Q81. The Global Innovation Index is co-published annually by Cornell University, INSEAD, and which international organization?
Measurement of Development: HDI and Related Indices: RAS Prelims MCQs
100 RAS Prelims MCQs on the measurement of development cover the Human Development Index and related indices. The creator of HDI, its three dimensions, the goalposts used in the Education Index, the logarithm applied to income, min-max scaling, India’s category and the Gender Development Index are asked as facts and statements.
Practice questions based on the RPSC RAS Prelims syllabus. They follow the exam pattern but are not past-paper questions.
Showing 81–90 of 100 questions
Q82. The Global Innovation Index calculates its overall score based on the average of which two primary sub-indices?
Explanation
A country’s innovation performance is determined by averaging two main scores. The first looks at the resources and environment available to support innovative activities, such as infrastructure and research funding. The second measures the actual results of these efforts, including patents, scientific publications, and new technology. This balanced approach shows how effectively a nation converts its investments into tangible innovative results.
Q83. Which of the following statements about India’s performance in the Global Innovation Index over recent years is incorrect?
Explanation
Contrary to a decline, India has consistently moved up in international innovation rankings, recently breaking into the top forty countries globally. The nation is particularly strong in exporting services related to information and communication technology. This upward trend reflects a growing focus on research, development, and a strengthening innovation ecosystem, making India a recognized leader among countries with similar income levels.
Q84. Consider the following statements regarding the Global Innovation Index:
I. It utilizes both objective statistical data and subjective survey data to measure innovation.
II. Institutions, human capital and research, and infrastructure are pillars of the Innovation Output Sub-Index.
III. Knowledge and technology outputs are pillars of the Innovation Output Sub-Index.
Which of the above statement(s) is/are correct?
I. It utilizes both objective statistical data and subjective survey data to measure innovation.
II. Institutions, human capital and research, and infrastructure are pillars of the Innovation Output Sub-Index.
III. Knowledge and technology outputs are pillars of the Innovation Output Sub-Index.
Which of the above statement(s) is/are correct?
Explanation
The innovation index uses a mix of hard statistical data and expert surveys to provide a complete picture. It organizes indicators into several pillars. While infrastructure and research are considered inputs, the actual creation of knowledge and technology is classified as an output. This distinction allows policymakers to see whether their country is succeeding in generating results from its various investments in human capital.
Q85. Match the items in List I with those in List II:
| Global Index | Publishing Institution/Partner |
|---|---|
| A. Global Innovation Index | i. United Nations Development Programme |
| B. World Happiness Report | ii. World Intellectual Property Organization |
| C. Ease of Doing Business Index | iii. World Bank Group |
| D. Human Development Index | iv. UN Sustainable Development Solutions Network Options: |
Explanation
Various international organizations publish specialized indices to track global progress. The innovation index is a product of the World Intellectual Property Organization, while the World Bank formerly published business-related rankings. Happiness data is released by a specialized sustainable development network. Meanwhile, the United Nations Development Programme remains the primary source for comprehensive measures of human development and societal health.
Q86. The Gini Coefficient is a widely used statistical measure to represent the:
Explanation
This statistical tool measures the degree of deviation of the actual distribution of resources from a perfectly equal distribution. It provides a numerical value to represent the concentration of income. A higher value signifies greater disparity within the population, allowing for comparisons across different countries or time periods to track social and economic equity and the impact of distributive national policies.
Q87. Read the following statements carefully:
Statement I: A Gini Coefficient of 0 represents perfect income equality within a population.
Statement II: A Gini Coefficient of 1 indicates absolute income inequality, where a single individual holds all the income.
Which of the following is correct?
Statement I: A Gini Coefficient of 0 represents perfect income equality within a population.
Statement II: A Gini Coefficient of 1 indicates absolute income inequality, where a single individual holds all the income.
Which of the following is correct?
Explanation
On the scale used to measure inequality, a value of zero represents the theoretical ideal where every person has the exact same amount of income. Conversely, a value of one indicates a situation where a single person holds all the income while everyone else has none. Most nations fall somewhere in between, with lower numbers representing more egalitarian societies and resources.
Q88. Geometrically, the Gini Coefficient is calculated as the ratio of the area between the Lorenz curve and the line of perfect equality to the:
Explanation
To calculate the numerical measure of inequality, economists look at the space between the actual distribution curve and the line of perfect equality. This area is then divided by the total triangular area located below that diagonal line. This ratio provides a precise mathematical value that represents how far a society is from an even distribution of wealth or income.
Q89. Consider the following statements regarding the Gini Coefficient:
I. It can be used to measure both income inequality and wealth inequality.
II. A decreasing Gini Coefficient indicates that income distribution is becoming more unequal.
III. It satisfies the principle of anonymity, meaning it does not matter who the high and low earners are.
IV. It is derived directly from the Lorenz curve.
Which of the above statements are correct?
I. It can be used to measure both income inequality and wealth inequality.
II. A decreasing Gini Coefficient indicates that income distribution is becoming more unequal.
III. It satisfies the principle of anonymity, meaning it does not matter who the high and low earners are.
IV. It is derived directly from the Lorenz curve.
Which of the above statements are correct?
Explanation
Derived from a graphical distribution curve, this coefficient can measure disparities in both income and wealth. It follows the principle of anonymity, focusing on the overall distribution rather than specific individuals. Importantly, as the value of the coefficient decreases, it indicates that the distribution is becoming more equal over time, reflecting a reduction in the concentration of resources.
Q90. Arrange the following hypothetical Gini Coefficient values of four nations in order from the most equal income distribution to the most unequal income distribution:
I. 0.85
II. 0.25
III. 0.45
IV. 0.65
Choose the correct order from the options below:
I. 0.85
II. 0.25
III. 0.45
IV. 0.65
Choose the correct order from the options below:
Explanation
When comparing inequality values, lower numbers represent a more even distribution of resources. For example, a value of 0.25 indicates much higher equality than a value of 0.85. By arranging these figures from lowest to highest, we can see which societies have the most equitable distributions and which have the highest concentrations of income or wealth among a small group.Answer key for these questions
| Q | Correct answer |
|---|---|
| 81 | (b) World Intellectual Property Organization |
| 82 | (a) Innovation Input and Innovation Output |
| 83 | (c) India’s ranking has seen a steady decline over the past decade |
| 84 | (b) I and III only |
| 85 | (a) A-ii, B-iv, C-iii, D-i |
| 86 | (b) Income or wealth inequality within a nation |
| 87 | (a) Both Statement I and Statement II are correct |
| 88 | (a) Total area under the line of perfect equality |
| 89 | (b) I, III and IV only |
| 90 | (a) II, III, IV, I |
Key facts from Measurement of Development: HDI and Related Indices
- Mahbub ul Haq is credited with creating the Human Development Index.
- The three dimensions of HDI are health, education and standard of living.
- Income is transformed by a logarithm to account for diminishing marginal utility of income.
- The maximum goalposts in the Education Index are 18 years for expected years of schooling and 15 years for mean years of schooling.
- HDI values are normalised by min-max scaling; India falls in the Medium Human Development category.
- The Gender Development Index is the ratio of the female HDI to the male HDI; Sri Lanka has consistently been placed higher than India among its neighbours.
Frequently asked questions
How many RAS Prelims practice MCQs are there on Measurement of Development: HDI and Related Indices?
This page has 100 practice MCQs on Measurement of Development: HDI and Related Indices (Indian Economy). Each has the correct answer, and most have an explanation.
Who created the Human Development Index?
The economist Mahbub ul Haq, who developed it with Amartya Sen’s ideas for the UNDP’s first Human Development Report in 1990. It measures achievement in health, education and standard of living, not income alone.
Why is income transformed using a logarithm in HDI?
To account for diminishing marginal utility of income. Each additional rupee adds less to human well-being at higher incomes, so the index counts a rise in income at low levels as more important than the same rise at high levels.
What does the Gender Development Index measure?
It measures gender gaps in human development achievements by taking the ratio of the female HDI to the male HDI. A value of 1 means that women and men have equal achievement.