Role of Human Capital in Economic Development
Human resources are an important factor in economic development. Economists often see population as an obstacle to growth rather than as a factor which will assist the development activity. Nevertheless, man makes positive contribution to growth. Man provides labor power for production and if in a country labor is efficient and skilled, its capacity to contribute to growth will decidedly be high. The productivity of illiterate, unskilled, disease ridden and superstitious people is generally low and they do not provide any hope to developmental work in a country.
“We shall require a substantially new manner of thinking if mankind is to survive”.
– Albert Einstein
Developing people is the essence of any human resource development effort and it is an important means of all other development activities (plans, policies, programmes, establishment of new structures, mechanisms).
Andhra Pradesh is one of the 29 states of India, situated on the country’s southeastern coast. The state is the eight largest state in India covering an area of 160,205 km (61,855 sq mi). As per 2011 census of India, the state is tenth largest by population with 49,386,799 inhabitants. The state has the second longest coastline of 972 km among all the states of India, second only to Gujarat. It borders Telangana in the northwest, Odisha in the northeast, Tamil Nadu in the south and water body of Bay of Bengal in the east. There are two regions in the state namely Coastal Andhra and Rayalaseema. Thereare 13 districts with 9 in costal Andhra and 4 in Rayalaseema.
Rayalaseema (Anantapur, Chittoor, Kadapa, Kurnool Distrists) is situated Southern tip of Andhra Pradesh, bardering East Nellore – a costal district, West Karnataka, North Telangana and South Tamilanadu. In 2011 census, the four districts had geographical area of 67,299 k.m, 1.52 crore population. Rayalaseema not only a backward area but also drought prone area. In this background this paper presents what is site of human capital (HDI) in Rayalaseema.
Human development is thus a process of widening people’s choices as well as raising the level of well-being achieved. Thus, as noted by Panl Streeten, the concepts of human development puts people hack at center stage, after decades in which a maze of technical concepts had observed this fundamental vision
The Stage of Human Capital in Andhra Pradesh
We are rediscovering the essential truth that people must be at the center of all development. The purpose of development is to offer people more options. One of their options is access to income – not as an end in itself but as a means for acquiring human well-being. However, there are other options too such as long life, knowledge, political freedom, personal security, community participation and guaranteed human rights. People cannot be reduced to a single dimension merely as economic creatures. What makes them and the study of the development process fascinating is the entire spectrum through which human capabilities are expanded and utilized to the fullest.
Table I provides the obvious picture about the district wise analysis of 2008-09 and 2009-10 per capita income in Andhra Pradesh. Visakapattanam, East Godavari, Krishna districts in coastal Andhra and Anantapuram, Y.S.R Kadapa in Rayalaseema have highest per capita income in Andhra Pradesh. Srikakulam, Vijayanagaram in Costal Andhra and Chittor,
Kurnool in Rayalaseema have lowest per capita in Andhra Pradesh. Therefore, the average of Costal Andhra has higher percapita income to compare average of Rayalaseema.
Table 2 provides the clear picture of district wise literacy rate of Andhra Pradesh. It has been increasing literacy rate for three decades but it is lower than the national average. As per 2011 census only four districts in the state i.e., Krishna, West Godavary, East Godavary and Chittor have the more than 70% of literacy rate, beyond these four districts Chittor only belong to the Rayalaseema region. Vijayanagaram and Kurnool districts have lower literacy rate in Andhra Pradesh. Therefore, the average of Costal Andhra has higher literacy rate to compare average of Rayalaseema. The literacy rate is very important measurement to the Human Development Index (HDI). Literacy rate of Andhra Pradesh is very low to compare other states and national average. Because of lower literacy rate Andhra Pradesh has lower HDI rank. Therefore must be taking care of improving the education
Table 3 provides the life expectancy rate of Andhra Pradesh and India. Above table shows, life expectancy hasbeen increasing trend of Andhra Pradesh from 1980-81 to 2005-06, to compare to India. Nearly three decades, AndhraPradesh has best performance in life expectancy rate.
Need for Improving Human Capital (HDT) in Rayalaseema Region of Andhra Pradesh.Human capital formation and human resources development through nutrition, health and education. For the people stresses the need for the benefits of economic growth to be translated into people’s lives. And by the people’ means that people must be able to influence process that affects their lives. In other words, development must be shaped to fit people, as opposed to people being shaped to fit development,
Dr. G. YELLA KRISHNA