Last week, I attended a tech conference on Information Technology and India's development. The conference was in Noida, and it was a one-day program. It was interesting, and many IT professionals and financial experts attended and shared their views.
I went to Noida with Ashish Mudgal and Senthil. Many of my readers know them, but if you are new, let me introduce them. Ashish Mudgal is a senior network engineer at CoreNetworkZ Tech Solutions. Senthil is a Chartered Accountant and a financial expert.
It was a nice conference, and we discussed the role of Information Technology in India's development. One of the out-of-the-topic discussions was the comparison of two development models followed by two Indian states. I guess some of my readers sensed the topic.
Kerala Model vs Gujarat Model
Yes, you are right. We compared the growth models followed by Kerala and Gujarat. We discussed the plus and minus of the development approach both states followed.
Who All Participated in the Discussion?
Amit Patel and Rakesh Jhaveri joined the discussion to support the Gujarat Development model. Melvin Joseph and Kamaljith Viswanathan supported the Kerala Development model.
Let me explain who they are and their backgrounds.
Amit Patel runs a website development company in Ahmedabad, and Rakesh Jhaveri is an auditor. Melvin Joseph worked with top IT companies in India. Now, he is planning to start a tech startup. Kamaljith Viswanathan is a retired bank officer.
What is The Importance of Comparing the Gujarat Model With the Kerala Model?
Well, it is a valid question. Why should someone spend time discussing the growth models adopted by two Indian states in a pan-India seminar?
But the reality is different. Let me explain the reasons.
In contemporary India, while considering development, Kerala and Gujarat are the leading states. I have been watching a lot of heated arguments from different corners about the comparison of the models of development adopted in these two Indian states.
Some say the Kerala Model of Development outshines the Gujarat Model of Development, but others argue the opposite. Not only the ordinary people but also the world-famous economists are taking part in this debate.
Other Indian states can learn a lot from Kerala and Gujarat.
It is an interesting discussion, and it includes the overall economic conditions, GDP, investments attracted, number of industries present, healthcare, wealth generation, literacy, etc.
I believe you understand the importance of studying Kerala and Gujarat Development models.
Gujarat Development Model vs Kerala Development Model
Let us compare both growth models with facts and statistics. After reading this section, you will understand which growth model is better.
Compare GDP Growth Rate of Gujarat With Kerala
Rakesh Jhaveri started the discussion by comparing the GDP growth rates of Gujarat and Kerala.
I understand that most readers of CoreNetworkZ Tech Solutions are techies and not financial experts. So, let me explain the term GDP.
GDP = Gross domestic product
The Gross domestic product (GDP) is the net market value of all final goods and services produced in a region.
Rakesh Jhaveri noted that while comparing the GDP of the Indian states Gujarat and Kerala, Gujarat performs better than Kerala. Senthil CA agreed with him.
Financial Year GDP of Gujarat GDP of Kerala 2023-2024 INR 25,62,975 crore INR 11.3 lakh crore 2022-2023 INR 22,03,062 crore INR 10,46,188 crore 2014-2015 INR 895,202 Crore INR 519,896 Crore 2013-2014 INR 806,745 Crore INR 462,916 Crore 2012-2013 INR 712,123 Crore INR 412,313 Crore 2011-2012 INR 594,563 Crore INR 307,906 Crore 2010-2011 INR 521,519 Crore INR 263,773 Crore 2009-2010 INR 431,262 Crore INR 231,999 Crore Amit Patel said that Gujarat supports industries, and many investors choose Gujarat over other states. Kamaljith Viswanathan said Kerala is improving its ease of doing business rank and is one of the best startup-friendly states in India.
Comparing Kerala With Gujarat on HDI
Melvin Joseph said that he stayed in most Indian states, and no other state can beat the living standard of Kerala. Kamaljith Viswanathan agreed with him and said the HDI of Kerala is better than the HDI of Gujarat.
HDI = Human Development Index
Human Development Index (HDI) is the best unit for measuring the quality of life of people residing in a particular region.
By comparing the HDI of the two regions, we can easily find out people in which regions live in better living conditions.
Year HDI of Kerala HDI of Gujarat 2024 0.790 0.717 2015 0.712 0.6164 After comparing the HDI of Kerala with the HDI of Gujarat, anyone can see that people's living standard in Kerala is superior.
Comparing The Literacy Rate Of Kerala With Gujarat
Now, let us compare the literacy rates in Gujarat and Kerala. Melvin Joseph started this point, and while considering the literacy rate, Gujarat is far behind Kerala.
Year Literacy rate in Kerala Literacy rate in Gujarat 2018 96.2% 82.4% 2011 92.28% 79.31% 2001 86.66% 69.14% The chart shows the historical literacy rate in Kerala and Gujarat.
Comparison of Unemployment Rate Among Gujarat & Kerala
Gujarat has the lowest unemployment rate in India. Kerala is one of the states with the highest unemployment rate in India. The chart below shows the unemployment rate (number of unemployed people per 1000), ranked among the other Indian states.
Year Unemployment Rate - Kerala Unemployment Rate - Gujarat 2023 29.9% 3.1% 2015-16 125 (3rd Position) 9 (29th position) All four panelists agreed with this point.
Comparison of Life Expectancy In Kerala with Gujarat
The fifth point was the life expectancy. Kamaljith Viswanathan started the discussion, and other panelists joined. Ashish Mudgal and Senthil also joined soon.
Year Life Span - Kerala Life Span - Gujarat 2024 77.28 years 69.9 years 2010-14 74.9 68.7 2002-06 74 64.1 While considering the expected life span of people in Kerala and Gujarat, Kerala performs better. The people of Kerala have the highest life expectancy in India.
Comparison of Suicide Rate Among Gujarat and Kerala
While considering the suicide rate in Gujarat and Kerala, Gujarat has a lower suicide rate compared to Kerala. This chart shows the suicide rate in Kerala and Gujarat per 100000.
Year Suicide Rate in Kerala Suicide Rate in Gujarat 2012 24.3 11.8 Comparing The Road Density of Kerala and Gujarat
Road density in a particular region tells the accessibility of the people living there. If we compare the road density of Kerala and Gujarat, Kerala is better.
Year Road Density of Kerala Road Density of Gujarat 2016 37.49m/km^2 16.55 m/km^2 Telephone Density in Kerala & Gujarat
Kerala and Gujarat are two leading states with high telephone density in India. Kerala has the highest telephone density in India.
Year Telephone Density of Kerala Telephone Density of Gujarat 2014 95.96% 93.34% Comparing The Infant Mortality Rate in Kerala & Gujarat
Infant Mortality Rate in Gujarat is higher than in Kerala. Melvin argued that everybody understands Kerala is far better in the Healthcare sector.
Year IMR of Kerala IMR of Gujarat 2013 12 36 2012 12 38 2011 12 41 2010 13 44
So, Which Development Model is Better?
I will not force my views on whether development in Gujarat or Kerala is better in this article. However, I understand that after reading the arguments from the four panelists, my readers can understand the better model.
I shared statistical data published by Government agencies and reputable NGOs to support the views of all panelists.
Once you have completed the reading, you won't face any issues to decide the winner. I leave the judgment of whether the Kerala Development Model or the Gujarat Development Model is better for the readers.
Reference
- https://www.ibef.org/states/gujarat-presentation
- http://www.thehindu.com/news/national/kerala/kerala-figures-among-high-teledensity-states/article8177628.ece
- http://niti.gov.in/content/infant-mortality-rate-imr-1000-live-births
- www.firstpost.com/business/andhra-telangana-gujarat-best-in-ease-of-doing-business-niti-ceo-3799445.html
Kerala had an early head start but Gujarat is catching up fast. Sooner we will overtake.
ReplyDeleteHello Sandeep,
DeleteWelcome to CoreNetworkz Tech Solutions.
No other Indian states are near Kerala on Human Development. Gujarat is not an exception. We can clearly say which is the best state in India. That is Kerala.
ReplyDeleteHello Hari,
DeleteThank you for your comment.
1. The very fact that Kerala is being compared with Gujarat (that could boast of having the "Manchester of the East" as its capital in the 1950s, when Kerala was among the poorest States of India) shows:-
ReplyDeletea) Kerala has moved a long way towards economic development
b) Gujarat could not take much advantage of the early lead.
2. He compares the GDP of Kerala with that of Gujarat! Note -- "GDP Value", not Per Capita GDP! And there lies the flaw:-
a) If we look at GDP Value -- UP's is larger than Gujarat! Because UP has a larger population!! Thus what is significant is Per Capita GDP. That is, GDP divided by the Population.
b) And voila! When we consider Per Capita GDP, Kerala leaps ahead of Gujarat!
Per Capita GDP of Gujarat
(taking 6.27 crore as the population)
1,42,775.44
1,28,667.46
1,13,576.24
94,826.63
83,176.87
68,781.82
1. The very fact that Kerala is being compared with Gujarat (that could boast of having the "Manchester of the East" as its capital in the 1950s, when Kerala was among the poorest States of India) shows:-
ReplyDeletea) Kerala has moved a long way towards economic development
b) Gujarat could not take much advantage of the early lead.
2. The blog compares the GDP of Kerala with that of Gujarat! Note -- "GDP Value", not Per Capita GDP! And there lies the flaw:-
a) If we look at GDP Value -- UP's is larger than Gujarat! Because UP has a larger population!! Thus what is significant is Per Capita GDP. That is, GDP divided by the Population.
b) And voila! When we consider Per Capita GDP, Kerala leaps ahead of Gujarat!
Divide all values of GDP of Gujarat with the Population (6.27 Crore); and then COMPARE this with the value of GDP of Kerala with the Population (3.48 Crore) -- and we see that in the early years Gujarat was ahead of Kerala. But since 2012-2013, Kerala has forged ahead of Gujarat!
1. The very fact that Kerala is being compared with Gujarat (that could boast of having the "Manchester of the East" as its capital in the 1950s, when Kerala was among the poorest States of India) shows:-
ReplyDeletea) Kerala has moved a long way towards economic development
b) Gujarat could not take much advantage of the early lead.
2. The blog compares the GDP of Kerala with that of Gujarat! Note -- "GDP Value", not Per Capita GDP! And there lies the flaw:-
a) If we look at GDP Value -- UP's is larger than Gujarat! Because UP has a larger population!! Thus what is significant is Per Capita GDP. That is, GDP divided by the Population.
b) And voila! When we consider Per Capita GDP, Kerala leaps ahead of Gujarat!
Divide all values of GDP of Gujarat with the Population (6.27 Crore); and then COMPARE this with the value of GDP of Kerala with the Population (3.48 Crore) -- and we see that in the early years Gujarat was ahead of Kerala. But since 2012-2013, Kerala has forged ahead of Gujarat!
@ Unknown
ReplyDeleteThanks for providing such a piece of detailed information.
A great work Alex. Thanks.
ReplyDeleteHi Sandhya,
DeleteThank you for your comment.
You wrote a detailed article. It helped me in my assignment. Thank you.
ReplyDeleteHello Akhil,
DeleteThank you for your comment.
Good work.
ReplyDeleteHello Ineya,
DeleteThank you for your comment.