Unit IIIndian Economy

1. An overview of Economic Resources of India,

2. Human Resources of India: Concept of Population

Explosion,

3. Interrelation of Population and economic development,

4. Population policy of India, Problem of Unemployment in

India.Prepared by:-

Dr. Waqar Ahmad Asstt. Professor

Allenhouse Business School

An overview of Economic Resources of India

Resources are generally defined as all those

things available in Man's physical on which he

depends for the satisfaction of some want or

the other.

A Natural Resource is anything found by man in

his natural environment that he may in some

was utilize for his own benefit.

An overview of Economic Resources of IndiaThe type of resources available , its quantity, its

distribution within the different parts/regions of

a country determine to a considerable extent

the type and scale of industries that can be

developed.

1. Land Resources2. Forest Resources3. Water Resources4. Mineral Resources

An overview of Economic Resources of India1. Land Resources

a) Area and utilizationb) Non-Viable of Land utilizationc) Suggest remedies

2. Forest Resourcesa) Benefits from forestb) Indirect Benefitsc) Government policyd) Measurese) Afforestation programme

3. Water Resourcesa) Water Resources Potentialb) Ground Waterc) Surfaced) National Water Policy

4. Mineral Resourcesa) Mineral Resources of the

countryb) Iron Corec) Ferro alloysd) Non-ferrous Mineralse) Government policyf) Mines and minerals

(Development regulations) ( Amendment Ordinance 2015)

InfrastructureEconomy of different countries grows at

different rate, its possible because

agriculture, industrial sector and its

service sector have different growth

rates, which directly depends on the

infrastructure provide in various sectors.

Components of Economic Infrastructure1. Transport

a) Railway Transport

b) Water Transportc) Air transport

2. Communication3. Power4. Irrigation5. Science &

Technology

6. Financial Institutions

7. Coal8. Oil & Gas9. Postal Service

Concept of PopulationThe population of India was around 361 million

during the census of 1951. It reached over 1.21

billion during the census of 2011. Population is play

a very imp. Factor for economic growth and its

development of a country

According to Prof. Whipple, A nation’s true wealth is not in its land and water,

not in its forest and mines, Not in its flocks and

hards, not in its dollars but in its wealthy, happy

men, women and children

The three stages of Demographic TransitionAccording to the theory of demographic transition, every country passes through three stages of demographic transition. These stages are empirically verifiable.

1. Both birth and death rates are high. Hence,

population remains more or less stable.

2. Rapid growth of population because despite

substantial reduction in the mortality rate there is

no corresponding decline in the birth rate.

3. The birth rate declines significantly and thus the

rate of population growth remains low.

Population till 2016

India’s Population size and growth trends1. Size of population

A. 121.09 Crore

2. Rate of Population growth A. 1941-51 1.96%B. 1951-61 2.20%C. 1961-71 2.21%D. 1990 2.16%E. 1996-2016 1.84%F. 2001-2011 17.71%

3. Birth and Death Rates B/R D/RA. 1950-51 39.9 24.7B. 1960-61 41.7 22.8C. 1970-71 36.9 14.9D. 1980-81 33.9 12.5E. 1990-91 29.5 9.8F. 2000-01 25.5 8.4G. 2013 21.4

India’s Population Future

1. Absolute level of production

2. Regional pattern

3. Fertility and mortality

4. Double Burden of disease

5. Urbanization Projections

6. Consequences for Economic Growth

7. Pressure on Environment

8. Political and administrative challenges

Cause of the Rapid Growth of Population1. Elimination of Famines2. Control of epidemics and decline in the incidence of malaria

and tuberculosis3. Other factors

Cause of High Birth Rate1. Economic Factors

1. Predominance of agriculture2. Slow urbanization process and predominance of

villages3. Poverty

2. Social Factors1. Near universality of marriage2. Lower age at the time of marriage3. Religious and social superstitions4. Joint family system5. Lack of education

Interrelation of Population Economic Development

According to Ashok Mehta“Population growth is like a thief in night which robs all

the success of economic growth”

Population Growth is an obstacle

Divide in three categories are,

1. Population growth and the declining land man ratio

2. Population growth and capital formation

3. Other factors of population growth

Interrelation of Population Economic Development

1. Population growth and the declining land man ratio

According to the 2011 census, the density of population in the

country in 382 sq.km as against 117 per sq.km. in 1951.

2. Population Growth and capital formation

In a rapid growing population makes increase demand on

resources for unproductive purpose and thus hinders capital

accumulation. And since is assumed to be a function of capital

accumulation, it is quite logical to infer from the fact that in a

country like India, where rate of population growth continues

to be high, much development would not materialistic

Interrelation of Population Economic Development

3. Other factors effects of population growtha) Adverse impact on employments situation

b) Adverse impact on per capita income

c) Shortage and import of food grains

d) Adverse impact of feeding growing population

e) Prevents change in occupational distribution

of population

Interrelation of Population Economic Development

Population Growth is not a Obstacle1. The problem is not population growth but, rather other issues2. Population growth us is a false issue deliberately created by dominant rich-country agencies and institution to keep the less developed countries in their underdeveloped, dependent condition.3. For many developing countries and regions population growth is, in-fact, desirable.

Remedies for population Explosion Development

Economic Measurea) Expansion of the industrial sector

b) Creation of employment opportunities in urban areas

c) Equitable distribution of income and removal of poverty

Social Measuresd) Education

e) Improving the status of woman

f) Raising the minimum

Family Planning Programme

Population PolicyPopulation policy which aims at reducing the birth rate and ultimately stabilising the growth rate of population.

Objective of population policyTo achieve stable population at al level consistent with the requirement of sustainable economic growth, social development and environmental protection. Several policies have been formulated in different five yrs. plans by the govt. of India for population control.

Population Policy

Population Policy

Population Policy