Himachal Pradesh has a higher human development ranking than Punjab despite having a lower per capita income. This is because Himachal Pradesh has better health and education indicators, such as lower infant mortality rates and higher literacy rates. While per capita income is useful for comparing average incomes between countries, it does not provide information about how income is distributed or capture other important aspects of development like education and health. Government provision of schools and other facilities is important for improving development outcomes, as seen in Himachal Pradesh where the government prioritized education to boost literacy rates.