Economics Class 11 Unit 6-Human-Resource

8/13/2019 Economics Class 11 Unit 6-Human-Resource

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Human Resource

Human Resource

In ordinary sense, human resource means simply the population of acountry. But in the literature of economics, human resource means the populationaged 15-65 years having high level of education, skill and knowledge.

Human resource has an important role to play in economic development.Here, population is not enough for development. The population should be

skilled, educated and healthy. The availability of skilled manpower increases theproductivity of the country.

Importance of human resource in economic development:

Human resource is an important factor of economic development. Manycountries have been able to develop themselves due to the skill, educated andhealthy human resource. The role of human resource in economic developmentare as follows:

a. Utilization of natural resources:For the maximum utilization of natural resources we need human

resources for eg: human resource uses water resources to generateelectricity, to irrigate farms and to supply drinking water to the society.Similarly, they make rational use of forest and mineral resource. Theutilization of these resources increase the national income of the country.

b. Compensate the deficiency of natural resources:The utilization of human resources compensate the deficiency of

natural resources. Many countries poor in natural resources have been ableto achieve high economic development on the basis of human resources.For Eg: Japan, Germany, Singapore, etc. These countries have been ableto achieve high economic growth rate by the proper utilization of human

resource.

c. Utilization of physical capital:In order to utilize the physical capital of the country we need

human resource. Human resource is essential to operate machineryequipments to run the industries.

d. Increase production:Human resource is one of the active factors of Production. It is the

only factor that can capitalize land capital and organization for theproduction of economic goods & services. Therefore, human resourcehelps to increase production.

e. Reform in traditional culture and attitude:The traditional culture, values and attitude are obstacle for

economic development of developing countries. The educated humanresource reforms the traditional, culture and attitude.

f. Development of Industries:Industrial development is necessary for overall development of the

country. Development of industries requires modern technology, highproductive machinery, sustainable supply of raw materials and energy.


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Thus, development of industries depends on the involvement of adequatehuman resource.

Population Situation of Nepal:

a. Size of population:The size of population of Nepal according to population census 2001 is

2,31,51,423 out of which the no. of male population is 1,15,62,921 and femalepopulation is 1,15,87,502. Similarly, according to this census the annual growthrate of population of 2.24%.

b. Distribution of population:Geographically, Nepal is divided into three ecological regions i.e.

Mountain, Hill and Terai. According to population census 2001, the distributionof population by geographical reasons is as follows:

Region Population % Area %

Mountain 7.29 15

Hill 44.28 68

Terai 48.43 17

c. Size and growth rate population of Nepal:Census year Population Growth Rate

1961 94,12,986 1.65

1971 1,15,55,983 2.07

1981 1,50,22,839 2.66

1991 1,84,91,097 2.10

2001 2,31,51,423 2.24

Causes of high population in Nepal:

There is high population growth in Nepal. At present, Nepal is facing the problemof population explosion. The causes of high population growth in Nepal are as follows:

a. High birth rate:Due to early marriage and long fertility period of women in Nepal, the

population growth rate of Nepal is found to be high. At present, the total fertilityrate is 4.1 for women. Thus, high fertility rate is one of the causes of highpopulation growth.

b.

Falling death rate:The death rate is declining in Nepal due to expansion of health carefacilities. The crude death rate is 9.3 per thousand population and crude birth rateis 32.5 per thousand population. The average life expectancy has increase to about60 years. This has caused high population growth in Nepal.

c. Religious and social belief:The Nepalese people are religious in nature. They believe in God and in

their fate as well. The birth of son is considered essential to perform death rituals,to continue the generation and for support in old age. Due to this regionpopulation growth rate is high in Nepal.


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d. Lack of education:Majority of people of Nepal are uneducated. Due to illiteracy people are

not aware of the evil consequences of high population.

e. Early marriage:Due to religious and social customs, early marriage is still prevalent in

rural areas of Nepal. This practice is also responsible for high population growthin Nepal.

f. Growing international Migration:The growing internal migration is also another cause of high population

growth in Nepal. The size of population of Nepal has been growing due to openinternational migration particularly from India, Bhutan and Tibet.

g. Lack of family planning service:There is lack of adequate family planning services in rural and remote

areas of Nepal. These services are basically concentrated in urban areas.

Consequences of high population growth rate:

The high population growth is a serious obstacle in economic development of acountry. It is rightly said that population growth is a development problem of developingcountries. The evil consequences of high population growth are as follows:

1) Slows development:The rapid population growth slows the pace of economic development

because it reduces investment and creates imbalance between natural resourcesand population.

2) Increase in unemployment:If economic development cannot be accelerated along with the population

growth the unemployment and underemployment increases. The unemployment

creates social instability in the country.

3) Environmental degradation:The high population growth creates environmental degradation. At

present, Nepal is facing the problem of deforestation due to high populationgrowth. The deforestation causes natural disaster like soil erosion, landslide,flood, drought, etc.

4) Food shortage:The high population growth causes flood shortage. Due to food shortage

people suffer form malnutrition. People don get enough food to maintain good

health. Therefore, large number of villagers have been suffering from foodshortage every year due to high population growth in Nepal.

5) Poverty:The poverty of Nepal is not declining due to high population growth.

About 30% of the population live below poverty line in Nepal. Majority of poorpeople live in rural areas.

6) Low per capita income:


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There is low per capita income in Nepal due to high population growthrate. At present, the per capita income of Nepalese people is only about 450$.

Remedial Measures of high population growth:

Rapid population growth is the major problem of economic development of adeveloping country like Nepal. The population growth in the country is not only anational problem but also a family and individual problem. It has evil consequences suchas food scarcity, unemployment, environmental degradation, etc. Therefore, it isnecessary to control the growth of population. The following remedial measures can betaken to control the growth of population.

a. Spread of education:The population growth rate can be checked by the spread of education.

The people become aware of the evil effects of large number of children.Similarly, female education helps to reduce fertility rate.

b. Increase in health care facilities:The increase in health care facilities reduces the infant and maternal

mortality rate. This encourages people to have less children.

c. Expansion of family planning services:The family planning services should be made available in rural areas. The

people accepting family planning should be given economic incentives. Differenttypes of family planning devices should be made easily available to all marriedcouples in all parts of the country.

d. Publicity:The government should educate the people regarding the benefit of small

family, increase in age at marriage and birth spacing through publicity.

e. Raise the social and economic status of women:Efforts should be made to raise the social and economic status of women.

Provision should be made for women education and employment outside home.

f. Control of International migration:The illegal and uncontrolled foreign migration should be checked. The

open border with India should be checked.

g. Economic development:Economic development itself can control the population growth. This is

the evidence from the experience of developed countries.


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Indicators of Human Development (HDI)

Human Development is a process of making peoples living standard better. Itsbasic objective is to make each and every individual physically healthy, mentally alert,economically sound and socially civilized. Some of the major indicators of humandevelopment are as follows:

a. Economic indicators:The most important indicator of human development is per capita income

of the people living in a country. It also includes employment opportunity,dependency ratio, purchasing power, saving investment ratio, etc.

b. Educational indicators:The educational indicator includes total literacy rate, male female

literacy rate, adult literacy rate, no. of schools, colleges and universitiesestablished by the government and private sectors.

c. Demographic indicators:Some demographic indicators are also used while measuring human

development. It includes population growth rate, total fertility rate, crude death

rate, crude birth rate, infant mortality rate, etc.

d. Health indicators:Health indicators of human life are life expectancy at birth, population

with excess to safe drinking water, no. of hospitals, no. of doctors, no. of nurses,etc. available in the country.

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Economics Class 11 Unit 6-Human-Resource