As per the advance estimates of the year 2022-23, what percent share is Rajasthan’s GSDP estimated to contribute in India’s nominal Gross Domestic Product (GDP) ?
- (1)6.54 percent
- (2)5.18 percent
- (3)4.86 percent
- (4)3.78 percent
Answer
Why
Correct — option (2), 5.18 percent.
Rajasthan's Economic Review 2022-23 gives this figure. As per the advance estimates, the State's nominal GSDP for 2022-23 was likely to reach ₹14.14 lakh crore (₹14,13,620 crore in its Table 1.1).
For All India the Review uses the First Advance Estimate of nominal GDP for 2022-23: ₹273.08 lakh crore (₹2,73,07,751 crore).
The Review then states: "Rajasthan's GSDP is estimated to contribute 5.18 per cent to the nation's GDP." As a check, ₹14,13,620 crore ÷ ₹2,73,07,751 crore works out to about 5.18 per cent.
The same Review gives a second share at constant (2011-12) prices: 5.07 per cent. The stem asks about nominal GDP, so the current-price figure applies.
The idea to remember: Rajasthan's share of India's GDP in 2022-23 (advance estimates) was 5.18 per cent at current prices and 5.07 per cent at constant prices.
Why the others are wrong
- (1)6.54 percent — 6.54 per cent is not the share the Economic Review 2022-23 gives. Its nominal figure is 5.18 per cent.
For scale (our arithmetic): 6.54 per cent of the ₹273.08 lakh crore national GDP would be about ₹17.86 lakh crore, well above the ₹14.14 lakh crore the Review estimates for Rajasthan.
- (3)4.86 percent — 4.86 per cent does not match either share in the Economic Review 2022-23 for that year. The Review gives 5.18 per cent at current prices and 5.07 per cent at constant (2011-12) prices.
Both of the Review's figures are above 5 per cent, so a share below 5 per cent does not fit 2022-23 on either basis.
- (4)3.78 percent — 3.78 per cent is far below the Review's estimate. Rajasthan's nominal GSDP of ₹14.14 lakh crore against India's ₹273.08 lakh crore gives 5.18 per cent.
For scale (our arithmetic): 3.78 per cent of national GDP would be about ₹10.32 lakh crore, a level below the ₹12.18 lakh crore the Review estimates for Rajasthan even in 2021-22.
Concept
Gross State Domestic Product (GSDP) is the money value of all final goods and services produced within a state's boundaries in a year, counted without duplication. It is the state-level counterpart of GDP.
At current prices (nominal), the value includes both changes in volume and changes in prices. At constant prices (real), output is valued at base-year (2011-12) prices, so price changes are removed.
Advance estimates are the first figures for a year, released before the year's data are complete. They are revised later, so a share or growth rate belongs to a named estimate.
RPSC's 2023 syllabus lists "Macro overview of Economy." under Economy of Rajasthan. The Economic Review 2022-23, published by the State's Directorate of Economics & Statistics, opens with a chapter on macro-economic trends: GSDP, sector shares and per capita income.
The Economic Review 2022-23 estimated nominal GSDP growth of 16.04 per cent for 2022-23, against 15.4 per cent for All India. Real GSDP was estimated at ₹7.99 lakh crore, growth 8.19 per cent, against 7.0 per cent for India.
By broad sector, services were estimated at 43.74 per cent of Rajasthan's GSVA at current prices, agriculture at 28.95 per cent and industry at 27.31 per cent.
Key facts
- Economic Review 2022-23: Rajasthan's nominal GSDP for 2022-23 (advance estimates) ₹14.14 lakh crore, growth 16.04 per cent.
- All-India nominal GDP for 2022-23 (First Advance Estimates) was ₹273.08 lakh crore, growth 15.4 per cent, as the Review reports.
- Rajasthan's GSDP was estimated at 5.18 per cent of India's GDP at current prices and 5.07 per cent at constant (2011-12) prices.
- Real GSDP 2022-23 (advance estimates): ₹7.99 lakh crore, growth 8.19 per cent, against All-India real GDP growth of 7.0 per cent.
- GSVA shares at current prices, 2022-23: services 43.74, agriculture 28.95, industry 27.31 per cent (Economic Review 2022-23).
Source: Economic Review 2022-23, Government of Rajasthan, Tables 1.1 and 1.3. FAE = First Advance Estimates.
Study next
Common traps
- Current and constant prices give different shares: 5.18 per cent nominal and 5.07 per cent real for 2022-23. Check which basis the stem names.
- Estimates move. The Economic Review 2023-24, published after this exam, puts 2022-23 GSDP at ₹13,57,851 crore (Revised Estimates-II), below the ₹14,13,620 crore advance estimate used here.
- GSDP and GSVA are different totals. The Review estimates 2022-23 GSVA at current basic prices at ₹13.11 lakh crore; the 5.18 per cent share is built on GSDP, ₹14.14 lakh crore.
A question can ask for Rajasthan's share in India's GDP, its GSDP growth rate or its per capita income for a named year and estimate.
A question can also ask for the same share at constant (2011-12) prices, or for the growth of real GSDP against All-India GDP.
Related PYQs
UnlockIAS will link similar questions from RAS Pre 2021 and 2018 here once those papers are published on this site.
Practice
- practice — not a real PYQ
As per the advance estimates in Rajasthan's Economic Review 2022-23, what was the growth of Rajasthan's nominal GSDP (at current prices) in 2022-23?
- (a)16.04 per cent
- (b)19.50 per cent
- (c)15.4 per cent
- (d)8.19 per cent
Answer(1) — The Review estimates nominal GSDP growth of 16.04 per cent in 2022-23. Option (2) is the Review's growth figure for 2021-22. Option (3) is All-India nominal GDP growth for 2022-23. Option (4) is the growth of real GSDP at constant (2011-12) prices. - practice — not a real PYQ
According to the Economic Review 2022-23, Rajasthan's GSDP at constant (2011-12) prices was estimated to contribute what share of India's GDP in 2022-23?
- (a)5.18 per cent
- (b)5.07 per cent
- (c)7.0 per cent
- (d)8.19 per cent
Answer(2) — The Review gives 5.07 per cent at constant prices. Option (1) is the share at current prices. Option (3) is All-India real GDP growth for 2022-23, and option (4) is Rajasthan's real GSDP growth; both are growth rates, not shares.