Economics and Population Study Flashcards

Vocabulary flashcards covering core economics concepts and population demographics from the lecture notes.

Birth Rate

The number of births occurring per thousand of the living population during a year, also known as fertility rate. According to the 2011 census, India's birth rate was 20.97 per thousand.

Death Rate

The number of deaths per thousand of the living population during a year, also called mortality rate. According to the 2011 census, India's death rate was 7.48 per thousand.

Population Explosion

A situation where the growth of population is faster than the growth and development of the economy, primarily driven by high birth rates and low death rates.

Son Meta Preference

The preference for male children due to orthodox attitudes, causing parents to continue having children until they have a son or desired number of sons.

National Disaster Management Authority (NDMA)

An authority constituted in 2005 in India that helps to mitigate all types of disasters and reduce the loss of lives, contributing to a lower death rate.

Theory of Demographic Transition

A theory introduced by A.J. Coale and E.M. Hoover (1958) in 'Population growth and Economic Development in low-income countries' that explains the transition from high to low birth and death rates over three main stages as an economy develops.

First Stage of Demographic Transition

A stage found in primitive or underdeveloped societies characterized by both high birth rates and high death rates, leading to low and stable population growth.

Second Stage of Demographic Transition

The population explosion stage seen in developing economies where the birth rate remains high while the death rate falls rapidly due to better medical, health, and sanitation facilities.

Third Stage of Demographic Transition

A stage found in developed economies characterized by a low, stable death rate and a declining birth rate, leading to slow and stable population growth.

Natural Sciences

Exact sciences whose laws are universally acceptable and can be tested in a laboratory under controlled conditions, such as physics, mathematics, and chemistry.

Social Sciences

Abstract or behavioural sciences that study aspects of human behavior, such as psychology, sociology, and economics.

Economic Wants

Wants for which price has to be paid and monetary payments are necessary due to scarcity, such as dresses, books, and medicines.

Non-Economic Wants

Wants available in plenty that can be satisfied without paying a price or making monetary payments, such as rain, air, and sun rays.

Value in Use

Refers to the usefulness of a commodity, which depends upon utility. Free goods like water and air have greater value in use but less value in exchange.

Value in Exchange

Refers to the value of a commodity or service expressed in terms of another commodity, depending upon scarcity. Economic goods like gold and diamonds have greater value in exchange but less value in use.

Individual Wants

Wants that are satisfied at the individual level, such as an individual using a personal mobile phone.

Collective Wants

Wants that are satisfied at the general or macro level, such as travelling by train and bus.

Land (Factor of Production)

A natural factor of production comprising any natural resource available on, above, and below the surface of the earth, which earns rent in productive activity.

Labour (Factor of Production)

A human factor of production representing physical or mental effort undergone during production, receiving reward in the form of wages.

Capital (Factor of Production)

A man-made factor of production defined as a produced means for further production, earning reward in the form of interest.

Entrepreneur (Factor of Production)

The active factor of production who organizes production as the real captain of the industry, receiving reward in the form of profit.

Macroeconomics

The study of aggregates covering the entire economy, such as total employment, national income, national output, total investment, total savings, aggregate supply, aggregate demand, and general price level.

National Income

The aggregate monetary value of all final goods and services produced in a country during a year.

Saving

That part of income that is not spent currently as consumption in order to satisfy future needs.

Investment

The creation of capital assets through the mobilisation of savings, such as investment in machinery and equipment.

Trade Cycles

Fluctuations in business activity due to inflation and deflation in the economy.

Inflation

A continuous rise in the general price level.

Depression

A continuous fall in overall prices.

Economic Growth

A quantitative concept meaning an increase in the real income of a country over a larger period of time.

Economic Development

A qualitative concept meaning economic growth along with progressive changes in the well-being of the people of the country.