Topic 22: Growth, Development, HDI, Climate Change

Study Material

Paper Paper I

Unit 2

1. Economic Growth vs Development - Economic growth is a quantitative increase in GDP/GNP - Economic development is broader — structural change, improved living standards, human well-being - Growth is a necessary but not sufficient condition for development
2. India GDP 2024–25 (Advance Estimate) - GDP at current prices: ₹324.11 lakh crore - Real GDP growth rate: 6.4% in 2024–25 - Fastest-growing major economy for the third consecutive year
3. Human Development Index (HDI) - Published annually by UNDP since 1990 - Three dimensions: life expectancy, education (mean + expected years), GNI per capita (PPP) - India ranked 134th out of 193 in HDI 2023 (value: 0.644) — "Medium Human Development"
4. Sustainable Development - Brundtland Commission (1987): "Development that meets present needs without compromising future generations" - India adopted Agenda 2030 with 17 SDGs in September 2015
5. India's NDC to UNFCCC (Updated 2022) - Reduce GDP emissions intensity by 45% by 2030 (from 2005 levels) - Achieve 50% cumulative electric power from non-fossil sources by 2030 - Create carbon sink of 2.5–3 billion tonnes CO₂ equivalent through forest cover by 2030
6. Paris Agreement (2015) - Ratified by India in October 2016 - Limits global temperature rise to well below 2°C above pre-industrial levels; pursues 1.5°C - India committed to net-zero emissions by 2070
7. Environmental Degradation in India - Deforestation: ~1.5 lakh ha forest lost per year - Soil degradation: 32% of total land area is degraded - Groundwater depletion: 21 states have water-stressed districts - Air pollution: 14 of 20 most polluted cities globally are in India
8. Mission LiFE (Lifestyle for Environment) - Launched by PM Modi at COP26, November 2021 - Promotes mindful consumption to fight climate change as a global movement - Formally launched as a programme in 2022
9. Capability Approach and MPI - Amartya Sen's Capability Approach and Mahbub ul Haq's HDI framework (1990) shifted discourse from income-centric to human-centric - Multidimensional Poverty Index (MPI) — published by UNDP-OPHI - Measures poverty across 10 indicators in 3 dimensions (health, education, living standards)
10. Green GDP - Accounts for environmental costs by subtracting resource depletion and pollution damage from conventional GDP - India's ENVIS (Environmental Information System) and NSO work on natural capital accounting frameworks
11. India's Climate Action Milestones - Solar capacity: 89.9 GW (March 2025) - Total renewable energy capacity: 220+ GW (April 2025) - FAME India Phase-II (2019) promotes electric vehicles - National Green Hydrogen Mission (2023): targets 5 MMTPA green hydrogen by 2030
12. Inclusive Growth - Theme of the 12th Five Year Plan (2012–17) - Ensures benefits of growth reach all sections — particularly the poor, marginalized, and rural - NITI Aayog's SDG India Index (published annually) tracks state-wise progress on all 17 SDGs

Key facts

India GDP 2024–25 (Advance Estimate) — GDP at current prices: ₹324.11 lakh crore — Real GDP growth rate: 6.4% in 2024–25
Human Development Index (HDI) — Published annually by UNDP since 1990
Sustainable Development — Brundtland Commission (1987): "Development that meets present needs without compromising future generations"
India's NDC to UNFCCC (Updated 2022) — Reduce GDP emissions intensity by 45% by 2030 (from 2005 levels)
Paris Agreement (2015) — Ratified by India in October 2016

Key Points at a Glance

1
Economic Growth vs Development
- Economic growth is a quantitative increase in GDP/GNP
- Economic development is broader — structural change, improved living standards, human well-being
- Growth is a necessary but not sufficient condition for development
2
India GDP 2024–25 (Advance Estimate)
- GDP at current prices: ₹324.11 lakh crore
- Real GDP growth rate: 6.4% in 2024–25
- Fastest-growing major economy for the third consecutive year
3
Human Development Index (HDI)
- Published annually by UNDP since 1990
- Three dimensions: life expectancy, education (mean + expected years), GNI per capita (PPP)
- India ranked 134th out of 193 in HDI 2023 (value: 0.644) — "Medium Human Development"
4
Sustainable Development
- Brundtland Commission (1987): "Development that meets present needs without compromising future generations"
- India adopted Agenda 2030 with 17 SDGs in September 2015
5
India's NDC to UNFCCC (Updated 2022)
- Reduce GDP emissions intensity by 45% by 2030 (from 2005 levels)
- Achieve 50% cumulative electric power from non-fossil sources by 2030
- Create carbon sink of 2.5–3 billion tonnes CO₂ equivalent through forest cover by 2030
6
Paris Agreement (2015)
- Ratified by India in October 2016
- Limits global temperature rise to well below 2°C above pre-industrial levels; pursues 1.5°C
- India committed to net-zero emissions by 2070
7
Environmental Degradation in India
- Deforestation: ~1.5 lakh ha forest lost per year
- Soil degradation: 32% of total land area is degraded
- Groundwater depletion: 21 states have water-stressed districts
- Air pollution: 14 of 20 most polluted cities globally are in India
8
Mission LiFE (Lifestyle for Environment)
- Launched by PM Modi at COP26, November 2021
- Promotes mindful consumption to fight climate change as a global movement
- Formally launched as a programme in 2022
9
Capability Approach and MPI
- Amartya Sen's Capability Approach and Mahbub ul Haq's HDI framework (1990) shifted discourse from income-centric to human-centric
- Multidimensional Poverty Index (MPI) — published by UNDP-OPHI
- Measures poverty across 10 indicators in 3 dimensions (health, education, living standards)
10
Green GDP
- Accounts for environmental costs by subtracting resource depletion and pollution damage from conventional GDP
- India's ENVIS (Environmental Information System) and NSO work on natural capital accounting frameworks
11
India's Climate Action Milestones
- Solar capacity: 89.9 GW (March 2025)
- Total renewable energy capacity: 220+ GW (April 2025)
- FAME India Phase-II (2019) promotes electric vehicles
- National Green Hydrogen Mission (2023): targets 5 MMTPA green hydrogen by 2030
12
Inclusive Growth
- Theme of the 12th Five Year Plan (2012–17)
- Ensures benefits of growth reach all sections — particularly the poor, marginalized, and rural
- NITI Aayog's SDG India Index (published annually) tracks state-wise progress on all 17 SDGs

Introduction and Context

Growth, development, HDI, climate change and environmental degradation form one connected exam theme: how India expands output, improves human well-being and manages ecological limits at the same time. According to the UNDP Human Development Report 2025 Statistical Annex, India's HDI value for 2023 is 0.685.

Economic growth and development are foundational concepts in any economics exam. While the two terms are often used interchangeably in everyday language, they carry distinct meanings in economic theory. RPSC examiners have specifically tested this distinction (2021, 2 marks) and its environmental dimension (2023, 10 marks on NDC).

Topic 22 spans four interconnected themes:

The conceptual distinction between growth and development
Human development measurement (HDI and allied indices)
India's climate commitments and policy architecture
The problem of environmental degradation

Why This Topic Matters for the 2026 Exam

India's economic trajectory makes this topic especially relevant. India is simultaneously a high-growth economy (6-7% real GDP growth) and a country still classified as "medium human development" by UNDP, illustrating that growth alone does not guarantee development. India is also both a major emitter (third largest, after China and USA) and a frontline victim of climate change, facing rising temperatures, erratic monsoons, heat stress, glacial risks and coastal flooding.

Expect questions on:

India's updated NDC targets
The difference between GDP and HDI
The Paris Agreement and India's net-zero commitment
Green economy concepts
SDGs — especially India's rankings and implementation framework

For answer-writing, the safest structure is to move from concept to evidence: define growth or development, cite a verified Indian indicator, then link the point to welfare, climate vulnerability or environmental sustainability. That shape prevents answers from becoming either a list of schemes or a generic essay on development.

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PREDICTED Predicted RAS Questions

Based on PYQ trends and 2026 syllabus analysis

1 5M What is HDI? State its three components and India's current rank. 5 marks · 50 words

Model Answer

The Human Development Index (HDI), developed by Mahbub ul Haq and UNDP in 1990, measures development across three dimensions: (1) health — life expectancy at birth; (2) education — mean and expected years of schooling; (3) living standard — GNI per capita (PPP). India ranks 134th (out of 193) with HDI value 0.644 (2023), classified as "Medium Human Development."

~50 words • 5 marks