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Explain an improvement in the Physical Quality of Life Index as an indicator of economic development.

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Physical Quality Life Index (PQLI):

  • Increase in national income and per capita income has a number of limitations. Hence, these two are not the real indicators of economic development.
  • If the income of the country has increased but if the rise is seen only by a limited class of people then it cannot be termed as development.
  • The development of a country should be such that the living standards of the poor rise and the basic requirements of the citizens are fulfilled.
  • Keeping these things in mind Morris Davis Morris developed the Physical Quality of Life Index (PQLI).
  • PQLI attempts to measure the quality of life or well-being of a country. This index refers betterment of physical quality of life of human beings as economic development.
  • In order to derive the index of PQLI, the level of physical quality of life i.e. PQL is determined through various indicators.
  • If a country’s physical quality of life is higher than that of the other country, then that country is considered as more developed.
  • Morris included three indicators or say determinants for measuring the physical quality of life.

These three determinants are

  1. Literacy,
  2. Life expectancy and
  3. Infant mortality rate.
  • Thus, PQLI = Literacy level + Life expectancy index + Infant mortality index.

GSEB Solutions Class 12 Economics Chapter 2 Indicators of Growth and Development 1
After 2003, three more aspects were included in PQLI and Quality of Life Index (QLI) was prepared in the world.

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