Measurement of Development & HDI MCQ — 54 Practice Questions with Answers

Explanation

The Gini Coefficient ranges from 0 (perfect equality) to 1 (perfect inequality). A higher Gini indicates greater inequality. India's Gini coefficient for consumption expenditure is around 0.35-0.37, indicating moderate inequality.

Explanation

GDP Deflator = (Nominal GDP / Real GDP) × 100. It is used to convert nominal GDP (at current prices) to real GDP (at constant/base year prices). Unlike CPI and WPI, GDP deflator covers all goods and services produced in the economy.

Explanation

The Tendulkar Committee estimated poverty based on monthly per capita consumption expenditure (MPCE), moving away from the earlier calorie-based approach. It estimated that 21.9% of India's population was below the poverty line in 2011-12.

Explanation

Transfer payments (pensions, scholarships, unemployment benefits, gifts) are excluded from GDP because they do not represent payment for any current production of goods or services. They are merely redistribution of income.

Explanation

India's per capita net national income at current prices is approximately Rs 2.36 lakh (around $2,800) for FY 2024-25. India aims to become a developed nation by 2047 with significantly higher per capita income.