quest augut 2017 curves correct -...
TRANSCRIPT
Viram Ahir
Lab Assistant,
Prof. Maulik Shah
Prof. Pratibha Nair
l KAR MOBILE LTDl RANE TRW STEERING SYSTEM Ltdl RANE NSK STEERING SYSTEM LTDl RANE DIECAST LTD
Rane Engine Valve: Rane Engine Valve Ltd. was incepted in 1959 to manufacture valves and
valve train components for various engine applications. It has latest manufacturing practices to
keep abreast of technological advancements caters to every section of the auto industry through
four manufacturing plants. It has got cutting edge technology.It is a market leader in India. Its
clientele spread across Europe, North America and the Far Eastern markets including the best
known brands such as Volkswagen, Deutz and Yamaha.It has centralized R&D and product
engineering function. Its design and functional aspects of development match customer
requirements. Its design team includes IC Engine Specialists, CAD and CAM application experts,
software analysts. CAD/CAE, Finite Element Analysis (FEA) Pro-E, Ansys etc used for new
product development. Up to date practices like QFD, Design reviews and world acclaimed
Japanese development methods are implemented across facilities.
Mission & value:
l Provide superior products and services to our customers and maintain market leadership.l Evolve as an institution that serves the best interests off all stakeholders.l Pursue excellence through Total Quality Management. l Ensure the highest standards of ethics and integrity in all our actions
Vision:
l To become “A world class supplier of Engine Valves to the Global Transportation Industry”.
Customer inside India
l ASHOK LEYLAND,ESCORT,FORCE ,FIAT,FORD,HERO HONDA,HINDUSTAN
M O T O R S , H Y U N D A I , G E N E R A L M O T O R S , M A H I N D R A , M A R U T I
SUZUKI,SWARAJ MAZDA,TATA,TOYOTA,TVS,YAMAHA.
LITERATURE REVIEW
According to Gorter(1996) Some of the research professionals and scholars say that there is a close
linkage between the recruitment selection employee satisfaction organization performance and HR
practices. Raymond J. Stone (2005) in the fifth edition of his book Human Resource Management
defines recruitment as the process of 'seeking and attracting a pool of applicants from which
qualified candidates for job vacancies within an organization can be selected.' Among recruitment
sources Bernardin say that internal source of recruitment is effective compared to the external
source (H.John, 2003). Decker & Cornelius say that compared to the traditional recruiting sources
the modern sources like referrals, casual applicants and direct approaches will benefit at large
(L.Barclay, 1985) (Cappelli, 2001). According to Korsten (2003) and Jones et al. (2006), Human
4 TIMS - Quest Journal of Management & Resarch
Resource Management theories emphasize on techniques of recruitment and selection and outline
the benefits of interviews, assessment and psychometric examinations as employee selection
process. They also stated that recruitment process may be internal or external or may also be
conducted online. Typically, this process is based on the levels of recruitment policies, job postings
and details, advertising, job application and interviewing process, assessment, decision making,
formal selection and training. They also suggested that examples of recruitment policies in the
healthcare, business or industrial sector may offer insights into the processes involved in
establishing recruitment policies and defining managerial objectives. Successful recruitment
techniques involve an incisive analysis of the job, the labor market scenario/ conditions and
interviews, and psychometric tests in order to find out the potentialities of job seekers. Also, small
and medium sized enterprises lay their hands on interviews and assessment with main concern
related to job analysis, emotional intelligence in inexperienced job seekers, and corporate social
responsibility. The other approaches for selection outlined by Jones et al. (2006) include several
types of interviews, role play, group discussions and group tasks, and so on. Any management
process revolves around recruitment and failure in recruitment may lead to difficulties and
unwanted barriers for any company, including untoward effects on its profitability and
inappropriate degrees of staffing or employee skills (Jones et al. 2006).Chris Piotrowski and Terry
Armstrong say that in their article that around all the organizations are using traditional recruitment
sources and 30% of organizations are screening candidates honestly (Armstrong, 2006). According
to SHRM (Society for Human Resource Management) says that 15% joined in the organizations
are placing false resume (Gusdorf, 2008).
NEED FOR THE STUDY
This project helps in learning the recruitment and selection techniques and also to find the current
factors affecting the company's recruitment. It's a methodology in which the particular organization
works and how a new candidate could be recruited in such a way that he/she would be fitted for the
right kind of career. Generally after finishing of the studies the next step of candidates is to get into
the job or business. So in order to get a clear cut idea how organization recruit the candidates and
what they prefer the most in a candidate, the project on recruitment and selection techniques is
being done. This project helps to get the complete picture how the process is being taking place.
This is even useful for organization for viewing their present situation whether they are processing
properly or not and helpful to make the required changes for the future purpose
OBJECTIVES OF THE STUDY
Primary Objective
l To identify the existing recruitment and selection techniques used in Rane Engine Valves Ltd.l To study various factors affecting recruitment and selection process in the company.
5Vol. VII, Issue II, August, 2017
Secondary Objectivel To analysis the satisfaction level of employees towards existing recruitment and selection
techniques.l To provide suitable suggestion to improve existing recruitment and selection techniques.
SCOPE OF THE STUDY
To study mainly the techniques of recruitment and selection followed at Rane Engine Valves Ltd
for the employees of the company. Recruitment and selection is important for the company.
Through this study the researcher will identify what all the best techniques followed in recruitment
and selection by the company. The company can easily identify which techniques gives more
benefit to the company. This project will help to get the practical knowledge in recruiting and
selecting the employees in the company and this project helps the organization to avoid the factors
that affect the recruitment and selection. And also to know the powerful type interview which must
be used.
RESEARCH METHODOLOGY
Research in common parlance refers to search for knowledge; it is an organized, systematic,
critical, scientific, inquiry or investigation into a specific problem, undertaken with the objective of
finding answers or solutions there to.
Research design:
Research design is the blue print of the research. The type of research design that is used for the
study is descriptive research design. Descriptive research studies are those studies which
describing the characteristics of a particular individual, state of affairs or group.
Research Instrument: Questionnaire is used to collect the data.
Sources of Data collection:
Primary data: The data required for the study will be collected using structured Questionnaire,
personal observation etc.
Secondary data: The secondary data are those which have already been collected by someone else
and which have been already passed through the statistical process, the present study makes use of
secondary data in the form of books, magazines, company websites, records, journals, etc.Sample Frame: A sample frame which means sample list, which contains sample size, sample unit,
sample design.
Sample Design: The sampling design used in this project is Simple random sampling. Simple random sampling is also known as chance sampling or probability sampling where each and every item in the population
Population: The population size at Rane Engine Valves Ltd is 300 staff members, has an equal chance of inclusion in the sample.
Sample Unit: The Universe of the study is the software engineers of Rane Engine Valves Ltd in Allanthur, Chennai.
Sample Size: The sample size that has been taken for the study is 120 staff members.
6 TIMS - Quest Journal of Management & Resarch
Ψ 2 ∑�[(= i - Ei)
2 / Ei]
Statistical Tools Used:
Statistical tools are used to analyze the collected information. The various statistical tools used in
this study are: Chi-Square Test for Goodness of Fit, Karl Pearson's Co-Efficient.
Simple percentage analysis: Here the simple percentage analysis is used for calculating the
percentage of satisfaction level in the total respondents.
Formula:
2Chi-Square Test for Goodness of Fit Ψ : This test is a measurable of probabilities of association
between the attributes. It gives us an idea about the divergence between the observed and expected
frequencies. Thus the test is also described as the test of goodness of fit.
Formula:
Karl Pearson's Co-Efficient of Correlation: Co-efficient of correlation is a measure that gives
the degree to which the two variables are interrelated. Karl Pearson gave the following formulae for
measuring the magnitude of linear correlation co-efficient between two variable X and Y.
Formula:
HYPOTHESIS TESTING
Chi-square test for goodness of fitSatisfaction level of present recruitment and selection technique
Ho: ThÉre exists no significance in satisfaction level of present recruitment and selection techniqueH1: There exists a significance in. satisfaction level of present recruitment and selection technique
Table showing Satisfaction level of existing recruitment and selection technique(Refer Table and Chart no 1 in Appendix A for values)
7Vol. VII, Issue II, August, 2017
r = åXY / ÖSX2.SY2
No of respondents
Total No of respondents
Percentage (%) = X 100
Oi
Ei
(Oi-Ei)
(Oi-Ei)^2
(Oi-Ei)^2/Ei
35 24 11 121 5.042 49 24 25 625 26.012 28
24
4
16
0.667
7
24
-17
289
12.042
2
24
-22
484
20.167
?
(Oi-Ei)^2/Ei =63.93
Degree of Freedom = (n-1) = (5-1) = 4 Calculated Value = ∑(Oi – Ei)^2/Ei = 63.93Tabulated Value = 9.488, since calculated value > tabulated value rejectHo. Ho is rejectedResult: There exists significance in satisfaction level of present recruitment and selection technique
Karl Pearson's Coefficient of CorrelationInternal Vs External Factors
Table showing relationship between internal and external factors for recruiting employees(Refer Table and Chart no 2&3 in Appendix A for values)
X= ∑x/n =120/4 =30 Y = ∑y/n =120/4 = 30
r = ∑XY/√∑X².∑Y² = 836/√692*1650 r = 0.782
Result: There exists a positive relation between Internal and External factors that should be taken into account while recruiting the employees.
FINDINGS OF THE STUDY
l Majority (100%) of the respondents are male
l It is found that (46%) of the respondents belongs to 25-35 age group.
l It is inferred that (47%) of the respondents said structured interview is used in the company.
l It is inferred that (32%) of the respondents are recruited by the advertisement technique.
l Majority (66%) of the respondents are selected by all these method such as Aptitude, Case Study, Technical Round and Group Discussion.
l It is found that (35%) of the respondents say that all the following tests are mostly conducted such as Psychometric Test, Reference Test Check, Medical Test.
l It is inferred that (46%) of the respondents say that personal interview is the powerful interview technique used in the company.
l It is found that (38%) of the respondents says company's pay package is the internal factors that should be taken into consideration while recruiting the employee
l Majority (54%) of the respondents says employee rate is the external factors that should be taken into consideration while recruiting the employee
8 TIMS - Quest Journal of Management & Resarch
x
y
X=x-x¯
Y=y-y¯
XY
X^2
Y^2
45
59
15
29
435
225 841
41
33
11
3
33
121
9
15
26
-15
-4
60
225
16
19
2
-11
-28
308
121
784
? x= 120
? y = 120
? XY=836
? X²=692
? Y²=1650
l It is inferred th~t (51%) çf the respondents says recommendation of employees doesn't affect the company growth.
l It is found that (35%) of the respondents agree that the procedure adopted for recruitment and selection of employees enables to give right person at right job
l Majority (94%) of the respondents said that there is provision for evaluation and control of recruitment and selection process.
l Majority (41%) of the respondents are satisfied with present recruitment and selection techniques used in company
l It is inferred that (97%) of the respondents says recruitment and selection system is transparent at all levels.
l It is found that (98%) of the respondent says the employees are motivated by the internal recruitment.
l It is inferred that (63%) of the respondent says personal interview is the powerful interview technique that should be followed by the company.
l It is found that (50%) of the respondents disagree about the equal opportunity given to the female candidates in the company.
l It is inferred that there exists significance in satisfaction level of present recruitment and selection technique from the chi square goodness of fit test.
l It is found that there exist positive relation between Internal and External factors from karl pearson's coefficient of correlation.
LIMITATIONS OF THE STUDY
l The data is confined only to the employees of REVL
l Only the domestic market is the focus of this study. We have not studied about the
international recruitment process here.
l Sample size is limited due to the limited period allocated for the survey
l The analysis is completely based on the information provided by the employees and hence could be biased
SUGGESTIONS
l The management must discuss with the existing employee before recruiting the
candidates.l� The company can also give equal opportunity to recruit female candidates according to
their skills and knowledge.l The company can use different techniques for recruiting and selecting candidates
according to their designation.
l The company can see to that the recommendation of employees does not affect the company's growth.
9Vol. VII, Issue II, August, 2017
CONCLUSION:
Recruitment and selection helps in identifying the best and qualified person. The main objective of
the study is to identifying the right person for the right job. The type of research design used for the
study is descriptive research design. Sample size taken for the study is 120 staff members of Rane
Engine Valve Ltd. Simple random sampling technique has been used. A structured questionnaire
is prepared to collect data. Secondary data was also been tapped. Thus study concludes that
Recruitment and Selection consisting of Title of the position, Department, Overall responsibility,
Term of employment, and Educational requirements, desired experience, specialized skills or
knowledge required. Recruitment and selection has a great impact on working condition of the
employees. And that is why the search or headhunt of people should be of those whose skill fits into
the company's values. This study also helps to understand how Recruitment and Selection is related
with various HR functions such as motivation, job analysis, training and development, career
planning, performance appraisal and HR planning. This study also concludes that there exists
significance in satisfaction level of present recruitment and selection technique adopted by the
company.
REFERENCES:
Articles/Journals/Magazines:
l Gorter CN. Employers' recruitment behavior and vacancy duration: an empirical analysis for the Dutch Labor Market. Applied Economies 1996; 1463-1474.
l Gusdorf ML. Recruitment and Selection: Hiring the Right Person. USA: Society for Human Resource Management, 2008.
l Cappelli P. Making the most of Online Recruiting. Harvard Business Review 2001;139-146.
l Armstrong CP. Current Recruitment and Selection Practices: A National Survey of Fortune
1000 Firms. North American Journal of Psycology 2006; 489-496.
l Barclay LP. Recruiting Sources:Another Look. Journal of Applied Psycology 1985; 20-28.
l John HB. Human Resource Management:An Experiemental approach. New Delhi: McGrawHill, 2003.
l Jones,David A; Shultz, Jonas W.; Chapman, Derek S.(2006) Recruiting Through Job Advertisements: The Effects of Cognitive Elaboration on Decision Making International Journal of Selection and Assessments, Volume 14, Number 2,pp. 167-179.
l Korsten A.D. (2003)Developing a training plan to ensure employees keep up with the dynamics of facility management, Journal of Facilities Management, Volume 1,Number 4, pp.365-379.
Books referred:
l Aswathapa K. Human Reosurce Management. New Delhi: TMH, 2007.
l Bhattacharyya DK. Human Resource Management. New Delhi: Excel Books, 2010.
l Rao P. Human Resource Management (Tex tand Cses). Mumbai: Himalaya Publishing House, 2010.
l Raymond J.Stone. Human Resource Management, fifth edition, Australia, John Wiley & sons, 2005.
10 TIMS - Quest Journal of Management & Resarch
l S. S. Khanka, Human Resource management, Chand, 2007
l C.B. Gupta, Human Resource management, Sultan Chand & Sons, 2000
l C. B. Mamoria, Human resource management. Himalaya Publishing House, 2008
l C.R.Kothari, Research Methodology, Wishwa Prakashan, 1990
l S. P. Gupta, Statistical Methods, Sultan Chand & Sons, 2003
Websites
l www.google.com , www.scribd.com, www.ranegroup.in, l www.citehr.com , www.docstoc.com
APPENDIX A:
Table1: Table showing the satisfaction level of staff's with present recruitment and selection techniques used in company
Chart 1: chart showing the satisfaction level of staff's with present recruitment and
selection techniques used in company.
11Vol. VI, Issue II, August, 2017
S NO
OPTIONS
NO OF
RESPONDENTS
PERCENTAGE (%)
1 Highly Satisfied 35 29 2
Satisfied
49
41
3
Neither
Satisfied
28
23
4
Dissatisfied
7
6
5
Highly Dissatisfied
2
2
Total
120
100
Table 2: Table showing the internal factors that should be taken into consideration
while recruiting the employee
S NO
OPTIONS
NO OF RESPONDENTS
PERCENTAGE (%)
1 Company’s Pay Pack 45 38
2
Growth Rate of the
Company
41
34
3
Cost of Recruitment
15
13
4
Organization Cultures
19
16
Total
120
100
Chart 2: Chart showing the internal factors that should be taken into consideration
while recruiting the employee
Table 3: Table showing the external factors that should be taken into considerationwhile recruiting the employee
Chart 3: Chart showing the external factors that should be taken into consideration while
recruiting the employee
12
S NO
OPTIONS
NO OF RESPONDENTS
PERCENTAGE (%)
1
Employee Rate
65
54
2 Political, Legal, Govt. Factor
27 23
3
Information System
26
22
4
Others
2
1
Total
120
100
TIMS - Quest Journal of Management & Resarch
Dr. D. Ashalatha,
Assistant Professor,
Department of Economics,
Andhra University,
Visakhapatnam 530 003,
Andhra Pradesh.
E-mail : [email protected]
Trends in the Growth
of School Education in India
ABSTRACT
rimary education constitutes a very important part of the Pentire structure of education. It is at this stage, the child
starts going to a formal institution and formal education
starts. Primary education in India has been under the control of a
number of agencies. It is still under the management of the private
agencies, though, the state is increasingly taking the responsibility
of providing free and compulsory elementary education to all.
Article 45 of the constitution provides for free and compulsory
education for all children in the age-group 6-14 years, up to a
minimum level. The whole idea has been woven into the concept of
Universalization of Elementary Education (UGC). The level of
compulsory education as envisaged in this Article corresponds to
the elementary education of eight year's duration from class I to
class VIII for the children aged 6-14 years. The universalization of
Elementary Education has been recognized as a constitutional
obligation in India by the year 1960 but the target has not been
achieved even after 54 years of the target year. Secondary
education occupies a critical position in the entire educational
structure and is described by many as the lintel of the entire
educational edifice. It has been observed that secondary education
takes place at the critical stage of adolescence; when attitudes to life
and work are being shaped. In this paper we examined the growth in
the enrollment of students by sex and the corresponding increase in
the number of schools and also examined the trends in number of
teachers by sex employed in primary, upper primary and secondary
schools and to estimate the student-teacher ratio. The enrollment of
girls has grown at a higher rate than that of boys during the entire
period of the study. The significance of women teachers has been
increasing over time and this should contribute positively to the
growth and development of students. One important reason of the
downfall in the quality and standard of school education during the
recent decades may be the uneven growth of enrollment, number of
teachers and number of schools, the enrollment growing faster than
the other two.
Vol. VII, Issue II, August, 2017 13
1. Introduction
One of the important characteristic features of democracy is that it presupposes an educated and
enlightened society. Democracy, both as a form of the government and as a way of life, cannot
function when the society is uneducated and ignorant. Education and modernization are the two
wheels of the same cart. Both, when combined together, lead to a rapid socio-economic
development of a nation.
Primary education constitutes a very important part of the entire structure of education. It is at this
stage, the child starts going to a formal institution and formal education starts. Primary education in
India has been under the control of a number of agencies. It is still under the management of number
of private agencies, though, the State is increasingly taking the responsibility of providing free and
compulsory elementary education to all. Article 45 of the Constitution provides for free and
compulsory education for all children in the age-group 6-14 years, up to a minimum level. The
whole idea has been woven into the concept of Universalization of Elementary Education (UEE).
The level of compulsory education as envisaged in this Article corresponds to the elementary
education of eight year's duration from class I to class VIII for the children aged 6-14 years. The
universalization of Elementary Education has been recognized as a constitutional obligation in
India by the year 1960 but the target has not been achieved even after 54 years of the target year.
The importance of secondary education was recognized long ago in India. The Kothari
Commission emphasized the importance of secondary education. Secondary education occupies a
critical position in the entire educational structure and is described by many as 'the lintel of the
entire educational edifice' (NIEPA, 2001: v). It critically provides links between various sub sectors
of education such as elementary education, higher education, vocational and technical education
besides work. It has been further observed that secondary education takes place at the critical stage
of adolescence; when attitudes to life and work are being shaped.
2. Growth of Enrollment and Primary Schools in India
Education plays a vital role in the process of human resources development. For an overall
development of the economy, development of education in general and Universalization of literacy
elementary education in particular, are given very high priority in India and in other developing
countries of the World. Therefore, a high priority is to be assigned to investment in education.
Primary education constitutes a very important part of the entire structure of education. It is at this
stage, the child starts going to a formal Institution and formal education starts. Education which he
receives at this juncture provides the basic foundation for his physical, mental, emotional,
intellectual and social development. Primary education deserves the highest priority, not only on
grounds of social justice and democracy, but also for raising the competence of the average worker
and for increasing the national productivity
14 TIMS - Quest Journal of Management & Resarch
Article 45 of the Indian Constitution guarantees provision of free and compulsory education to all
children up to the age of 14. Apart from being a Constitutional obligation, the provision of universal
elementary education is crucial for spreading mass literacy, which is a basic requirement for
economic development, modernization of the social structure and effective functioning of any
democratic institution. It also represents an indispensable first step towards the provision of equity
of opportunity to all citizens. The growth of the number of primary schools and the enrollment into primary education (schools),
and the number of children per school for selected years during the period of our study is provided
in the Table - 1. The First Five Year Plan (1951-1956) began on 1st April, 1951. At the beginning of
the First Plan in 1950-51, there were 2, 09,671 primary schools in the country. By 1965-1966, when
the education commission submitted its report, the number of primary schools had increased to 3,
91,064. When the progress was reviewed in 1985-1986, it was found that the number of primary
schools had increased to 5, 28,872. The period from 1986 onwards has been the period of
implementation of the NPE-1986. Therefore, it is expected that elementary education might have
developed considerably, both qualitatively and quantitatively. The total number of primary schools
stood at 8, 19,900 in 2009-10. Later it is decreased to 7, 90,640 by 2013-14. It is better not to over
emphasize changes in growth rates over different phases because for reasons of arithmetical
property, when one starts with a low base (as in 1951) the period immediately succeeding 1951 will
have high rate and the subsequent periods lower rates. But comparison between the growth rates of
boys and girls in any one phase assumes importance. In the analysis below, the differences in the
growth rates of boys and girls receive greater attention compared to differences between periods.
The index of growth of schools taking 1950-1951 as the base shows that the increase is not
substantial as compared to the enrollment of children in primary schools. The annual compound
growth rate of primary schools over a period of our study recorded 2.10 per cent.
The total enrollment in primary schools in the year 1950-1951 was 19.2 million children of which
13.8 million were boys and 5.4 million were girls. It constitutes 28.12 per cent of the enrollment of
girls to the total enrollment. The enrollment had increased to 50.5 million children in 1965-1966.
The enrollment of girls was 18.3 million, which constituted 36.24 per cent of the total enrollment.
The total enrollment in primary schools had increased to 87.4 million children in 1985-1986 of
which 52.2 million boys and 35.2 million girls. The girls enrolled constituted 40.27 per cent to the
total enrollment. In 2009-10 the total enrollments of children increased to 133.6 million of which
69.7 million were boys and 63.9 million were girls. Here the girls enrolled constituted 46.71 per
cent to the total enrollment. An interesting trend which can easily be observed is that enrollment of
girls has grown at a higher rate than that of boys during the entire period of study. Ultimately the
enrollment of children decreased to 130.0 million in 2013-14. Due to awareness and importance of
education of children, common people also sending their
children to the English medium schools. Children enrollments in private unrecognized primary
schools are not recorded in this data. So, due to this reason enrolment of children in recognized
15Vol. VII, Issue II, August, 2017
primary schools decreased in 2013-14.
The annual compound growth rate of enrollment of total students over a period of our study
recorded 3.03 per cent. The growth rate of enrollment in the case of girls is much higher than in the
case of boys over the period of our study. The enrollment of students has increased at a higher rate
than the number of schools and teachers.
Table -1: Enrollment and number of recognized primary schools in India: 1950-1951 to
2013-14
2.1. Increase in number of students per teacher in primary schools
So far, we have examined the size and growth of primary education in the country during the period
of six and a half decades. But, they do not really indicate the quality of education. One indicator of
the quality is the student-teacher ratio. So we, as a first step examine the number of teachers
employed in the primary schools in the country and the rate of growth of the teachers by sex during
the period of the study.
Table - 2 shows that there were 5, 38,000 teachers employed in primary schools in 1950-1951 of
which 15.24 per cent were women. By 2013-14, the total number of teachers posted in primary
schools increased to 26, 84,000 of which 46.68 per cent were female. The male teachers were
decreased from 13, 19,000 in 2004-05 to 12,08,000 in 2009-10. Ultimately it is increased and stood
16 TIMS - Quest Journal of Management & Resarch
at 14, 31,000 in 2013-14. It is interesting that the index of female teachers increased at higher rate
than that of male teachers throughout the period under study. This has borne results in that the
women teachers have improved their share in the total in primary schools. This also may be due to
implementation of reservation policy in some states in the country in favor of women. One should
consider that increase in the number of women teachers is a healthy sign for the reasons (i) that it
contributes to gender equality, and (ii) the women teachers' exhibit care and patience, their general
traits, in teaching children.
The annual compound growth rate of total teachers recorded 2.54 per cent. The growth rate of
female teachers was 4.35 per cent against the growth rate of 1.80 per cent for male teachers. The
growth rate of female teachers was much higher than that of male teachers in the total study period.Note, however, that the number of teachers has not increased in the country in consonance with the
increase in the number of students enrolled. This has resulted in an increase in student-teacher ratio
over time except in 1955-1956, 1975-1976, 1995-96, 1999-2000, 2009-10 and 2013-2014. It
shows that the ratio was 36:1 in 1950-1951 and the ratio was constant in 1955-1956. Later it
increased to 54:1 in 1970-1971 then the ratio continuously increased to 60:1 in 1990-1991. Later it
was constant in 1995-1996 and it reached to 60:1 in 2004-05 and the ratio was constant in 2009-10
then it is decreased to 48:1 in 2013-14. Though the government has been insisting on a student-
teacher ratio of 40 students per teacher for aided schools, it has never been possible for the
government to achieve this objective. The data presented in Table-2 indicates only the country's
average, but in most of the schools, the student teacher ratio is observed to be more than 100:1. This
adversely affects the quality of education at primary level, because the school teacher does not find
any motive to teach such a huge number, let alone paying the much needed individual attention at
the stage of primary education.
Table - 2: Number of teachers employed by sex in primary schools in India: 1950-1951 To
2013-14 (In 000s)
Sources: 1. Annual reports of Ministry of Human Resource Development, Government of India 2. Selected Educational Statistics, Ministry of Human Resource Development, Government of India.
17Vol. VII, Issue II, August, 2017
Year
Male
Index
% growth
rate
over previous period
Female
Index
%
growth rate
over previous period
Total
Index
% growth
rate
over previous period
Student-Teacher
Ratio
1950-51
456
100
82
100
538
100
36
1955-56
574
126
25.88
117
143
42.68
691
128
28.25
36
1960-61
615
135
7.14
127
155
8.55
742
138
7.38
47
1965-66
764
167
24.23
180
219
41.73
944
175
27.22
53
1970-71
835
183
9.29
225
274
25.00
1060
197
12.29
54
1975-76
965
212
15.57
283
345
25.78
1248
232
17.73
53
1980-81
1021
224
5.80
342
417
20.85
1363
253
9.21
54
1985-86
1094
240
7.15
402
490
17.54
1496
278
9.76
58
1990-91
1143
251
4.48
473
577
17.66
1616
300
8.02
60
1995-96
1187
260
3.85
553
674
16.91
1740
323
7.67
60
1999-00
1232
270
3.80
687
838
24.23
1919
357
10.29
59
2004-05 1319 289 7.06 842 1027 22.55 2161 402 12.61 60 2009-10
1208
265
-8.42
1009
1230
19.83
2217
412
02.59
60 2013-14
1431
314
18.46
1253
1528
24.18
2684
499
21.06
48
Annual Compound Growth Rate
1.80
4.35
2.54
18
3. Development of Upper Primary (Middle) Education
From Table-3 it may be observed that there were only 13,596 upper primary schools in the country
in 1950-1951 and this number continuously increased to 4, 01,079 in 2013-14. The index of upper
primary schools recorded a much higher increase than that of index of primary schools. The annual
compound growth rate of upper primary schools was 5.43 per cent for the entire period of study.
There were 3.1 million children enrolled in upper primary schools in 1950-1951, of which 0.5
million were girls. They constituted only 16.13 per cent of total enrollment. Later the total
enrollment rose to 10.5 million in 1965-1966. The enrollment of girls was 2.8 million, or 26.67 per
cent of the total enrollment. The total enrollment in these schools had increased to 27.3 million in
1985-1986 in which they were 17.7 million boys and 9.6 million girls. The enrollment in upper
primary schools ultimately reached to 65.7 million in 2013-14, of which 32.0 million were girls or
48.71 per cent of the total enrollment. An interesting trend which can easily be observed is that
enrollment of girls has grown at a higher rate than boys during the period of study in upper primary
education. It is emphasized that the index of girls' enrollment in upper primary education is much
higher than that of index of girls' enrollment in primary education. It is a positive sign and shows the
improvement of upper primary education in the country during the study period.
The annual compound growth rate of enrollment of total children in the study period was 4.89 per
cent. It is interesting that the growth rate of enrollment in the case of girls (6.71 per cent) is more
than that of boys (4.08 per cent) over the period.
Table - 3: Enrollment and number of recognized Upper primary schools in India: 1950-1951 to 2013-14
Sources: 1. Annual reports of Ministry of Human Resource Development, Government of India 2. Selected Educational Statistics, Ministry of Human Resource Development, Government of India.
TIMS - Quest Journal of Management & Resarch
Year Upper Primary Schools
Index
% growth
rate
over previous period
No. of Boys
enrolled
(11-14 years)
(in million)
Index
% growth
rate
over previous period
No. of Girls
enrolled
(11-14 years)
(in million)
Index
% growth
rate
over previous period
Total enrollme
nt
(in millions)
Index
% growth
rate
over previous period
No. of children
per school
1950-51 13596 100 2.6 100 0.5 100 3.1 100 228
1955-56 21730 160 59.83 3.8 146 46.15 1 200 100.00 4.8 155 54.84 221
1960-61 49663 365 128.54 5.1 196 34.21 1.6 320 60.00 6.7 216 39.58 135
1965-66 75798
557
52.62
7.7
296
50.98
2.8 560
75.00
10.5
339
56.72
138
1970-71 90621
666
19.55
9.4
361
22.08
3.9
780
39.28
13.3
429
26.67
147
1975-76 106571
784
17.60
11
423
17.02
5
1000
28.20
16
516
20.30
150
1980-81 118571
872
11.26
13.9
535
26.36
6.8
1360
36.00
20.7
668
29.37
174
1985-86 134846
992
13.72
17.7
681
27.34
9.6
1920
41.18
27.3
881
31.88
202
1990-91 151456
1114
12.32
21.5
827
21.47
12.5
2500
30.21
34
1097
24.54
224
1995-96 171216
1259
13.05
25
961
16.28
16
3200
28.00
41
1322
20.59
239
1999-00 198004
1456
15.64
25.1
965
0.40
17
3400
6.25
42.1
1358
2.68
212
2004-05 274731
2021
38.75
28.5
1096
13.54
22.7
4540
33.53
51.2
1652
21.61
186
2009-10 394100
2899
43.45
31.7
1219
11.23
27.8
5560
22.47
59.5
1919
16.21
151
2013-14 401079
2950
01.77
33.7
1296
6.31
32.0
6400
15.11
65.7
2119
10.42
164
Annual Compound Growth Rate
Total period 5.43
4.08
6.71
4.89
3.1. Student-Teacher Ratio in Upper Primary Schools
As noted earlier, the student-teacher ratio shows the quality of education. Here, we examine the
growth in the number of teachers employed in the upper primary schools in the country during the
period under study. The data are presented in Table-4. It is observed that there were 86,000 teachers
employed in upper primary schools in 1950-1951, of which 13,000 were women, or 15.12 per cent
of the total. By 2013-14 the total number of teachers in upper primary schools increased to 25,
13,000. The number of women teachers reached on all time high in 2013-14(11, 38,000) and they
constituted 45.28 per cent of the total teachers, indicating that women teaching community has
been on the increase all through. One should consider this to be a healthy sign for the reasons (1)
that it contributes to gender equality and (2) that women teachers exhibit care and patience, their
general traits, in teaching children. The number of both in male and female teachers in upper
primary schools shows an increasing trend over the period of our study. The index of female
teachers recorded a much higher increase than that of the male teaches. This may be due to
implementation of reservation policies in some states in the country in favour of women.
The annual compound growth rate of total teachers was 5.41 per cent in the study period. It is
interesting that the recorded growth rate of female teachers at 7.24 per cent was higher than that of
the male teachers at 4.69 per cent in the study period. The growth rates of female teachers have
been higher than that of male teachers in the study.
During the period under study, the increase in the number of teachers was 24, 27,000 (25, 13,000 -
86,000). As the enrollment in upper primary schools showed an increasing trend, it resulted in a
favorable change in student-teacher ratio. It is observed that the ratio was 36:1 in 1950-1951 and it
decreased to 19:1 in 1960-1961. Later the ratio gradually increased to 35:1 in 1995-1996. By 2013-
14 the ratio decreased and stood at 26:1. Anyhow this figure is less than the student-teacher ratio of
40 recommended by the government for aided schools.
Table – 4: Number of Teachers employed by sex in Upper Primary Schools in India: 1950-1951 To 2013-14(In 000s)
19Vol. VII, Issue II, August, 2017
Year
Male
Index
% growth
rate over
previous period
Female
Index
% growth
rate over
previous period
Total
Index
% growth
rate over
previous period
Student-teacher
ratio
1950-51
73
100
13
100
86
100
36
1955-56
132
181
80.82
19
146
46.15
151
175
75.58
32
1960-61
262
359
98.48
83
638
336.84
345
401
128.48
19
1965-66
389
533
48.47
139
1069
67.47
528
614
53.04
20
1970-71
463
634
19.02
175
1346
25.90
638
742
20.83
21
1975-76
554
759
19.65
224
1723
28.00
778
905
21.94
21
1980-81
598
819
7.94
253
1946
12.95
851
989
9.38
24
1985-86
663
908
10.87
305
2346
20.55
968
1125
13.75
28
1990-91
717
982
8.14
356
2738
16.72
1073
1248
10.85
32
1995-96 756 1036 5.44 409 3146 14.89 1165 1355 8.57 35 1999-00 829 1136 9.66 469 3608 14.67 1298 1509 11.42 32 2004-05
992
1359
19.66
597
4592
27.29
1589
1848
22.42
32
2009-10
1014
1389
2.22
764
5877
27.97
1778
2067
11.89
33
2013-14
1375
1884
35.60
1138
8754
48.95
2513
2922
41.34
26
Annual Compound Growth Rate
4.69
7.24
5.41
20
Sources: 1. Annual reports of Ministry of Human Resource Development, Government of India 2. Selected Educational Statistics, Ministry of Human Resource Development, Government of India.
4. Growth of Secondary Education in India
The importance of secondary education was recognized long ago in India. The Kothari
Commission emphasized the importance of secondary education. The resolution adopted by the
Government of India on the Kothari Commission affirms that. Educational opportunity at the
secondary (and higher) level is a major instrument of social change and transformation' (NCERT,
1970: xix). Secondary education occupies a critical position in the entire educational structure and
is described by many as 'the lintel of the entire educational edifice' (NIEPA, 2001: v). It critically
provides links between various sub sectors of education such as elementary education, higher
education, vocational and technical education besides work. It has been further observed that
secondary education takes place at the critical stage of adolescence; when attitudes to life and work
are being shaped.
4.1. Growth of Schools and Enrolment of Students in Secondary Education
In Table-5, the growth of the number of secondary schools and the enrollment into secondary
education, and the number of students per school for selected years during the period of our study is
provided. The First Five Year Plan (1951-1956) began on 1st April, 1951. At the beginning of the
First Plan in 1950-1951, there were 7,416 secondary schools in the country. This figure increased to
2, 26,613 in 2013-14. These figures include high schools, higher secondary schools, intermediate
colleges, Junior colleges, community colleges and PUC sections wherever they exist. The index of
growth taking 1950-1951 as the base shows that the increase is not substantial as compared to the
enrollment of students in secondary schools. As per the percentage growth rate over previous
period in the case of secondary schools, the growth of the schools in the period 1951-1961 is the
highest record i.e., 133.67. The table shows that the growth rate of schools for the period from
1950-1951 to 1970-1971 are much higher than that of the remaining period of our study. The annual
compound growth rate of schools is recorded 5.49 per cent.
The total enrollment in secondary stage in the year 1950-1951 was 15 lakhs students of which 13
lakhs were boys and only 2 lakhs were girls. Girls constituted only 13 per cent to the total
enrollment. The total enrollment had increased gradually and reached to 591.00 lakhs in 2013-
2014. The enrollment of girls was 279.00 lakhs which constituted 47.21 per cent of the total
enrollment.
An interesting trend which can be observed is that enrollment of girls has grown at a higher rate than
that of boys during the entire period of our study. The annual compound growth rate of total
enrollment at secondary stage was 5.91 per cent. The growth rate was 8.02 per cent for girls and
5.09 per cent for boys during the study period. The enrollment of girls has increased at a faster rate
than that of boys throughout the study period.
TIMS - Quest Journal of Management & Resarch
Table-5: Number of Recognized Schools and Enrollment by Sex in Secondary Schools in
India, 1950-1951 to 2013-2014
Sources: 1.Annual reports of Ministry of Human Resource Development, Government of India 2. Selected Educational Statistics, Ministry of Human Resource Development, Government of India.
4.2. Student-Teacher Ratio in Secondary Schools
So far, we have examined the size and growth of secondary education in the country for a period of 64 years. But, they do
not really indicate the quality of education. One indicator of the quality is the student-teacher ratio. So, as a first step we
examine the number of teachers employed in the secondary schools in the country and the rate of growth of the teachers
by sex during the period of the study.
Table- 6 shows that there were 1, 27,000 teachers in secondary schools in 1950-1951 of which only 20,000 were women,
and they constituted only 16 per cent to total. The total teachers increased gradually over a period of time and reached to
30, 72,000 in 2013-2014 of which 14, 24,000 were women and they constituted 46.35 per cent to total teachers. The index
of female teachers increased at higher rate than male teachers throughout the period under study. The annual compound
growth rate of total teachers between 1950-51 and 2013-14 was 5.10 per cent. The growth rate was 6.89 per cent for
female teachers and 4.37 per cent in the case of male teachers. Reservation policies in some states in the country must
have favored women to form increasing part of the total teachers. The number of teachers has not been increasing in the country in consonance with the increase in the number of students
enrolled. This has resulted in the increase in the student-teacher ratio over time except in 1960-1961, 1970-1971, 1999-
2000 and 2013-2014. The ratio was 12:1 in 1950-1951, 11:1 in 1960-1961 and 10:1 in 1970-1971. Later it increased
21Vol. VII, Issue II, August, 2017
Year
Second-ary
Schools (units)
Index
% growth
rate over
previous period
No. of boys
enrolled
(lakhs)
Index
% growth
rate over
previous
period
No. of girls
enrolled
(lakhs)
Index
% growth
rate over
previous
period
Total enroll-ment
(lakhs)
Index
% growth
rate over
previous
period
No. of children per
school
1950-51 7416 100
-
13
100
-
2
100
-
15
100
-
2021960-61 17329 234
133.67
27
208
107.69
7
350
250.00
34
227
126.67 196
1970-71 37051 500
113.81
49
377
81.48
17
850
142.86
66
440
94.12 1781980-81 51624 696
39.33
76
585
55.10
32
1600
88.23
108
720
63.64 2091990-91 78619 1060
52.29
140
1077
84.21
69
3450
115.62
209
1393
93.52 2661992-93 84086 1134
6.95
150
1154
7.14
77
3850
11.59
227
1513
8.61 2701995-96 98134 1323
16.71
161
1238
7.33
88
4400
14.28
249
1660
9.69 2541999-00 116820 1575
19.04
172
1323
6.83
110
5500
25.00
282
1880
13.25 2412004-05 152049 2050
30.16
217
1669
26.16
154
7700
40.00
371
2473
31.56 2442009-10 193880 2614
27.51
268
2062
23.50
217
10850
40.91
485
3233
30.73 2502013-14 226613 3056
16.88
312
2400
16.42
279
13950
28.57
591
3940
21.86 260Annual
compound growth
rate
5.49
5.09
8.02
5.91
22
gradually and reached 17:1 in 1995-1996. It is increased and stood at 21:1 in 2013-2014 and then
decreased to 19.1 in 2013-14. This figure is less than the student-teacher ratio recommended by the
government. One should consider this to be a healthy sign.
Table-6: Number of Teachers Employed by Sex in Secondary Schools in India, 1950-1951 to 2013-2014
Sources: 1.Annual reports of Ministry of Human Resource Development, Government of India. 2. Selected Educational Statistics, Ministry of Human Resource Development, Government of India
5. Conclusions
Our data on the trends in the enrollment of children at the primary level showed that it was not
commensurate with the growth of population in the relevant age group, notwithstanding the fact
that universalization of primary education has been the avowed objective of the government. The
quantitative growth of enrollment has been faster in the case of girls than in the case of boys
throughout the period of six and a half decades in both primary and upper primary and secondary
education. Besides, the enrollment of students has increased at a higher rate than the number of
schools and teachers.
As regards upper primary education the situation has been relatively better as compared to primary
education. Even the student-teacher ratio on an average for the latest year of the survey is 26:1.
TIMS - Quest Journal of Management & Resarch
Year Male (000s)
Index % growth rate
over previous period
Female (000s)
Index % growth rate over
previous period
Total (000s)
Index % growth rate over
previous period
Student-Teacher
Ratio
1950-51 107 100 20 100 127 100 12 1960-61 234 219 118.69 62 310 210.00 296 233 133.07 11 1970-71
474
443
102.56
155
775
150.00
629
495
112.50
10
1980-81
658
615
38.82
254
1270
63.87
912
718
44.99
12
1990-91
857
801
30.24
416
2080
63.78
1273
1002
39.58
16
1992-93
908
848
5.95
445
2225
6.97
1353
1065
6.28
17
1995-96
982
918
8.15
511
2555
14.83
1493
1175
10.35
17
1999-00
1142
1067 16.29
578
2890
13.11
1720
1354
15.20
16
2004-05
1282
1198 12.26
801
4005
38.58
2083
1640
21.10
18
2009-10
1432
1338 11.70
898
4490
12.11
2330
1835
11.86
21
2013-14
1648
1540 15.08
1424
7120
58.57
3072
2419
31.85
19
Annual compound
growth rate
4.37
6.89
5.10
This no doubt augurs well for upper primary education. There is, however a further need to effect
improvements in upper primary education.
In the case of secondary education our data on the trends in the enrollment shows that enrollment in
the case of girls is progressing faster than in the case of boys throughout the period of the study. The
enrollment of students has increased at higher rate than the number of schools and teachers. To
reflect upon the quality of education we arrived at student-teacher ratios. Let it be told that the
significance of women teachers has been increasing over time and this should contribute positively
to the growth and development of students.
5.1. Suggestions
(A) Suggestions for improving Elementary Education
The following steps may improve enrollment and retention and reducing the dropout rate.
1) Government should start or extend pre-primary schools and / or Nursery schools like Anganwadi or Balwadi centers wherever necessary especially in backward areas.
2) Mid-day meal or school nutrition programme should be started on a large-scale again and maintained by specially chosen persons. It can be an effective instrument in universalisation of elementary education.
3) Sanction of scholarships and providing fee concession to those scheduled caste and scheduled tribes children who got admitted in un-aided private schools or convents goes a long way and brings back these poorer strata into the fold.
4) Free supplying and distribution of textbooks and notebooks and school uniforms for all children as being done should be carried out more vigorously, plugging the loopholes.
5) Making community mobility which educates parents to understand need for education of their children.
(B) Suggestions for improving Secondary Education
1. Construct public schools;
2. Pilot innovative public-private partnership models;
3. Introduce double-shift teaching;
4. Expand use of open learning and new technologies;
5. Invest in curriculum revision
6. Invest in ICTs;
7. Develop and apply clear teacher performance standards, and decentralise teacher recruitment to district or school level;
8. Increase schools' autonomy and parental involvement;
9. Reform Grant-in-Aid;
23Vol. VII, Issue II, August, 2017
24
10. Provide financial and in-kind assistance for poor and disadvantaged students; and
11. Provide financial incentives and technical support for states.
References
l Bana Bihari Mishra (2004) “Environmental awareness of secondary school students with
reference to their intelligence and school background.” Journal of All India Associate for
Educational Research Volume .18, No.1&2, 2006.
l Chickermane, D.V. (1962): “A study of wastage in primary education”, Education and
Psychology Review, Vol.II, January.
l Dan H. Cooper and Harvey N. strens (1973), “ Team Teachinig: Student Adjustment
and Achievement”, The Journal of Educational Research, Volume 66, Number 7, (March
1973). PP. 323-327.
l Education Commission, (1964-66) Education and National Development, New Delhi:
Ministry of Education. Govt. of India.
l Gopinathan Nair, P.R (1981): Primary Education, Population growth and Socio-Economic Change, Allied Publishers, New Delhi.
l Government of India (1952-53): “Report of the Secondary Education Commission”, Ministry
of Education, New Delhi.
l Government of India (1986 & 1992): “National Policy on Education (NPE)”, 1986 and its revised version – 1992, MHRD, New Delhi.
l Government of India (1994): “Development of Education in India (1993-94)”, MHRD, New
Delhi.
l Govind, R. and Varghese (1992): “Quality of Primary Education: An empirical study”
Journal of Educational Planning and Administration, Vol. 6, No.1, January, New Delhi.
l Goyal, J.C. Ravikanta Chopra (1990): “The Elementary School Teacher-A Profile”, NCERT, New Delhi, 1990.
l Naik, J.P. (1971): Elementary Education in India – A Promise to Keep, Allied
Publishers, Bombay.
l NCERT (1985), “National Curriculum for Primary and Secondary Education: A
framework”, December, New Delhi.
l Pulla Rao, D. (1998): Economics of primary education, Rawat Publication, Jaipur.
l Saini, S.K. (1980): “Development of Education in India”, Cosmo Publishers, NewDelhi.
l Tilak, J.B.G. (1995): “Elementary Education in India – problems and Perspective” , Margin, Vol.27, July-September, pp.387-407.
TIMS - Quest Journal of Management & Resarch
Understanding Perception of Middle Class
Citizens Towards Demonetization
Dr. Tejash Pujara
Faculty of Management Studies,
C. U. Shah University,
Surendranagar-Ahmedabad State Highway,
Nr. Kothariya Village,
Wadhwan – 363 030
E-mail : [email protected]
Deval Oza
Faculty of Management Studies,
C. U. Shah University,
Surendranagar-Ahmedabad State Highway,
Nr. Kothariya Village,
Wadhwan – 363 030
E-mail : [email protected]
ABSTRACT
t evening on November 08, 2016, Tuesday
AG o v e r n m e n t o f I n d i a a n n o u n c e d t h e
demonetization of existing notes of Rs 500 and Rs
1000. Various reasons were cited by the Government to
justify this step e.g. black money, money laundering, fake
currency, terror funding, inflation... After this announcement,
people faced many problems in exchanging old notes,
withdrawing money from bank and ATMs, many tragic
incidents also took place. In order to understand citizen's
perception towards demonetization, problems faced by them
and kind of service they have received from banks and post
office; this survey was conducted in the city of
Surendranagar, Gujarat, India. Respondents were asked to
give their opinion about likely benefits of demonetization,
their experience of service provided by banks and post offices
and usefulness of information received from the media. It was
found that though majority of the respondents supported the
decision of demonetization, there were not sure of its benefits
as claimed by the Government. Overall they were happy with
the support received from the banks and post offices.
KEY WORDS: Demonetization
Vol. VII, Issue II, August, 2017 25
26
INTRODUCTION
It is not an uncommon fact that India, as a Nation has been fighting against Poverty, Corruption,
Terrorism and illiteracy since decades by now. At evening on November 08, 2016, Tuesday, in a
long 40 minutes speech, Prime Minister, Mr. Narendra Modi announced the demonetization of
existing notes of Rs 500 and Rs 1000. Demonetization is the act of stripping a currency unit of its
status as legal tender. So basically, from next day onwards, every 500 and 1000 rupee note stood
just as a mere paper if not exchanged/deposited at banks. There are quite a few significant reasons
behind this huge step. According to Economic Times. They are:
1. To tackle the black money in the economy.
2. To lower the cash circulation in the country that is directly related to corruption.
3. To eliminate fake currency and dodgy funds which have been used by terror groups to fund terrorism in India.
1.1 SOME HIGHLIGHTS:
1. Subsequently, all the banks were closed for public work on Novermber 09, 2016.
2. ATMs were put out of function for 9th and 10th November. 2016. Internet banking, cheque and demand draft transactions remained completely unaffected.
3. The last date to exchange the old notes of Rs 500 and Rs 1000 is December 30, 2016 or can be exchanged with RBI till March 31, 2016 after filling up a declaration form.
4. The upper limit to withdraw and is Rs 2000 from ATM Rs 24000 in a week from banks.
5. The exchanges can be made at Banks, Post offices and sub-post offices.
6. The new 500 and 2000 Rupee notes were introduced for circulation.
The citizens were left stunned by the move. It came real confidential. Apparently, there was a kind
of mixed reaction in the country. Social media came flooded with verses of appreciation and cries &
rants as well. Opinions, suggestions, inferences, tweets, and discussions took the lead. Where we
saw people flushing out their black money in rivers, we also pained the loss of several citizens who
lost their lives unable to cope up long queues and the lack of physical facilities. Despite the
announcement, many hospitals refused to take old currency notes resulting in tragedies. We
recorded good amount of black money reaching the banks as well. The coin will always have two
sides.
Having said this, the purpose of the study is to study the perception of the citizens of Surendranagar
on Demonetization. The study will help us understand how far the citizens believe that this move
will help in fulfilling the objectives, announced by the Prime Minister. The study also takes into
consideration, the experience of respondents towards banks, post offices and ATM services post
Demonetization.
TIMS - Quest Journal of Management & Resarch
2.0 OBJECTIVES
Objectives of this study were:
l To study citizen's perception of Demonetization and its likely benefits.
l To study citizen's experience of service of Bank, Post office and ATM after announcement of demonetization.
l To study citizen's perception of information (about demonetization) provided by various media.
The study was conducted in Surendranagar city; headquarter of Surendranagar district of state of
Gujarat. The data were collected from November 23, 2016 to December 08, 2016 which is after 15
days of announcement of demonetization. It was assumed that by this time majority of the people
have formed their opinion about demonetization and should have visited Bank, Post office or ATM
for monetary transaction.
3.1 SAMPLING DESIGN
POPULATION:
Population comprised of middle-class and lower middle-class adult citizens of Surendranagar city.
SAMPLE SIZE:
342
SAMPLING TECHNIQUE:
Non probability convenience sampling
3.2 INSTRUMENT:
The data was collected through structured questionnaire. Questionnaire was prepared in Gujarati
language. Prior to data collection, questionnaire was pretested to ascertain the appropriateness of
format, language, meaning of statements and time required to answer the questions.
Questionnaire is divided into four parts:
l The first part inquires about perception of respondents of likely benefits of demonetization.
l The second part studies experience of respondents with Banks, Post offices and ATM post demonetization.
l The third part inquires about perception of respondents of helpfulness of information provided by media.
l The fourth part intends to capture the demographic information of respondents.
27Vol. VII, Issue II, August, 2017
28
3.3 Data Collection Method:
To collect the data from people leaving in different areas of the city, 350 questionnaires were
distributed to students and faculty members residing in different areas of Surendranagar city and
requested to collect data from, particularly, middle class and lower middle class people engaged in
different occupation.
Total 342 filled up questionnaires were received leading to response rate of 98%.
4.0 ANALYSIS
Data has been obtained from various segments. Respondents are deliberately chosen from middle
class people because they are the ones who are majorly affected by demonetization in terms of
hardship faced to avail the banking services. .
Total questionnaire distributed 350 Filled questionnaire received 342 Response rate 98%
Table 1: Respondents by Gender
Gender Number Percentage
Male 219 64 Female 117 34 No Response 6 02 Total Respondents
342
Table 2: Respondents by Profession
Profession Number Percentage
Employee 68 20 Trader – Medium 62 18 Home maker 58 17 Students 56 16 Trader – Small 44 13 Lari - Gallla 36 11 Sundry worker 16 5 No Response 2 1 Total Respondents
342
TIMS - Quest Journal of Management & Resarch
74% of the respondents agreed with the stand of Demonetization of Government of India, 23%
disagreed while 3% of the respondents were undecided. 70% respondents believed that in the long
run demonetization will help economy. 60% respondents agreed that this move will improve India's
prestige at international level.
The primary objective as stated by Prime Minister behind this move was to curb the menace of
black money in the economy but the opinion of the respondents is seen to be little unaligned with it.
58% though believed that the move will help in tackling black money, 42% respondents feel
otherwise.
About 65- 67% of the respondents felt that this stand will lead to reduction in cost of land, gold and
other commodities. Again, about 42% from the chunk of respondents believe that it will neither
help eliminate dodgy money used to fund terrorism, nor will it help us curtail Hawala (Hundi)
business in the country. 51% of the respondents however believe it will help reducing fake money
in the economy.
4.2RESPONDENTS' EXPERIENCE OF BANK, POST OFFICES AND ATM SERVICES
From amongst 342 respondents, majority of the respondents, i.e., 80% visited banks. 275 (80%)
respondents have visited Bank, 77 (21%) respondents have visited Post office and 46 (14%) have
visited both Bank and Post office after announcement of demonetization.
118 respondents out of 275 respondents who have visited bank i.e. 42% choose to identify banks
they have visited. Three respondents have visited more than one bank.
Out of 115 responses, it was found that respondents have visited 24 different banks and three top
visited banks were SBI (23 respondents), Bank of Baroda (17 respondents) and HDFC Bank (15
respondents).Rests of the banks were visited by less than 10 respondents.
Place of Visit for Exchange / Withdraw / Deposit
Number Percentage
Banks
275
80% Post Office
77
21%
Banks and Post office both
46
14%
Table 4: Visit of Respondents to Bank and Post office
Table 5: Purpose of Bank visit: N: 275
Purpose
Number
%
For all purposes
105
38
To exchange old notes
50
18
To deposit money
49
18
To withdraw money
11
4
No Response 60 22
29Vol. VII, Issue II, August, 2017
As the table suggest, from over 342 respondents, 64% are males and the rest are females. Talking
about their occupation, 20% of the respondents are employees where as 18% and 17% are Medium
scale traders and housewives respectively. The other 50% are students, hawkers and sundry
workers.
30 Vol. VII, Issue II, August, 2017
4.1
RESPONDENTS’ PERCEPTION ABOUT DEMONETIZATION AND ITS
LIKELY BENEFITS ( N:342)
Table 3: Respondents’ perception about demonetization and its likely benefits (N:342)
Statement
Yes (%)
No (%)
No Response (%)
Do you support the Goventment decision of withdrawing Rs. 500 and 1000 notes?
74
23
3
Do you think this decision will be beneficial in the long run?
70
26
4
Do you think this decision will reduce prices of real estate?
67
29
4
Do you think this decision will reduce prices of gold / silver?
67
32
1
Do you think this decision will reduce prices of commodities?
65
35
1
Do you think this decision will improve image of India at international level?
60
34
6
Do you think this decision will reduce the menace of black money? 58
42
0
Do you think this decision will reduce the menace of terrorism?
58 42 1
Do you think this decision will reduce the menace of money laundering?
54
42
4
Do you think this decision will reduce the menace of fake currencies?
51
46
2
Do you think this decis ion will reduce the menace of corruption?
47
49
4
From total of 275 respondents, more than 70% satisfied with the behavior of bank employees and
the police arrangement at banks. However around 59% respondents said there were no proper
queues for senior citizens and for differently abled people. Almost 71% respondents did not get any
assistance from any social organizations.
As shown in the table, about 30% of the respondents had to wait for more than 3 hours to transact
with the banks, 27% of the respondents spent two to three hours, waiting, at banks. And about 105
respondents could transact within two hours.
31Vol. VII, Issue II, August, 2017
Table 6:
Respondents’ (those who have visited Bank)
experience while availing Banking Services after Demonetization.
N:275:
Statement
Yes (%)
No (%)
No Response (%)
Was bank employee’s behavior proper?
77
20
3
Was police arrangement proper?
75
22
3
Were bank employees helpful?
74
23
3
Was queue arrangement proper?
56
42
2
Ware there different queue for senior citizen and differently able people?
39
59
3
Did you get any help from NGOs?
23
71
6
Table 7: Time spent to avail the Banking Services N:275:
Time
Number
%
>3 Hours
82
30
Between 2 to 3 Hours
73
27
Between 1 to 2 Hours
57
21
< 1 Hour 48 17
No Response 15 5
From total 77 respondents who visited post office, 44% of the respondents said there were no
proper queues for senior citizens and differently-able people. Again, 60% of the respondents denied
about getting any assistance from any social organization. However, 70% of the respondents said,
the overall behaviour of the employees of post office was good towards them.
32
Table 8: Purpose of Post office visit: N: 77
Purpose
Number
%
To exchange old notes 22 29
For all purposes 17 22 To deposit money 12 16 To withdraw money 4 5 No Response
22 29
Table 9: Respondents’ (those who have visited Post office) experience while availing Post
office Services after Demonetization. N:77:
Statement
Yes (%)
No (%)
No Response
(%)
Was post office employee’s behavior proper? 70
25
5
Was queue arrangement proper?
67
30
3
Was police arrangement proper?
66
29
5
Were post office employees helpful?
65
30
5
Ware there different queue for senior citizen and differently able people?
53
44
3
Did you get any help from NGOs?
31
60
9
TIMS - Quest Journal of Management & Resarch
As shown in the table, about 18% of the respondents had to wait for more than 3 hours to transact
with the post office while about 33% of the respondents could transact in between one to two hours.
201 (69%) respondents visited ATM after demonetization and at the time of response.
About 33% of the respondents could avail ATM service in between one to two hours, whereas
18% respondents had to wait for more than three hours.
4.3 RESPONDENTS' PERCEPTION ABOUT USEFULNESS OF THE INFORMATION
PROVIDED BY VARIOUS MEDIA
Media Industry has a vital role to play at the time of such drastic changes occurring in the country.
While some of us may believe that media is one of the most manipulating bodies in India, about
56% of the respondents feel that the information they receive from media is useful.However, 30%
of the respondents feel that media leads to more confusions. 13% of the respondents believe that
information is not very useful.
33Vol. VII, Issue II, August, 2017
Table 10: Time spent to avail the Post office Services N:77:
Time Number % < 1 Hour 25 32 Between 2 to 3 Hours
18
23
Between 1 to 2 Hours
16
21 >3 Hours
13
17
No Response
05
6
Table 11: Time spent to avail the ATM Services N:201
Time
Number
%
Between 1 to 2 Hours
66
33
< 1 Hour
51
25 Between 2 to 3 Hours
48
24
>3 Hours
36
18
Table 12: Respondents perception about usefulness of information (regarding demonetization) provided by various media.N:342
Usefulness Number %
Yes
191
56
Created more confusion
103
30
No
43
13 No Response
5
1
34
5.0 CONCLUSION
l Majority of the respondents backed the demonetization decision of the Government.
l Majority of them felt that this decision is good for India in long run. They also believed that it will bring down the prices
l Not many respondents supported Government's claim that it will reduce the menace of corruption, black money, fake currency and terrorism.
l Majority of the respondents experienced good service from bank employees and good Ÿ
l Crowd management by police department. At the same time, they experienced poor queue management at the bank premises. Majority of them did not find separate queues for senior citizen and differently able people.
l As far as post office service is concerned, majority of the respondents are happy with the help rendered by the post office employees. They found police deployment satisfactory and found happy about queue management. Although majority of them did not find separate queues for senior citizen and differently able people.
l Very few percentages of the respondents have received help from any social organization.
l Respondents have to wait for longer hours at banks compared to post office and ATMs.
l On the question of usefulness of the information provided by various media, they gave mixed response. While 56 % of the respondents found information useful, 30 % believed it created more confusion while 13% did not find information useful.
6.0 REFERENCE
l (http://epaperbeta.timesofindia.com//index.aspx?eid=31818&dt=20161109&Ar=1, accesed on 15th November 2016)
l (http://epaperbeta.timesofindia.com//Article.aspx?eid=31805&articlexml=Black-Out-
500-1000-Notes-No-Longer-Valid-09112016001027#, accesed on 15th November 2016)
TIMS - Quest Journal of Management & Resarch
Composition of India's Foreign Trade since Mid-Nineties
Dr. Jayesh J. Tanna
Assistant Professor,
B. P. College of Business Administration,
Gandhinagar
ABSTRACT
s the economy grows one observes a gradual change
Ain the composition of its foreign trade especially
favouring increasing exports of finished goods
coupled with continuous decrease in imports of consumers
and basic goods. In the light of this the present study attempts
to find out the changes in the composition of India's foreign
trade since the mid-nineties. The study is divided into major
three parts. The first part of the study examines the trend of
India's foreign trade, second part exhibits the analysis of
composition of India's Imports of Principal Commodities,
and the last part studies composition of India's exports of
Principal Commodities. The study has found out that the
India's imports and exports growth rates registered an
increase in Mid-Nineties. With regard to composition it has
been found that the total share of primary products in India's
total exports has gradually declined and that of finished goods
has increased. Study on composition of Imports, it has been
found that the share of petroleum and crude oil as a bulk
import items has been increasing and that of primary and
agricultural products has been declining.
KEY WORDS: Foreign Trade, Imports, Exports and
Composition of Imports and Exports.
JEL Classification: F10, F14, F40
Vol. VII, Issue II, August, 2017 35
36
1. Introduction
Economists and policy makers across the board have agreed with the opinion that the process of
economic growth is an extremely complex phenomenon that depends on a number of critical
variables the most important amongst them being foreign trade. It is an established fact that the
growth of an economy and its integration with the global economy results from quantifiable trade
relation between the countries. Major economic reforms in India were initiated in 1991 in order to
boost up the trade specialization, accelerating foreign trade volumes with other nations. India, at
present, is marching slightly with her GDP growth from 4.5 to 5.5 after the new governance came in
to force. India has significantly contributed more than 3% through her foreign trade in the world
GDP growth. The economic importance of foreign trade impels researchers to investigate its
composition.
Volume of trade is important as it contributes to economic growth. Similarly, the types of goods
imported and exported are also crucial as they define the rate and nature of development. For
instance import of consumption goods is growth retarding while import of essential raw materials
and capital goods is growth leading. Likewise, export of primary goods yield less income for the
country that the export of industrial finished goods. Export-led growth (ELG) hypothesis
postulates that export expansion is one of the prime determinants of economic growth. The overall
growth of countries can be generated not only by increasing the amounts of labour and capital
within the economy as the classical economists postulates, but also by expanding exports to wider
markets. Moreover, association between exports and economic growth is often attributed to the
positive externalities for the domestic economy arising from participation in world markets. In
view of the above, it is important to examine the composition of imports and exports during the
recent years in India.
2. Review of Literature
A good quantum of research has already been done in the area of foreign trade in general and on
composition of trade in particular India. However, hardly any research has been found in the subject
concerning the changes in the composition from mid-nineties till the recent years. Pillania (2008),
in his study, has demonstrated that the composition of India's foreign trade has been largely
dominated by manufactured goods and services. India's services exports share in global exports is
more than double of that of Indian manufacturing exports. East Asian countries, particularly China
have become a major trading block. There is huge untapped potential for Indian foreign trade in
years to come.
Ozun and Turk (2010) explored various issues on imports and exports of primary goods in Turkey
and have found some leading economic factors that have significant influence on the import and
export Levels of agricultural products in Turkey. Further the research has also emphasized on the
different types of agricultural goods which have contributed more to the import and export of the
country.
TIMS - Quest Journal of Management & Resarch
The study of Reddy, Prusty and Tanna (2013) has examined the influence of India's public
expenditure on her GDP, exports and imports during the period 1982-83 and 2009-10. With the help
of multiple regression analysis it has been established that there has been a significant impact of
both development expenditure and non-development expenditure of government of India on the
three major indicators of economic performance of the country viz. GDP, exports and imports.
However, the study has not considered the composition of imports and exports.
Prusty and Tanna (2012) have explored foreign Investment as a major growth stimulator for the
growth of Indian Economy with emphases on the role of FI in the development of International
trade. The study has found that foreign investment plays a significant role in the development of
India's Imports and exports. The fact that foreign investment may also influence the composition of
exports and imports for a developing country like India has not been addressed by the study. This
leaves a scope for further research in the area.
According to Prusty and Tanna (2013), Indian economy has evidently gained the status of the most
promising economy in the developing countries group and also as an emerging economy throwing
challenges to even the developed world. Considering the critical issues such as national income
parameters, GDS, GDCF and employment, the paper tries to unfold the fact that there has not been
any marked improvement in the Indian economy during the post reform decades as compared to the
pre-reform period.
3. Objectives
The present has the following objectives.
l To find out the trend of India's foreign trade since mid ninetiesl To examine the composition of India importsl To examine the composition of India exports
4. India's Foreign Trade: An Overview
Foreign trade forms significant contribution in the development of country's resources and
economic welfare thereby achieves the economies of scale. Economies of scale can be achieved
with the help of optimum utilization of resources, systematically defining the boundaries for
domestic and foreign trades, scientifically arranging and organizing the trade components,
developing favorable trade patterns and policies regimes and developing the conducive business
environment. There is no country which does not need economic goods to be consumed. Foreign
Trade is a vital sector of a country's national economy, and contributes substantially to the
economic welfare of the people and the development of resources. Economies of scale and
international specialization as also the fruits of scientific and technological progress in the world
become more easily accessible through the foreign trade. In the context of planned economic
development of developing nations, an appropriate trade policy has become very necessary and
significant. Today no country in the world is self-sufficient in the sense that it does not possess
37Vol. VII, Issue II, August, 2017
38
facilities for economical production of all the goods and services that are consumed by its people.
Probably no country can produce all the goods that it needs. Therefore, there is need to trade with
others. Developing countries need more goods to feed a rapidly growing population. Exports can be
a leading sector in growth.
Table-1: Trend of India's Foreign Trade since Mid Nineties(Rupees Billion)
This means that increased earnings from higher marketability of a country's commodities in the
international market would stimulate the indigenous industrial activity in the country. This in turn
brings many distinct benefits, viz., greater utilization of resources, larger employment
opportunities, more foreign exchange, etc. Scholars stated that trade would make the country as a
whole better off. Foreign trade would make an impressive contribution to a country's development.
It is considered to be not simply a device for achieving productive efficiency; but it is also an engine
of growth.
5. Composition of India's Imports
Composition of India's import trade has witnessed a sea change over time. Prior to Independence,
India used to import mostly consumption goods like medicines, cloth, motor vehicles, electrical
TIMS - Quest Journal of Management & Resarch
Year/ Commodity
Total Imports/All
Commodities
Import Growth in
%
Total Exports/All
Commodities
Export Growth
in %
1987-88
222.44
21.22
156.74
22.53
1988-89
282.35
20.08
202.32
26.85
1989-90
353.28
53.36
276.58
15.05
1990-91
757.51
-58.31
325.58
26.08
1991-92
478.51
24.50
440.42
17.97
1992-93
633.75
13.31
536.88
23.03
1993-94 731.01 18.75 697.51 15.63 1994-95
899.71
26.66
826.74
22.26
1995-96
1226.78
11.69
1063.53
10.49
1996-97
1389.20
9.90
1188.17
8.67
1997-98
1541.76
13.55
1301.01
6.91
1998-99
1783.32
17.15
1397.53
12.41
1999-00
2152.37
6.77
1595.61
21.62
2000-01
2308.73
5.84
2035.71
2.61
2001-02
2452.00
17.50
2090.18
18.08
2002-03
2972.06
17.24
2551.37
13.03
2003-04
3591.08
28.33
2933.67
21.84
2004-05
5010.65
24.13
3753.40
17.76
2005-06
6604.09
21.43
4564.18
20.18
2006-07
8405.06
16.97
5717.79
12.82
2007-08
10123.12
26.35
6558.64
21.99
2008-09
13744.36
-0.78
8407.55
0.57
2009-10
13637.36
18.99
8455.34
26.02
2010-11
16834.67
28.22
11429.22
22.04
2011-12
23454.63
12.26
14659.59
10.35
2012-13
26731.13
#DIV/0!
16352.61
#DIV/0!
Source: Directorate General of Commercial Intelligence and Statistics.
goods, iron, steel, etc. By and large the same trend with regard to composition of imports also
continues for many years after introduction of planning in Independent India. However, with the
passage of time, it is believed that, the import composition would have undergone changes. With a
view to examining the fact, commodity-wise import data have been compiled and presented in
Table-1.
The import composition data of the last 25 years starting from 1987-88 reveal some interesting
observations. The entire imports may be classified into two categories viz. bulk import goods and
non-bulk import goods. Bulk import goods comprise petroleum, crude oil and petroleum goods
whereas non-bulk import goods consist of capital goods, export related goods and others. It is
observed that there has been continuous increase in the import of bulk goods and continuous
decrease in the import of non-bulk goods over last 25 years. Increase in bulk imports has been
mainly contributed by the imports of petroleum and crude oil. Import of consumption goods as a
part of bulk goods has been rather declining. While the import of petroleum and crude oil increased
from 18.18% in 1987-88 to 34.43% in 2012-13, the import of consumption goods declined from
6.65% in 1987-88 to 2.89% in 2012-13. This suggests that India's bulk goods composition has been
favourable for the economy.
Import of non-bulk goods has been declining mainly due to the decline in the imports of capital
goods. Capital goods import has declined from 29.52% in 1987-88 to 18.61% in 2012-13 showing
around 10 percentage point decline in 25 years. This may suggest that India is becoming
increasingly self reliant in terms of supporting its manufacturing growth by using domestically
produced capital goods. Table-2: Composition of Imports in India since 1988
39Vol. VII, Issue II, August, 2017
Year/ Commodity
I. Bulk Imports
I.A Petroleum, Crude and Products
I.B
Bulk Consumption
Goods
I.C Other Bulk Items
II. Non-Bulk
Imports
II.A Capital Goods
II.B Mainly Export Related Items
II.C Others
III.
Total Imports/All
Commodities
%
%
%
%
%
%
%
%
1987-88
40.91
18.18
6.65
16.09
59.09
29.52
15.07
14.50
100.00
1988-89
40.45
15.43
6.69
18.33
59.55
24.63
19.13
15.79
100.00
1989-90
40.24
17.75
2.62
19.87
59.76
24.92
18.67
16.17
100.00
1990-91
-
-
-
-
-
-
-
-
-
1991-92
44.11
27.43
1.42
15.27
55.89
21.81
18.45
15.63
100.00
1992-93
44.09
27.05
2.32
14.73
55.91
20.71
18.96
16.24
100.00
1993-94
39.10
24.69
1.40
13.01
60.90
26.79
18.83
15.29
100.00
1994-95
39.51
20.69
3.99
14.83
60.49
26.66
15.06
18.77
100.00
1995-96
39.03
20.52
2.64
15.87
60.97
28.17
14.34
18.47
100.00
1996-97
41.82
25.65
3.10
13.07
58.18
25.35
15.69
17.14
100.00
1997-98
35.65
19.68
3.58
12.40
64.35
23.61
16.66
24.07
100.00
1998-99 31.21 15.10 5.95 10.16 68.79 23.74 16.82 28.22 100.00 1999-00
39.55
25.39
4.87
9.30
60.45
18.05
18.36
24.04
100.00
2000-01
41.19
30.97
2.86
7.37
58.81
17.69
15.95
25.17
100.00
2001-02
39.41
27.23
3.97
8.21
60.59
19.22
16.07
25.30
100.00
2002-03
39.57
28.72
3.93
6.92
60.43
21.98
16.79
21.66
100.00
2003-04
37.70
26.32
3.93
7.45
62.30
23.39
16.27
22.64
100.00
2004-05
38.02
26.76
2.78
8.48
61.98
22.54
15.33
24.11
100.00
2005-06
40.95
29.47
1.85
9.62
59.05
25.25
12.50
21.30
100.00
2006-07
45.46
30.76
2.31
12.38
54.54
25.34
9.62
19.58
100.00
2007-08
44.84
31.68
1.83
11.33
55.16
27.88
8.26
19.02
100.00
2008-09
45.65
30.56
1.66
13.43
54.35
24.04
10.69
19.62
100.00
2009-10
43.47
30.19
3.14
10.15
56.53
22.91
10.88
22.74
100.00
2010-11
40.88
28.65
2.40
9.84
59.12
21.26
14.51
23.35
100.00
2011-12
43.93
31.68
2.38
9.87
56.07
20.27
10.60
25.19
100.00
2012-13
46.70
34.43
2.89
9.37
53.30
18.61
9.54
25.15
100.00
Source: Directorate General of Commercial Intelligence and Statistics.
40
The decrease in imports of export related goods is a concern, but may not stand in the way of growth
as long as India's export growth continues. However, a bigger concern in the import composition is
the continuous increase in the imports of other goods. It needs to be checked and be kept under a
limit. The import of other goods increased from 14.50% in 1987-88 to 25.15% in 2012-13 which is
alarming. However, it may not be obstructing till it does not jeopardize the country's economic
growth.
6. Composition of India's Exports
Since independence, composition of export trade of India has also undergone a change. Prior to
independence, India used to export agricultural products and raw materials, like jute, cotton, tea, oil
seeds, leather, food grains, cashew nuts, and mineral products. It also exported manufactured
goods. But with the passage of time export kitty included mostly manufactured items like,
machines, ready-made garments, gems and jewellery, tea, jute manufactures, Cashew Kernels,
electronic goods, especially hardware's and software's which occupy prime place in exports.
Especially since the five year plans were ushered in, India emphasized on exports of finished and
manufactured goods. The focus of the government of India on heavy industrialization in the second
five year plan and also in the subsequent plans has resulted in increasing exports of manufactured
and engineering goods. A close look at the changing scenario of exports in the country since the mid
nineties unfolds certain interesting facts with regard to its composition.
Export composition of India and its trend are shown in Table-3. Data reveals that the export basket
of India is dominated by the manufactured goods followed by the primary goods. However, the
contribution of both the categories of exports has been decreasing since the mid-nineties. Decrease
in the primary goods exports goes in line with the country's progress. This means that the export of
primary goods would have been replaced by the export of non-primary goods. But looking at the
rate of decrease, one may not be very happy. Primary goods exports were 26.14% in 1987-88 which
decreased to 15.37% in 2012-13 meaning that, over a period of 25 years around 10% decrease in the
primary goods exports has taken place which should have been more considering the aggressive
promotion policies for non-primary goods exports followed after 1991. Another observation is that
exports of agricultural and allied goods are far greater than the exports of ores and minerals though
both the exports have been declining. In the manufactured goods category, textile and textile
products, and gems and jewelry contribute largely to India's exports. However, such exports have
been declining throughout. While export textile and textile products declined from 24.93% in
1987-88 to 9.10% in 2012-13, that of gems and jewelry fell from 16.67% in 1987-88 to 14.46 in
2012-13. Contrast to this, export of leather and leather products, chemicals, engineering goods and
other manufactured goods has been increasing over last two and half decades. This means that in
the manufactured goods category of India's exports there has been a change in composition.
TIMS - Quest Journal of Management & Resarch
Table-3: Composition of Exports in India since 1988
Source: Directorate General of Commercial Intelligence and Statistics.
A gradual shift of exports has been noticed from textile and textile products, gems and jewelry and
handicraft products to chemical and engineering goods. To an extent, this change in the
composition of exports may be considered favourable for the economy. Another interesting
41Vol. VII, Issue II, August, 2017
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dA
llie
dP
rod
uct
s
ii.B
Ore
sa
nd
Min
era
ls
II.
Ma
nu
fact
ure
dG
ood
s
II.A
Lea
ther
an
dM
an
ufa
ctu
res
II.B
Ch
emic
als
an
dR
ela
ted
Pro
du
cts
II.C
En
gin
eeri
ng
Go
od
s
II.D
Tex
tile
an
dT
exti
leP
rod
uct
s
II.E
Gem
sa
nd
Jew
elle
ry
II.F
Ha
nd
icra
fts
(ex
clu
din
gH
an
dm
ad
e
Ca
rpet
s)
II.G
Oth
erM
an
ufa
ctu
red
Goo
ds
III.
Pet
role
um
Pro
du
cts
IV.
Oth
ers
(All
Co
mm
od
itie
s)
%
%
%
%
%
%
%
%
%
%
%
%
%
1987-88
26.14
21.18
4.96
67.79
7.98
6.55
9.53
24.93
16.67
1.44
0.69
4.14
1.92
1988-89
23.21
17.30
5.91
72.37
7.52
7.81
11.46
21.74
21.71
1.47
0.65
2.50
1.92
1989-90
23.38
17.17
6.20
72.06
7.05
9.35
12.03
22.55
19.15
1.34
0.59
2.52
2.04
1990-91
23.83
18.49
5.34
71.62
7.99
9.52
12.40
23.93
16.12
1.23
0.43
2.88
1.67
1991-92
23.13
17.93
5.20
73.60
7.10
10.46
12.61
26.27
15.33
1.35
0.48
2.32
0.95
1992-93
20.90
16.92
3.98
75.73
6.89
9.64
13.38
27.01
16.57
1.49
0.75
2.57
0.99
1993-94 22.10 18.11 3.99 74.90 5.84 10.69 13.66 24.61 17.97 1.43 0.70
1.79 1.21
1994-95 19.80 16.05 3.75 77.49 6.12 11.65 13.32 27.03 17.09 1.47 0.81 1.58 1.12
1995-96 22.82 19.13 3.70 74.69 5.51 11.31 13.81 25.26 16.59 1.36 0.84 1.43 1.06 1996-97
24.01
20.50
3.50
73.54
4.80
11.69
14.83
25.80
14.20
1.42
0.80
1.44
1.01
1997-98
21.96
18.93
3.03
75.83
4.73
12.56
15.24
25.85
15.27
1.50
0.67
1.01
1.20
1998-99
20.86
18.17
2.69
77.64
5.00
12.07
13.44
26.69
17.85
1.91
0.69
0.27
1.23
1999-00
17.72
15.23
2.49
80.70
4.32
12.78
13.99
26.67
20.37
1.82
0.74
0.11
1.48
2000-01
15.99
13.40
2.59
77.05
4.36
13.21
15.30
25.33
16.57
1.48
0.80
4.20
2.76
2001-02
16.35
13.46
2.88
76.14
4.36
13.81
15.88
23.29
16.67
1.25
0.89
4.84
2.68
2002-03
16.51
12.73
3.79
76.34
3.51
14.14
17.13
22.04
17.13
1.49
0.90
4.89
2.26
2003-04
15.51
11.80
3.71
75.96
3.39
14.80
19.43
20.04
16.56
0.78
0.96
5.59
2.95
2004-05
16.22
10.14
6.08
72.70
2.90
14.90
20.77
16.23
16.47
0.45
0.98
8.37
2.71
2005-06
15.89
9.91
5.98
70.39
2.62
14.33
21.07
15.91
15.06
0.45
0.95
11.29
2.44
2006-07
15.58
10.04
5.54
67.20
2.39
13.72
23.40
13.75
12.64
0.35
0.96
14.78
2.43
2007-08
16.91
11.31
5.60
63.21
2.15
13.01
22.94
11.92
12.08
0.31
0.80
17.41
2.46
2008-09
13.86
9.59
4.27
67.37
1.95
12.42
25.87
10.95
15.29
0.16
0.73
14.68
4.10
2009-10
14.81
9.95
4.86
64.63
1.89
12.85
21.47
11.14
16.27
0.13
0.88
15.72
4.84
2010-11
13.09
9.65
3.44
62.98
1.56
11.51
23.18
9.66
16.14
0.10
0.84
16.52
7.40
2011-12
15.01
12.25
2.76
60.62
1.57
12.13
22.17
9.16
14.66
0.09
0.83
18.28
6.10
2012-13
15.37
13.52
1.85
61.13
1.62
13.29
21.72
9.10
14.46
0.07
0.87
20.04
3.46
42
observation with regard to changing composition of India's exports is that petroleum goods exports
have been on rise over time and the increase has been quite sharp since 2003-04. One can find a
continuous decrease in the exports of petroleum products till 1999-2000 and then a continuous
increase. This suggests that our export strength in the petroleum sector has been stronger since the
beginning of the twenty first century. To summarize, the composition of exports in India since the
mid-nineties has been showing a favourable change.
7. Conclusion
In view of the importance of international trade in the process of economic development, it is
important to look at the changing composition of imports and exports. India is a fast growing
economy where international trade has been playing a major role. Thus, with the present paper
intended to find out whether there has been any shift in the composition in India's foreign trade
especially since the mid nineties. The study reveals that, over last 25 years, the import basket of the
country has been continuously dominated by the import of bulk goods. On the other hand a
continuously diminishing role has been registered of the import of non-bulk goods. Increase in bulk
imports has been mainly contributed by the imports of petroleum and crude oil. Import of
consumption goods as a part of bulk goods has been rather declining. Striking is the fact that there
has been a gradual decline in the imports of export related goods. However, it may not be a major
concern of growth as long as India's export growth continues. Imports in the other goods category
still remains as a big concern.
India's export composition also reveals some interesting facts. The export basket of the country is
found to be dominated by the manufactured goods followed by the primary goods. However, the
contribution of both the categories of exports has been decreasing since the mid-nineties. As
expected, a gradual shift of exports has been noticed from textile and textile products, gems and
jewelry and handicraft products to chemical and engineering goods. This shows that the
composition of exports in India since the mid-nineties has been favourable.
References
l Pillania, Rajesh K (2008), “An exploratory study of Indian Foreign Trade”, Journal of Applied Economic Sciences, Volume-iii, Issue3 (5), pp 281-292
l Alper and Turk (2010), “Leading Economic Determinants of Foreign Trade Volume in Turkish Agriculture Sector” Agricultural Economics Review, Vol 11, Issue No.1, pp-87-96.
l Reddy, Prusty and Tanna (2013), “Relating Public Expenditure with Trade and GDP in India: An Analytical Note”, Journal of Humanities, Social science & Management, Vol. III, Issue II, AUGUST, 2013, pp- 59-79.
l Prusty and Tanna (2012), “Foreign Investment and Trade Performance in India in the Post Liberalisation Period'” in eds. Foreign Investment and Indian Economy, pp 19-29.
l Prusty and Tanna (2013), “Indian Economy in two decades of Reforms: Some Critical Issues” Journal of Humanities, Social science & Management, Vol. IV, Issue 2, pp-72 – 85.
TIMS - Quest Journal of Management & Resarch
Eradicate Extreme Hunger and Rural Poverty in Gujarat:
Revisit of BPL Families
Dr. Yogesh N. Vansiya
Assistant Professor,
Department of Economics,
Veer Narmad south gujarat university,
Surat
E-mail : [email protected]
ABSTRACT
here is significant inequality among various districts of TGujarat, as far as various aspects of development is
concerned. On one hand, there are developed districts
like Surat, Vadodara, Ahmedabad and Rajkot and on the other
hand districts such as Narmada, Bharuch, Dang and Tapi are
economically and socially backward. Especially in the tribal
districts, various socio-economic problems like income
inequality, rural poverty, unemployment, illiteracy etc, are found
to be existing to a large extent. Therefore, it was decided, in the
present study, to know the condition of the BPL (Below Poverty
Line) card holder households. Tapi district, which is one of the
tribal districts of Gujarat state, was selected for the purpose. It
was decided to study the condition of the BPL families declared
by the Government, by revisiting them. The study used the 13
indicators of poverty on which the 2002-03 government survey
of the BPL families was based, to examine the regional situation
regarding extent of povrty prevailing in the rural areas of Tapi
district. Keeping in mind the objectives of the study and various
hypotheses, apart from measures of central tendency and
percentages, statistical techniques such as chi-square test and
correlation analysis were applied. The present study is based on
both primary as well as secondary data. The information on the
BPL families was collected through interviews, group
discussion and questionaries. Some other essential information
was collected through research papers, articles, government
websites and various other reports.
KEY WORDS: Rural Poverty, Hunger, Tapi District
Vol. VII, Issue II, August, 2017 43
44
SECTION- I
Introduction India has not been able to reduce unemployment and poverty in spite of rapid economic
development that it has achieved. Since the last 67 years, the Government has been constantly
claiming that it has been making continuous efforts to eradicate poverty.The Government spends
crores of rupees every year on the programmes for eradication of poverty and unemployment, but
so far its efforts have not been successful.Not only India, but many countries of the world are facing
many such economic problems at present. The main problems faced by these countries are
population growth, poverty, unemlpoyment and income inequalities.The root of all these problems
is poverty. According to Prof. Ragnar Nurkse,these nations remain poor because the root cause is
poverty.Now a days along with economic development , social aspects (i.e. non-economic factors)
are also given importance in the concept of ' economic development '.Therefore, one can not say
that a particular country is developed just because its national income is high. But along with its
national income, one should also try to determine to what extent the standard of life of its citizens
have improved, so that one can say that the country has really developed. 1Assistant Professor, Department of Economics, Veer Narmad South Gujarat University, Surat. Email: [email protected]
Research Problem
There is significant inequality among various districts of Gujarat, as far as various aspects of
development is concerned. On one hand, there are developed districts like Surat, Vadodara,
Ahmedabad and Rajkot and on the other hand districts such as Narmada, Bharuch, Dang and Tapi
are economically and socially backward. Especially in the tribal districts, various socio-economic
problems like income inequality, rural poverty, unemployment, illiteracy etc, are found to be
existing to a large extent.Therefore, it was decided, in the present study, to know the condition of
the BPL (Below Poverty Line) card holder households. Tapi district, which is one of the tribal
districts of Gujarat state, was selected for the purpose. It was decided to study the condition of the
BPL families declared by the Government, by revisiting them.
Review of Research and Development in the Subject
The study by Jean Dreze and Ritika Khera (2013) is concerned with determining to extent the
public distribution system is useful in reducing rural poverty. One of the main conclusions of the
study is that in Tamilnadu, there was 61 % to 83 % reduction in poverty, while in Chhatisgadh; the
reduction in poverty was between 63 % and %7 %.
Sumit Majmudar and Alok N. Sharma (2013) had presented their paper entitled “ Urban Poverty
and Social Security : Efficiency of the Public Distribution System and Its Effect on Poverty “.This
study tried to examine poverty and the social security situation in Ranchi and Delhi.The study
found positive effects on the welfare of the poor due to the public distribution system. The study
TIMS - Quest Journal of Management & Resarch
concludes that due to subsidy provided in the PDS, the percentage of poor families in both the
cities has declined by 2 to 3 percent.
Yogesh N. Vansia (2013), found in his study that the percentage of the poor was 13.6 % in the total
rural population, but 61.87 % of the ST families were below the poverty line. Among them, 58.16 %
were' very poor'. This shows that the benefits and opportunities of development have not reached
such families in th etribal areas.Moreover, in this study, the percentage of illiterate families was
high among the STs and the extent of poverty was also high.This goes to show that where ever
literacy is low, the extent of poverty is high.In addition, inverse relationship between landholding
size and poverty was found.
In the paper authored by Kailash Bhoye (2011), the standard of life of the very poor who had very
low rank in terms of wealth, was relatively very low.The local measures provide more realistic
guidance for measurement of rural poverty. One of the important findings of the study is that the
application of 13 indicators selected by the government for identification of the BPL families is
improper and wrong. It does not lead to identification of the real poor.
In a study undertaken by Yogesh N. Vansia and Manish R. Patel (2010), it was found that In the BPL
survey of Gujarat, the poverty ratio was 38.04 % and among the poor the percentage of 'very poor'
was 50.04 %.It was also found that the percentage of the BPL families was 41.43 % in South
Gujarat and among them the percentage of 'very poor' families was 55.57 %, both of which were
more than the corresponding figure for Gujarat.
R Radhakrishna, K Hanumantha Rao, C Ravai, B Sambi Reddy (2004) focus in them paper on
chronic poverty and malnutrition. It analyses the trends in extent, depth and severity of poverty and
also malnutrition in rural and urban areas. They also indicate that the incidence of chronic poverty
is higher than that of very poor in both rural and urban areas but the former is lower than severe
malnutrition. Although the risk of malnutrition decreases with household income elimination of
poverty cannot ensure eradication of malnutrition. The incidence of child malnutrition is
particularly high among poor households where mothers have poor nutritional levels, less
education and poor access to antenatal care. The lowest incidence of child malnutrition is not in the
richest but in the middle income states with progressive social policy.
The eradication of severe malnutrition should be the first priority of social policy and the feeding
programmes should be targeted towards them, especially, women and children. Liberal use of
growth-supplementing, employment-oriented food-for work
V N Misra, M Govinda Rao,(2003) Paper attempts to examine (I) how changes in trade policy
introduced during the nineties have influenced the domestic inter-sectoral terms of trade, being the
mechanism through which the impact of macro policies such as monetary, exchange rate and trade
are transmitted to the agricultural sector; (ii) the impact of terms of trade and trade policy among
others on aggregate crop output and private investment in agriculture over the period;
45Vol. VII, Issue II, August, 2017
46
(iii) whether trade policy and devaluation of rupee among others have helped in raising agricultural
exports; and (iv) how the aggregate crop output and terms of trade have influenced rural poverty
and real agricultural wages of unskilled workers over the period.
G S Bhalla, Peter Hazell, (2003), this paper discusses the likely scenarios regarding employment
and income growth in agriculture and non-agriculture in rural and urban areas under various
assumptions about sectoral growth rates and employment elasticities. It is evident that India faces a
problem in generating enough employment in the years ahead to keep pace with the growth in the
labour force as also in raising wages and productivity of workers. Against this backdrop the authors
consider possible strategies for increasing employment significantly reducing rural and urban
poverty by 2020.
Anirudh Krishna, Mahesh Kapila, Mahendra Porwal, Virpal Singh (2003), are indicates in research
paper that in 20 villages of Vadodara and Panchmahals districts of Gujarat. Redirecting such
expenditures toward controlling descent into poverty, especially through providing more
accessible, accountable and affordable health care services, will help much more, in our view, to
reduce poverty in this region of Gujarat. Similar policies will help as well in the region of Rajasthan
that we studied earlier, and also quite likely in a much wider area. The Stages of Progress
methodology described above represents one effort to understand movements into and out of
poverty in terms of a locally relevant understanding of poverty. This methodology has emerged
more robust through being adapted and applied separately in two regions of India, Rajasthan and
Gujarat, and in one region of Kenya. We intend to undertake further Stages-of- Progress inquiries in
villages of Andhra Pradesh starting in January 2004. We welcome readers' suggestions that would
help to improve these investigations.
Jagadish Bhagavati (2002), in his study has stated that due to economic growth, peple's income
increase which bring them above the poverty line.Other benefits that follow from it are, rise in the
literacy rate, increase in the government expenditure on health services and many others.So, in this
paper, emphasis is put on how poverty can be reduced through economic growth and how reforms
can be initiated.In their paper, Dipak Lal, Rakesh Mohan and I. Natarajan (June,2002), concluded that in the
estimates of poverty based on expenditure in the year 1987-88 are much higher than those
calculated by the Planning Commission.This difference has been much greater for the rural areas.
Thus, the poor spend more than what they earn. The reason for which may be that they dissave and
they borrow for meeting their expenditure.Gopal K. Kodekodi (2002), in his study found no strong relation between environmental
degradation and poverty, and there is relationship between economic development and
environment, while population growth adversely affect environment.Increasing poverty also
negatively affect environment. But damage to environment makes life of the poors more difficult.
No clear relation was found between quality of environment and population growth.
TIMS - Quest Journal of Management & Resarch
(Ahluwalia 1978; Ninan 2000; Datt and Ravallion 1998), intuitively, one can see that the
agricultural sector affects the rural poor in several ways. First, higher agricultural output helps
reduce food prices and improve food availability, both of which help the poor. Second, it creates
employment opportunities in the agricultural sector and, through linkages, enhances growth in the
non-agricultural sector.
According to the study of Mehabub-ul-Haque (1998), more than 50 crore people of the South Asia
were experiencing “absolute poverty”, 26 crore persons do not have access to the most primary
services, 33.7 crore persons do not get pure drinking water, there is no sanitation facility for 83
crore people and 39.6 crore persons can not read or write.
Datt and Ravallion (1998), argue that while high agricultural growth is crucial to rural poverty-
reduction, non-agricultural economic growth is also important. It is a fact that many people in the
rural areas are engaged in non-agricultural employment. Moreover, the large literature on dualistic-
development models suggests that there is a reasonably strong link between the non-agricultural
sector and the agricultural sector. They explain that the impact of non-agricultural growth on rural
poverty is enhanced by progress in human-resource development and other facets of rural
development.
Objective of the Study
1. To know (on the basis of the BPL survey), the economic and social situation of the BPL families through revisit.2. To examine the relationship between the level of education of the BPL families and the size of landholding with incidence of poverty.3. To make a preliminary study of the BPL families having large or medium size of land holding and having high level of education and to make restudy of BPL measurement and to find out the reasons why such families were included among the BPL families.
Hypothese of the Study
1. There is no relationship between the education level of the most educated person in the family and level of savings.2. There is no relation between the BPL score of the family and its expenditure on health.
Research Methodology
Data Collection
The present study is based on both primary as well as secondary data. The information on the BPL
families was collected through interviews, group discussion and questionaries. Some other
essential information was collected through research papers, articles, government websites and
various other reports.
47Vol. VII, Issue II, August, 2017
48
Data Analysis
The study used the 13 indicators of poverty on which the 2002-03 government survey of the BPL
families was based, to examine the regional situation regarding extent of povrty prevailing in the
rural areas of Tapi district.
The collected data were used for constructing various tables and drawing useful conclusions, for
which computer softwares like Excel and SPSS were used. On the basis of these tables and
statistical tests some useful conclusions were derived which gave an idea about the social and
economic condition of the BPL families. Keeping in mind the objectives of the study and various
hypotheses, apart from measures of central tendency and percentages, statistical techniques such as
chi-square test and correlation analysis were applied.
Measurement of Poverty
To measure poverty different types of calculation have been used. Measures like “head count
ratio”, “mean poverty gap”, “income gap ratio”, “Gini coefficient” and “Sen Index” are included,
the UNDP has started regularly measure human poverty index (HPI) since 1997 and in 2011 HDRs
measure multidimensional poverty. In India multidimensional poverty is 53.7 % (Headcount).
Generally poverty is measured by using the tool “head count ratio”. With this tool it is very difficult
to get the details about the intensity of poverty among the poor. The variation in the income of
people below the poverty line is essential to study the problem of the poor. To measure the intensity
of poverty the head count ratio is absolute, hence other measures relative of poverty like “Gini
Coefficient” and “Sen Index” have been taken into consideration. 2 The poverty headcount ratio is the proportion of the national population whose incomes are below the official threshold (or thresholds) set by the national
government. National poverty lines are usually set for households of various compositions to allow for different family sizes. Where there are no official
poverty lines, they may be defined as the level of income required to have only sufficient food or food plus other necessities for survival
3 The mean distance below the poverty line as a proportion of the poverty line where the mean is taken over the whole population, counting the non-poor as
having zero poverty gap. That is the mean shortfall from the poverty line (counting the non poor as having zero shortfall), expressed as a percentage of the
poverty line.
4 The Gini coefficient is usually defined mathematically based on the Lorenz curve,The Gini coefficient can range from 0 to 1; it is sometimes multiplied by
100 to range between 0 and 100. A low Gini coefficient indicates a more equal distribution, with 0 corresponding to complete equality, while higher Gini
coefficients indicate more unequal distribution, with 1 corresponding to complete inequality.
5 Given the multiplicative decomposition of the Sen index into three commonly used poverty statistics – the poverty rate (poverty incidence), poverty gap
ratio (poverty depth) and 1 plus the Gini index of poverty gap ratios of the poor (inequality of poverty) – the index becomes much easier to use and to
interpret for economists, policy analysts and decision makers. Based on the recent findings on simultaneous subgroup and source decomposition of the Gini
index, we examine possible further decompositions of the Sen index and its components for policy analysis.
In Present study we have taken the BPL Census from Ministry of Rural Development, Government
of India conducts BPL Census at the beginning of each five-year plan. The methodology has been
changed to identify the families below poverty line. The latest methodology is based on 13
socioeconomic indicators, indicting the quality of life and by score-based ranking for all
households. Each of the indicators has 0 to 4 marks. Thus, for 13 indicators, the tentative marks
obtained by the families are from 0-52 for all the districts. Families scoring 0 to 20 are categorized
as poor and those who score between 0 to 16 are identified as extreme poor families. In Presen
TIMS - Quest Journal of Management & Resarch
Present study we take BPL survey definition for rural poverty; it is served by GOG in 2002-2003.
Selection of the Sample
The families that were selected for the BPL survey conducted by the Ministry of Rural
development, Government of India in 2002, were considered as the universe and a sample was
selected from it. According to the BPL survey,the families having a score between 0 and 20 were
called “ poor “ and those with a score between 0 and 16 , were called “ very poor “. (Each indicator
was given marks between 0 and 4). In this study, some BPL families having some members with
higher education and large land holding were also included.
From the BPL families having at least one member with graduate or post-graduate level of
education and also having 2 to 5 hectares or more of unirrigated land or 1 to 2.5 hectares of irrigated
land, 50 % of the BPL families were selected in the sample.Thus, 114 families in all were selected in
the sample.
SECTION-II
Demographic Characteristics of the Selected Families
On the basis of the data collected in the survey, it was found that there were 930 females per 1000
males. This figure is less than the sex-ratio in Tapi district as per the census figures.The average
family size was about 6. The percentages of men and women were 52 and 48 respectively, in the
total population. 30.17 % of the total population is 'dependent', i.e. the percentage of working
population is 69.83. It is worth noting here that many of the children and old are also engaged in
economic activities.
Educational Characterstics of the Respondents
According to the information collected from the BPL families of Tapi district in 2014-2015, 7.0 %
of the members were illiterate. 17.5 %, 28.9 %, 16.7 % and 7.0 % families had some member who
had studied upto primary level, secondary level, graduate level and post-graduate level
respectively.
In this study, the BPL families having 0 to 16 points and having at least one member who was
educated upto graduate or post-graduate level were selected. According to the BPL survey
conducted by the Rural Development Ministry in 2002-2003, there were 70 families having at least
one member who is / are educated upto graduate or post -graduate level. However, in the present
survey, only 20 such families could be found.This shows that there has been a serious lapse in
collection of information during the original BPL survey. There may be several reasons for this
mistake such as : (1) the interviewer might not have really met the actual family (2) family members
might have given wrong information, (3) village leaders (Sarpanch, Postman, Gram sevak) might
have given wrong information, (4) error at the time of making entry. It seems from the present
survey that due to the above mentioned reasons, such a large difference was found in the two figures
49Vol. VII, Issue II, August, 2017
50
Educational Status of Children of the Selected Families
Children of 4.4 % families did not attend school and were working. In 14.9 % of the families,
children go to school and work as well, and in 18.4 % families, children attend school and did not
work.
It was also found during the survey that the children of the highly educated parents go to school, and
usually they are not engaged in any economic activity. Thus, the educated parents have more
awareness about the importance of education. It was also found that there is a significant relation
between the education level of the most learned member of the family and the BPL score of the
family, i.e.where education level is high, the BPL score is less.
Land Holding of the Selected Families
Type of Land Owned By the Respondent Families
Percentage of unirrigated land owned by the families selected in the sample was higher than that of
the irrigated land. Examining the land holding pattern of the selected families, it was found that
18.04 % families were landless, there were 26.3 % families who owned less than 1 hectare of
unirrigated land or 0.5 hectares of irrigated land, and 40.4 % of the families owned 1 to 2 hectares of
unirrigated land or 0.5 to 1 hectare of irrigated land.
In this study, the families with BPL score of 0 to 16, and owning 2 to 5 hectares or more of
unirrigated land or owning 1 to 2.5 hectares of irrigated land were selected, out of which 44 families
had unirrigated land of 2 to 5 hectares or more or irrigated land of 1 to 2.5 hectares or more,
according to the BPL survey of the Ministry of Rural Development which was conducted in 2002-
03. But, during the survey of this study, in reality only 17 families owned 2 to 5 hectares or more of
unirrigated land or 1 to 2.5 hectares or more of irrigated land. And the remaining 27 families did not
own 2 to 5 hectares or more of unirrigated land or 1 to 2.5 hectares or more of irrigated land.
During the survey, 11 families were found to own 2 to 5 hectares or more of unirrigated land or 1 to
2.5 hectares of irrigated land or more. So there seems to be wide variation in the number of such
families in the previous and present surveys.
Usually, many factors are related to land holding. In this study, the relationship between the
education levels of the most educated family member and land holding ie examined. Examining the
data on the land holding of the illiterate families, it was found that there were 50 % families who
owned less than 1 hectare of unirrigated land or less than 0.5 hectares of irrigated land. 37.5 % of
them had 1 to 2 hectares of unirrigated land or 0.5 to 1 hectare of irrigated land. 30 % of the families
had unirrigated land upto 1 hectare or irrigated land of less than 0.5 hectares.
The present study also tried to explore the relationship between land holding size of the family and
it BPL score. A negative correlation was found between the two, i.e.higher land holding size was
associated with low BPL score. However, this relationship was of low significance.
TIMS - Quest Journal of Management & Resarch
Income Level of the Selected Families
Most of the selected families are farmers. Apart from farming, they are also engaged in the
secondary occupations like animal husbandry, casual labour,service etc. 26.3 % families were
engaged in farm labour and 16.7 % were casual labourers, and 3.5 5 of them were in some service.
Food Security of the Selected Families
Eventhough “food security” has been accepted as one of the important objectives of planning in
India, the situation regarding this has been found to be very grim in the backward tribal areas. In the
present study, the findings in this regard have been summarized in the table given below
On examining the data provided in the above table, it is evident that there are 6.1 % families in the
sample, who do not get food that is sufficient even for 1 meal per day on most of the days of a year.
The percentage of families who usually get 1 meal a day, but occassionally have less than 1 meal a
day is 12.3 % and 40.4 % of the families get sufficient food during the entire year. However, there
were also 38.6 5 families who get 2 meals a day during the whole year, but with occassional
shortage of food. Now, insufficient food intake is an indicator of malnutrition and poor health
condition suggests low human development.
Generally, there is a definite relationship between education status and the degree of food security
of the family. It is understandable that more educated family enjoy a higher degree of food security.
While examining the relationship between the level of education of the most learned family
member and the degree of food security, the following result was obtained.
51Vol. VII, Issue II, August, 2017
Table 1: Classification
of Families Accorging to Level of Food Security
Item
Frequency
Percentage
Families getting less than 1 meal per day on most of
the days of the year 7
6.1
Families usually getting 1 meal daily but occasionly having less than 1 meal in a day
14 12.3
Families having 1 meal daily throughout the year 3 2.6 Families having 2 meals daily ,
but occassional shortage
of food
44
38.6
Families having sufficient food throghout the year
46
40.4 Total
114
100.0
Source
: Data collected During the Survey.
52
In the above table, the relation between educational level and food security is depicted. As far as the
illiterate families are concerned, there were 25 % of them who did not sufficient food for 1 meal
during most of the year, while 75 % had 2 meals with occassional shortage of food. Among the
families with at least one member educated up to the primary level, there were 35 % families who
get 1 meal a day, but occassional shortage of food and 40 % of them got 2 meals a day during the
year with food shortage on some days. Looking at the position of the families having at least 1
member who is educated upto higher secondary level, it is found that 63.03 % of them had sufficient
food during the year, while 6.1 % of them had less than 1 meal a day for most of the year.
Number of Dresses owned by the Selected FamiliesThe present study also tried to find out how many pairs of usual dresses are owned on an average by the selected families. The relevant data are shown below
TIMS - Quest Journal of Management & Resarch
Table 2:
Classification of Families According to the Level of Education of the Most Learned Family Member and Degree of Food Security
Item
Less than one square meal per day for major part of the year
Normally, one square meal per day, but less than one square meal occasionally
One square meal per day throughout the year
Two square meals per day, with occasional shortage
Enough food throughout the year
Total
Illiterate 2 (25.0)
0 (0.0)
0 (0.0)
6 (75.0)
0 (0.0)
8 (100)
Primary
(Std.7)
0 (0.0)
7 (35.0)
1 (5.0)
8 (40.0) 4
(20.0) 20
(100) Secondary
(Std.10)
1
(3.8) 4
(15.4) 0
(0.0) 14
(53.08) 7
(26.9) 26
(100) Higher secondary
(Std.12)
2
(6.1)
1
(3.0)
1
(3.0)
8
(24.2)
21
(63.6)
33
(100)
Graduation/ professional
2
(10.5) 2
(10.5) 1
(5.3) 6
(31.6) 8
(42.1) 19
(100) Postgraduate/professional
0
(0.0) 0
(0.0) 0
(0.0) 2
(25.0) 6
(75.0) 8
(100) Total
7
(6.1) 14
(12.3) 3
(2.6) 44
(38.6) 46
(40.4) 114
(100) Source:
Data collected during the survey.
Note; Figures in the brackets indicate percentages of the row totals.
Table 3: Average availability of normal wear clothing (per person in pieces) in Selected Families
Item
Frequency
Percentage
Less than 2
12
10.5 More than 2 but less than 4
30
26.3
More than 4 but less than 10
41
36.0 More than 6 but less than 10
23
20.2
More than 10
8
7.0
Total
114
100
Source : Data collected During the Survey.
The data given in the above table show that 10.5 %, 26.3 % and, 36.0 % of the families had
respectively less than 2, more than 2 but less than 4, more than 4 but less than 10 and more than 6 but
less than 10 dresses. Normally, as the level of education increases,the average availibility of clothes
also increases, which is confirmed in this study.
Availibility of Tolets
Availibility of toilets in the house is also essential. The information collected regarding this has
been summarized in the following table
Out of the total selected families, 15.8 % had private toilets of their own.Thus, about 84 % of the
selected families did not have their own toilets and had to use the common toilets or open
ground.When the relationship between the educational level of the most educated member of the
family and availability of private toilet was examined , it was found that there was a positive
relation between them, i.e.as the level of education of the most educated member of the family
increased, the respondent families were found to be having and using their own toilets.
Ownership of Home Appliances among the Selected Families
An important indicator of the economic condition of a family is the ownership of various home
appliances like TV, Fridge, fan etc.In the present study, an enquiry was also made about the same,
and the information that was collected became the basis for construction of the following table
53Vol. VII, Issue II, August, 2017
Table 4: Availbility of Toilets for the Selected Families Item Frequency Percentage
In open 86 75.4 Common toilets with irregular water supply 7 6.1 Common toilets with regular water supply
3
2.6
Private toilet
18
15.8
Total
114
100.0 Source : Data Collected During the Survey.
Table 5: Ownership of Various home Appliances
Item
Yes
Percentage
No
Percentage
Black & white TV
72
63.16
42
36.84
Pressure cooker
32
28.07
82
71.93
Electrical gadgets Used in kitchen 8 7.02 106 92.98
Radio 8 7.02 106 92.98 Tractor 9 7.89 105 92.11
Telephone/mobile 105 92.11 9 7.89 Colour TV
99
86.84
15
13.16
Two wheeler
55
48.25
59
51.75
Fridge
26
22.81
88
77. 19 Power trailer
7
6.14
107
93.86
Electric fan
9
7.89
105
92.11
Thrasher-cum-harveste
71
62.28
43
37.72
Computer
6
5.26
108
94.74
Costly furniture
6
5.26
108
94.74
Four-wheeler
8
7.02
106
92.98
Source :
Data collected During the Survey.
54
It is thus found that 92.11 % of the respondent families owned mobile phones. However, ownership
of costly furniture, computer etc. is rare.TV, two-wheelers etc. are used by a significant percentage
of the selected families. An interesting finding is that there were 8 families among the 114 selected
families who owned four-wheelers and 6 families had costly furniture, 9 of them have tractors, but
still their names appear in the BPL list. This finding shows that there should be complete change in
the indicators used for identifying the BPL families by Government
Total Annual Family Income
Economic condition of any family can be judged by its income. The table given below shows the
total annual family income of the sample families
It can be seen from the above table that most of the families earn their income from farming and
animal husbandry. The Average Annual Family Income is Rs. 40907.1. The highest annual family
income is Rs.200000 while the minimum is Rs.1000 only.
It was also found that the Average Monthly Income from animal husbandry was Rs. 3195, and the
average income from the secondary occupation was Rs.1771, and the average monthly family
income was Rs.4542.98. When the relationship between the education level of the most learned
member of the family and the level of income was examined, it was found that there was a
significant positive relation between them, i.e. one may say that when the level of education is high,
the income level is also high.
Total Annual Expenditure of the Selected Families on Various Items
Another indicator of economic development is propensity to consume of the population, by which
one may know the standard of life of the people. People should consume sufficient quantity of food
grain and pulses for a nutritious intake. One may know about the standard of living of people by
TIMS - Quest Journal of Management & Resarch
Table 6: Total Annual Family Income of Selected Families
Income
Number of families
Difference Between Max.& Min.Income
Minimum
Income
Maximum
Income
Average Income
Annual income 114 199000 1000 200000 40907. 1 Monthly income From animal Husbandry
114 20000 0 20000 3195.1
Monthly income From Secondary Occupation
114 11000 0 11000 1771.05
Total monthly family Income
114 14000 0 14000 4542.98
Source ; Data Collected During the Survey
by examining their expenditures on items like education, health, recreation, social events food etc.
The detailed classification of the expenditure of the selected families is shown in the following
table
It is thus clear from the data given above that the selected families spend the maximum amount on
the food items, and their minimum expenditure is on entertainment. The selected families on an
average spend Rs.11138.60 on the food items and Rs.1928.95 on recreation. The average total
expenditure was 20,668.88. Examining the consumption pattern of these families, the following
pattern is found 13.61 % on education, 7.60 % on health, 9.33 % on recreation, 7.71 % on social and
religious events, 1.57 % on taxes and 53.89 % on food items.
Usually, as the income of the poor families increase, their expenditure on the food items also go up.
From the data provided above,a significant positive relationship was found betwee the level of
income and the expenditure on food.
An attempt was also made to determine the relationship between the income level and expenditure
on health. However, no such relation was found between the two. So, one can not claim that the
families having higher income spend more on health.
Savings and Debt of the Selected Families
Extent of savings and amount of debt are closely related with the economic condition of a family.
Normally, for the families having higher income, savings are high and an amount of debt is lower.In
the sample, it was found that 41.2 % families had savings and the remaining 58.8 % families did not
save.
55Vol. VII, Issue II, August, 2017
Table 7: Consumption Pattern of the Selected Families
Item
Total famil
ies
Difference between Max.&Min.Expendture
Minimum
Expendture
Maximum
Expendture
Average Expendture
Percantage of total expendture
Recreation 114 15000 0 15000 1928.95 9.33 Education
114
25000
0
25000
2813.16
13.61
Food
114
24500
500
25000
11138.60
53.89
Health
114
13000
0
13000
1570.18
7.60
Entertainment
114
12000
0
12000
1298.25
6.28
Social/religious Events
114
14900
100
15000
1594.30
7.71
Taxes
114
2000
0
2000
325.44
1.57
Total
114
15200
600
107000
20668.88
100.0
Source : Data Collected During the Survey
56
In order to determine the relationship between the educational levels of the most learned member of
the family and savings, chi-square test was applied to test the following hypothesis
H0 : There is no relation between the educational level of the most learned member of the family and savings. AgainstH1 : There is relation between the educational level of the most learned member of the family and savings.
The result has been shown in the following table
The value of chi-square was 2.253 with the significance value of 0.813, which is more than 0.05,
and hence H0 is not rejected i.e. there is no association between the level of education and extent of
savings. So, one can not conclude that as the level of education rises, saving propensity also rises.The average savings was found to be Rs.776. Of course, some families saved about Rs. 5000 which
was the maximum savings.Also, 58.8 % families did not save at all.
Apart from savings, debt is also connected with the economic condition of the family.According to
the information collected, 10.5 % of the families had incurred debt, and the remaining 89.5 % did
not borrow at all. An attempt was also made to know whether incurring debt was related to the level
of education. The illiterate families do not incur debt at all.Among the families with primary
education, 15.0 % incur debt, and 15.4 % of the families having education upto secondary level had
borrowed money. Among the families having education upto secondary level, 15.4 % had debt,
while not a single family with graduate level of education had borrowed money. But, 12.5 % of the
families having education upto postgraduate level had incurred debt.
From the above findings, one may conclude that there does not seem to be any relation between the
level of education and debt i.e these two factors are independent. So, it can not be said that due to
education, the propensity to incur debt declines.
The average amount of debt among the families which had incurred debt was Rs.8772 and the
maximum amount of debt was Rs. 100000.
Relation between the BPL Score and Expenditure on Health
The following is the two-way table showing the expenditure on health among different categories
of families based on their BPL score.
TIMS - Quest Journal of Management & Resarch
Chi-Square Tests Value Df Asymp. Sig. (2-sided)
Pearson Chi-Square 2.253a 5 .813 Likelihood Ratio 2.304 5 .806 Linear-by-Linear Association .273 1 .601 N of Valid Cases 114 a. 4 cells (33.3%) have expected count less than 5. The minimum expected count is 3.30.
In order to determine whether there was any statistical relation between the BPL score of the family
and expenditure on health, the chi-square test was applied.
Here,
H0 : There is no relation between the BPL score and expenditure on health of a family.H1: There is relation between the BPL score and expenditure on health of a family.
The application of the chi-square test gave the following result
The value of chi-square was found to be 6.055 with the significance level of 0.195. Since it is more
than 0.05, H0 is not rejected. So, there does not seem to be any significant association between the
BPL score and expenditure on health.
To examine the closeness of the relationship between these two attributes, Cramer's V measure was
also calculated and its value and the level of significance were found to be 0.163 and 0.195, which is
more than 0.05 and so the relationship is not found to be significant
57Vol. VII, Issue II, August, 2017
Table 8: Classification of Families According to BPL Score and Expendture on Health
BPL score
Expenditure on Health
Less than 1000 1001 to 10000 10001 to 15000 Total
0 to 17 Number 26 10 0 36 Row % 72.2 27.8 0.0 100.0
Column %
40.0
20.8
0.0
31.6
18 to 20
Number
13
14
0
27 Row %
48.1
51.9
0.0
100.0
Column %
20.0
29.2
0.0
23.7 More than 20
Number
26
24
1
51 Row %
51.0
47.1
2.0
100.0
Column %
40.0
50.0
100.0
44.7 Total
Number
65
48
1
114
Row %
57.0
42.1
0.9
100.0
Column %
100.0
100.0
100.0
100.0
Chi-Square Tests Value df Asymp. Sig. (2-sided)
Pearson Chi-Square 6.055a 4 .195 Likelihood Ratio 6.535 4 .163 Linear-by-Linear Association 4.116 1 .042 N of Valid Cases 114 a. 3 cells (33.3%) have expected count less than 5. The minimum expected count is .24.
58
Therefore, one can not say that as BPL score increases, expenditure on health also increases.
Income Inquality among the Selected Families
Usually, higher income inequality is found among the higher income group families.In this study
the BPL families identified by the Government are surveyed. Alongwith the study of rural poverty,
the study of income inequality is also important. An attempt was made in this study to Measure income inequality on the basis of the annual income of the poor rural families. Gini
coefficient and Lorenz curve were used to measure income inequality and for calculation purpose
website www.wessa.net was used. The results of this excercise are descussed below in the form of
a graph and a curve
It is necessary to remember here that the value of the Gini coefficient lies between 0 and 1, and if its
value is closer to 1, there is higher inequality, and if it is nearer to 0, inequality is less. In this study,
the value of Gini coefficient was found to be 0.402556,which suggests moderate inequality. The
Lorenz curve derived from the annual incomes of the selected families is shown in the following
figure
Figure 1: Lorenz Curve for the Sample Families
So, on the basis of the above graph and the value of the Gini coefficient, one may say that the
income inequality among the selected families is not very high.
TIMS - Quest Journal of Management & Resarch
Symmetric Measures Value Approx. Sig.
Nominal by Nominal Phi .230 .195 Cramer's V .163 .195
N of Valid Cases 114
On the basis of the primary information obtained from the survey, the sample families have been
classified into BPL and APL families and the result is depicted in the following table
It is evident from the above table that the percentages of the BPL families were 25.4, 14.29,
36.51,12.7 and 11.11 in Nizar, Songadh,Uchchhal, Valod and Vyara Talukas respectively, while the
percentages of the APL families in these Talukas were 23.53,15.69,27.45,17.65 1nd 15.69
respectively.Among the selected families, 55.26 % fall under the category of the BPL families,
while 44.74 % are the APL families. This result shows that there is some error in noting down the
category, or these families have attained so much economic progress that 51 out of 114 families
have climbed up to the APL category.
Conclusion
In this research study, the socio-economic condition of 114 families was studied by revisiting them.
This study included those BPL families which had at least one member who had studied up to
graduate or postgraduate level and also those who had larger fields, but were inluded in the BPL
list.On the basis of the information collected during the survey, it may be said that except some
families, the score calculated by the government staff does not seem to be consistent with the
reality.It seems that there was a lot of carelessness in preparing the BPL list. Besides, it was learnt
through the information given by the selected families that there is lack of basic social and physical
facilities in the rural areas of the entire district. It does not seem that the fruits and benefits of
development have reached the rural areas, especially the tribal areas. So, the local and the state
governments have a lot to do for the allround and inclusive development of these areas.
59Vol. VII, Issue II, August, 2017
Table 9: Classification of the Selected Families as BPL & APL Families
Name of No. of
BPL Families
% of BPL Families
No. of APL Families
% of APL Families
Total Families
% of total Families
Nizar
16
25.40
12
23.53
28
24.56
Songhadh 9 14.29 8 15.69 17 14.91
Uchhal 23 36.51 14 27.45 37 32.46
Valod 8 12.70 9 17.65 17 14.91
Vyara 7 11.11 8 15.69 15 13.16 Total 63 100.00 51 100.00 114 100.00
NOTE : The families selected here had the BPL score between 0 and 20,while the APL families have score above 20. It must be made clear here that all of the above are the BPL families according to the government’s information. But they have been classified here as the BPL and APL families on the basis of the information collected during the survey.
60
References
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l Bhoye, Kailash, (2011), “Measurement of Rural Poverty on the Basis of the Local
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l Jean Dreze, Reetika khera, (2013), “Rural Poverty and the Public Distribution System”, Economics & political Weekly, Vol.xl, VIII, No.45 & 46, pp.55-59.
l Mehbub -Ul-Haque (1998), “The Poorest Region in the World”, Madhukari, No.2, December, Page No. 39--54 (Translated by Ramesh Shah).
l R Radhakrishna, K Hanumantha Rao, C Ravai, B Sambi Reddy (2004),”Chronic Poverty and Malnutrition in 1990s, Economic and Political Weekly July 10, 2004, p.3121-3130.
l Sumit Mazumdar and Alakh N. Sharma,(2013(, “Poverty and Social Protection in Urban India : Taraeting Efficiency and Poverty Impacts Of The Taraeted Public distribution system”, The Indian Journal of Labour Economics, Vol.56, No.4, PP. 547-559
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l Vohra, Gulshan, M. (2013), “Rural Poverty in Gujarat : A Study of Surat District”, Surat,Veer Narmad South Gujarat University, Surat.
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