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State of Inequality in India Report

Published on May 21, 2022
Current Context: Economic Advisory Council to the Prime Minister (EAC-PM), Bibek Debroy, Chairman, has released The State of Inequality in India Report. made by Institute for Competitiveness.
  • This report provides a complete analysis of the depth and nature of disparity in India which includes various sectors of health, education, household characteristics, and the labor market.
  • For the first time, the report focused on income distribution to understand the capital flow, it also emphasizes that wealth concentration as a measure of inequality does not reveal the changes in the purchasing capacity of households.
  • According to data from the Periodic labour Force Survey, has shown that a average monthly salary of Rs 25,000 is already amongst the top 10% of total incomes earned, pointing toward some levels of income disparity. The share of the top 1% accounts for 6-7% of the total incomes earned, while the top 10% accounts for one-third of all incomes earned.
  • Considering employment categories, the highest percentage was of self-employed workers 45.78%, followed by regular salaried workers 33.5% and casual workers 20.71). The share of self-employed workers also happens to be the highest in the lowest income categories.
  • The country’s unemployment rate stood at 4.8% in 2019-20, and the worker population ratio stood at 46.8%.
  • Apart from that the health centers in rural areas have increased from 1,72,608 in 2005, to 1,85,505 in 2020 many States and Union Territories like Rajasthan, Gujrat, Maharashtra, Madhya Pradesh, Tamil Nadu, and Chandigarh have considerably increased health centers.
  • The most improved sectors were education and household activities due to several social schemes.
  • It has also seen a significant improvement in sanitation and electricity as 95% of schools have functional toilet facilities on the school premises and 80.16% of schools have functional electricity connections with States and Union Territories like Goa, Tamil Nadu, Chandigarh, Delhi, Dadra and Nagar Haveli and Daman and Diu.
  • Lakshadweep and Puducherry have achieved universal 100% coverage of functional electricity connections.
  • The Gross Enrolment Ratio has also increased between 2018-19 and 2019-20 at the primary, upper primary, secondary, and higher secondary.


Ques: 1. Which of the following Category has the highest percentage of employment categories?
. Salaried Employees
B. Self Employed Workers
C. Casual workers
D. Daily Wage Workers

Ques: 2. Which of the following Union Territories has achieved 100% electrification?
A. Jammu & Ladakh
B. Daman & Diu and Dadar Nagar haveli
C. Lakshwadeep & Puducherry
D. Chandigarh
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