Individuals, groups and leaders who promote human development operate under strong institutional, structural and political constraints that affect policy options. But experience suggests broad principles for shaping an appropriate agenda for human development. One important finding from several decades of human development experience is that focusing exclusively on economic growth is problematic. While we have good knowledge about how to advance health and education, the causes of growth are much less certain and growth is often elusive. Further, an unbalanced emphasis on growth is often associated with negative environmental consequences and adverse distributional effects. The experience of China, with its impressive growth record, reflects these broader concerns and underlines the importance of balanced approaches that emphasize investments in the non-income aspects of human development.

With reference to the above passage, the following assumptions have been made:
1. Higher economic growth is essential to ensure reduction in economic disparity.
2. Environmental degradation is sometimes a consequence of economic growth.

Which of the above is/are valid assumption/assumptions ?

The correct option is 2 only.

Let us analyze each assumption step-by-step to understand why this option is correct:

1. Analyzing Assumption 1: "Higher economic growth is essential to ensure reduction in economic disparity."
The passage states that "an unbalanced emphasis on growth is often associated with negative environmental consequences and adverse distributional effects." Adverse distributional effects mean that economic growth can worsen economic inequality (disparity) rather than reduce it. The passage also highlights that focusing exclusively on economic growth is problematic and suggests balanced approaches emphasizing non-income aspects of human development. Therefore, the passage does not assume that higher economic growth is essential to ensure a reduction in economic disparity. Thus, Assumption 1 is invalid.

2. Analyzing Assumption 2: "Environmental degradation is sometimes a consequence of economic growth."
The passage explicitly states: "Further, an unbalanced emphasis on growth is often associated with negative environmental consequences...". The phrase "often associated with negative environmental consequences" directly implies that environmental degradation is sometimes a consequence of economic growth. Therefore, Assumption 2 is a valid assumption based on the text.

Consequently, only Assumption 2 is valid, making 2 only the correct answer.