g ewY; of/kZr fof/k subtracting the amount of GNP from the NNP but dh ,d leL;k ds :i esa ekuk tkrk gS D;kfsa d tc it diminishes the national income at the same lEifÙk dh visf{kr thou 30 ;k vf/kd o\"kkasZ dk time. It is considered as a problem of value added gksrk gS rks ewY;ºkz l dh x.kuk djuk dfBu gksrk gAS method because it is difficult to measure the value of depreciation when the expected life of 3) O;; fof/k dk eki Hkh the asset is of 30 or of more years. fuEufyf[kr leL;k ds v/khu g&S i) O;; fof/k eas ljdkjh lsok ds 3) Problems in Expenditure Method: The vuqeku dh ,d cM+h leL;k gSA pw¡fd ljdkj yksxksa measurement of expenditure method is also subject to dks fofHkUu lsok,¡ Ánku dj jgh gSA blesa iqfyl] the following problem: lSU; lsok] Á’kklfud vkSj dkuuw h lsok,¡ lfEefyr i) Government Services: The estimation of gks ldrh gSAa bl ij fopkj&foe’kZ gks jgk gS fd government service is a major problem in ,slh lsokvksa dks jk\"Vªh; vk; eas lfEefyr fd;k tk, expenditure method. As government is offering vFkok ughAa ,slh lsokvksa dks jk\"Vªh; vk; esa dsoy various services to the people. It may include the rc 'kkfey fd;k tkrk gS tc ,slh lsokvksa dk vUr service of police, military services, administrative eas miHkksDrk }kjk mi;ksx fd;k tkrk gS] cfYd and legal services. It leads to a debate as whether to e/;orhZ lsokvksa dks jk\"Vªh; vk; eas lfEefyr ugha include such services in national income or not. fd;k tkrk gSA Such services are included in national income only when such services are finally availed by the ii) vUrj.k Hkqxrku O;; fof/k eas ,d consumer rather the intermediary services are not leL;k cu tkrk gS] D;ksfa d ,sls Hkqxrku mRiknu included in national income. xfrfof/k;ksa eas ;ksxnku ugha ns jgs gSaA lkekU;r% ljdkj i’sa ku] csjkstxkjh HkÙkk] lfClMh] jk\"Vªh; _.k ii) Transfer Payments: The transfer payments ij C;kt vkfn ds :i eas vUrj.k Hkqxrku dj jgh become a problem of expenditure method gSA ,sls Hkqxrku ljdkjh O;; ls fHkUu ugha gksrs] because such payments are not contributing to the cfYd jk\"Vªh; vk; eas lfEefyr ugha gksrs] D;kfsa d os production activities. Generally, the government Á—fr esa vuqRiknd gksrs gSaA is making transfer payments in form of pensions, unemployment allowance, subsidies, interest on iii) LdwVj] dkj] national debt, etc. Such payments are not separate ia[ks] Vh-oh-] QuhZpj vkfn fVdkÅ leku O;; from the government expenditure but not fof/k esa ,d leL;k gSA D;ksafd bl Ádkj ds included in the national income because they are oLrqvksa o\"kZ esa ,d ckj ÁkIr fd;k tkrk gS vkSj unproductive in nature. ,d yEch vof/k ds fy, mi;ksx fd;k tkrk gSA bl Ádkj] bu oLrqvksa ij fd, x, O;; dks iii) Durable-Use Consumer Goods: The durable fuos’k ;k miHkksx O;; esa vUrj djuk dfBu gSA goods such as scooters, cars, fans, TVs, furniture, etc. are also acts as a problem in the expenditure * method. Because such goods are acquired once in a year and utilised for a long period. Thus, the expenditure incurred on such goods is difficult to distinguish as investment or consumption *

66 lef\"V vFkZ'kkL= expenditure. Such expenditure is not measurable ,slk O;; ekiu ;ksX; ugha gS] D;ksafd ,d vuqorhZ because one cannot calculate the used up value of o\"kksZa ds nkSjku fVdkÅ eky ds mi;ksx fd, x, durable goods during a consequent years. The ewY; dh x.kuk ugha dh tk ldrhA x`g lEifÙk expenditure incurred on house property is subject ij fd, x, O;; viokn ds v/khu gSa] D;ksafd to exception because such expenditure is ,sls O;; ds vfrfjDr fuos’k O;; ds :i esa ekuk considered as the investment expenditure rather tkrk gSA than the consumption expenditure. iv) lkoZtfud O;; O;; fof/k eas Hkh iv) Public Expenditure: The public expenditure is ,d leL;k mRiUu dj jgk gS] D;ksfa d lkoZtfud also creating a problem in expenditure method O;; dks O;; ;k fuos’k O;; ds :i eas ugha n[s kk because one cannot distinguish the public tk ldrk gSA lkoZtfud O;; eas iqfyl] lSU;] expenditure as the consumption or the investment Á’kklfud ,oa dkuwuh lsokvks]a ikdkZsa] lM+dksa ds expenditure. The public expenditure may include Ádk’k] flapkbZ] laxzgky;] f’k{kk] lkotZ fud LokLF;] the government spending in police, military, lM+dks]a ugjks]a Hkouksa vkfn ij ljdkjh O;; administrative and legal services, parks, street lfEefyr gks ldrs gaSA lighting, irrigation, museums, education, public health, roads, canals, buildings, etc. 1.6.12. 1.6.12. Difficulties in Measurement of Hkkjr dh jk\"Vªh; vk; ds ekiu eas fuEufyf[kr dfBukb;ksa dk National Income in India lkeuk djuk iM+rk gS& The following are the particular difficulties observed in 1) jk\"Vªh; vk; dk iSekuk bl vuqeku the measurement of national income of India: ij vk/kkfjr gS fd vFkZO;oLFkk iw.kZr% ls eqnzh—r 1) Non-Monetised Sector: The measurement of vFkZO;oLFkk gSA eqnzh—r vFkZO;oLFkk og gS ftlesa ekSfndz eYw ; ds fy, oLrqvksa vkSj lsokvksa dk vknku&Ánku fd;k national income is based on the assumption that the tkrk gSA ijUrq Hkkjr ea]s fuekZrk mRiknu dh iwjh ek=k economy is completely a monetised economy. A dks cktkj eas ugha foØ; dj ldrk gaS] cfYd os vius monetised economy is one in which the good and mRiknu dk ,d cM+k Hkkx vius futh mi;ksx ds fy, service are exchanged for monetary value. But in j[k jgs gSa ;k os vius mRiknu dk fofue; oLrq fofue; India, the producers are not selling the entire Á.kkyh ds ek/;e ls dj jgs gaSA xkSjryc gS fd bl quantity of production into the market rather they Ádkj dh xfrfof/k;k¡ —f\"k {ks= eas n[s kh tkrh gSaA bl are keeping a major portion of their production for Ádkj] mRiknu ds okLrfod cktkj eYw ; dks fu/kkfZ jr their personal use or they exchange their djuk eqf’dy gSA production through a barter system. Significantly, such activities are observed in agricultural sector. 2) Hkkjr Thus, it is difficult to determine the actual market value of production. eas vf/kd vk; ds l`tu ds fy, Jfedksa eas ,d ls 2) Lack of Distinct Differentiation of Economic vf/kd vkfFkZd fØ;k gks ldrh gSA bl Ádkj] fofHkUu Activities: In India, a labour may involve in more than one economic activity at the same time in vkfFkZd fØ;kvksa ls mRiUu vk; dk fu/kkZj.k djuk order to generate more income. Thus, it is not easy to determine the income generated from various vklku ugha gSA xzkeh.k {ks= eas economic activities. For example, in rural area a farmer may also work as labour in cottage and fdlku dqVhj ,oa y?kq m|ksxksa eas Je ;k vU; dk;Z dj small industries or doing other job. As it is not easy to differentiate the income earned from the various ldrk gS] D;kfsa d fofHkUu vkfFkZd fØ;kvksa ls vftZr vk; economic activities. dk vUrj djuk vklku ugha gSA 3) Conceptual Problems: The conceptual problems are also observed in national income. Because 3) vo/kkj.kkRed leL;kvksa dks separate base is taken for production, income and jk\"Vªh; vk; esa Hkh ns[kk tkrk gS] D;kfsa d mRiknu] vk; expenditure. Consequently, it is not easy to assess vkSj O;; ds fy, fHkUu vk/kkj fy;k tkrk gSA the accurate national income. There are various ifj.kkeLo:i] lVhd jk\"Vªh; vk; dk vkdyu djuk commodities in economy which are not present in vklku ugha gSA vFkZO;oLFkk esa ,slh fofHkUu oLrq,¡ gSa tks the base year. Like a range of electronic gadgets vk/kkj o\"kZ eas fo|eku ugha gSA byDs VªkWfud midj.kksa vkSj and defence goods. It is not easy to estimate the j{kk oLrqvksa ,d Üka`[kyk dh Hkk¡fr ,slh oLrqvksa ds production value of such goods at fixed prices. But mRiknu ewY; dk vkadyu fLFkj eYw ;ksa ij djuk vklku such goods are easily estimated in current prices ugha gSA ijUrq ,slh oLrvq ksa dk vuqeku orZeku eYw ;ksa esa rather their estimation in fixed price is complex. vklkuh ls yxk;k tk ldrk gS] cfYd mudk fu/kkZfjr eYw ; vuqeku tfVy gksrk gSA 4) Black Money: In India, a black market is operating parallel to the white market. The black marketing 4) Hkkjr esa dkyk cktkjh lekukUrj pyrh activities are the economic activities but such activities gSA dkyh foi.ku fØ;k,¡ gSa] ijUrq djksa ds Hkqxrku ls cpus ds fy, u rks ,slh fØ;kvksa dh lwpuk nh tkrh * *

lef\"V vFk'Z kkL= dk ifjp; 67 are neither reported nor under reported in order to avoid gS vkSj u gh Áfrosfnr dh tkrh gSA tSls fd vk;kr the payment of taxes. Like the exercise duties are not 'kqYd fofufeZr oLrqvksa ij Hkqxrku ugha dh tkrh gS paid on the production of manufactured goods or income vFkok vk;dj dk Hkqxrku fofHkUu lzksrksa ls ÁkIr vk; tax is not paid on the income earned from various ij ugha fd;k tkrk gSA bl Ádkj] fu/kkZfjr vk; sources. Thus, the assessed income is not accurate and lVhd ugha gS vkSj dkyk cktkjh lrr~ c<+ jgh gS the activities of black market may increase due to ftlds dkj.k x.kuk ÁfØ;k tfVy gks tkrh gSA which the estimation process become complex. 5) fdlh ns’k ds fofHkUu {ks=ksa esa 5) Inter-Regional Differences: The situation prevails in fLFkfr leku jgrh gS] ijUrq muesa vUrj jkT;ksa ds the different regions of a country do not remain same vUnj fLFkr ftyksa ;k 'kgj ls gksrk gSA but they differ a lot respective to the states and the districts or cities located inside the states. Based on ,slh ifjfLFkfr;ksa ds vk/kkj ij] uewuk losZ{k.k ,d= such situations, it is not easy to acquire relevant djds ;k ÁR;sd {ks= ds fy, O;kid rjhds ls leku information just by collecting the sample survey or lwpuk dk mi;ksx djds Áklafxd lwpuk ÁkIr djuk using the same information for each region in vklku ugha gSA comprehensive manner. 6) 6) Non-Availability of Data about Certain Incomes: Accurate information cannot be y?kq mRikndksa vkSj ?kjsyw m|eksa ls acquired from the small producers and household lVhd tkudkjh ÁkIr ugha dh tk ldrh D;ksafd ,sls enterprises because such enterprises are not m|e viuh vkfFkZd xfrfof/k;ksa dk dksbZ fooj.k ugha maintaining any records of their economic j[krs gSaA bl Ádkj ds mRiknd ;k rks vius ifjokj activities. As such producers are either involving ds lnL;ksa dks mRiknu ÁfØ;k esa lfEefyr dj jgs gSa their family members in the production process or ;k cgqr NksVs Lrj ij O;kikj dj jgs gSaA doing business at very small level. Jfed dq’ky ;k vdq’ky gks ldrs gSaA bl Ádkj — The labours who were employed may be illiterate or f\"k] ckxokuh] Qwyksa dh [ksrh] eRL; ikyu vkfn esa unskilled. Thus, one cannot accurately assess the 'kkfey mRikndksa ds ek/;e ls fd, x, ewY; lao/kZu value addition made through these producers who dk lgh vkadyu ugha fd;k tk ldrkA mRiknu dk are involving in agriculture, horticulture, vkadyu okLrfod ifj.kke dh vis{kk lEHkkoukvksa ds floriculture, pisciculture, etc. The production is vk/kkj ij fd;k tkrk gSA blfy, ,slh lEHkkoukvksa esa estimated based on the possibilities rather than lgh vuqeku ugha yxk;k tk ldrkA actual outcome. Therefore, such possibilities may not give true estimates. 7) Hkkjr dh vkfFkZd fLFkfr ds dkj.k Hkkjr dh tula[;k cgqr de gS vkjS orZeku eas bldk dkbs Z 7) Mass Illiteracy: As huge population of India is egÙo ugha gSA bl Ádkj] ,sls yksxksa ls tkudkjh ,d= illiterate due to which many people are not aware djrs le; dfBu vkSj vÁklafxd gks tkrk gS] D;ksfa d about the importance of national income. Thus, while ÁR;FkhZ ijh{kdksa }kjk fn, x, Á’uksa dks le>us esa l{ke collecting the information from such people is ugha gksrs gSaA become difficult and irrelevant because the respondents are not able to understand the questions 8) Hkkjr eas nks egÙoiw.kZ made by the investigators. laxBu gSa] tks Áfrn’kZ rduhdksa dk Á;ksx djds jk\"Vªh; vk; dh x.kuk dj jgs gSaA bl laLFkku eas dsUnzh; 8) Difficulties of Sampling Technique: In India, lkaf[;dh laxBu ¼lh-,l-vks-½] jk\"Vªh; uewuk losZ{k.k there are two important organisations which are laxBu ¼,u-,l-vks-½ lfEefyr gaSA estimating the national income by using the sampling techniques. Namely, the organisations are ,sls laxBu eas ls pquk x;k uewuk cgqr NksVk gksrk gS tks Central Statistical Organisation (C.S.O.), National tula[;k ds okLrfod vkdkj ds vuq:i u gksA Sample Survey Organisation (N.S.S.O.). The blfy,] y?kq vkdkj ds uewuksa ij vk/kkfjr lkekU; sample selected from such organisation is very /kkj.kk fuHkZj djus ds fy, ,d lVhd vk¡dM+k ugha gAS small in size which may not be corresponding to the actual size of the population. Therefore, the 9) fofo/k dfBukb;k¡ fuEu Ádkj dh general assumption based on small size samples is gks ldrh gSa& not an accurate statistic to depend. i) D;kfsa d jk\"Vªh; vk; fu/kkfZ jr djus ds fy, dkbs Z fof’k\"V ;k vU; rjhdk ugha gS] vkSj] 9) Miscellaneous Difficulties: The miscellaneous difficulties may be of following kind: ii) lwpuk ,d= djus vkSj jk\"Vªh; vk; dk vuqeku i) As there is no specific or exclusive method to rS;kj djus ds fy, ftl O;fDr dks fu;qDr fd;k determine national income, and tkrk gS] mlds ikl i;kZIr dkS’ky dh deh gks ldrh gSA ii) As the persons who are employed for accumulating information and preparing * estimates of national income may lack adequate skills. *

68 lef\"V vFkZ'kkL= 1.7. ECONOMIC WELFARE 1.7. 1.7.1. Introduction 1.7.1. lekU;r% jk\"Vªh; vk; fdlh n’s k eas vkfFkZd fØ;kvksa dh ek=k Generally, the national income is useful to display the çnf’kZr djus ds fy, mi;ksxh gksrh gSA blh çdkj] çfr quantity or volume of economic activities takes place in O;fDr vk; eas o`f) ls n’s k dh vFkZO;oLFkk dY;k.k dks a country. Likewise, the enhanced per-capita income is çnf’kZr djus ds fy, ,d çek.k ds :i eas ÁLrqr fd;k represented as evidence to shows the economy welfare tkrk gSA ,slk ekuk tkrk gS fd çfr O;fDr vf/kd vk; okys of a country. A country with high per-capita income is n’s k dk vkfFkZd dY;k.k vf/kd gksrk gS ;k mPp thou Lrj believed to have the higher economic welfare or high dk vkSj blds foijhr vU; ekeys gSaA ijUrq egÙoiw.kZ loky standard of living and vice-versa in other case. But the ;g gS fd D;k jk\"Vªh; vk; vkfFkZd dY;k.k dks bafxr djus significant question arises is whether the national ds fy, ,d mi;qDr midj.k gS ;k ughaA income is an appropriate tool to indicate the economic welfare or not. pw¡fd dqy dY;k.k fuEu nks Hkkxksa ls ;qDr gksrk gS& 1) vkfFkZd dY;k.k] vkSj] As the total welfare is comprised of two parts. That are: 2) xSj&vkfFkdZ dY;k.kA 1) Economic Welfare, and 2) Non-economic Welfare. nksuksa çdkj ds dY;k.k ds tks xq.k ,d nlw js ds lkFk bl çdkj tqM+s gSa fd muds çFkDdj.k O;FkZ gSA gkyk¡fd Both are the types of welfare which are associated to us vkfFkZd dY;k.k dks ;g dgdj nksuksa dks fHkUu djus ds each other in such a manner that their separation is fy, ,d fl)kUr fn;k Fkk fd ^^lkekftd dY;k.k dk og futile. However, Prof. Pigou had given a theory to Hkkx ftls çR;{k ;k vçR;{k :i ls /ku dh ekius okyh NM+ separate the two by stating that economic welfare is ds lEcU/k eas yk;k tk ldrk gSA** blfy,] mUgksua s Li\"V “that part of social welfare that can be brought directly fd;k fd vkfFkZd dY;k.k dqy dY;k.k dk ,d Hkkx gS ftls or indirectly into relation with the measuring rod of çR;{k ;k vçR;{k :i ls ekSfæd 'krks± ds :i eas fy;k tkrk money.” Therefore, he explained that economic welfare gSA nwljh vksj] xSj&vkfFkZd dY;k.k dks ekSfæd :i eas O;Dr is a portion of total welfare which is directly or ugha fd;k tk ldrk gAS indirectly taken as the monetary terms. On the other hand, non-economic welfare cannot be expressed in gkykf¡ d] vkfFkdZ dY;k.k dyq dY;k.k dk ,d Hkkx g]S vr% D;k monetary terms. dyq dY;k.k dk lwpd crkus ds fy, i;kZIr gS ;k vkfFkdZ dY;k.k esa o`f) dks dyq dY;k.k esa o`f) ds :i esa ekuk tkrk Nevertheless, economic welfare is a portion of total gS D;kfsa d nksuksa lokyksa ds tokc vke vkneh ds –f\"Vdks.k ls gk¡ welfare, hence is it sufficient to indicate as an index of gks ldrs gS ijUrq ;g lp ugha gSA fu%lansg vkfFkZd dY;k.k esa total welfare? Or does the rise in economic welfare is of` ) dyq dY;k.k dks c<+k,xh D;kfsa d vkfFkZd dY;k.k dyq treated as the rise in total welfare? As the answers to both dY;k.k dk ,d Hkkx gSA ijUrq tc ge bl foLrr` :i esa ns[ksa questions may be yes from a layman‟s point of view but rks gesa irk pyrk gS fd vkfFkZd dY;k.k esa dksbZ Hkh ifjorZu it‟s not true. Increase in economic welfare will increases dqy dY;k.k esa o`f) ugha dj ldrkA the total welfare undoubtedly as economic welfare is a portion of total welfare. But when we observe it vkfFkZd vkSj xSj&vkfFkZd dY;k.k ds e/; fofHkUu lEcU/k ds extensively, we find that any changes in economic welfare dkj.k ,slk gksrk gS D;ksfa d vkfFkZd dY;k.k eas o`f) ls may not increase the total welfare. xSj&vkfFkdZ dY;k.k eas deh vkrh gSA tc vkfFkdZ dY;k.k eas deh dk vuiq kr vkfFkZd dY;k.k dh o`f) ds cjkcj gksrk gS This happens because of inverse relationship between the rks dqy dY;k.k vifjofrZr jgrk gS ;k fLFkj jgrk gSA economic and non-economic welfare as increase in economic gkyk¡fd ,slk Hkh gks ldrk gS fd xSj&vkfFkZd dY;k.k dh welfare causes decrease in non-economic welfare. When the ek=k ?kVrh tk jgh vkfFkZd dY;k.k ls dgh vf/kd gks proportion of decrease in economic welfare is equal to the ftlus iw.kZ dY;k.k fd;k gksA blfy, vkfFkZd dY;k.k dks increase in economic welfare, the total welfare remains lexz dY;k.k dk lwpd ugha ekuk tk ldrkA unchanged or remains stable. While there may be a case where the decreasing proportion of non-economic welfare is 1.7.2. greater than the increasing economic welfare which made the total welfare goes down. Therefore, economic welfare cannot vkfFkZd dY;k.k lef\"V vFkZ’kkL= dh ,d 'kk[kk gS tks be taken as an index of total welfare. dY;k.k dks c<k+ ok nus s vkSj leqnk; eas thou Lrj c<k+ us ij cy nrs h gSA ;|fi lao/kZu vkSj thou&Lrj dks ekiuk 1.7.2. Meaning and Definition of vklku dk;Z ugha gS ijUrq vFkZO;oLFkk eas oLrqvksa ,oa lsokvksa Economic Welfare dk miHkksx djus ij O;fDr;ksa }kjk çkIr larqf\"V ls çkIr Economic welfare is a branch of macro-economic which * emphasizes on the promotion of welfare and raising the standard of living in a community. Though the measurement of promotion and standard of living is not an easy task but can be derived from the satisfaction achieved *

lef\"V vFkZ'kkL= dk ifjp; 69 by the individuals on consuming the goods and services fd;k tk ldrk gSA vFk’Z kkL=] lekt’kkL= rFkk euksfoKku produce in the economy. The term „ethic‟ is widely used tSls fofHkUu fo\"k;ksa esa ^^vkpkj** 'kCn dk ç;ksx O;kid :i ls to denote the „code of conduct‟ in different discipline like vkpkj lafgrk ds :i esa fd;k tkrk gAS tlS k fd og ;g Economics, Sociology, and Psychology. As it explains crkrk gS fd ^^,d eu\"q ; dks dSls gksuk pkfg,A** orZeku le; “how a man should be rather than what he should be”. In esa ^^dY;k.k dks vFk’Z kkL= esa ufS rd igyw ekuk tkrk gSA present days, “WELFARE” is treated as ethical aspect in blfy, ^^dY;k.k** 'kCn dk vFkZ fu/kkZfjr djus ds fy, ;g the economics; hence it is an essential to determine the vko’;d gAS meaning of the term „welfare‟. fofHkUu vFkZ’kkfL=;ksa ds n’kZuksa ds vuqlkj] ^dY;k.k* 'kCn As per the philosophies of different economist the term LokLF;] [kq’kh] O;fDr ;k lewg ds HkkX; vkSj yksxksa ds thou „welfare‟ represents as the health, happiness, fortune of Lrj dks c<k+ ok nus s dh fn’kk eas muds laxfBr ç;klksa ds :i person or group and their organised efforts directed towards eas çfrfuf/kRo djrk gAS fdlh vFkZ’kkL=h ds fy, ;g the promotion of living standard of the people. It is a egÙoiw.kZ fØ;k gS fd og fdlh leqnk; ds dY;k.k dk significant activity for an economist to analyse the welfare fo’ys\"k.k O;fDrijd vkSj oLrqijd fof/k ls djAs of a community in subjective and objective manner. vkfFkZd dY;k.k dk fu/kkZj.k th-Mh-ih- tSls fofHkUu ?kVdksa Economic welfare can be determined through the various rFkk tula[;k ds dY;k.k eas ;ksxnku nus s okys vU; ?kVdksa components like GDP and the other components ds ek/;e ls fd;k tk ldrk gSA blds vU; la?kVd contributed to the welfare of the population. The other lk{kjrk] vfHk;arkvksa dh la[;k] MkWDVjksa dh la[;k] çn\"w k.k ds components could be the literacy, number of engineers, Lrj vkfn gks ldrs gSaA number of doctors, levels of pollution etc. vkfFkdZ dY;k.k 'kCn ,d ,slk lkekU; 'kCn gS ftls ,d ljy The term economic welfare is a general term which is not ifjHkk\"kk ds ek/;e ls ifjHkkf\"kr djuk vklku ugha gS] cfYd ;g easy to define through a simple definition rather it shows n’kkZrk gS fd yksx vFkZO;oLFkk esa fdruh d’q kyrk ls dk;Z dj how efficiently the people are performing in the economy. jgs gaSA lkekU;r% ;g jk\"Vªh; vk; ;k okLrfod thMhih ds Generally, it is measured through the national income or ek/;e ls ekik tkrk gSA mRiknu dh vf/kd ek=k vkSj real GDP. Greater amount of output and increase in real okLrfod vk; esa o`f) ,d vFkZO;oLFkk ds fodkl dh vksj yksxksa income depicts the better performance of people toward ds csgrj çn’kZu dks n’kkZrh gAS muds funfs± ’kr ç;klksa us the development of an economy. Their directed efforts vkfFkdZ dY;k.k dk Lrj c<+k;k vkSj thou Lrj esa lq/kkj fd;kA raised the level of economic welfare and improve the standard of living. fQj Hkh vkfFkdZ dY;k.k jk\"Vªh; vk; ds Lrj ls dgha vf/kd Nevertheless, economic welfare is much more than the gSA pw¡fd thou dh xq.koÙkk vkfFkZd dY;k.k dks ekius ds level of national income. As quality of life is a significant determinant to measures the economic welfare. For fy, ,d egÙoiw.kZ fu/kkZjd gAS ] fdlh example, standard of living of an individual is affected through the different factors like education facilities, O;fDr ds thou Lrj ij f’k{kk lqfo/kkvk]sa LokLF; n[s kHkky health care facilities, and environmental conditions (overcrowding and pollution). lqfo/kkvksa vkSj i;kZoj.k dh fLFkfr ¼vR;f/kd HkhM+ vkSj According to Alfred Marshall, “The economist, like çn\"w k.k½ tSls fofHkUu dkjdksa ds ek/;e ls çHkkfor gksrk gAS everyone else, must concern himself with the ultimate aims of man”. Classical economist thought that the ] ^^vFkZ’kkL=h çR;sd O;fDr dh individual and society will derive maximum advantage in Hkk¡fr] O;fDr ds vafre y{; ds lkFk Lo;a dks fpafrr djuk a regulated market. But later on, the study of economic pkfg,A** ijEijkxr vFkZ’kkfL=;ksa us lkspk fd ,d fofu;fer welfare focuses on the human happiness without causing cktkj esa O;fDr vkSj lekt dk vf/kdre ykHk gksxkA ijUrq any distress to the others. ckn eas vkfFkZd dY;k.k dk v/;;u nlw jksa dks dksbZ d\"V fn, fcuk ekuo lq[k ij dfsa ær gSA 1.7.3. Scope of Economic Welfare 1.7.3. The scope of economic welfare can be determined through vkfFkZd dY;k.k dk {ks= fuEufyf[kr fcUnqvksa ls fu/kkfZ jr the following points: fd;k tk ldrk gS& 1) Economic and Non-Economic Welfare: Somehow, 1) fdlh çdkj both the economic and non economic welfare are vkfFkZd vkSj xSj&vkfFkZd dY;k.k nksuksa ,d&nwljs ls associated to each other. As there is an indirect lEcfU/kr gSA nksuksa ds e/; vçR;{k lEcU/k gksus ds relationship between the two i.e. an increase in the dkj.k vFkZO;oLFkk esa xSj&vkfFkZd dY;k.k esa deh economic welfare reduces the non-economic welfare vkrh gSA blfy, fu%lansg nksuksa dk lEcU/k ,d&nwljs in the economy. Hence, undoubtedly both are related ls gSA to each other. 2) 2) Both Positive as well as Normative Study Explains: The study of economic welfare is both positive and vkfFkZd dY;k.k dk v/;;u * *

70 lef\"V vFkZ'kkL= normative as it describes the economic incidents and ldkjkRed vkSj çkekf.kd gS D;ksfa d ;g vkfFkZd ?kVukvksa normative economics. For example, through positive vkSj ekud vFkZ’kkL= dk o.kZu djrk gSA economics one can understood the reason of unequal distribution of wealth in the economy. While the ldkjkRed vFkZ’kkL= ds ek/;e ls vFkZO;oLFkk esa normative economics would mention the whether the /ku ds vleku forj.k dk dkj.k le>k tk ldrk gSA unequal distribution of wealth is desirable or not. tgk¡ fu;ked vFkZ’kkL= eas crk;k tk,xk fd /ku dk The desirability of unequal distribution depends vleku forj.k okaNuh; gS ;k ughAa vleku forj.k dh upon the analysis of economics welfare. Therefore, okaNuh; vFkZ’kkL= dY;k.k ds fo’ys\"k.k ij fuHkZj djrh economic welfare is the normative economics. In gSA blfy, vkfFkZd dY;k.k fu;ked vFkZ’kkL= gSA blds addition to this positive economics provides the vfrfjDr bl jpukRed vFkZ’kkL= eas lkekU; dkuwu vkSj general laws and concepts on the basis of which fl)kUr fn, tkrs gS ftuds vk/kkj ij vkfFkZd uhfr;k¡ economic policies are formulated. cukbZ tkrh gaSA 3) Individual Welfare as Well as Social Welfare: The 3) economic welfare is also comprised of individual and social welfare. Usually, individual welfare is vkfFkZd dY;k.k esa O;fDrxr vkSj lkekftd concerned with the sum of total satisfaction received dY;k.k Hkh lfEefyr gSA lkekU;r% O;fDrxr dY;k.k by an individual on consuming the goods of services. dk lEcU/k fdlh O;fDr }kjk lsokvksa ds leku dk On the other hand, Social welfare is concerned with miHkksx djus ij iw.kZ larqf\"V ds ;ksx ls gksrk gSA an aggregate of utilities or satisfactions derived by all nwljh vksj] lkekftd dY;k.k lekt esa lHkh O;fDr;ksa individuals in the society. }kjk O;qRiUu mi;ksfxrkvksa ;k larqf\"V ds ;ksx ls lEc) gSA 1.7.4. Measurement of National Income Vs Measurement Economic Welfare 1.7.4. Measurement of economic welfare is the fresh measure to vkfFkZd dY;k.k dk ekiu vkfFkZd dY;k.k dh x.kuk djus calculate the economic welfare. It emphasises on the dk ,d u;k mik; gSA ;g fo’ks\"k vof/k ds nkSjku oLrqvksa consumption of goods and services produce during a vkSj lsokvksa ds miHkksx ij cy nrs h gSA vFkZ’kkL= dY;k.k particular time period. The measurement of economics dk eki fuEufyf[kr vk/kkj ij jk\"Vªh; vk; ds ekiu ls welfare is different to the measurement of national income fHkUu gS& on the basis of the following ground: 1) fofHkUu vkfFkZd ^dfeZ;ks*a dh visf{kr ykxr th-Mh-ih- ls 1) The expected cost of different economic „bads‟ are de gks tkrh gSA reduce from the GDP; 2) ^^vQlksl vko’;drkvk*sa * ij O;; ekiu eas lfEefyr 2) The expenditure on “regrettable necessities” are not ugha gS] vkSj] included in the measurement; and 3) vodk'k ds vuqekfur ykHk vkSj fofHkUu xSj&cktkj 3) The expected advantages of leisure and different non- mRiknd xfrfof/k;ksa ij fopkj fd;k tkrk gSA market productive activities are taken into consideration. 1.7.5. okLrfod th-Mh-ih- ds vfrfjDr] vkfFkZd dY;k.k ds ekiu esa 1.7.5. Measurement of Economic fuEufyf[kr ?kVd lfEefyr gSa& Welfare (MEW) 1) ,d vFkZO;oLFkk ds O;fDr;ksa dks ykHk çnku djus ds In addition to the real GDP, the MEW is comprised of the fy, vodk’k ds le; dk eYw ;] following components: 2) voSrfud dk;Z dk eYw ;] 1) The value of leisure time providing advantages to the 3) okrkoj.k dk udkjkRed ewY; vFkZO;oLFkk ds mRiknu esa individuals of an economy, gkfu igq¡pkrk gSA 2) The value of unpaid work, 3) The negative value of environment damages to the 'kq) vkfFkZd dY;k.k dh x.kuk ds fy, i;kZoj.kh; {kfr dkjdksa output of an economy. dks vkfFkZd dY;k.k dk ekiu ls ?kVk;k tkuk pkfg,A MEW = Value of GDP + Value of Leisure Time + * Value of Unpaid Work Net MEW = Value of GDP + Value of Leisure Time + Value of Unpaid Work – Value of Environmental Damage Net Economic Welfare According to Samuelson and Nordhaus in 1992, the environmental damages factors are needs to be deducted from the MEW to calculate the Net Economic Welfare. *

lef\"V vFk'Z kkL= dk ifjp; 71 The GDP is insufficient to measure the economic ldy ?kjsyw mRikn vkfFkZd dY;k.k dks ekius ds fy, vi;kIZ r welfare as it helps in predicting the national income while it does not include those activities that results gksrk g]S D;kfsa d ;g jk\"Vhª ; vk; dk vkdyu djus esa lgk;rk into welfare. djrk gS] tcfd bu fØ;kvksa esa dY;k.kdkjh fØ;kvksa dks Therefore, following components must be included in the GDP to assess the human welfare in an economy: lfEefyr ugha fd;k tkrk gAS blfy, vFkOZ ;oLFkk esa ekuo 1) Non Market Activities and Leisure Time: dY;k.k dk vkdyu djus ds fy, fuEu ?kVdksa dks ldy According to various economist, non-market activities and leisure time must be included with ?kjsyw mRikn esa lfEefyr fd;k tkuk pkfg,A GDP to find out the economic welfare. The value of non market activities and leisure time must be at 1) fofHkUu their supposed opportunity cost and at the money wage rate respectively. vFkZ’kkL=h] xSj&cktkj fØ;kvksa vkSj fuf\"Ø; le; dks On including the both components, the GDP may rise vkfFkZd dY;k.k dks Kkr djus ds ldy ?kjys w mRikn eas to its double. lfEefyr fd;k tkuk pkfg,A xSj&cktkj fØ;kvksa vkSj i) Leisure Time: It is a significant factor that vodk’k@fuf\"Ø; le; dk eYw ; muds vuqekfur volj influences the economic welfare of an economy. Its impact can be observed through ykxr ij vkSj Øe’k% eqnzk etnjw h nj ij gksuk pkfg,A an example as increase in working hours made the workers unhappy because their leisure nksuksa ?kVdksa dks lfEefyr djrs gq,] th-Mh-ih- bldh diminishes. While on other hand, decrease in the working hours made the workers happy nksxquh gks ldrh gAS because their leisure increases. Therefore, increase or decrease in leisure time impact the i) ;g vFkZO;oLFkk ds vkfFkZd dY;k.k aggregate supply of output in an economy and its value must be included with GDP to dks çHkkfor djus okyk egÙoiw.kZ dkjd gSA tks calculate the MEW. fdlh vFkZO;oLFkk ds vkfFkZd dY;k.k dks ÁHkkfor ii) Non-market Transactions: National income djrk gAS blds çHkko dks does not include the non-market activities. The non market activities can be the service n[s kk tk ldrk gS D;ksfa d dk;Z ds ?kaVksa eas o`f) ds rendered by the housewives toward their children and husbands, in addition to this it dkj.k deZpkfj;ksa dk vodk’k de gks tkrk gSA also comprise of community activities like religious functions etc. nlw jh vksj] dk;Z ds ?kaVksa esa deh us Jfedksa dks [kq’k These activities does not involve any market dj fn;k D;ksfa d muds vodk’k c<+ tkrs gSA transaction hence get excluded from the national income. But the value of such blfy,] vodk’k ds le; eas o`f) ;k deh activities must be included to determine the economic welfare. vFkZO;oLFkk esa mRiknu dh dqy vkiwfrZ dks çHkkfor 2) Reclassification of Government Expenditures: The djrh gS vkSj blds eYw ; dks vkfFkZd dY;k.k ds government final expenditure must be reclassified into different elements like consumption, net ekiu dh x.kuk djus ds fy, th-Mh-ih- ds lkFk investment, and household expenditures. The gross investment made by government may comprise of lfEefyr fd;k tkuk pkfg,A education, medicine and public health expenditures which raised the productivity and yields of household. ii) jk\"Vªh; vk; esa xSj&cktkj fØ;kvksa dks lfEefyr ugha fd;k 3) Consumer Durables: The MEW has quantitative tkrk gSA x`fgf.k;ksa }kjk vius cPpksa vkSj ifr;ksa results on treating the consumer durable as the capital ds çfr dh tkus okyh xSj&cktkj fØ;k,¡ Hkh dh goods. tk ldrh gSA bl ij vlgefr ds lkFk blesa /kkfeZd dk;ks± tSls lkeqnkf;d fØ;kvksa dk 4) Instrumental or Defensive Expenditures: The lekos’k Hkh gksrk gSA bu fØ;kvksa esa dksbZ cktkj expenditure must be classified as instrumental or laO;ogkj lfEefyr ugha gksrk gS blfy, jk\"Vªh; defensive expenditure which may include the costs vk; ls ckgj j[kk tkrk gSA ijUrq vkfFkZd associated to commuting work, and government dY;k.k ds fu/kkZj.k ds fy, ,slh fØ;kvksa ds ewY; services like police, sanitation, road maintenance and dks lfEefyr fd;k tkuk pkfg,A national defence. 2) ljdkj ds vafre O;; * dks miHkksx] 'kq) fuos’k vkSj ?kjys w O;; tSls fofHkUu rÙoksa eas iqufoZHkkftr fd;k tkuk pkfg,A ljdkj }kjk fd;k x;k ldy fuos’k f’k{kk] fpfdRlk vkSj lkoZtfud LokLF; O;; dk lekos’k dj ldrk gS] ftlls mRikndrk vkSj ?kjsyw mit eas o`f) gksA 3) vkfFkZd dY;k.k ekiu ds ek=kRed ifj.kke gS tks miHkksDrk dks iw¡th eky ds :i eas O;ogkj djrs gSaA 4) O;; dk oxhZdj.k midj.kh; ;k j{kkRed O;; ds :i eas fd;k tkuk pkfg,] ftleas ;k=k ds dk;Z eas vkus okyh ykxr rFkk ljdkjh lsok,¡] tSls& iqfyl] LoPNrk] lM+d j[kj[kko rFkk jk\"Vªh; j{kk lfEefyr gSA *

72 lef\"V vFkZ'kkL= 5) Disamenities of Urbanisation: This is also a 5) ;g vkfFkdZ dY;k.k ekiu significant component of MEW. This component is dk Hkh egÙoiw.kZ Hkkx gAS bl ?kVd eas i;kZoj.kh; {kfr comprised of costs associated to environmental ls lEcfU/kr ykxr lfEefyr gSA i;koZ j.kh; {kfr ds damage. The value of environment damage can be eYw ; dk vkdyu vlH;rk çhfe;e ds ek/;e ls fd;k measured through the “disamenity premium” which is tk ldrk gS tks 'kgjh vkSj xzkeh.k {ks=ksa eas jgus okys an expected difference of people living in the urban yksxksa dh vis{kk fHkUu gAS visf{kr ^vlH;rk çhfe;e* th- and the rural areas. The expected “disamenity Mh-ih- ds yxHkx 5% rd gSA premium” is about upto 5% of the GDP. 1.7.6. 1.7.6. Methods of Measurement of Economic Welfare vkfFkZd dY;k.k dks ekius ds fy, fuEufyf[kr lwpdkad The following indexes are the essential methods to fof/k;k¡ vko’;d gSa& measure the economic welfare: 1) Physical Quality Of Life Index (PQLI): Late in 1) 1979 ds var 1979, D. Morris had formulated a compound index esa] us ,d fefJr lwpdkad rS;kj fd;k] known as Physical Quality of Life Index (PQLI). According to him, the indicators are the inputs of ftls thou xq.koÙkk lwpdkad ds uke ls tkuk tkrk development process which are insufficient to reflect the result of development process. Thus, on gSA muds vuqlkj] ladsrd fodkl çfØ;k dk fuos’k observing the underdeveloped nations, these indicators give the description of underdeveloped gS tks fodkl çfØ;k ds ifj.kke dks çfrfcafcr djus industries in the nation. Hence, Morris had merged the three indicators to depict the performance of ds fy, vi;kZIr gSA bl çdkj vfodflr ns’kksa ds individuals. These indicators are: i) Life Expectancy Indicator (LEI) fujh{k.k ls ;s ladsrd ns’k esa de fodflr m|ksxksa ii) Infant Mortality Indicator (IMI) iii) Basic Literacy Indicator (BLI) dk forj.k çLrqr djrs gSaA blfy,] us The above three indicators can be improved through O;fDr;ksa ds çn’kZu dks n’kkZus ds fy, rhu ladsrdksa different methods. Nevertheless, Prof. Morris had taken life expectancy as the indicator to shows the number of dks feyk fn;k FkkA ;s ladsrd fuEu gSa& years an individual expected to live after taking birth while mortality indicates the number of death before i) thou çR;k’kk ladsrd attaining the age of one year. If the figures of life expectancy at the age of one were not present then it ii) f’k’kq eR` ;q nj ladsrd can be workout through formula given for Physical Quality Of Life Index (PQLI). iii) cqfu;knh lk{kjrk ladsrd Measurement of Indicators fofHkUu fof/k;ksa ds ek/;e ls mi;qZDr rhu ladsrdksa eas i) Life Expectant Rate (L.E.I): This indicator lq/kkj fd;k tk ldrk gAS us thou measures the number of years that an individual is expected to be live. According to çR;k’kk dks bl ladsrd ds :i eas fy;k Fkk fd ftu the census of 2011, life expectancy rate was 66.8 years in India. O;fDr;ksa dks tUe yus s ds ckn thfor jgus dh mEehn ii) Infant Mortality Rate (I.M.I): This indicator gS] tcfd eR` ;q nj ,d o\"kZ dh vk;q ls iwoZ eR` ;q dh measures the number of infants dying before attaining the age of one year out of every 1000 la[;k n’kkZrh gSA ;fn ,d o\"kZ dh vk;q esa thou births. According to census of 2011, infant mortality rate was of 47 per 1000 birth. A country çR;k’kk ds vk¡dM+s mifLFkr ugha Fks rks ;g thou with higher infant mortality means that economic development of a nation is in danger. lwpdkad dh HkkSfrd xq.koÙkk ds fy, fn, x, lw= ds iii) Basic Literacy Rate (B.L.I): This indicator ek/;e ls Á;ksx eas ykbZ tk ldrh gSA measures the percentage of those people who had attained the age of 7 years and can read or write i) ;g ladsrd mu dh la[;k dks any one language with a capacity to understand ekirk gS fd fdlh O;fDr dks thfor jgus dh or one who are literate. According to the census mEehn gAS 2011 dh tux.kuk ds vuqlkj thou of 2011, basic literacy rate was about 74.04%. çR;k’kk nj Hkkjr eas 66.8 o\"kZ FkhA * ii) ;g ladsrd çR;sd 1000 tUeksa esa ls ,d o\"kZ dh vk;q çkIr djus ls igys ejus okys f’k’kqvksa dh la[;k dks n’kkZrk gSA 2011 f’k’kq eR` ;q nj 47 çfr 1000 tUe FkhA mPp f’k’kq e`R;q nj okys ns’k dk vk’k; gS fd fdlh jk\"Vª dk vkfFkdZ fodkl [krjs esa gSA iii) ;g ladsrd mu yksxksa ds çfr’kr dks ekirk gS tks 7 o\"kZ dh vk;q çkIr dj pqds gksrs gS rFkk fdlh Hkh ,d Hkk\"kk dks i<u+ s ;k fy[kus dh {kerk dks le> ldrs gS vFkkZr~ tks lk{kj gSA 2011 cqfu;knh lk{kjrk nj yxHkx 74.04% FkhA *

lef\"V vFk'Z kkL= dk ifjp; 73 Measurement of Physical Quality of Life Index mi;qZDr ladsrdksa ds vk/kkj ij çR;sd jk\"Vª ds dk;Z Based on the above mentioned indicators, the fu\"iknu dks 1 ls 100 ds Lrj ds vk/kkj ij vk¡dk x;k performance of every nation is rated on the basis of a gSA 1 jk\"Vª ds detksj fu\"iknu dk ladsr gS tcfd 100 scale of 1 to 100. 1 is indicating the poor performance of loZJs\"B fu\"iknu dk ladsr nrs k gSA a nation while 100 is indicating the best performance. P.Q.L.I.  L.E.I.  I.M.I.  B.L.I. P.Q.L.I is formulated by taking the average of the three 3 indicators on assigning equal weightage to each. Thus, the formula given by Morris David is: thou lwpdkad dh HkkfS rd xq.koÙkk ds ykHk fuEufyf[kr gSa& P.Q.L.I  L.E.I.  I.M.I.  B.L.I. i) 3 tc thou çR;k’kk nj dkQh c<+ tkrh gS rks f’k’kq Advantages of Physical Quality of Life Index e`R;q nj de gksrh gS vkSj lk{kjrk nj dk vuiq kr Following are the advantages of PQLI: cgqr vf/kd gksrk gAS bl çdkj ds ladsrd ns’k ds i) Aspect of Welfare has been Considered: mPp ;k oftrZ dY;k.k dks n’kkZrs gaSA ,d jk\"Vª ftlds fy, ;s ladsrd vPNs og jk\"Vª fodflr jk\"Vª gksxkA When the life expectancy rate is high, infant mortality rate is low and proportion of literacy ii) rate is high, such indicators depict the high or enhanced welfare of a nation. A nation for ;g ljdkj dks jk\"Vª ds orZeku dY;k.k dh which these indicators are good that nation lwpuk nrs h gS vksj og muds }kjk pykbZ tk jgh would be the developed nation. dY;k.kdkjh uhfr;ksa vkSj dk;ZØeksa dh tk¡p dj ldrh gSA bl çdkj bldk lq/kkjkRed dk;Zokgh ii) Helps Government for Analysis: It enables djds la’kks/ku djuk ,d mfpr lk/ku gSA government to know about the existing welfare of a iii) vuds n’s kksa ds e/; rqyuk nation and they can examine the implementation of thou lwpdkad dh HkkSfrd xq.koÙkk ds vk/kkj ij welfare policies and programme undertaken by djus dk ;g mi;qDr lk/ku gSA blls vfodflr them. Thus, it is an appropriate tool to make n’s k dks mRiknd fØ;kvksa ij /;ku nus s vkSj amendments by taking corrective actions. lq/kkjkRed dk;Zokgh djus eas lgk;rk feyrh gSA iv) ;g fdlh jk\"Vª esa iii) Easy to Compare: It is an appropriate tool to dY;k.k ds forj.k dk ekiu djrk gS] tgk¡ jk\"Vª dh make comparison between the various nations on vf/kd tula[;k dks vkfFkZd fodkl ds ykHk ugha the basis of common standard as PQLI. It enable çkIr gks jgs gSa] tc rd fd fdlh jk\"Vª esa mPp underdeveloped nation to focus on the productive thou çR;k’kk vkSj fuEu eR` ;q nj ugha gksrh gAS activities and make corrective actions. v) ;g thou lwpdkad dh HkkSfrd x.q koÙkk dks ekius dk iv) Also Considers Distribution: It measures the ,d vklku vkSj lqfo/kktud rjhdk gS] D;ksfa d distribution of welfare in a nation, where a tux.kuk fjiksVksZ ls lEcfU/kr vk¡dM+ksa dks vklkuh nation cannot hold high life expectancy and ls ,d= fd;k tk ldrk gSA low mortality unless the large population of nation is not receiving the advantages of thou lwpdkad dh HkkfS rd x.q koÙkk dh gkfu;k¡ bl çdkj gSa& economic growth. i) vuds v) Data Required is Easily Available: It is an easy fu/kkZjd rÙp gS] tks thou dh xq.koÙkk dks çHkkfor and convenient method to measure the PQLI as djrs gSa] ij thou lwpdkad dh HkkSfrd xq.koÙkk ds the data related to the indicators can be easily vUrxZr fopkj ugha fd, x,A ;s ?kVd jkstxkj] gathered from the census reports. vkokl] U;k;] lkekftd lqj{kk rFkk ekuo vf/kdkj gks ldrs gSaA Disadvantages of Physical Quality of Life Index ii) ;g The disadvantages of PQLI are as follows: ,d cgqr ljy lwpdkad gS ftleas çR;sd ladsrd i) Many Other Factors have been Ignored: dh cjkcj Hkkj fn;k tkrk gS pkgs og thou çR;k’kk ;k e`R;q nj gks ;k eyw lk{kjrk nj gksA There are many determinants that are affecting gkyk¡fd] leku egÙo ds ihNs rdZ Li\"V ugha gSA the quality of life but had not been considered under the PQLI. These factors can be the * employment, housing, justice, social security as well as human rights. ii) All Factors have been given Equal Importance: It is a very simple index where equal weightage is assigned to every indicator whether it is a life expectancy or mortality or basic literacy rate. Nevertheless, the logic behind the equal weightage is not clear. *

74 lef\"V vFkZ'kkL= iii) Inappropriate to Measure Economic iii) jk\"Vª esa ewy Development: It is not an appropriate tool to ifjorZu ykus dk dksbZ mi;qDr lk/ku ugha gSA indentify the fundamental changes in the nation. blds vfrfjDr ;g foÙkh;] vkfFkZd ;k ekSfæd In addition to this, it is not based on the financial, vo/kkj.kkvksa ij vk/kkfjr ugha gSA blfy, ;g economic or monetary concepts. Therefore, it vkfFkZd fodkl vkSj çxfr dh lgh Nfo ugha does not represent the true picture of economic n’kkZrk gSA development and growth. gkyk¡fd] mijksDr dfe;ksa dk lekos’k vHkh rd Though it comprised of the above mentioned thou lwpdkad dh HkkSfrd xq.koÙkk] vkfFkZd dY;k.k shortcomings yet PQLI is an advance method over dh ikjEifjd fof/k;ksa ds ckjs eas ,d vfxze fof/k gAS the traditional methods of economic welfare. fQj Hkh] ekuo fodkl lwpdkad ÁkjEHk dh xbZ gS Nevertheless, Human Development Index (HDI) is tks thou lwpdkad dh HkkfS rd xq.koÙkk ls dgh introduced which is far much better and superior to csgrj vkSj Js\"B gSA the PQLI. 2) ekuo fodkl lwpdkad dk 2) Human Development Index (HDI): HDI is the foLrkj thou lwpdkad dh HkkfS rd x.q koÙkk dk gS tks extension of PQLI which specify that income is crkrk gS fd vkfFkZd fodkl dks ekius ds fy, ,d ekud immaterial to take as a standard for measuring the ds :i esa vk; dk dksbZ egÙo ugha gS tlS k fd ekuo dh economic growth as higher welfare or happiness of [kq’kh dk vf/kd ls vf/kd mi;ksx vk; ds Lrj ij human is based upon the uses of income which cannot vk/kkfjr gS] ftls vk; ds Lrj ij ugha çkIr fd;k tk be derived through a level of income. Therefore, HDI ldrkA blfy,] ekuo fodkl lwpdkad rhu lwpdkadks ds can be derived through the three indexes which are as ek/;e ls çkIr fd;k tk ldrk g]S tks fuEukulq kj gS& follows: i) nh?kZ thou ;k nh?kZ mez rd thfor jgukA i) Living a long life or Longevity (LEI) ii) 'kS{kf.kd n{krk lwpdkad ij tkudkj gksukA ii) Being knowledgeable on Educational Attainment iii) çfr O;fDr okLrfod vk; ij thou LrjA Index (EAI). iii) Standard of living on Real per capita GDP (SLI). ekuo fodkl lwpdkad dk ekiu vf/kdka’kr% thou lwpdkad dh HkkfS rd xq.koÙkk ds leku gSA ekuo fodkl lwpdkad mi;qZDr Measurement of Human Development Index lwpdkadks dk vkSlr g]S tgk¡ çR;sd lwpdkad dks leku egÙo The measurement of HDI is very much similar to PQLI. fn;k tkrk gAS bldk lw= fuEu gS& HDI is the average of above mentioned indexes where equal weightage is assigned to each index. HDI = (1/3) (LEI + EAI + SLI) The formula is: ekuo fodkl lwpdkad ds fuEufyf[kr ladsrd gSa& 1) nh?kkZ;q thou çR;k’kk lwpdkad dk çfrfuf/kRo HDI = (1/3) (LEI + EAI + SLI) djrh gS tgk¡ çR;sd tUe ds fy, visf{kr thoudky Measurement of Indicators dk fu.kZ; fy;k tkrk gAS Hkkjr dh thou çR;k’kk Following are the indicators of HDI: yxHkx 63 o\"kZ gSA 1) Longevity (LEI): The longevity represents the life 2) ;g lwpdkad ,sls yksxksa dh la[;k dks expectancy index where expected numbers of living ekius eas lgk;rk djrk gS tks lk{kj gS ;k fdlh fo’ks\"k years are decided for every birth. In India, life vk;q ;k fofHkUu f’k{kk Lrjksa rd f’k{kk çkIr dj pqds expectancy is taken as 63 years. gksA 'kfS {kd miyfC/k fuEufyf[kr ekun.M ij vk/kkfjr gks ldrh gS& 2) Educational Attainment (EAI): This index helps i) ;g nj ml O;fDr ds vuiq kr in measuring the number of people who are literate dks ekirh gS ftlus 15 o\"kZ ;k mlls vf/kd vk;q or attained education up to a particular age or the çkIr dj yh gS rFkk tks i<+us&fy[kus ds fy, i;kZIr different education levels. The educational l{ke gSA ;s O;fDr lk{kj ekus tkrs gSA blesa dgk achievement can be based on the following tkrk gS fd çR;sd lk{kj bruk l{ke gksuk pkfg, parameter: fd og jkstejkZ ds thou esa ,d NksVk vkSj ljy i) Adult Literacy Rate (ALR): This rate dFku i<+us esa l{ke gksA dsoy gLrk{kj djus dh measures the proportion of person who has ik=rk O;fDr dks i<+us&fy[kus esa v{ke gksus ij attained the age of 15 or above and competent lk{kj ugha cuk nsrhA blfy, dsoy i<+uk ;k enough to read and write. These people are fy[kuk gh lk{kj Ckuus ds fy, vi;kIZ r gAS gkykf¡ d considered as the literate. It infers that every lk{kjrk tks turk dh xq.koÙkk dk çrhd gAS literate must be competent enough to read and write a short and simple statement in everyday * life. A mere eligibility to sign does not make a person literate if he is incapable to read or write. Therefore, reading only or writing only is insufficient to become a literate. However, literacy is symbolising the quality of people. *

lef\"V vFk'Z kkL= dk ifjp; 75 ii) Gross Enrolment Ratio (GER): This ratio ii) ;g vuqikr f’k{kk ds represents the total number of students enrolled in fofHkUu Lrjksa esa ços’k ysus okys Nk=ksa dh dyq la[;k the various levels of education. It helps in dk çfrfuf/kRo djrk gAS tula[;k dk ;g çfr’kr showing the percentage of population belongs to fn[kkus esa lgk;rk djrk gS fd fofHkUu vk;q oxkZsa dh the different age groups involve in pursuing the f’k{kk ds fy, lfEefyr gAS f’k{kk ds Lrj dks çkFkfed] education. The levels of education are classified ek/;fed vkjS rr` h;d Lrjksa ds #i esa oxhdZ `r fd;k as of primary, secondary and tertiary levels. At x;k gAS çkFkfed Lrj ij] f’k{kk ds ewy RkRoksa dks primary level, basic elements of education are Nk=ksa dks i<+k;k tkrk gAS ek/;fed Lrj dh f’k{kk esa taught to the students. Secondary level of mu Nk=ksa dks lfEefyr fd;k tkrk gS tks gkbLZ dwy ls education is comprised of those students who are ysdj baVjehfM,V rd gksrs gSaA fo’ofo|ky;ksa vkSj at high school to intermediate level. Education egkfo|ky;ksa esa nh tkus okyh f’k{kk dks f’k{kk dk provided at university or colleges is considered as r`rh;d Lrj ekuk tkrk gSA bl çdkj çkFkfed] the tertiary level of education. Thus, the students ek/;fed vkSj fo’ofo|ky; Lrj dks f’kf{kr djus educating at primary, middle, secondary and okys Nk=ksa dks ldy ukekadu vuiq kr ds #i esa tkuk university level are shown through the ratio tkrk gSA thou dh mPPk x.q koÙkk rc xzg.k dh tkrh known as Gross Enrolment Ratio. Higher gS tc ldy ukekadu vuiq kr mPp gksrk gAS quality of life is assumed when GER is higher. 1) ÁkFkfed Lrj Ldwy ds fy, ldy ukekadu vuqikr Lrj& 1) GER for Primary School- ÁkFkfed Lrj ij ukekadu Enrolment in Primary Level ÁkFkfed Lrj ds fy, vf/kdkfjd vk;q oxZ × 100 Population of official age group for × 100 dh tula[;k Primary Level 2) f}rh; Ldwy ds fy, ldy ukekadu vuqikr& 2) GER for Secondary School- f}rh; Lrj ij ukekadu Enrolment in Secondary Level ÁkFkfed Lrj ds fy, vf/kdkfjd vk;q oxZ × 100 Population of official age group for × 100 dh tula[;k Secondary Level 3) thou 3) Real GDP Per Capita or Standard of Living Lrj n’s k dh çfr O;fDr vk; ;k thou Lrj dks bafxr (SLI): SLI helps in indicating the per capita djus eas lgk;rk djrk gSA ;g ekuo fodkl lwpdkad income or standard of living of a nation. It is dks ekius ds fy, egÙoiw.kZ ?kVd gSA okLrfod thMhih significant component to measure the HDI. Real çfr O;fDr vk;] vkSlr vk; gS] tks ,d fo’ks\"k {ks= eas GDP per capita income is the average income that çfr O;fDr }kjk vftZr vkSlr vk; ds #i eas ekik is measured as the average income earned per tkrk gS] tks ,d foÙkh; o\"kZ ds nkSjku 'kgj] {ks= ;k n’s k person in a particular area which could be a city, gks ldrk gAS bldh x.kuk {ks= dh dqy vk; dks bldh region or country during a financial year. It is dqy tula[;k eas foHkkftr djds dh tkrh gSA simply calculated by dividing the area's total income to its total population. ekuo fodkl lwpdkad egÙoiw.kZ gS D;ksfa d ;g jk\"Vªh; vk; eas o`f} ls dkQh vf/kd gSA ekuo fodkl lwpdkad Advantages of Human Development Index ds ykHk fuEukuqlkj gaS& HDI is significant because it is much more than the i) ;g vkfFkdZ fodkl ;k of` ) ds vfUre ifj.kkeksa dks increase in national income. The advantages of HDI are as follows: ekius esa lgk;rk djrk gSA vkfFkdZ fodkl ds i) It helps in measuring the end results of economic vfUre ifj.kkeksa eas ekuo fLFkfr esa fodkl ds vkjS vFkZO;oLFkk esa jgus okys yksxksa ds fy, oSdfYid #i growth or development. End results of economic ls miyC/k fodYiksa esa of` ) lfEefyr gks ldrh gAS growth may comprise of development in human ii) csgrj ekuo fodkl yksxksa dks csgrj f’k{kk lqfo/kk,¡ situation and the increases in alternative available miyC/k djkus ds fy, lqfuf’pr djrk gSA tc to the people living in the economy. yksx f’kf{kr gks tkrs gSa rks os NksV&NksVs ifjokjksa ds egÙo dks tkurs gSa ftlds dkj.k os tula[;k o`f) ii) Better human development ensures better ij fu;a=.k ds fy, n`<+ gks tkrs gSA nlw jh vksj education facilities available to the people. When csgrj LokLF; lqfo/kkvksa ds lkFk f’k’kq eR` ;q nj more people get educated, they know the U;wure gks tkrh gSA importance of small families which made them iii) Ekuo fodkl dh c<+h gqbZ {kerk LokLF;] f’k{kk vkSj convinced to control on the population growth. iks\"k.k tSlh lqfo/kkvksa eas o`f) dks n’kkZrh gSA varr% On the other hand with the better health facilities blh dkj.k ls Jfedksa dh dk;Z{kerk vkSj the infant mortality rate get reduce to minimum. mRikndrk eas of` ) gksrh gAS iii) Increased efficiency of human development * denotes the enhancement in the amenities like health, education and nutrition. It ultimately results in escalating the efficiency and productivity of a labour. *

76 lef\"V vFkZ'kkL= iv) Better utilisation of resources is based on the iv) lalk/kuksa dk csgrj mi;ksx ekuo dh vf/kd n{krk ij greater efficiency of human. When the efficiency vk/kkfjr gAS tc Je dh dk;Z{kerk esa o`f) gqbZ rks of labour increased, the utilisation of other vU; lalk/kuksa ds mi;ksx esa vius vki of` ) gks xbZA resources automatically increased. v) f’kf{kr yksxksa dks mi;qDr vf/kdkj çnku fd, x,A v) The educated people granted with appropriate mUgsa vius vkidks nxa k] vkrda okn] MdSrh] pksjh] rights. They do not involve themselves in anti-social uDlyokn] fj’or[kksjh tSlh lekt fojks/kh fØ;kvksa activities like riot, terrorism, robbery, theft, bribery eas lfEefyr ugha fd;k tkrkA blfy, lekt csgrj etc. Therefore, the society becomes the better and vkSj lqjf{kr thou thus dk LFkku cu tkrk gSA safe place to live. vi) f’kf{kr O;fDr i;kZoj.k ds laj{k.k dh vo/kkj.kk vkSj vi) The educated people understand the concept of HkhM+ ds vf/kd gksus] ouksa dh dVkbZ] Hkkjh conservation of environment and the negative vkS|ksfxdhdj.k] çnw\"k.k vkfn ds udkjkRed çHkko impact of overcrowd, deforestation, heavy dks le>rs gAS i;kZoj.k ds çfr mudh tkx:drk industrialisation, over pollution etc. Their us mUgsa i;kZoj.k dks cpkus ds fy, ,d mÙkjnk;h awareness toward environment made them a O;fDr cuk;kA responsible person to save the environment. ekuo fodkl lwpdkad dh dqN gkfu;k¡ fuEufyf[kr Disadvantages of Human Development Index gaS&tks bl Ádkj gS& The HDI has certain shortcomings which are as i) fofHkUu vFkZ’kkfL=;ksa us ekuo fodkl lwpdkad dh follows: i) Many economists criticised the HDI because it vkykspuk dh] D;kfas d blesa f’k’kq e`R;q] iks\"k.k] lqj{kk vkfn tSls fofHkUu ladsrdksa dh deh gSaA ,sls lHkh lack the different indicators like infant mortality, ladsrdksa dk thou Lrj ij vf/kd çHkko gks ldrk gSA nutrition, security etc. All such indicators may have major effect on the quality of life. ii) ekuo fodkl lwpdkad vkSlr dk ifj.kke gS tgk¡ n’s k dh iwjh tula[;k dks vkSlr dh x.kuk ds fy, ii) HDI is the outcome of average where the entire ekuk tkrk gSA ijUrq yksxksa eas vk; dk vleku population of a country is considered for forj.k iw.kZr;k ls vuns[kk dj fn;k x;k gAS calculating the average. But the unequal gkyk¡fd] ekuo fodkl lwpdkad eas lEiw.kZ tula[;k distribution of income among the people is dks ,d leku yksxksa dk lewg ekuk tkrk gSA completely overlooked. However, in HDI the entire population is taken as the group of iii) us homogenous people. ekuo fodkl lwpdkad dks viw.kZ lwpdkad ekuk gS] D;ksafd ekuo fodkl ds fefJr lR; dks iii) Prof. Amartya Sen, a Nobel Laureate, fo’okl ugha gSA considered HDI as the imperfect index because the compound truth of human development is iv) çR;sd ladsrd dks lkSis x, Hkkj dks euekuk ;k represented through a simple figure of a number folaxr dgk x;k gS] D;kfsa d lHkh ladsrd leku which is not reliable. Hkkjkad ds v/khu gksrs gSa tks okLrfod fo’o esa O;kogkfjd ugha gksrk gSA iv) The weightage assigned to each indicator is arbitrary or illogical as all indicators are 3) O;fDr;ksa dk thou Lrj subjected to equal weightage which is not Hkh xq.koÙkk lwpdkad ds ek/;e ls fu/kkZfjr fd;k tkrk practical in real world. gSA ;g jk\"Vªh; vkSj çfr O;fDr vk; tSls nks egÙoiw.kZ ?kVdksa ds dkj.k çHkkfor gksrk gSaA buds lkFk&lkFk vU; 3) Quality of Life Index (QLI): The standard living of ckrksa dks Hkh egÙoiw.kZ le>k tkrk gS] tSls& miHkksx] people is also determined through the quality life index. mRiknu] LokLF;] i;kZoj.k] f’k{kk Lor=a rk] lqj{kk] It is affected because of two significant factors like vfgalk 'kkafriw.kZ okrkoj.k vkfn dkjd ÁR;{k ;k vÁR;{k national and per capita income. Together with these :i ls thou dh xq.koÙkk dks ÁHkkfor djrs gSA factors other factors are also considered significant like consumption, output, health, environment, education, mi;ZDq r rjhdksa ls ;g fu\"d\"kZ fudkyk tk ldrk gS fd yksxksa freedom, security, non-violence peaceful atmosphere ds dY;k.k dk vkdyu djus ds fy, ?kVd vi;kIZ r gSA blds etc. such factor directly or indirectly impacting the lkFk gh] blesa ;g Hkh fu\"d\"kZ fudkyk x;k gS fd jk\"Vhª ; vk; Quality of life. vkfFkdZ dY;k.k dk lgh çfrfuf/kRo ugha gAS blfy, ;g fopkj djuk egÙoiw.kZ gks tkrk gS fd thou lwpdkad dh xq.koÙkk dk Through the above mentioned methods, it can be concluded fu/kkjZ .k djus ds fy, dY;k.k ds lHkh ?kVdksa dks ,d lkFk that a single factor is insufficient to measure the welfare of fd;k tkuk pkfg,A ijUrq opS kfjd vkjS lakf[;dh; vk¡dMks dh the people. Along with this, it also concludes that national tfVyrk ds dkj.k ;g dk;Z ljy ugha gAS blfy, lwpdkad eas income is not the true representation of economic welfare. O;fDr ds thou dh x.q koÙkk fu/kkZfjr djus okys dqN lkekftd Therefore, it becomes important to consider that all factors dkjd lfEefyr gks ldrs gaSA of welfare should be taken together to determine the quality of life index. But it is not an easy task due to complexity of * conceptual and statistical data. Hence, index may include the certain social factors that determine the quality of life of an individual. *

lef\"V vFk'Z kkL= dk ifjp; 77 1.7.7. Factors Influencing Economic 1.7.7. Welfare vkfFkZd dY;k.k dks çHkkfor djus ds fy, fuEufyf[kr ?kVd Following factors are responsible for affecting the mÙkjnk;h gSa& economic welfare: 1) okLrfod vk; ÁR;{k :i ls fdlh ns’k 1) Real Income: The real income directly impacting the dh visf{kr miHkksx dks çHkkfor djrh gS] tSls& vf/kd expected consumption of a country. As more income vk; miHkksx vkSj blds foijhr gksrh gSA leads to more consumption and vice-versa. 2) jkstxkj dh laHkkouk csjkstxkjh ij 2) Employment Prospects: The employment prospects gqbZ Ykkxr ls lEcU/k gks ldrh gS tks n’s k ds ldy may be associated to the costs incurred on ?kjys w mRikn dks egÙoiw.kZ #i ls çHkkfor djrh gSA unemployment that significantly influence the GDP of a country. 3) dk;Z larqf\"V dk Lrj] deZpkjh }kjk fd, x, ç;klksa ls çR;{k #Ik ls lEcfU/kr gksrk gSA pw¡fd 3) Job Satisfaction: The level of satisfaction at work is vlarq\"V Jfedksa dh rqyuk eas çsfjr vkSj larq\"V Jfed directly related to the efforts made by the worker. As vf/kd mRiknd gksrs gSA motivated and satisfied workers are more productive as compare to the unsatisfied workers. 4) mPp vk; okys yksx ega xs edku eas jgrs gSa tks muds dY;k.k dks de djrs gS tcfd mUgksus vius 4) Housing: The people with high income reside in miHkksx ds O;; dks iwjk djus ds fy, miHkksx esa dVkSrh expensive house which decrease their welfare as dhA blfy,] vkfFkZd dY;k.k ds fy, vPNs vkSj lLrs they started cutting down their consumptions to vkokl Hkh vko’;d gaSA meet their housing expenses. Therefore, good and inexpensive housing is also essential for economic 5) thou dh xq.koÙkk esa lq/kkj ds fy, csgrj f’k{kk welfare. lqfo/kk,¡ egÙoiw.kZ gSaA 5) Education: Better education facilities are important 6) jk\"Vª dks for improving the quality of life. LoLF; cukus vkSj yksxksa ds thou Lrj eas lq/kkj ykus ds fy, vPNh LokLF; n[s kHkky lqfo/kk,a vfuok;Z gSA 6) Life Expectancy and Quality of Life: Better fdlh O;fDr dh thou nj esa o`f) health care facilities are essential for making a ;k eksVkis dk Lrj ;k /kweziku de gks tkrk gS ;k eqR;q nation healthy and improve the life style of the nj eas deh vkrh gSA people. For example, the life expectancy of an individual increase or levels of obesity or smoking 7) ;g çd`fr eas iw.kZ #i ls reduce or decrease in mortality rate etc. çkekf.kd gS] D;ksfa d yksxksa ds e/; [kq’kgkyh ds Lrj esa o`f) ls vkfFkZd dY;k.k esa Hkh o`f) gksrh gSA 7) Level of Happiness in Nation: It is complete normative in nature, as the increase in the level of 8) vkfFkZd of` ) dk udkjkRed çHkko iM+ ldrk happiness among the people increases the economic gS D;kfsa d blls çnw\"k.k dk Lrj c<+ tkrk gSA tks varr% welfare also increases. yksxksa ds LokLF; vkSj thou Lrj dks çHkkfor djrk gSA 8) Environment: Economic growth may have negative 9) vf/kd etnwjh Jfed dks ml le; impact because it raises the level of pollution which is çsfjr ugha djsxh tc og vf/kd dk;Z le; eas fuos’k ultimately affects the health and living standard of dj jgk gksA bl çdkj] etnjw h vkfFkdZ dY;k.k dks people. c<k+ us ds fy, vodk’k dk le; cukus ds fy, mi;qDr gksuk pkfg,A 9) Leisure Time: Higher wages may not motivate the labour when he is investing more working hours. 1.7.8. Thus, the wages must be appropriate to makes the vkfFkZd dY;k.k dk egÙo fuEufyf[kr gS& leisure time to increase the economic welfare. 1) ljdkj }kjk eYw ; fu/kkZj.k vkSj dqy 1.7.8. Importance of Economic Welfare vkiwfrZ ¼mRiknu½ ds cukbZ xbZ uhfr;k¡ vFkZO;oLFkk esa lkekftd dY;k.k dks c<+kus ds fy, i;kIZ r #i ls l{ke Following are the importance of economic welfare: gksuh pkfg,A 1) Pricing: The policies created by the government for 2) ,d vFkZO;oLFkk pricing and total supply (output) must be efficient eas varjkZ\"Vªh; O;kikj ¼O;kikj eqDr jk\"Vª½ rFkk ?kjys w enough to escalate the social welfare in the O;kikj dh fofo/k uhfr;k¡ gksrh gSA vr% ,slh uhfr;k¡ economy. bruh l{ke gksuh pkfg, fd os lekt dY;k.k dk ykHk mBk ldsA 2) Trade Policy on International Trade: An economy has different policies for international trade (trade free * nation) and domestic trade. Hence, such policies must be efficient enough to take advantage of social welfare. *

78 lef\"V vFkZ'kkL= 3) Policy Regarding Monopoly versus Competition: 3) An economy with monopoly organisations has low economic welfare while in free competition market; ,dkf/kdkj laxBuksa okyh vFkZO;oLFkk esa de the welfare of economy goes up. vkfFkZd dY;k.k gksrk gS] tcfd eqDr çfrLi/kkZ cktkj esa vFkZO;oLFkk dk dY;k.k c<+ tkrk gAS 4) Taxation Policy: It has been observed that direct taxes like income and wealth taxes are more supportive to 4) ;g ns[kk x;k gS fd çR;{k dj tlS s vk; maintain the maximum level welfare while the indirect vkSj /ku dj vf/kdre Lrj dY;k.k dks cuk, j[kus esa taxes like sales tax; excise duty, GST do not provide lgk;d g]S tcfd vçR;{k dj tlS s fcØh dj] lhek 'kqYd] such support. oLrq ,oa lsok dj ,sls leFkZu çnku ugha djrs gSaA 5) National Income: It has been observed that 5) ;g ns[kk x;k gS fd jk\"Vhª ; vk; vkSj national income and economic welfare are directly vkfFkZd dY;k.k çR;{kr% ,d&nwljs ls lEcfU/kr gSA tSlk related to each other. As increased national income fd c<+rh gbq Z jk\"Vªh; vk; vU; lUnHkksaZ esa vf/kd vkfFkZd contribute to greater economic welfare and vice- dY;k.k vkSj rFkk vU; fLFkfr esa blds foijhr esa ;ksxnku versa in other case. nsrh gSA 6) Socialist Ideology: Greater economic welfare helps 6) vf/kd ls vf/kd vkfFkZd in building up strong social ideas and thoughts dY;k.k ,sls l’kDr fopkjksa ds fuekZ.k eas lgk;rk djrk which are used to influence others to increase the gS] ftudk mi;ksx lkekftd dY;k.k dks c<k+ us ds fy, social welfare. nlw jksa dks çHkkfor djus ds fy, fd;k tkrk gSA 1.8. EXERCISE 1.8. 1.8.1. Short Answer Type Questions 1.8.1. 1) Discuss the concept of Macro-Economics. 1) lef\"V vFkZ’kkL= dh vo/kkj.kk ij ppkZ dhft,A 2) Differentiate micro and macro economics. 2) O;f\"V vkSj lef\"V vFkZ’kkL= esa vUrj crkb,A 3) What do you understand by the analysis and 3) vkfFkZd xfrfof/k ds fo’ys\"k.k vkSj ekiu ls vki D;k le>rs g\\Sa 4) vFkZO;oLFkk esa vk; ds pØh; çokg esa fudklh vkSj measurement of economic activities? 4) What is meant by withdrawals and injections in circular vç{ksi.k ls D;k vk’k; gS\\ 5) jk\"Vªh; vk; ys[kkadu ij ,d laf{kIr fVIi.kh fyf[k,A flow of income in an economy? 6) jk\"Vªh; vk; dh vo/kkj.kk ,oa ifjHkk\"kk dk o.kuZ dhft,A 5) Write a short note on National income accounting. 7) jk\"Vªh; vk; ds ekiu ds egÙo dh O;k[;k dhft,A 6) Describe the concept and definition of national income. 8) vkfFkdZ dY;k.k dh ifjHkk\"kk ds lkFk&lkFk blds {ks= dks 7) Explain the importance of measurement of national income. 8) State the definition of economic welfare along with its crkb,A 9) vkfFkZd dY;k.k ds ekiu dks Li\"V dhft,A scope. 9) Elucidate the measurement of economic welfare. 1.8.2. 1.8.2. Long Answer Type Questions 1) lef\"V vFkZ’kkL= dh vo/kkj.kk ls vki D;k le>rs gSa\\ blds egÙo vkSj lhekvksa dks le>kb,A 1) What do you understand by the concept of Macro- economic? Explain its importance and limitations. 2) fofHkUu lef\"V&vkfFkZd fojks/kkHkk\"kk D;k gaS\\ bueas ls fdlh Hkh nks dk o.kZu dhft,A vFkZO;oLFkk ds O;ogkj dks lexz 2) What are various macro-economic paradoxes? Explain #i ls le>us ds fy, ;s fojks/kkHkkl O;f\"V vkfFkZd any two of these. How do these paradoxes limit the fl)kUrks dh ç;ksT;rk dks dSls lhfer djrs gSa\\ applicability of microeconomic theories to explain the behaviour of economy as a whole? 3) fuEufyf[kr ij ,d laf{kIr fVIi.kh fy[k&sa i) etnwjh&jkstxkj fojks/kkHkklA 3) Write a short note on the following: ii) cpr dk fojks/kkHkklA i) Wage-employment paradox. ii) Paradox of thrift. 4) vk; vkSj O;; ds pØh; çokg dks foLrkjiwoZd le>kb,A 5) okLrfod vkSj ukeek= th-Mh-ih- ds e/; varj Li\"V 4) Explain the circular flow of income and expenditure in detail. dhft,A jk\"Vªh; vk; ls O;fDrxr vk; vkSj ç;ksT; vk; dh x.kuk dSls dh tk ldrh gS\\ ,d mnkgj.k dh 5) Differentiate between real and nominal GDP. How can lgk;rk ls le>kb,A personal income and disposable income be calculated 6) jk\"Vªh; vk; ds fofHkUu ?kVdksa dks foLrkj iwoZd crkb,A from national income? Explain with the help of an 7) fuEufyf[kr ij ,d fVIi.kh fyf[k,A& example. i) jk\"Vªh; ys[kkadu dk mi;ksxA ii) jk\"Vªh; vk; ds ekiu esa dfBukb;k¡A 6) Elaborate the various component of national income in 8) jk\"Vªh; vk; dh ekiu fof/k;ksa ij ppkZ dhft,A blds detail. ekiu esa D;k dfBukb;k¡ gSa\\ 9) vkfFkdZ dY;k.k ds ekiu fof/k;ksa dh O;k[;k dhft,A 7) Write a note on the following: i) Uses of national accounting. * ii) Difficulties in measurement of national income. 8) Discuss the methods of measuring national income. What are the difficulties in measuring it? 9) Explain the methods of measurement of economic welfare. *