Class 12 Indian Economic Development Notes · CBSE
Comparative Study - India, China & Pakistan
Comparison of demographic indicators, GDP growth trends, sectoral composition and human development indicators across India, China and Pakistan. CBSE Class 12 IED notes
Notes
Comparative Study — India, China & Pakistan
CBSE Class 12 Indian Economic Development — demographic, growth, sectoral, and human development indicators compared across three nations.
Demographic Indicators
India, China, and Pakistan together account for over one-fourth of the world's population. Out of every six persons living in this world, one is an Indian and another is Chinese. The three countries differ significantly in population size, growth rate, density, sex ratio, fertility, and urbanisation.
| Indicator | India | China | Pakistan |
|---|---|---|---|
| Estimated Population (millions) | 1,352 | 1,393 | 212 |
| Annual Growth of Population | 1.03% | 0.46% | 2.05% |
| Density (per sq. km) | 455 | 148 | 275 |
| Sex Ratio | 924 | 949 | 943 |
| Fertility Rate | 2.2 | 1.7 | 3.6 |
| Urbanisation | 34% | 59% | 37% |
Density
China has the lowest density (148 persons/sq. km) being the third largest country by area. India has the highest at 455 persons/sq. km — nearly three times China's density.
Sex Ratio
India has the lowest sex ratio at 924 females per 1,000 males. China: 949. Pakistan: 943. All three countries show a bias against females due to son preference.
Fertility Rate
China's fertility rate fell from over 3 births per woman in 1980 to just 1.7 — the lowest among the three. Pakistan has the highest at 3.6.
Urbanisation
China leads urbanisation at 59%. Pakistan is at 37%. India has the lowest urbanisation at 34% — reflecting its agrarian roots.
Launched in 1979 to control population size and growth rate. Modified in the mid-1980s to allow rural parents a second child if the first was a daughter. Reversed to a two-child limit in late 2016. In 2021, China allowed all married couples to have three children.
The 4-2-1 Problem
The only child bears the responsibility of supporting both parents and sometimes all four grandparents in old age. If the only child dies before the parents and grandparents, there is nobody to support them. This creates enormous economic and emotional pressure on a single individual.
Growth Indicators — GDP Growth
The annual growth of GDP reflects how well a country's economy is expanding. During 1980-90, China achieved double-digit growth of 10.3%, while India had the lowest at 5.7%. By 2015-17, the picture changed — India surged to 7.3%, China slowed to 6.8%, and Pakistan declined to 5.3%.
| Country | 1980-90 | 2015-17 |
|---|---|---|
| India | 5.7% | 7.3% |
| China | 10.3% | 6.8% |
| Pakistan | 6.3% | 5.3% |
GDP (PPP) Estimates
China
$22.5 trillion
2nd largest in the world
India
$9.03 trillion
About 41% of China's GDP
Pakistan
$0.94 trillion
About 11% of India's GDP
Sectoral Contribution — Agriculture, Industry & Services
The sectoral distribution of GVA (Gross Value Added) and workforce reveals how each country allocates its economic resources. A key insight: India and Pakistan shifted directly to services, skipping the manufacturing phase that China went through.
India
GVA Contribution
Workforce Engaged
43% workforce contributes just 16% GVA
China
GVA Contribution
Workforce Engaged
Government shifted workers to manufacturing
Pakistan
GVA Contribution
Workforce Engaged
Highest agricultural GVA share among the three
Sectoral Output Growth Trends
| Country | Agri 1980-90 | Ind. 1980-90 | Srv. 1980-90 | Agri 2014-18 | Ind. 2014-18 | Srv. 2014-18 |
|---|---|---|---|---|---|---|
| India | 3.1% | 7.4% | 6.9% | 3.1% | 6.9% | 7.6% |
| China | 5.9% | 10.8% | 13.5% | 3.1% | 5.3% | 7.1% |
| Pakistan | 4.0% | 7.7% | 6.8% | 1.7% | 4.8% | 5.0% |
Human Development Indicators
The Human Development Index (HDI) captures life expectancy, education, and income — providing a broader picture of development than GDP alone. Along the HDI scale, China ranks highest (87th), while Pakistan ranks lowest (154th) among the three.
| Indicator | India | China | Pakistan |
|---|---|---|---|
| Human Development Index (Value) | 0.645 | 0.761 | 0.557 |
| Rank (Based on HDI) | 130 | 87 | 154 |
| Life Expectancy at Birth (Years) | 69.7 | 76.9 | 67.3 |
| Mean Years of Schooling (% aged 15+) | 6.5 | 8.1 | 5.2 |
| Gross National Income Per Capita (PPP US$) | 6,681 | 16,057 | 5,005 |
| Percentage Below Poverty Line (National) | 21.9%* | 1.7%** | 24.3%* |
| Infant Mortality Rate (per 1,000 live births) | 29.9 | 7.4 | 57.2 |
| Maternal Mortality Rate (per 1 lakh births) | 133 | 29 | 140 |
| Population using Basic Sanitation (%) | 60 | 75 | 60 |
| Population using Basic Drinking Water (%) | 93 | 96 | 91 |
| Undernourished Children (%) | 37.9 | 8.1 | 37.6 |
* For 2011; ** For 2015. Sources: Human Development Report 2019, 2020; World Development Indicators; Key Indicators for Asia and Pacific 2019, ADB.
HDI Rank
Rank among ~191 countries. Higher rank = lower development. China ranks highest (87th), Pakistan lowest (154th).
Life Expectancy
Average years a person is expected to live. Higher = better health infrastructure and living standards.
GNI Per Capita
Gross National Income per capita in PPP US$. Higher = greater purchasing power and economic well-being.
Infant Mortality Rate
Infants dying before age 1 per 1,000 live births. Lower = better healthcare, nutrition, and sanitation.
Liberty Indicators
Examples of Liberty Indicators
Constitutional Rights
Measures of the extent of Constitutional Protection Rights given to the citizens.
Rule of Law
Extent of Constitutional Protection of the independence of the Judiciary and Rule of Law.
By including liberty indicators, policymakers gain a more holistic understanding of an economy's development status. Without these, the construction of a Human Development Index may be said to be incomplete.