What was the growth rate of Gross State Domestic Product (GSDP) of Madhya Pradesh from the year 2011-12 to 2015-16?
- (a)11.09%
- (b)15.09%
- (c)16.09%
- (d)17.09%
This question was cancelled by the commission and marks were awarded to all candidates, so no option is treated as correct. It asked for a single GSDP growth-rate figure for Madhya Pradesh over 2011-12 to 2015-16, but such a figure is not fixed: it differs sharply depending on whether it is measured at current prices (nominal) or constant prices (real), and on the base year used. Because no one number can be cited unambiguously, the item was voided. Use it only to revise how GSDP and its growth rate are defined.
- (a)11.09% — Not accepted as correct — the question was cancelled; the growth figure depends on current vs constant prices and the base year, so no single option was treated as right.
- (b)15.09% — Not accepted as correct — the item was voided and marks given to all; a single headline GSDP growth rate cannot be pinned to one option.
- (c)16.09% — Not accepted as correct — the commission cancelled the question; the answer varies with the price basis (nominal vs real) and base year.
- (d)17.09% — Not accepted as correct — no option carries the answer because the item was voided and marks awarded to all candidates.
Gross State Domestic Product (GSDP) is the state-level counterpart of GDP — the total market value of all final goods and services produced within a state in a financial year. Its growth rate can be reported at current prices (nominal growth, which includes inflation) or at constant prices (real growth, adjusted for inflation using a fixed base year), and the two rates can differ by several percentage points. The period 2011-12 to 2015-16 falls in the Twelfth Five Year Plan, and 2011-12 is the base year of the current constant-price national and state accounts series.
The trap is expecting one 'official' figure. Growth rates depend on the price basis and base year, so quoting a single decimal (11.09 / 15.09 / 16.09 / 17.09) is inherently unstable — which is why the commission could not defend one key and cancelled the item.
- GSDP is the state equivalent of GDP — the value of goods and services produced within a state in a year.
- Growth is reported at current prices (nominal) or constant prices (real, inflation-adjusted); the two rates differ.
- The base year of the current constant-price GDP/GSDP series was revised to 2011-12 (from 2004-05).
- The years 2011-12 to 2015-16 fall within the Twelfth Five Year Plan period.
- The commission cancelled this 2018 item and awarded marks to all candidates.
A GSDP growth rate is not a single fixed number — it depends on whether it is measured at current or constant prices.
- Confusing nominal (current-price) growth with real (constant-price) growth
- Assuming one headline GSDP figure when it depends on the price basis and base year
MPPSC asks state-specific economic figures (GSDP growth, per-capita income, budget size); UPSC asks the underlying concepts (GDP vs GSDP, nominal vs real, base year). Anchor: growth rate = f(price basis, base year).
No directly related past PYQ was found.
- practice — not a real PYQ
Gross State Domestic Product (GSDP) measured at 'constant prices' differs from that at 'current prices' because constant-price figures are:
- (a)based only on agricultural output
- (b)adjusted for inflation using a fixed base year
- (c)always higher than current-price figures
- (d)calculated excluding the services sector
Answer(b) adjusted for inflation using a fixed base year — giving real growth.
- practice — not a real PYQ
The base year currently used for India's constant-price (real) GDP and GSDP series is:
- (a)1999-2000
- (b)2004-05
- (c)2011-12
- (d)2015-16
Answer(c) 2011-12 — the revised base year for the national and state accounts.