Socio-Economic Data and Urban Indicators

What to remember

• Urban planning starts with data: the Census (every 10 years) gives population, literacy, workers, housing and slums, and ward-level plans use this data and simple indicators.
• Know the exact formula of each indicator (density, sex ratio, literacy rate, growth rate, dependency ratio, birth and death rates) because numerical questions are common.
• Urban local bodies work under the 74th Constitutional Amendment (1992); the ward is the smallest unit where data, services and citizens meet.

1. Sources of socio-economic data

India's first complete census in the modern form was in 1881; after independence the first census was in 1951. Census data is "de facto" (counted where found). A census is a complete count; a survey studies a sample.

2. Urban area in the Census

Statutory town: a place with a municipality, corporation, cantonment board or notified town area committee.

Census town: a place that satisfies all three tests: population of at least 5,000; at least 75% of male main working population in non-agricultural work; density of at least 400 persons per sq km.

Urban agglomeration: a town with its adjoining urban outgrowths.

Million-plus city: a city or agglomeration with population of 10 lakh or more.

Size classes of towns (by population):

Urbanisation level = urban population ÷ total population × 100. Urbanisation rises when migration, natural growth, reclassification and expansion of town limits add people to towns.

Slum: a compact area of at least 300 people or about 60-70 households in poorly built, crowded, unhygienic conditions with inadequate drinking water and sanitation. Census recognises notified, recognised and identified slums.

3. Key demographic indicators

Main workers are those who worked for 6 months or more in the year; marginal workers worked for less than 6 months. Workers are also grouped as cultivators, agricultural labourers, household industry and other workers; urban areas have mainly "other workers".

Population projection (arithmetic method): Pn = P0 + n × increase per decade. Example: 50,000 now with a rise of 5,000 per decade gives 50,000 + 2 × 5,000 = 60,000 after 2 decades. Geometric method: Pn = P0 (1 + r)^n.

4. Economic and development indicators

• GDP / GSDP: value of goods and services produced in a country or state. Per capita income = national or state income ÷ population.
• Poverty line: a minimum level of consumption expenditure. Poverty ratio = persons below poverty line ÷ total persons × 100.
• Gini coefficient: measure of inequality, from 0 (perfect equality) to 1 (perfect inequality).
• Human Development Index (HDI): health (life expectancy), education (schooling) and income (per capita).
• Unemployment rate = unemployed ÷ labour force × 100.
• Informal sector: workers without formal contracts or social security, important in towns (street vendors, domestic workers).

5. Urban service indicators

Planners compare service levels with benchmarks.

Standard for urban water supply is commonly taken as 135 lpcd where sewerage exists; check the latest official norm.

Worked example: a ward of 12,000 people needing 135 lpcd needs 12,000 × 135 = 16,20,000 litres per day, or 1,620 kilolitres.

Urban programmes: Atal Mission for Rejuvenation and Urban Transformation (AMRUT) for water and sewerage; Swachh Bharat Mission (Urban); Pradhan Mantri Awas Yojana (Urban) for housing; DAY-NULM for livelihoods; Smart Cities Mission. In Andhra Pradesh, ward secretariats (with ward volunteers until the volunteer system lapsed in 2024) collect local data and deliver services.

6. Urban governance and ward system

The 74th Constitutional Amendment Act, 1992 (in force from 1993) added Part IX-A (Articles 243P to 243ZG) and the 12th Schedule with 18 functions of municipalities. Types of urban local bodies: Municipal Corporation (large cities), Municipality (smaller towns), Nagar Panchayat (transitional area). Councillors are elected from wards. Ward committees are required in municipalities with population of three lakh or more (Article 243S). State Finance Commission reviews municipal finance and State Election Commission conducts the elections. The 12th Schedule includes urban planning, water supply, sanitation, slum improvement and poverty alleviation.

7. Using data at ward level

A ward profile combines many indicators in one place: population by age and sex, number of households, literacy, workers, housing quality, slum households, access to water and toilets, and schools and clinics nearby. Planners compare the ward with the city average and with standard norms to find gaps. A gap is shown as a simple difference: for example, if a ward needs 16,20,000 litres a day and receives 12,00,000 litres, the shortfall is 4,20,000 litres. Maps help show where services are weak. Data must be accurate and recent, so ward staff update it through household visits and local registers. Ward-level data also supports targeting of welfare benefits, school enrolment drives and health outreach, and it supports public participation in budget and planning decisions.

Exam traps

• Sex ratio is females per 1,000 males, not the reverse.
• Literacy rate in the Census uses population aged 7 and above, not total population.
• Census town needs all three tests; statutory town needs a legal urban body.
• CBR and CDR use per 1,000 population; MMR uses per 1,00,000 live births.
• Dependency ratio counts ages 0-14 and 65 and above against 15-64.
• Class I town is 1 lakh and above; do not mix it with million-plus.
• NSS is a sample survey; Census is a complete count.
• 74th Amendment is for urban bodies; 73rd is for panchayats.

One-liners

• The Census is held every 10 years.
• The first post-independence census was in 1951.
• Density is population per sq km.
• Sex ratio is females per 1,000 males.
• A census town needs 5,000 people, 75% non-agricultural male workers, and 400 per sq km density.
• Million-plus city has 10 lakh or more people.
• IMR is deaths under one year per 1,000 live births.
• Gini coefficient measures inequality.
• HDI has health, education and income.
• 12th Schedule lists 18 municipal functions.
• Ward committees are for urban bodies with population of three lakh or more.
• AMRUT focuses on water supply and sewerage.

Practice questions

1. The Census of India is conducted by the

   1. NITI Aayog
   2. Reserve Bank of India
   3. Registrar General and Census Commissioner
   4. Election Commission
   Answer

   C. Registrar General and Census Commissioner

   The office under the Ministry of Home Affairs conducts the Census.

2. The Census is held once in every

   1. 7 years
   2. 12 years
   3. 5 years
   4. 10 years
   Answer

   D. 10 years

   A decennial census is held.

3. The first census after independence was held in

   1. 1947
   2. 1951
   3. 1941
   4. 1961
   Answer

   B. 1951

   The 1951 census was the first of independent India.

4. The sex ratio in India is expressed as the number of

   1. females per 1,000 males
   2. females per 100 males
   3. males per 1,000 females
   4. persons per sq km
   Answer

   A. females per 1,000 males

   Sex ratio is females per 1,000 males.

5. In the Census, the literacy rate is calculated on the population aged

   1. 5 years and above
   2. 7 years and above
   3. 15 years and above
   4. 0 years and above
   Answer

   B. 7 years and above

   Effective literacy rate uses age 7 and above.

6. Which of the following is a statutory town?

   1. A village of 4,000 people
   2. Any place with density above 400
   3. A place with only 75% non-agricultural workers
   4. A place with a municipality or corporation
   Answer

   D. A place with a municipality or corporation

   Statutory towns are legally notified urban local body areas.

7. Which condition is NOT required for a census town?

   1. Presence of a municipality
   2. Density of at least 400 per sq km
   3. 75% male workers in non-agricultural work
   4. Population of at least 5,000
   Answer

   A. Presence of a municipality

   Census towns are identified by the three tests, not by a municipality.

8. A city with a population of 10 lakh or more is called a

   1. Class II town
   2. census town
   3. million-plus city
   4. outgrowth
   Answer

   C. million-plus city

   Million-plus means 10 lakh or more.

9. A Class I town has a population of

   1. 20,000-49,999
   2. 50,000-99,999
   3. 1,00,000 and above
   4. below 5,000
   Answer

   C. 1,00,000 and above

   Class I begins at one lakh.

10. Class III towns have a population of

    1. 20,000-49,999
    2. 50,000-99,999
    3. 1,00,000 and above
    4. 10,000-19,999
    Answer

    A. 20,000-49,999

    Class III is 20,000-49,999.

11. Urbanisation level is the percentage of

    1. workers in the urban population
    2. urban population in the total population
    3. literates in urban areas
    4. rural population in the total population
    Answer

    B. urban population in the total population

    It is urban population ÷ total population × 100.

12. The Gini coefficient measures

    1. urban density
    2. price rise
    3. literacy
    4. inequality
    Answer

    D. inequality

    It ranges from 0 to 1.

13. The Human Development Index combines

    1. rainfall, soil and crops
    2. roads, rail and ports
    3. health, education and income
    4. trade, tax and debt
    Answer

    C. health, education and income

    HDI uses life expectancy, schooling and income.

14. The Constitutional Amendment that gave constitutional status to urban local bodies is the

    1. 74th
    2. 42nd
    3. 73rd
    4. 86th
    Answer

    A. 74th

    The 73rd is for panchayats and the 74th for municipalities.

15. The 12th Schedule of the Constitution lists

    1. state finance sources
    2. 29 functions of panchayats
    3. 7 union subjects
    4. 18 functions of municipalities
    Answer

    D. 18 functions of municipalities

    The 12th Schedule has 18 municipal functions.

16. Ward committees are mandated under Article 243S for municipalities with a population of

    1. 10 lakh or more
    2. three lakh or more
    3. 50,000 or more
    4. one lakh or more
    Answer

    B. three lakh or more

    Ward committees apply to bodies of 3 lakh and above.

17. Which institution reviews the financial position of municipalities in a state?

    1. Finance Commission of India only
    2. Planning Commission
    3. State Finance Commission
    4. Public Accounts Committee
    Answer

    C. State Finance Commission

    The State Finance Commission reviews local body finances.

18. Which mission focuses on water supply and sewerage in towns?

    1. AMRUT
    2. MGNREGS
    3. PMAY-G
    4. Samagra Shiksha
    Answer

    A. AMRUT

    AMRUT stands for Atal Mission for Rejuvenation and Urban Transformation.

19. A compact settlement of poor housing, crowded conditions and poor sanitation is called a

    1. suburb
    2. green belt
    3. census town
    4. slum
    Answer

    D. slum

    This is the slum definition.

20. The Periodic Labour Force Survey measures

    1. rainfall
    2. employment and unemployment
    3. literacy only
    4. road length
    Answer

    B. employment and unemployment

    PLFS gives labour force data.

21. A city of 2,40,000 people covers 60 sq km. The density is

    1. 40,000 per sq km
    2. 14,400 per sq km
    3. 4,000 per sq km
    4. 400 per sq km
    Answer

    C. 4,000 per sq km

    2,40,000 ÷ 60 = 4,000.

22. A ward has 4,800 females and 5,000 males. The sex ratio is

    1. 960
    2. 980
    3. 1,042
    4. 940
    Answer

    A. 960

    4,800 ÷ 5,000 × 1,000 = 960.

23. A ward has 9,000 persons aged 7 and above, of whom 7,200 are literate. The literacy rate is

    1. 90%
    2. 72%
    3. 60%
    4. 80%
    Answer

    D. 80%

    7,200 ÷ 9,000 × 100 = 80%.

24. A town grows from 1,00,000 to 1,20,000 in a decade. The decadal growth rate is

    1. 16.7%
    2. 20%
    3. 12%
    4. 25%
    Answer

    B. 20%

    20,000 ÷ 1,00,000 × 100 = 20%.

25. 600 births occur in a mid-year population of 30,000. The crude birth rate is

    1. 20 per 1,000
    2. 2 per 1,000
    3. 60 per 1,000
    4. 18 per 1,000
    Answer

    A. 20 per 1,000

    600 ÷ 30,000 × 1,000 = 20.

26. The CBR is 20 and CDR is 8 per 1,000. The natural growth rate is

    1. 0.12%
    2. 12%
    3. 2.8%
    4. 1.2%
    Answer

    D. 1.2%

    (20 - 8) = 12 per 1,000 = 1.2%.

27. A population of 30 in the 0-14 group, 10 aged 65 and above and 60 in the 15-64 group gives a dependency ratio of about

    1. 40
    2. 66.7
    3. 50
    4. 75
    Answer

    B. 66.7

    (30 + 10) ÷ 60 × 100 = 66.7.

28. A ward of 12,000 people needs water at 135 litres per person per day. The daily need is

    1. 1,62,000 litres
    2. 1,35,000 litres
    3. 16,20,000 litres
    4. 12,00,000 litres
    Answer

    C. 16,20,000 litres

    12,000 × 135 = 16,20,000.

29. A town with 50,000 people adds 5,000 per decade (arithmetic method). Its population after 2 decades is

    1. 60,000
    2. 55,000
    3. 50,000
    4. 65,000
    Answer

    A. 60,000

    50,000 + 2 × 5,000 = 60,000.

30. In a ward of 10,000 persons there are 4,000 workers. The work participation rate is

    1. 25%
    2. 40%
    3. 60%
    4. 4%
    Answer

    B. 40%

    4,000 ÷ 10,000 × 100 = 40%.

31. There are 60 infant deaths in 2,000 live births. The infant mortality rate per 1,000 is

    1. 30
    2. 3
    3. 60
    4. 120
    Answer

    A. 30

    60 ÷ 2,000 × 1,000 = 30.

32. Urban population is 2.5 lakh out of a total of 10 lakh. The urbanisation level is

    1. 2.5%
    2. 40%
    3. 25%
    4. 75%
    Answer

    C. 25%

    2.5 ÷ 10 × 100 = 25%.

33. Population of 10,000 grows 10% per decade (geometric method). After 2 decades it is

    1. 12,000
    2. 11,000
    3. 12,500
    4. 12,100
    Answer

    D. 12,100

    10,000 × 1.1 × 1.1 = 12,100.

34. Statements: 1. Census is a complete count of the population. 2. The National Sample Survey studies a sample. Which is/are correct?

    1. 1 only
    2. 2 only
    3. Both 1 and 2
    4. Neither 1 nor 2
    Answer

    C. Both 1 and 2

    Both are correct.

35. Statements: 1. Ward committees are required in all panchayats. 2. The 74th Amendment applies to urban local bodies. Which is/are correct?

    1. 1 only
    2. 2 only
    3. Both 1 and 2
    4. Neither 1 nor 2
    Answer

    B. 2 only

    Ward committees under Article 243S are for municipalities.

36. Statements: 1. A census town must have a population of at least 5,000. 2. A census town must have a municipality. Which is/are correct?

    1. 1 only
    2. 2 only
    3. Both 1 and 2
    4. Neither 1 nor 2
    Answer

    A. 1 only

    A census town is identified by tests; a municipality marks a statutory town.

37. Statements: 1. Sex ratio is males per 1,000 females. 2. CBR is expressed per 1,000 population. Which is/are correct?

    1. 1 only
    2. 2 only
    3. Both 1 and 2
    4. Neither 1 nor 2
    Answer

    B. 2 only

    Sex ratio is females per 1,000 males.

38. Statements: 1. Marginal workers work for less than 6 months in a year. 2. Main workers work for 6 months or more. Which is/are correct?

    1. 1 only
    2. 2 only
    3. Both 1 and 2
    4. Neither 1 nor 2
    Answer

    C. Both 1 and 2

    Both are Census definitions.

39. Statements: 1. Maternal mortality ratio is measured per 1,00,000 live births. 2. Infant mortality rate is measured per 1,00,000 live births. Which is/are correct?

    1. 1 only
    2. 2 only
    3. Both 1 and 2
    4. Neither 1 nor 2
    Answer

    A. 1 only

    IMR is per 1,000 live births.

40. Match: (a) sex ratio, (b) density, (c) IMR, (d) MMR with (i) per sq km, (ii) females per 1,000 males, (iii) per 1,000 live births, (iv) per 1,00,000 live births.

    1. a-iii, b-ii, c-i, d-iv
    2. a-ii, b-i, c-iv, d-iii
    3. a-i, b-ii, c-iii, d-iv
    4. a-ii, b-i, c-iii, d-iv
    Answer

    D. a-ii, b-i, c-iii, d-iv

    Each indicator has its own unit.

41. Match the class of town with its population: (a) Class I, (b) Class II, (c) Class IV, (d) Class VI.

    1. a-1,00,000+, b-20,000-49,999, c-5,000-9,999, d-below 5,000
    2. a-1,00,000+, b-50,000-99,999, c-5,000-9,999, d-10,000-19,999
    3. a-50,000-99,999, b-1,00,000+, c-10,000-19,999, d-below 5,000
    4. a-1,00,000+, b-50,000-99,999, c-10,000-19,999, d-below 5,000
    Answer

    D. a-1,00,000+, b-50,000-99,999, c-10,000-19,999, d-below 5,000

    Standard Census size classes.

42. Which programme is correctly matched?

    1. SBM-Urban - roads
    2. PMAY-Urban - housing
    3. AMRUT - school education
    4. DAY-NULM - rural jobs only
    Answer

    B. PMAY-Urban - housing

    PMAY (Urban) is the housing mission.

43. Which indicator best shows inequality of income in a ward or city?

    1. Literacy rate
    2. Density
    3. Gini coefficient
    4. Sex ratio
    Answer

    C. Gini coefficient

    The Gini coefficient measures income inequality.

44. A town together with its adjoining urban outgrowths forms an

    1. ward committee
    2. census town
    3. statutory town
    4. urban agglomeration
    Answer

    D. urban agglomeration

    This is the Census definition of an urban agglomeration.

45. The three types of urban local bodies are Municipal Corporation, Municipality and

    1. Nagar Panchayat
    2. Mandal Parishad
    3. Gram Panchayat
    4. Zilla Parishad
    Answer

    A. Nagar Panchayat

    Nagar Panchayat is for a transitional area.