The correct answer is 1, 2 and 3. Explanation & Key Takeaways: The main causes of slow rate of growth of per capita income in India:- • High rate of capital formation. • High level of fiscal deficits. • High rate of growth of population Per Capita Income: • Per capita income (PCI) or total income measures the average income earned per person in a given area (city, region, country, etc.) in a specified year. • It is calculated by dividing the area's total income by its total population. • PCI compares and assesses the economic situations of countries with varying population sizes. • The measurement of a country's per capita income is done by dividing the total national income of a particular country or state by the population in that specific geographical region. • When calculating a country's PCI, every individual is taken into account. • The calculation includes men, women, children, and babies. • This is mainly because the measurement considers the entire country's population or specific geographical location. Related Concepts: Uses of Per Capita Income: • PCI calculation is used in various fields of statistics and economics. The various uses of PCI are: • Gross Domestic Product Per Capita • The GDP Per Capita calculates a country's economic output by the number of people in that country. • We have to divide a nation's total economic domestic production by that nation's population. • The formula for calculating GDP Per Capita is: • GDP Per Capita = Gross Domestic Product/ Population Gross National Income Per Capita: • To determine the Gross National Income per Capita. • We have to take into account Gross Domestic Product Per Capita along with the value generated by the people of a country living abroad. Other Uses: • Per Capita Income is used to find out an area's wealth or lack thereof. • It is also used to find out the affordability of an area regarding data on real estate prices. • Prominent business chains and owners consider an area's per capita income before opening a store branch or shop in a concerned area. • The higher PCI of a place, the higher the chances of making considerable revenue. • The chances of profitable revenue fall drastically in those places where PCI is low.