Page 141 - ES 2020-21_Volume-1-2 [28-01-21]

124 Economic Survey 2020-21 Volume 1

Figure 1: Correlation of inequality and growth (as reflected in income per capita)
with health outcomes: India versus Advanced Economies
States in India

Health Index Health Index
Better 80 Better 80
70 70

60
60
50
50
40
40
30
Worse 20 Worse 30
0.20 0.25 0.30 0.35 0.40 25 55 85 115 145 175
Low High NSDP Per Capita (₹, '000)
Gini
Advanced Economies

Index of health & social problems Index of health & social problems
Better
-1.5 Better -1.5
JPN JPN
-1.0 -1.0
SWE NLD SWE
NOR
-0.5 FIN BEL CHE -0.5 ESP BEL NLD CHE NOR
ESP ITA FIN
DNK
0.0 DNK AUT CAN ITA AUS 0.0 DEU CAN AUS AUT
DEU FRA NZL FRA IRL
0.5 IRL 0.5 GRC NZL
GRC GBR GBR
1.0 PRT 1.0
PRT
1.5 1.5
2.0 USA 2.0 USA
Worse 2.5 Worse 2.5
3.0 4.0 5.0 6.0 7.0 8.0 9.0 20 40 60 80 100
Low Income Inequality High National Income Per Capita ($, '000)
Source: States in India: Health Index (2017-18) is from NITI Aayog, Inequality is measured by the Gini coefficient
based on consumption (from NSS database 2011) and growth by per capita Net State Domestic Product (NSDP)
2017-18 in Rupees at constant prices, MoSPI. (Note: Health Index is a composite score incorporating 23 indicators
covering key aspects of health sector performance., measured on a scale of 0-100, higher score indicating better
performance). Advanced Economies: The index of health and social problems is a composite index including
components like distrust, mental illness, life expectancy, and obesity etc (Data for each component is collected
from a distinct source, http://www.equalitytrust.org.uk/why/evidence/methods for details on the construction of the
Index, and references for all components listed above), Inequality is measured by Average of the 20:20 (the ratio of
top 20 per cent to bottom 20 per cent) income inequality published in the United Nations Development Program.
Human development reports for years 2003, 2004, 2005, 2006, Oxford University Press: New York.