Q. What are the salient features of ‘inclusive growth’? Has India been experiencing such a growth process? Analyze and suggest measures for inclusive growth. (250 words, 15 marks)
Why the Question?
UPSC PYQ – CSE Mains – 2017
Keywords of the Question
- Salient features of ‘inclusive growth’
- India been experiencing
- Measures
Directive Word
Analyze – Break an issue into its constituent parts. Look in depth at each part using supporting arguments and evidence for and against as well as how these interrelate to one another.
How to approach this Question?
Introduction
- Define inclusive growth.
- Mention its importance in the context of economic development.
Body
- Salient Features of Inclusive Growth:
- Economic diversification
- Sustainable development
- Equal opportunities
- Poverty reduction
- Social inclusion
- India’s Experience with Inclusive Growth:
- Achievements: Economic growth, poverty reduction
- Challenges: Income inequality, employment generation, regional disparities
- Measures for Inclusive Growth:
- Skill development
- Infrastructure development
- Financial inclusion
- Social protection
- Gender equality
- Regional development
Conclusion
- Summarize India’s progress and challenges.
- Emphasize the need for continued efforts to achieve truly inclusive growth.
Note: Please note that the following ‘answers’ are not ‘model answers’ nor are they synopses in the strictest sense. Instead, they are content designed to meet the demands of the question while providing comprehensive coverage of the topic.
Answer Key
Introduction
Inclusive growth refers to economic growth that is distributed fairly across society and creates opportunities for all. It aims to ensure that every section of society benefits from economic progress, thereby reducing inequalities and promoting social inclusion.
Body
Salient Features of Inclusive Growth
- Economic Diversification: Encouraging structural transformation for economic diversification and competition.
- Sustainable Development: Ensuring long-term economic growth without negative externalities.
- Equal Opportunities: Providing equal access to resources and assets for all segments of society.
- Poverty Reduction: Focusing on reducing poverty levels and improving living standards.
- Social Inclusion: Promoting the inclusion of marginalized and disadvantaged groups.
India’s Experience with Inclusive Growth
- Achievements:
- Economic Growth: India has experienced robust economic growth, contributing to poverty reduction. Over 271 million people were lifted out of poverty between 2005-06 and 2015-16.
- Financial Inclusion: Initiatives like the Pradhan Mantri Jan Dhan Yojana have increased access to banking services.
- Poverty Reduction: Significant strides have been made in reducing poverty, with the poverty rate declining from 21.9% in 2011 to 10.2% in 2019.
- Employment Generation: Programs like MGNREGA have provided employment opportunities, especially in rural areas.
- Agricultural Development: Schemes like PM-KISAN and increased MSPs have supported farmers and boosted agricultural growth.
- Challenges:
- Income Inequality: Despite economic growth, income inequality remains a challenge. India ranks 62nd out of 74 emerging countries in the Inclusive Development Index.
- Employment Generation: Quality employment generation has been elusive, with a significant portion of the workforce in informal sectors.
- Regional Disparities: There are significant disparities in development between urban and rural areas.
Measures for Inclusive Growth
- Skill Development: Enhance skill development programs to improve employability and productivity.
- Infrastructure Development: Invest in infrastructure to support economic growth and improve access to resources and opportunities.
- Financial Inclusion: Promote financial inclusion to ensure access to financial services for all, especially in rural areas.
- Social Protection: Strengthen social protection systems to reduce vulnerability and support disadvantaged groups.
- Gender Equality: Address gender disparities in education, employment, and decision-making to promote inclusive growth.
- Regional Development: Focus on balanced regional development to reduce disparities between urban and rural areas.
Conclusion
India has made significant strides in economic growth and poverty reduction. However, to achieve truly inclusive growth, it is essential to address income inequality, generate quality employment, and ensure equal opportunities for all. Continued efforts and targeted policies are crucial for fostering an inclusive and sustainable growth trajectory.
Mind Map
