NCERT Solutions for Class 11th: Ch 10 Comparative Development Experiences of India and Its Neighbours Economics

Page No: 195


1. Why are regional and economic groupings formed?


Regional and economic groupings are formed by nations to strengthen their economies by close cooperation and by knowledge sharing. Regional and economic groupings such as the SAARC, European Union, ASEAN, G-8, G-20, BRICS etc helps the member countries to know the development strategies and measures adopted by other member countries. This enables them to analyse their strength and weakness and, thereby, formulate policies to accelerate social progress and cultural development among its member countries. This is particularly considered essential by developing countries as they face competition not only from developed nations but also amongst themselves in the relatively limited economic space enjoyed by the developing world.

2. What are the various means by which countries are trying to strengthen their own domestic economies?


The various means by which countries are trying to strengthen their own domestic economies are:

→ Nations are forming various regional and economic groupings like SAARC, European Union, G-8, G-20, ASEAN, BRICS etc in order to strengthen their economies through economic co-operation among the countries in the group to safeguard their common interests.

→ They also try to understand the developmental processes pursued by their neighbouring nations as it allows them to better comprehend their own strengths and weaknesses vis-à-vis their neighbours.

→ Nations have also resorted to liberalising their economies by minimising government interference in economic activities. The economy is governed by market forces which promote efficiency and strengthen the economy.

→ Nations also resort to the process of globalisation to open up their economies to provide wide international market to their domestic producers.

3. What similar developmental strategies have India and Pakistan followed for their respective developmental paths?


India and Pakistan followed many similar developmental strategies.
→ India and Pakistan both have started their developmental programmes based on economic planning soon after their independence in 1947.
→ Both the countries relied on the public sector for initiating the process of growth and development.
→ Both of them have followed the path of mixed economic structure involving the participation of both the state as well as the private sector.
→ Both of them introduced economic reforms at the same time to strengthen their economies.

4. Explain the Great Leap Forward campaign of China as initiated in 1958.


The Great Leap Forward (GLF) campaign initiated in 1958 aimed at industrialising the country on a massive scale. People were encouraged to set up industries in their backyards. In rural areas, communes were started. Under the Commune system, people collectively cultivated lands. In
1958, there were 26,000 communes covering almost all the farm population.

5. China's rapid industrial growth can be traced back to its reforms in 1978. Do you agree? Elucidate.


Yes, the present-day fast industrial growth in China can be traced back to the reforms introduced in 1978. China introduced reforms in phases. In the initial phase, reforms were initiated in agriculture, foreign trade and investment sectors. In agriculture, for instance, commune lands were divided into small plots which were allocated to individual households. They were allowed to keep all income from the land after paying stipulated taxes. In the later phase, reforms were initiated in the industrial sector. Private sector firms, in general, and township and village enterprises, i.e. those enterprises which were owned and operated by local collectives, in particular, were allowed to produce goods. At this stage, enterprises owned by government known as State Owned Enterprises (SOEs) were made to face competition. The reform process also involved dual pricing. This means fixing the prices in two ways; farmers and industrial units were required to buy and sell fixed quantities of inputs and outputs on the basis of prices fixed by the government and the rest were purchased and sold at market prices. Over the years, as production increased, the proportion of goods or inputs transacted in the market also increased. In order to attract foreign investors, special economic zones were set up. Therefore, China's rapid industrial growth is attributable to the success of different phases of its economic reforms.

6. Describe the path of developmental initiatives taken by Pakistan for its economic development.


The developmental initiatives taken by Pakistan for its economic development are:
→ Pakistan follows the mixed economy model with co-existence of public and private sectors.
→ In the late 1950s and 1960s, Pakistan introduced a variety of regulated policy framework (for import substitution industrialisation).
→ The policy combined tariff protection for manufacturing of consumer goods together with direct import controls on competing imports.
→ Green Revolution led to mechanisation and increase in public investment in infrastructure in select areas, which finally led to a rise in the production of foodgrains.
→ Nationalisation of capital goods industries took place in the 1970s.
→ Pakistan shifted its policy orientation in the late 1970s and 1980s when the major thrust areas were denationalisation and encouragement to private sector.
→ During this period, Pakistan also received financial support from western nations and remittances from continuously increasing outflow of emigrants to the Middle-east that helped the country in stimulating economic growth.
→ All this created a conducive climate for new investments. In 1988, reforms were initiated in the country.

7.  What is the important implication of the one child norm in China?


The important implication of the one-child norm in China is the low population growth. This measure also led to the fall in the sex ratio in China, i.e. the proportion of females per thousand males. However, after a few decades, in China, there will be more elderly people in proportion to young people. This will force China to take steps to provide social security measures with fewer workers.

8. Mention the salient demographic indicators of China, Pakistan and India.


Selected Demographic Indicators,2013
CountryEstimated Population (in million) Annual growth of population (2001-2010) Density (per sq km) Sex Ratio (out of 100 persons) Fertility Rate Urbanisation
India 1252 1.24 421 934 2.6 32
China 1357 0.49 145 929 1.6 53
Pakistan 182 1.65 236 947 3.3 38

From above data we can conclude that: It can be seen from the table that
→ China has the highest population size closely followed by India. The population of Pakistan is very small and accounts for roughly about one-tenth of China or India.
→ The density of population is lowest in China and highest in India.
→ Population has been highest in Pakistan, followed by India and China. One child norm in China has lowered the growth rate of population in the country.
→ The sex ratio is low and biased against females in all the three countries.
→ Fertility rate is lowest in China and highest in Pakistan.
→ China has the highest degree of urbanisation followed by Pakistan while India is still having a large majority of rural population.

9. Compare and contrast India and China's sectoral contribution towards GDP in 2003. What does it indicate?


Sectors Contribution to GDP (in %) (2003)

Primary (Agriculture)
Secondary (Industry)
Tertiary (Service)

According to above data of India and China's sectoral contribution towards GDP in 2003, contribution of agriculture to GDP in China was 15% while in India it was 23%. On the other hand manufacturing contributes the highest to GDP in China at 53%, whereas in India service sector contributes the highest at around 51%.
The process of economic growth has led to a tremendous shift in the sectoral share of output and employment. The percentage share of the primary sector in total output and employment tends to decrease while that of the secondary and tertiary sector tends to increase. This indicates that both the economies are developing  The experience of China is similar to that of the other developed countries in the  world. The experience of the developed countries shows that secondary sector followed by the tertiary sector emerge as the leading sectors of the economy. Compared to China, India showed a direct shift from the primary sector to tertiary sector. This is due to the fast integration of these two economies with the other market economies of the world.

10. Mention the various indicators of human development.


The indicators of human development are:
→ Life Expectancy.
→ Adult Literacy Rate.
→ Infant Mortality Rate.
→ Percentage of the population below poverty line.
→ GDP per capita
→ Percentage of the population having access to improved sanitation
→ Percentage of the population having access to improved water sources.

11. Define liberty indicator. Give some examples of liberty indicators.


The indicators which represent the degree of civil and political freedom to individuals in a country are known as liberty indicator. Some examples of liberty indicators are measures of the
extent of Constitutional protection given to rights of citizens and the extent of constitutional protection of the Independence of the Judiciary and the Rule of Law.

12. Evaluate the various factors that led to the rapid growth in economic development in China.


The various factors that led to the rapid growth in economic development in China were:

→ Unlike India and Pakistan; Chinese reforms were not initiated under compulsion from IMF and World Bank, rather they were the results of an innate desire by the political establishment.
→ Establishment of infrastructure in the areas of health and education, long existence of decentralized planning and existence of small enterprises helped in ensuring the success of the reforms.

→ Through the commune system, there was more equitable distribution of food grains.

→ Each reform measure was first implemented at a smaller level and then extended on a
massive scale. This experimentation under decentralised government enabled to assess the economic, social and political costs of success or failure.

→ The handing over plots of land to individuals for cultivation, it brought prosperity to a vast number of poor people which created conditions for the subsequent phenomenal growth in rural industries and built up a strong support base for more reforms.

13. Group the following features pertaining to the economies of India, China and Pakistan under three heads.
• One-child norm
• Low fertility rate
• High degree of urbanisation
• Mixed economy
• Very high fertility rate
• Large population
• High density of population
• Growth due to manufacturing sector
• Growth due to service sector


• India: Mixed economy, very high fertility rate, large population, high density of population, growth due to service sector

• China: One-child norm, low fertility rate, high degree of urbanization, mixed economy, large population, growth due to manufacturing sector

• Pakistan: Mixed economy, very high fertility rate, growth due to service sector.

Page No: 196

14. Give reasons for the slow growth and re-emergence of poverty in Pakistan.


The reasons for the slow growth and re-emergence of poverty in Pakistan are:

→ The Pakistan was mainly dependent on Public Sector Enterprises. Pakistan relied largely on the policy of protection by assigning central role to the Public Sector Enterprises. The operational inefficiencies of the system along with the misallocation of scarce resources resulted in slow economic growth rate arid poverty.

→ The agricultural practices in Pakistan were not modernised and there remained heavy dependence on rainfall and traditional methods of farming, thereby reducing agricultural productivity and output.

→ The major portion of the foreign exchange earnings of Pakistan was in the form of remittances from Pakistani workers in the Middle-east and exports of highly volatile agricultural products. This can be regarded as one of the reasons for the slow economic growth. This is because the inflow of foreign exchange in the form of remittances substituted the need for development of manufacturing sector to earn foreign exchange by exporting manufactured goods.
→ There was an increasing dependence on foreign loans for meeting t foreign exchange requirements. Pakistan faced increasing difficulty in repaying these loans along with the mounting interest obligations in the years of agricultural failure. The increasing burden of huge foreign loans impeded the economic growth prospects of Pakistan.

→ Pakistan failed to attract any substantial amount of foreign investment due to political instability, lack of international credibility and infrastructure bottlenecks.

15. Compare and contrast the development of India, China and Pakistan with respect to some salient human development indicators.


China is way ahead of India and Pakistan at most of the human development indicators. China ranked 81, India 128th and Pakistan 136th. High ranking of China is due to the higher GDP per capita. Moreover, the one-child norm led to sustained rise in the GDP, consequently, China was ranked higher than India and Pakistan in HDI. Pakistan is ahead of India in terms of reducing the number of people below poverty line and in providing better sanitation and drinking water. But both the countries perform equally badly in terms of infant mortality and maternal mortality rates. All the three countries perform badly in sex ratio.

16. Comment on the growth rate trends witnessed in China and India in the last two decades.


India, with democratic institutions, performed moderately, but a majority of its people still depend on agriculture. Infrastructure is lacking in many parts of the country. It is yet to raise the level of living of more than one fourth of its population that lives below the poverty line. In China, the lack of political freedom and its implications for human rights are major concerns; yet, in the last three decades, it used the ‘market system without losing political commitment’ and succeeded in raising the level of growth alongwith alleviation of poverty.  China has used the market mechanism to ‘create additional social and economic opportunities’. By retaining collective ownership of land and allowing individuals to cultivate lands,  China has ensured social security in rural areas. Public intervention in providing social infrastructure even prior to reforms has brought about positive results in human development indicators in China.

17. (a) First Five Year Plan of ________________ commenced in the year 1956. (Pakistan/China)
(b) Maternal mortality rate is high in _____________. (China/Pakistan)
(c) Proportion of people below poverty line is more in __________.(India/Pakistan)
(d) Reforms in ______________ were introduced in 1978. (China/Pakistan).


(a) First Five Year Plan of Pakistan commenced in the year 1956.
(b) Maternal mortality rate is high in Pakistan.
(c) Proportion of people below poverty line is more in India.
(d) Reforms in China were introduced in 1978.

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