What is Economic Development?

This book explores the multifaceted nature of development, offering a comprehensive index and insights into the varying performances of Indian states.

The concept of development performance extends beyond mere economic growth, encompassing a wide array of goals. In What is Economic Development?, the authors strive to conceptualize development through eight distinct dimensions: material prosperity, education, health, economic security, personal security, environmental conditions, political voice, and social connections. By employing this multidimensional approach, they create a comprehensive development index (DI) for Indian states, along with three sub-indices that represent crucial aspects of development: human development (HD), security (SEC), and voice and confidence (VC).

The findings presented in What is Economic Development? reveal significant disparities in state-level performances across these various dimensions. It becomes evident that no single state excels uniformly in all areas, which challenges the notion of labeling a state's development experience as exemplary based solely on a few metrics. The authors emphasize that success in one dimension does not guarantee success in others, underscoring the importance of considering all eight dimensions and the three sub-indices in evaluating development.

This recognition of diverse performance is particularly relevant within India's federal structure, where states may prioritize different developmental goals. This study encourages states to assess their performance against their own priorities, prompting them to adjust their policies or strategies if necessary. Ultimately, What is Economic Development? serves as a valuable resource for policymakers aiming to foster a more nuanced understanding of development in India.