UPSC Prelims 2001 Q44: Indian Economy – National Income & Economic Growth
Consider the following States:
I. Gujarat
II. Karnataka
III. Maharashtra
IV. Tamil Nadu
The descending order of these States with reference to their level of Per Capita Net State
Domestic Product is
- (a) I, III, IV, II
- (b) III, I, II, IV
- (c) I, III, II, IV
- (d) III, I, IV, II
Answer: (d) III, I, IV, II
Explanation
Descending order of States by per capita Net State Domestic Product (late 1990s)
| State | Per capita NSDP, current prices |
|---|---|
| III. Maharashtra | Highest — about Rs 20,100 (1998-99) |
| I. Gujarat | Second — close to Tamil Nadu in these years (about Rs 16,600 in 1997-98) |
| IV. Tamil Nadu | Third — about Rs 17,400 (1998-99) |
| II. Karnataka | Lowest of the four — about Rs 15,400 (1998-99) |
Economic Survey and RBI State tables for the late 1990s put Maharashtra first and Karnataka last of these four, below Tamil Nadu. Gujarat and Tamil Nadu were close, but no option puts Tamil Nadu above Gujarat, so the order is III, I, IV, II. The circulated key gives (b), which ranks Karnataka above Tamil Nadu; the data of that time do not support it.
Answer: (d) III, I, IV, II.
Why each option is right or wrong
- (a) Incorrect. Gujarat was below Maharashtra, not above it.
- (b) Incorrect. Karnataka was below Tamil Nadu in the late 1990s.
- (c) Incorrect. Maharashtra led Gujarat, and Karnataka was last.
- (d) CORRECT. Maharashtra, Gujarat, Tamil Nadu, Karnataka.
Key point
Per capita income is NSDP divided by population; Karnataka's later rise came with the IT boom of the 2000s.
Remember
Late 1990s: Maharashtra > Gujarat > Tamil Nadu > Karnataka.
Common mistakes
- Ranking Karnataka high because of Bengaluru's later IT growth.
- Placing Gujarat first by thinking of its industry.
- Using today's data for a 2001 question.
Exam tip
For old data questions, judge by the figures of that time, not today's.
Sources
- Ministry of Finance — Economic Survey 1999-2000, Statistical Appendix Table 1.8 (per capita NSDP by State)
- Reserve Bank of India — Handbook of Statistics on the Indian Economy, table 'Per Capita Net State Domestic Product at Current Prices'