Maths : Data Interpretation

Q 14 / 46

UPSC CSE Prelims 2018

The following table gives the GDP growth rate and Tele-density data of different States of a country in a particular year. Study the table and answer the question:

States Per capita income
($) 		GDP growth rate
(%)		 Tele-density
State 1 704 9.52 70.27
State 2 419 5.31 35.88
State 3 254 10.83 50.07
State 4 545 9.78 5.94
State 5 891 10.8 76.12
State 6 1077 11.69 77.5
State 7 900 8.88 104.86
State 8 395 5.92 6
State 9 720 7.76 82.25
State 10 893 9.55 96.7
State 11 363 4.7 57.7
State 12 966 7.85 63.8
State 13 495 9.37 52.3
State 14 864 5.46 97.9
State 15 497 7.48 62.3
State 16 777 7.03 93.8
State 17 335 5.8 49.9
State 18 599 7.49 47.84

With reference to the above table, the following assumptions have been made:

  1. Now a days, prosperity of an already high performing State cannot be sustained without making further large investments in its telecom infrastructure.
  2. Nowadays, a very high Tele-density is the most essential condition for promoting the business and economic growth in a State.

Which of the above assumptions is/are valid?

EXPLANATION

Correct Option (D)

Neither assumption 1 nor assumption 2 is valid based on the provided data.

Incorrect Options:

  • Assumption 1: "Now a days, prosperity of an already high performing State cannot be sustained without making further large investments in its telecom infrastructure."

    This assumption posits a necessary condition for sustaining prosperity in high-performing states. The provided table offers current data points (per capita income, GDP growth rate, and tele-density) for various states. However, it does not contain information regarding future investment levels in telecom infrastructure, nor does it establish a causal link or a mandatory requirement for sustaining future prosperity. The data is insufficient to validate or invalidate such a strong predictive statement about future necessities.

  • Assumption 2: "Nowadays, a very high Tele-density is the most essential condition for promoting the business and economic growth in a State."

    This assumption claims that a very high tele-density is the most essential condition for economic growth. The data in the table contradicts this assertion:

    • State 4 exhibits a very low tele-density of 5.94, yet it achieves a high GDP growth rate of 9.78%.
    • State 3 also demonstrates a high GDP growth rate of 10.83% despite having a moderate tele-density of 50.07.
    • Conversely, State 14 has a very high tele-density of 97.9 but records a comparatively low GDP growth rate of 5.46%.

    These examples indicate that a very high tele-density is not consistently the most essential or a prerequisite condition for robust business and economic growth, as high growth can occur with lower tele-density, and high tele-density does not guarantee high growth.