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Social Science (087) — CBSE Class 10 board question

Q1. [3] § Economic growth and development § Economic outcomes of democracy § Reduction of inequality and poverty
Analyse the outcomes of democracies in terms of economic growth and development.
Previously asked in CBSE board exam
2022 32/4/1 Q7
Generated by claude-sonnet-4-6 · 2026-06-15 07:05 · grounding rag
Model Answer

Economic Growth: Evidence from 1950–2000 shows that dictatorial regimes had a slightly higher average growth rate (4.42%) compared to democracies (3.95%). However, when comparing only poor countries, the difference is negligible — dictatorships (4.34%) vs. democracies (4.28%). Therefore, democracy cannot be considered a guarantee of economic development, but it does not significantly lag behind dictatorships either.

Economic Inequality: Democracies have not been very successful in reducing economic inequalities. In democratic countries like South Africa and Brazil, the top 20% capture over 60% of national income, while the bottom 20% receive less than 3%. The poor often struggle to meet basic needs despite having equal voting rights.

Source: Chapter 5 — Outcomes of Democracy, Economic growth and development; Reduction of inequality and poverty

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Explanation
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