Q5 of 11 Page 4

Kerala has low per capita income than Punjab but a better human development ranking. Explain.

Per capita Income refers to the average income earned by a person living in a country or state. This can be arrived by dividing the total income of a country by its total population. Hence, per capita income is also called average income.


Human Development refers to the development of a person in all walks of life.


Kerala has low per capita income than Punjab due to the still prevailing underemployment and domination of the aristocrats, but a better human development ranking.


This is because:


a. Kerala has a high literacy rate.


b. Public facilities like food, health and sanitation, good medical facilities, safe drinking water, education, security etc., are available.


c. Also, there are many personal factors such as social relations, job satisfaction etc.,


d. This is opposite to the lifestyle of the people of Punjab where there is lack of development in various aspects despite high income.


The development of states can be compared using other appropriate factors like the Human Development Index, the availability of public facilities etc., in addition to per capita income.


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