Eco Notes 1
Eco Notes 1
Introduction to Poverty
Definition: Poverty is the inability to fulfill basic needs such as food,
clothing, shelter, education, and healthcare.
Types of Poverty:
o Absolute Poverty: A fixed standard of measuring poverty
based on basic subsistence levels.
o Relative Poverty: A comparison of wealth across di erent
individuals or groups within a society.
Indicators of Poverty
1. Income Level: Below the poverty line (BPL), defined by earning less
than ₹32/day in rural areas and ₹47/day in urban areas (as per earlier
estimates in India).
2. Consumption Level: Insu icient calorie intake (2400 calories/day in
rural and 2100 calories/day in urban areas).
3. Human Development Indicators: Lack of access to healthcare,
education, and clean drinking water.
Causes of Poverty
1. Economic Factors:
o Unemployment and underemployment.
o Unequal distribution of resources.
o Low agricultural productivity and landlessness.
2. Social Factors:
o Caste and gender discrimination.
o Illiteracy and lack of skills.
3. Political Factors:
o Corruption and ine icient implementation of policies.
4. Historical Factors:
o Colonial exploitation leading to economic drain.
Consequences of Poverty
1. Social Issues:
o Malnutrition, child labor, and illiteracy.
o Social unrest and increased crime rates.
2. Economic Issues:
o Reduced productivity.
o Hindered national growth and development.
Way Forward
1. Improved Governance: Transparency and accountability in the
implementation of welfare schemes.
2. Education and Skill Development: Empowering the workforce for
better employment opportunities.
3. Inclusive Growth: Reducing income inequalities and ensuring
equitable resource distribution.
4. Community Participation: Involving local communities in planning
and execution.
Conclusion
Poverty remains a significant challenge for India despite progress in
alleviating it.
A multi-pronged approach combining economic growth, social
equity, and e ective governance is essential to eradicate poverty.