Poverty in India Essay for Students and Children

500+ words essay on poverty in india.

Poverty refers to a situation in which a person remain underprivileged from the basic necessities of life. In addition, the person does not have an inadequate supply of food, shelter, and clothes. In India, most of the people who are suffering from poverty cannot afford to pay for a single meal a day. Also, they sleep on the roadside; wear dirty old clothes. In addition, they do not get proper healthy and nutritious food, neither medicine nor any other necessary thing.

Poverty in India Essay

Causes of Poverty

The rate of poverty in India is increasing because of the increase in the urban population. The rural people are migrating to cities to find better employment. Most of these people find an underpaid job or an activity that pays only for their food. Most importantly, around crores of urban people are below the poverty line and many of the people are on the borderline of poverty.

Besides, a huge number of people live in low-lying areas or slums. These people are mostly illiterate and in spite of efforts their condition remains the same and there is no satisfactory result.

Furthermore, there are many reasons that we can say are the major cause of poverty in India. These causes include corruption, growing population, poor agriculture , the wide gap of rich and poor, old customs, illiteracy, unemployment and few more. A large section of people are engaged in an agricultural activity but the activity pays very less in comparison to the work done by employees.

Also, more population needs more food, houses and money and in the lack of these facilities the poverty grows very quickly. In addition, being extra poor and extra rich also widens the gap between the rich and poor.

Moreover, the rich are growing richer and the poor are getting poorer creating an economic gap that is difficult to fill up.

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Effects of Poverty

It affects people living in a lot of ways. Also, it has various effects that include illiteracy, reduced nutrition and diet, poor housing, child labor, unemployment , poor hygiene and lifestyle, and feminization of poverty, etc. Besides, this poor people cannot afford a healthy and balanced diet, nice clothes, proper education , a stable and clean house, etc. because all these facilities require money and they don’t even have money to feed two meals a day then how can they afford to pay for these facilities.

The Solutions for Ending Poverty

For solving the problem of poverty it is necessary for us to act quickly and correctly. Some of the ways of solving these problems are to provide proper facilities to farmers . So, that they can make agriculture profitable and do not migrate to cities in search of employment.

Also, illiterate people should be given the required training so that they can live a better life. To check the rising population, family planning should be followed. Besides, measures should be taken to end corruption, so that we can deal with the gap between rich and poor.

In conclusion, poverty is not the problem of a person but of the whole nation. Also, it should be deal with on an urgent basis by the implementation of effective measures. In addition, eradication of poverty has become necessary for the sustainable and inclusive growth of people, society, country, and economy .

FAQs about Poverty in India Essay

Q.1 List some ways to end poverty in India. A.1 Some ways to end poverty in India are:

  • Develop a national poverty reduction plan
  • Equal access to healthcare and education
  • Sanitation facility
  • Food, water, shelter, and clothing facility
  • Enhance economic growth with targeted action

Q.2 Which is the poorest state in India? A.2 Chhattisgarh is the poorest state of the country.

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Poverty eradication in India: Successes and shortcomings of social protection

Blog 15 Oct 2020 COVID-19

While social protection programmes in India have helped reduce poverty significantly, they are not without their problems. COVID-19 reversed the gains and has plunged millions into further poverty, disrupting the informal economy, and hitting migrant labourers the hardest. Schemes like MGNREGA are being sought out by the government and desperate citizens to tackle unemployment.

After the implementation of the 1991 economic reforms, India emerged as a success story of globalisation. While on the one hand, India is able to sustain its rapid economic growth, on the other, India is struggling to provide basic services and infrastructures to its population. Recent estimates show that there is a rapid decline in poverty in India. The Indian government’s Planning Commission (currently NITI Aayog) estimated that the annual average decline in poverty was 2.2% between 2004-05 and 2011-12 – from a poverty headcount ratio of 37.2% to 21.9% (Planning Commission 2013). As per the UNDP Global Multidimensional Poverty Index 2020 , in 2005-06, over 640 million people across India were in multidimensional poverty; with the successful implementation of social protection policies, 273 million people moved out of multidimensional poverty over a 10-year-period (Oxford Poverty and Human Development Initiative 2020 ).

eradication of poverty in india essay

Role played by social protection schemes in poverty reduction

During the last two decades, India has implemented several social protection programmes with the aim to improve living standards, and these have helped the Indian government in poverty reduction. Existing evidence suggests that there is a strong correlation between urban economic growth and poverty reduction ( Datt et al. 2016 ); implementation of the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) since 2006 has significantly increased household consumption and accumulated more nonfinancial assets ( Deininger and Liu 2019 ). Furthermore, the Public Distribution Systems (PDS) and other Centrally Sponsored Schemes (CSS) of the Indian government ( Sen and Himanshu 2013 ), and increased labour earnings ( Balcázar et. al 2016 ) have played significant roles in poverty reduction. In addition, the Prime Minister Jan Dhan Yojana and biometric identity cards under Aadhar have also transformed the anti-poverty programmes by replacing the current cumbersome and leaky distribution of benefits under various schemes using the Direct Benefit Transfers (DBT) programme ( NITI Aayog 2016 ). This evidence suggests that poverty reduction is shaped mainly by structural transformation and increased spending on social protection programmes.

Problems with social protection programmes

From a critical lens, certainly, each social protection programme and CSS suffers from an array of difficulties – such as rigidity, non-adaptability to local conditions, late disbursement of funds, reallocation of funds to unrelated recurring expenditure, and wide-ranging rent-seeking practices. In many cases, the proportion of funds reaching the intended beneficiaries is well under 50%. As against the guarantee of 100 days of wage employment to one person in each rural household annually, MGNREGA’s average achievement has been less than 55 days ( NITI Aayog 2016 ). As mentioned earlier, with the introduction of the DBT in MGNREGA and other social protection programmes, things have begun to move rapidly. Though the objective was to enhance the transparency and faster transmission of transfers to beneficiaries, the DBT has been criticised by well-known economists and social scientists . While the case was contested in the Supreme Court of India, the verdict in September 2018 proclaimed that Aadhar-linked DBT is necessary for MGNREGA and many other government schemes in India.

eradication of poverty in india essay

Effects of COVID-19, informal economy, and unemployment

The ongoing COVID-19 pandemic as a public health catastrophe has affected all ways of life. In this situation, protecting people’s lives, as well as the frontline facilities, is now the current priority for both the Central and State governments. Both have rolled up their sleeves for getting into action to tackle this pandemic which has also led to the imposition of a nation-wide lockdown from 24 March – 31 May 2020, which disrupted the informal economy and created an unprecedented reverse migration of workers. The effects of the COVID-19 crisis on low-skilled migrant labourers and informal workers have been overwhelming. Early evidence suggests that there has been a massive increase in unemployment and an equally dramatic fall in earnings. Almost 8 in 10 are eating less food than before; more than 6 in 10 respondents in urban areas did not have enough money for a weeks’ worth of essentials ( Azim Premji University 2020 ).

Table: Key findings of COVID-19 Livelihoods Survey

During the lockdown period in the current pandemic, many labourers lost their jobs and due to lack of social security nets and formal benefits, travelled back to their home without any guarantee of returning ( D’Souza and Ratho 2020 ). As per the International Labour Organisation (ILO) “ ILO Monitor April ”, 400 million workers from India’s informal sector is likely to be pushed deeper into poverty due to COVID-19. With millions of migrant workers having returned to their home in rural areas, and the pandemic continuing to bring heavy tolls on the Indian economy and jobs (particularly those in the informal sector), schemes like MGNREGA are being sought out by governments and desperate citizens as an immediate measure to tackle employment and poverty. Compared to last year, the rise in person-days allocated as per the MGNREGA scheme has seen a sharp rise this year. Additionally, to reduce the hardship of these migrant workers and for giving relief to the informal economy, the Indian government has recently launched Garib Kalyan Rozgar Abhiyan (GKRA). GKRA was launched this year on 20 June 2020 and is aimed at providing employment benefits of 125 days to return migrants across 116 districts in six states of India. This is a coordinated effort between 12 different Ministries and Departments to implement 25 public infrastructure works and works related to livelihood opportunities. However, among these 25 types of work, 11 of them are already listed under MGNREGA. An analysis of the implementation of GKRA shows that the success of this scheme would depend on the past performance of MNREGA ( Afridi et. al 2020 ).

eradication of poverty in india essay

Going forward the implementation capacity of States, particularly across the poorest districts, will play a crucial role in determining the success of MNREGA and GKRA schemes. Furthermore , India needs to ramp up MGNREGA, introduce a guaranteed urban employment scheme , and boost further cash transfers to poor households. There is no dispute that poverty in the country will worsen, but the question is, by how much?

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Essay on Poverty In India

People living in poverty do not have enough money for basic necessities such as food and shelter. An example of poverty is the state a person is in when he is homeless and does not have enough money. The rate of poverty in India is increasing because of the population in the urban areas. Most importantly, crores of peoples are below the poverty line and most of the people are on the borderline of poverty. Poverty in India is seen mainly in the rural areas because of the uneducated and unemployed and increased population. Many people do not afford to get proper foods for their daily life and even they don’t have their own homes, they sleep on the footpath or road, more populations need more food, money, and for staying houses but due to lack of this poverty grows very quickly, thus in addition rich are growing richer and the poor becoming more poorer which becomes difficult to fill the gap. Poverty has many effects like it reduces poor housing, illiteracy, increase the rate of child labour and unemployment, poor hygiene hence these poor people can not afford a balanced diet, nice clothes, well education etc. reason only because they don’t have much money to afford this. Poverty can be controlled by giving them proper education and also providing the proper facilities to the farmers so that those farmers get more profitable and do not migrate to cities in search of employment. Also, the illiterate people should get proper education to make their life better. Family planning is also essential for coming out of poverty. Poverty in our country is from ancient times. Even earlier times the poor people were not given the place that rich people used to get even if they were not allowed to enter religious places. Main causes of poverty are like unemployment, lack of education, poor utilization of resources, corruption and poor government policy.

How You Can Improve or Solve Poverty in India?

Poverty can be solved by improving food security by providing three meals a day and making them healthy and providing houses for those people at low cost and giving them proper education and facilities so that they can earn well and take care of their family and live a peaceful life. Awareness on population so that once the population is under control, the economy of the country will improve and move towards development and decrease in the poverty line. Poverty is becoming a complex problem for the people and for the government. How to overcome this, in India the poverty is high compared to other countries because the growth rate of per capita income per person is very low.

With lack of job opportunities many people move as a rickshaw puller, construction workers, domestic servants etc, with irregular small incomes hence they live in slum areas. Also, lack of land resources has been one of the major causes of poverty in India, even the small farmers of our country lead to poverty because they cultivate but do not get proper money in terms of profit and leads to poverty.

Population of India

The population has been increasing in India at a rapid speed, India’s population in 1991 was around 84.3 crores where was poverty at a high rate but now the current population of our country is around 130 crores whereas the population is almost doubled in last three decades but still not enough done for controlling the poverty in our country. Due to an increase in population, there is more unemployment, hence poverty is just the reflection of unemployment. More capital is required for making industry, giving proper transport facilities and other projects, hence the deficiency of its country is still underdeveloped and causes more poverty. Lack of skilled labor also leads to poverty because less-skilled labor have insufficient industrial education and training. Lack of infrastructure means that transport and communication have not been properly developed so that the farmers are not getting fertilizers for cultivation on time and industries do not get power supply and raw materials on time and thus end products are not marketed properly and not reachable on time. Because of poverty sometimes we don’t get those things for what we actually are. Hence to come out of poverty our government has to be more serious and also the citizens should take equal responsibilities. Remove the poverty from country governments has started many steps, in last 2-3 years we have seen that they become more serious by bringing GST in the action, demonetization so because of GST all the businessman can pay full tax and which will help to develop the country and the poverty ratio can be reduced. Steps of demonetization were taken so that black money can be utilized for the poor people and poverty can be reduced. We can overcome poverty by following all the guidelines of the government and can be free from poverty.

India's Poverty Factors

One of the biggest problems of poverty in India is the country's rapid population growth. As a result, there is a high rate of illiteracy, poor health-care facilities, and a lack of financial resources. Furthermore, the high population growth rate has an impact on individual income, making individual income much lower. By 2026, India's population is predicted to surpass 1.5 billion, making it the world's largest country. However, Economic growth is not rising at the same rate as the rest of the world. This indicates a labor shortage. About 20 million new jobs will be required to accommodate this big population. If such a vast number of people are poor, the number of poor will keep rising.

How Much Research is Important for Students to Write Good Essays?

The students must realize that brainstorming and a mind map of the essay will take them in the direction of their research. With the advent of the internet, the days are numbered for students who rely on a well-tipped encyclopedia from the school library as their only authoritative source for their story. If there is any real problem for our readers today is reducing their resources to a manageable number. At this stage, it is important to:

Make sure the research material is directly related to the essay work

Record detailed sources of information that they will use in their story

Communicate in person by asking questions and challenging their own bias

Identify the main points that will be highlighted in the story

Gather ideas, arguments, and opinions together

Identify the major issue they will discuss in their case.

Once these stages have been completed by the student, the student will be ready to make his points in a logical order and prepare an essay.

Therefore, the topic discussed on this page is poverty and poverty is not a human problem but a national one. Also, it should be addressed immediately with the implementation of effective measures. In addition, the eradication of poverty has been a prerequisite for sustainable and inclusive growth for individuals, communities, the country and the economy.

Paragraph Tips on Essay Writing

Each paragraph should focus on one main idea

The Paragraphs should follow a logical sequence, students should collect similar ideas together to avoid collisions

Paragraphs should be stated consistently, learners should be able to choose which line to reverse or skip.

Transition words and similar phrases, as a result, should instead be used to provide flow and provide a bridge between Paragraphs.

General Structure of an Essay

Introduction: Give the reader the essence of the essay. It sets out the broader argument that the story will make and informs the reader of the author's general opinion and method of questioning.

Body Paragraphs: These are the ‘flesh’ of the essay and outline the point made in the introduction by a point with supporting evidence.

Conclusion: Usually the conclusion will repeat the middle argument while providing a summary of the main reasons supporting the story even before linking everything back to the first question.

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FAQs on Poverty in India Essay for Students in English

1. What are the Causes of Poverty in India?

The cause of poverty is very obvious in a country like India. The people in India are very careless about the population growth and due to which there is a lot of hassle and unnecessary elevation in population growth rate. This is automatically leading to poverty as there are fewer resources and more people to be served in each state in India. Various causes affect poverty:

Unemployment.

The intensity of population.

The high rate of inflation.

Lack of skilled labor

2. What are the Types of Poverty?

Although there are only two main types of poverty existing in India we will be learning all of them as mentioned in the following lines. The two main classifications of poverty are relative poverty and absolute poverty and both of them emphasize income and consumption. Sometimes, poverty cannot be blamed or associated with economic problems but also it must be associated with society and politics.

There are six types of poverty which are listed below:

Situational poverty.

Generation poverty.

Absolute poverty.

Relative poverty.

Urban poverty.

Rural poverty.

3. How to Reduce the Poverty Line in India?

India is a country that has been under the radar of poverty for centuries. The people of India are making efforts to take themselves out of the poverty line but there are a lot of hindrances. The lack of resources and limited alternatives have thrown the rural and urban residents below the poverty line making life unhealthy and miserable for them. 

Here are some measures listed below

Provide food, shelter and clothes facilities to poor people.

Encourage them for education either male or female. 

Give employment.

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Students should refer to Vedantu for downloading as these solutions will be filling you with the basic knowledge of writing essays. There are loads of vocabulary words and phrases which will enable the students to write high-class essays. The Vedantu website provides 100% authentic content which will lead to additional accuracy of the student’s essay. Basic concepts of writing an essay are available free of cost on the Vedantu website. Avoid problems and enjoy hassle-free preparation with the help of Vedantu.

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Eradicating Poverty From India: Here’s One Interesting Approach That Is Working!

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eradication of poverty in india essay

UN India Digital Library

eradication of poverty in india essay

Poverty and Urbanisation

Sustained growth, access to basic facilities and higher wages has meant better lives for Indians. As measured by the Multidimensional Poverty Index (MPI) published by UNDP and the Oxford Poverty and Human Development Initiative, the incidence of multidimensional poverty shows that India halved its MPI value in the ten years leading to 2016, with approximately 273 million people pulled out of multidimensional poverty.

Government of India is committed to poverty eradication. It is central to Prime Minister’s vision for India, revealed in his address to the nation on the 75th Independence Day. The PM has noted that poverty eradication “remains the greatest unfinished business of the 20th century”.

Challenges 

Despite these impressive numbers, inequality remains a core challenge to the Indian growth agenda. Tackling poverty, inequality and rapid urbanisation in India remains critical to the achievement worldwide of the Sustainable Development Goals (SDGs).

India ranks 131 out 189 countries on HDI as per the 2020 Global Human Development Report published by the United Nations Development Programme (UNDP).

While there has been remarkable progress in increasing incomes at the national level, income inequality is growing across the states. The Government, to address spatial inequality has identified 115 aspirational districts for concerted focus to improve attainments in the areas of education, health, nutrition, basic infrastructure such as rural road connectivity, rural household electrification, access to potable water and individual toilets.

Urbanisation

India has seen tremendous urban progress. It is estimated that by 2030, more than 400 million people will be living in cities in India. Cities occupy 3 percent of land but the contribution to India’s gross domestic product is a huge 60 per cent. Growth of cities has been beneficial for overall poverty reduction in India, with urban growth accounting for about 80 percent of the total fall in poverty.

Urban growth is mired in challenges. The 2011 census reveals 475 urban agglomerations, up from 384 in 2001, and 7,935 towns, as opposed to 2,774 towns in 2001. With close to 20 million migrants moving from rural to urban areas every year, combined with intrinsic population growth inside urban areas, India’s explosive urban growth is expected to continue. The urban share of India’s population was around 31 per-cent according to the 2011 census and is expected to cross 40 percent by 2030. While bringing a range of economic benefits, such rapid urbanisation has brought with it enormous challenges, most notice-ably in the form of demand-supply gaps in housing, infrastructure, and services.

The pandemic has only deepened existing inequalities and reversed the success achieved in poverty reduction worldwide. The COVID-induced new poor in 2020 are estimated to be between 119 and 124 million.

eradication of poverty in india essay

Government initiatives

Enabling transformation will require investing in all-inclusive solutions to education, financial inclusion, welfare, and employment challenges that confront the poor in rural and urban areas. To meet this exponential demand and set the ball rolling for sustaining equitable and inclusive urban development and reducing poverty – the government has launched a series of flagship initiatives – Housing for All, Atal Mission for Urban Rejuvenation and Transformation (AMRUT) , Smart Cities Mission , Digital India campaign , Jan Dhan Yojana and Make in India .

Recent reforms initiated by the prime minister have helped increase foreign investment, contributing to a stimulating environment for business; India’s ranking in the  Global Competitiveness Report  improved from 71 in 2014 to 40 in 2017. Policies for financial and digital inclusion of people living in rural areas have also shown an equalising effect. The government’s initiative to link bank accounts, mobile numbers, and national identification numbers (JAM or the Jan Dhan-Aadhaar-Mobile trinity) has contributed to substantial advances in financial inclusion. A flagship initiative for universal banking coverage, PM’s Jan Dhan Yojana , was launched to ensure that every Indian has a bank account, enabling the government to transfer subsidies and other benefits directly to the target beneficiaries and plug leakages in its welfare programmes.

To support recovery from COVID induced poverty, the Prime Minister announced Pradhan Mantri Garib Kalyan Package in 2020 and extended in 2021. The package intended to reach the poor to enable them to tide over food shortage and money shortage during lockdowns and employment loss.

eradication of poverty in india essay

UN's support  

United Nations Development Programme convenes this priority area group on poverty reduction and urbanisation, members of which include International Labour Organisation, International Organisation for Migration, United Nations Programme on HIV/AIDS, UN Capital Development Fund, UN Environment Programme, United Nations Educational, Scientific and Cultural Organisation, United Nations Population Fund, UN Habitat, UNICEF, United Nations Industrial Development Organisation, United Nations Office on Drugs and Crime, UN Volunteers, UN Women, World Food Programme, and World Health Organisation.

The UN system supports the on-going efforts for poverty reduction and sustainable urbanisation with the following expected results:

Towards poverty reduction

  • More integrated, people-centred planning and implementation of programmes at state and local levels
  • Increased access for vulnerable and marginalised communities to information about legal rights and opportunities
  • More integrated social protection system, including for health, to address risks and vulnerabilities across different stages of the life cycle
  • Improved access for vulnerable and marginalised communities to quality basic services and infra-structure, including affordable and accessible housing
  • Increased access to social and health services including sexual and reproductive health and family planning services, especially for poor and marginalised communities
  • Increased provision of innovative, digital service delivery solutions, and on-line services, including single point of access to services and entitlements
  • Increased access to and ownership of economic assets such as land and housing for vulnerable and marginalised communities, especially women

eradication of poverty in india essay

Towards sustainable urbanisation

  • Strengthened institutional frameworks to ensure sustainable urbanisation as well as the delivery of basic social and health services, particularly to the urban poor and slum dwellers
  • Increased access to practical, demand-driven, and customised capacity building programs and opportunities for urban legislative and planning bodies, including for resource mobilisation and stronger budgeting and accounting practices
  • Upgraded infrastructure in growing urban centres, including sewerage and solid waste management, adequate water supply, reuse of storm water and treated effluents, and transportation and mobility
  • Enhanced use of digital technology for smart city planning for improving the quality of governance and public services
  • Increased skilled employment opportunities in the construction and manufacturing sectors, including through public and private investment in infrastructure and housing
  • Enhanced participation of women and girls in public and economic life through safer homes, communities, transportation services, and workplaces
  • A national strategy and plan of action on adequate housing that includes building or providing low-cost rental housing units, especially for the disadvantaged and low-income groups, including those living in slums, in line with target 11.1 of the SDGs and the New Urban Agenda

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eradication of poverty in india essay

  • UNDP: United Nations Development Programme
  • ILO: International Labour Organization
  • IOM: International Organization for Migration
  • UNAIDS: Joint United Nations Programme on HIV/AIDS
  • UNCDF: United Nations Capital Development Fund
  • UNEP: United Nations Environment Programme
  • UNESCO: United Nations Educational, Scientific and Cultural Organization
  • UNFPA: United Nations Population Fund
  • UN-Habitat: United Nations Human Settlements Programme
  • UNICEF: United Nations Children’s Fund
  • UNODC: United Nations Office on Drugs and Crime
  • UNIDO: United Nations Industrial Development Organization
  • UNV: United Nations Volunteers
  • UN Women: United Nations Entity for Gender Equality and the Empowerment of Women
  • WFP: World Food Programme
  • WHO: World Health Organization
  • IAVI: International Aids Vaccine Initiative

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Poverty In India Essay

Poverty is a situation in which people do not have enough money for basic necessities or survival, such as food and shelter. Due to the poor income of the people, they cannot even meet their basic needs. Here are a few sample essays on the topic of ‘poverty’.

  • 100 Word Essay On Poverty In India

Poverty is the financial state of the individual or family in which they are unable to meet their basic needs in life. A poor person does not earn enough to buy basic necessities such as a 2-time meal, water, shelter, cloth, the right education, and many more. In India, overpopulation and underdevelopment is the main cause of poverty. India's poverty can be decreased with a few effective programs, in which the government should focus on developing the rural areas by providing primary education, implementing population control policies, creating jobs, and providing basic necessities at subsidized rates. Poverty is a very serious problem in the whole world and many efforts are being made to eradicate poverty.

200 Word Essay On Poverty In India

500 word essay on poverty in india, causes of poverty, poverty situation in india, how to solve poverty in india.

Poverty In India Essay

Poverty is defined as a situation wherein a person or family lacks the money to fulfil basic needs. Poor people don’t have good enough money to make a decent living; they don't have the funds for housing, nutrition, and schooling which are vital for survival. So, poverty can be understood absolutely as a lack of money, or extra extensive, obstacles to everyday human life.

Mahatma Gandhi once said that poverty is the worst form of violence. Poverty has been proven as the biggest hurdle in the development of India. Since 1970, the Indian government has made eradicating poverty a priority in its 5-year plans. Policies are made to ensure food security, housing, and employment through more access to increasing salary employment and enhancing access to simple social services. The Indian authorities and non-governmental corporations have initiated numerous new programs to relieve poverty, like easy entry to loans, enhancing agricultural techniques and price supports, and providing vocational skill training to people so they can get jobs. These measures have helped eliminate famines, reduce absolute poverty ranges, and decreased illiteracy and malnutrition.

The occurrence of rural poverty has declined in the past years because of rural-to-city migration. A severe limit on population growth is necessary to address the issue of poverty.

Poverty is a condition in which a person lacks basic necessities of life. This consists of food, water, clothes, and shelter. Moreover, people living on or below the poverty line don’t have enough money to buy even a single meal a day. They somehow survive with whatever they could discover on the street – salvaging food from the trash, sleeping on park benches or the roadside and depending on the charity of those with more resources.

There are many factors that are responsible for poverty. The principal causes are unemployment, illiteracy, increasing population, and lack of proper schooling and training. Humans are no longer able to earn a livelihood since they are unable to find and obtain employment. They're not able to feed their family. The other causes of poverty include war, natural disasters, political instability, and many others.

India is undoubtedly one of the most populous democracies, and its economic structure is rapidly increasing. India is still considered a developing country as opposed to a developed one. Poverty is one such issue, which creates hurdles in the development of India. A good sized portion of the population in India lives in poverty. Even 75 years after gaining our freedom, we still have problems, and poverty has troubled our country. India has a very excessive rate of poverty, which affects its progress.

Many business and public region organizations have effectively labored with the federal and state governments to cope with this difficulty. Their principal aim is to abolish poverty in India completely. Together, they have been able to put into effect some effective policies to partly eliminate this intense issue and maintain the happiness of their people.

If you want to make an actual change and a difference in society, then some measures should be taken that assist the population living beneath the poverty line. The main two reasons for poverty in India are illiteracy and unemployment. Only with appropriate education and monetary aid can this hassle be solved. In India, education and population control is the strongest weapon against poverty. The best way to eradicate poverty is through educating the masses.

Moreover, actions taken by the government can help in eradicating the situation of poverty in India to a greater extent. Some of the options available are—

Increasing the variety of jobs available in India

The employees who lack literacy should receive advanced schooling.

The public distribution system needs to carry out its responsibilities adequately.

The underprivileged should receive free food and water.

Controlling population growth is necessary and also introducing birth control promotion plans is important.

Farmers should have access to appropriate agricultural resources. They can also improve their profit with this technique. They won't migrate to metropolitan regions looking for food as a result.

Poverty is a major problem of the country and it must be addressed on an urgent basis through the implementation of powerful measures. In addition, the eradication of poverty has turned out to be important for the sustainable and inclusive boom of people, society and the economy.

Explore Career Options (By Industry)

  • Construction
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Data Administrator

Database professionals use software to store and organise data such as financial information, and customer shipping records. Individuals who opt for a career as data administrators ensure that data is available for users and secured from unauthorised sales. DB administrators may work in various types of industries. It may involve computer systems design, service firms, insurance companies, banks and hospitals.

Bio Medical Engineer

The field of biomedical engineering opens up a universe of expert chances. An Individual in the biomedical engineering career path work in the field of engineering as well as medicine, in order to find out solutions to common problems of the two fields. The biomedical engineering job opportunities are to collaborate with doctors and researchers to develop medical systems, equipment, or devices that can solve clinical problems. Here we will be discussing jobs after biomedical engineering, how to get a job in biomedical engineering, biomedical engineering scope, and salary. 

Ethical Hacker

A career as ethical hacker involves various challenges and provides lucrative opportunities in the digital era where every giant business and startup owns its cyberspace on the world wide web. Individuals in the ethical hacker career path try to find the vulnerabilities in the cyber system to get its authority. If he or she succeeds in it then he or she gets its illegal authority. Individuals in the ethical hacker career path then steal information or delete the file that could affect the business, functioning, or services of the organization.

Data Analyst

The invention of the database has given fresh breath to the people involved in the data analytics career path. Analysis refers to splitting up a whole into its individual components for individual analysis. Data analysis is a method through which raw data are processed and transformed into information that would be beneficial for user strategic thinking.

Data are collected and examined to respond to questions, evaluate hypotheses or contradict theories. It is a tool for analyzing, transforming, modeling, and arranging data with useful knowledge, to assist in decision-making and methods, encompassing various strategies, and is used in different fields of business, research, and social science.

Water Manager

A career as water manager needs to provide clean water, preventing flood damage, and disposing of sewage and other wastes. He or she also repairs and maintains structures that control the flow of water, such as reservoirs, sea defense walls, and pumping stations. In addition to these, the Manager has other responsibilities related to water resource management.

Geothermal Engineer

Individuals who opt for a career as geothermal engineers are the professionals involved in the processing of geothermal energy. The responsibilities of geothermal engineers may vary depending on the workplace location. Those who work in fields design facilities to process and distribute geothermal energy. They oversee the functioning of machinery used in the field.

Geotechnical engineer

The role of geotechnical engineer starts with reviewing the projects needed to define the required material properties. The work responsibilities are followed by a site investigation of rock, soil, fault distribution and bedrock properties on and below an area of interest. The investigation is aimed to improve the ground engineering design and determine their engineering properties that include how they will interact with, on or in a proposed construction. 

The role of geotechnical engineer in mining includes designing and determining the type of foundations, earthworks, and or pavement subgrades required for the intended man-made structures to be made. Geotechnical engineering jobs are involved in earthen and concrete dam construction projects, working under a range of normal and extreme loading conditions. 

Operations Manager

Individuals in the operations manager jobs are responsible for ensuring the efficiency of each department to acquire its optimal goal. They plan the use of resources and distribution of materials. The operations manager's job description includes managing budgets, negotiating contracts, and performing administrative tasks.

Budget Analyst

Budget analysis, in a nutshell, entails thoroughly analyzing the details of a financial budget. The budget analysis aims to better understand and manage revenue. Budget analysts assist in the achievement of financial targets, the preservation of profitability, and the pursuit of long-term growth for a business. Budget analysts generally have a bachelor's degree in accounting, finance, economics, or a closely related field. Knowledge of Financial Management is of prime importance in this career.

Finance Executive

A career as a Finance Executive requires one to be responsible for monitoring an organisation's income, investments and expenses to create and evaluate financial reports. His or her role involves performing audits, invoices, and budget preparations. He or she manages accounting activities, bank reconciliations, and payable and receivable accounts.  

Product Manager

A Product Manager is a professional responsible for product planning and marketing. He or she manages the product throughout the Product Life Cycle, gathering and prioritising the product. A product manager job description includes defining the product vision and working closely with team members of other departments to deliver winning products.  

Investment Banker

An Investment Banking career involves the invention and generation of capital for other organizations, governments, and other entities. Individuals who opt for a career as Investment Bankers are the head of a team dedicated to raising capital by issuing bonds. Investment bankers are termed as the experts who have their fingers on the pulse of the current financial and investing climate. Students can pursue various Investment Banker courses, such as Banking and Insurance , and  Economics to opt for an Investment Banking career path.

Underwriter

An underwriter is a person who assesses and evaluates the risk of insurance in his or her field like mortgage, loan, health policy, investment, and so on and so forth. The underwriter career path does involve risks as analysing the risks means finding out if there is a way for the insurance underwriter jobs to recover the money from its clients. If the risk turns out to be too much for the company then in the future it is an underwriter who will be held accountable for it. Therefore, one must carry out his or her job with a lot of attention and diligence.

Commercial Manager

A Commercial Manager negotiates, advises and secures information about pricing for commercial contracts. He or she is responsible for developing financial plans in order to maximise the business's profitability.

Welding Engineer

Welding Engineer Job Description: A Welding Engineer work involves managing welding projects and supervising welding teams. He or she is responsible for reviewing welding procedures, processes and documentation. A career as Welding Engineer involves conducting failure analyses and causes on welding issues. 

Transportation Planner

A career as Transportation Planner requires technical application of science and technology in engineering, particularly the concepts, equipment and technologies involved in the production of products and services. In fields like land use, infrastructure review, ecological standards and street design, he or she considers issues of health, environment and performance. A Transportation Planner assigns resources for implementing and designing programmes. He or she is responsible for assessing needs, preparing plans and forecasts and compliance with regulations.

Construction Manager

Individuals who opt for a career as construction managers have a senior-level management role offered in construction firms. Responsibilities in the construction management career path are assigning tasks to workers, inspecting their work, and coordinating with other professionals including architects, subcontractors, and building services engineers.

Environmental Engineer

Individuals who opt for a career as an environmental engineer are construction professionals who utilise the skills and knowledge of biology, soil science, chemistry and the concept of engineering to design and develop projects that serve as solutions to various environmental problems. 

Naval Architect

A Naval Architect is a professional who designs, produces and repairs safe and sea-worthy surfaces or underwater structures. A Naval Architect stays involved in creating and designing ships, ferries, submarines and yachts with implementation of various principles such as gravity, ideal hull form, buoyancy and stability. 

Field Surveyor

Are you searching for a Field Surveyor Job Description? A Field Surveyor is a professional responsible for conducting field surveys for various places or geographical conditions. He or she collects the required data and information as per the instructions given by senior officials. 

Highway Engineer

Highway Engineer Job Description:  A Highway Engineer is a civil engineer who specialises in planning and building thousands of miles of roads that support connectivity and allow transportation across the country. He or she ensures that traffic management schemes are effectively planned concerning economic sustainability and successful implementation.

Conservation Architect

A Conservation Architect is a professional responsible for conserving and restoring buildings or monuments having a historic value. He or she applies techniques to document and stabilise the object’s state without any further damage. A Conservation Architect restores the monuments and heritage buildings to bring them back to their original state.

Orthotist and Prosthetist

Orthotists and Prosthetists are professionals who provide aid to patients with disabilities. They fix them to artificial limbs (prosthetics) and help them to regain stability. There are times when people lose their limbs in an accident. In some other occasions, they are born without a limb or orthopaedic impairment. Orthotists and prosthetists play a crucial role in their lives with fixing them to assistive devices and provide mobility.

Veterinary Doctor

A veterinary doctor is a medical professional with a degree in veterinary science. The veterinary science qualification is the minimum requirement to become a veterinary doctor. There are numerous veterinary science courses offered by various institutes. He or she is employed at zoos to ensure they are provided with good health facilities and medical care to improve their life expectancy.

Pathologist

A career in pathology in India is filled with several responsibilities as it is a medical branch and affects human lives. The demand for pathologists has been increasing over the past few years as people are getting more aware of different diseases. Not only that, but an increase in population and lifestyle changes have also contributed to the increase in a pathologist’s demand. The pathology careers provide an extremely huge number of opportunities and if you want to be a part of the medical field you can consider being a pathologist. If you want to know more about a career in pathology in India then continue reading this article.

Speech Therapist

Gynaecologist.

Gynaecology can be defined as the study of the female body. The job outlook for gynaecology is excellent since there is evergreen demand for one because of their responsibility of dealing with not only women’s health but also fertility and pregnancy issues. Although most women prefer to have a women obstetrician gynaecologist as their doctor, men also explore a career as a gynaecologist and there are ample amounts of male doctors in the field who are gynaecologists and aid women during delivery and childbirth. 

An oncologist is a specialised doctor responsible for providing medical care to patients diagnosed with cancer. He or she uses several therapies to control the cancer and its effect on the human body such as chemotherapy, immunotherapy, radiation therapy and biopsy. An oncologist designs a treatment plan based on a pathology report after diagnosing the type of cancer and where it is spreading inside the body.

Audiologist

The audiologist career involves audiology professionals who are responsible to treat hearing loss and proactively preventing the relevant damage. Individuals who opt for a career as an audiologist use various testing strategies with the aim to determine if someone has a normal sensitivity to sounds or not. After the identification of hearing loss, a hearing doctor is required to determine which sections of the hearing are affected, to what extent they are affected, and where the wound causing the hearing loss is found. As soon as the hearing loss is identified, the patients are provided with recommendations for interventions and rehabilitation such as hearing aids, cochlear implants, and appropriate medical referrals. While audiology is a branch of science that studies and researches hearing, balance, and related disorders.

Cardiothoracic Surgeon

Cardiothoracic surgeons are an important part of the surgical team. They usually work in hospitals, and perform emergency as well as scheduled operations. Some of the cardiothoracic surgeons also work in teaching hospitals working as teachers and guides for medical students aspiring to become a cardiothoracic surgeon. A career as a cardiothoracic surgeon involves treating and managing various types of conditions within their speciality that includes their presence at different locations such as outpatient clinics, team meetings, and ward rounds. 

For an individual who opts for a career as an actor, the primary responsibility is to completely speak to the character he or she is playing and to persuade the crowd that the character is genuine by connecting with them and bringing them into the story. This applies to significant roles and littler parts, as all roles join to make an effective creation. Here in this article, we will discuss how to become an actor in India, actor exams, actor salary in India, and actor jobs. 

Individuals who opt for a career as acrobats create and direct original routines for themselves, in addition to developing interpretations of existing routines. The work of circus acrobats can be seen in a variety of performance settings, including circus, reality shows, sports events like the Olympics, movies and commercials. Individuals who opt for a career as acrobats must be prepared to face rejections and intermittent periods of work. The creativity of acrobats may extend to other aspects of the performance. For example, acrobats in the circus may work with gym trainers, celebrities or collaborate with other professionals to enhance such performance elements as costume and or maybe at the teaching end of the career.

Video Game Designer

Career as a video game designer is filled with excitement as well as responsibilities. A video game designer is someone who is involved in the process of creating a game from day one. He or she is responsible for fulfilling duties like designing the character of the game, the several levels involved, plot, art and similar other elements. Individuals who opt for a career as a video game designer may also write the codes for the game using different programming languages.

Depending on the video game designer job description and experience they may also have to lead a team and do the early testing of the game in order to suggest changes and find loopholes.

Talent Agent

The career as a Talent Agent is filled with responsibilities. A Talent Agent is someone who is involved in the pre-production process of the film. It is a very busy job for a Talent Agent but as and when an individual gains experience and progresses in the career he or she can have people assisting him or her in work. Depending on one’s responsibilities, number of clients and experience he or she may also have to lead a team and work with juniors under him or her in a talent agency. In order to know more about the job of a talent agent continue reading the article.

If you want to know more about talent agent meaning, how to become a Talent Agent, or Talent Agent job description then continue reading this article.

Radio Jockey

Radio Jockey is an exciting, promising career and a great challenge for music lovers. If you are really interested in a career as radio jockey, then it is very important for an RJ to have an automatic, fun, and friendly personality. If you want to get a job done in this field, a strong command of the language and a good voice are always good things. Apart from this, in order to be a good radio jockey, you will also listen to good radio jockeys so that you can understand their style and later make your own by practicing.

A career as radio jockey has a lot to offer to deserving candidates. If you want to know more about a career as radio jockey, and how to become a radio jockey then continue reading the article.

Videographer

Careers in videography are art that can be defined as a creative and interpretive process that culminates in the authorship of an original work of art rather than a simple recording of a simple event. It would be wrong to portrait it as a subcategory of photography, rather photography is one of the crafts used in videographer jobs in addition to technical skills like organization, management, interpretation, and image-manipulation techniques. Students pursue Visual Media , Film, Television, Digital Video Production to opt for a videographer career path. The visual impacts of a film are driven by the creative decisions taken in videography jobs. Individuals who opt for a career as a videographer are involved in the entire lifecycle of a film and production. 

Multimedia Specialist

A multimedia specialist is a media professional who creates, audio, videos, graphic image files, computer animations for multimedia applications. He or she is responsible for planning, producing, and maintaining websites and applications. 

An individual who is pursuing a career as a producer is responsible for managing the business aspects of production. They are involved in each aspect of production from its inception to deception. Famous movie producers review the script, recommend changes and visualise the story. 

They are responsible for overseeing the finance involved in the project and distributing the film for broadcasting on various platforms. A career as a producer is quite fulfilling as well as exhaustive in terms of playing different roles in order for a production to be successful. Famous movie producers are responsible for hiring creative and technical personnel on contract basis.

Copy Writer

In a career as a copywriter, one has to consult with the client and understand the brief well. A career as a copywriter has a lot to offer to deserving candidates. Several new mediums of advertising are opening therefore making it a lucrative career choice. Students can pursue various copywriter courses such as Journalism , Advertising , Marketing Management . Here, we have discussed how to become a freelance copywriter, copywriter career path, how to become a copywriter in India, and copywriting career outlook. 

Careers in journalism are filled with excitement as well as responsibilities. One cannot afford to miss out on the details. As it is the small details that provide insights into a story. Depending on those insights a journalist goes about writing a news article. A journalism career can be stressful at times but if you are someone who is passionate about it then it is the right choice for you. If you want to know more about the media field and journalist career then continue reading this article.

For publishing books, newspapers, magazines and digital material, editorial and commercial strategies are set by publishers. Individuals in publishing career paths make choices about the markets their businesses will reach and the type of content that their audience will be served. Individuals in book publisher careers collaborate with editorial staff, designers, authors, and freelance contributors who develop and manage the creation of content.

In a career as a vlogger, one generally works for himself or herself. However, once an individual has gained viewership there are several brands and companies that approach them for paid collaboration. It is one of those fields where an individual can earn well while following his or her passion. 

Ever since internet costs got reduced the viewership for these types of content has increased on a large scale. Therefore, a career as a vlogger has a lot to offer. If you want to know more about the Vlogger eligibility, roles and responsibilities then continue reading the article. 

Individuals in the editor career path is an unsung hero of the news industry who polishes the language of the news stories provided by stringers, reporters, copywriters and content writers and also news agencies. Individuals who opt for a career as an editor make it more persuasive, concise and clear for readers. In this article, we will discuss the details of the editor's career path such as how to become an editor in India, editor salary in India and editor skills and qualities.

Advertising Manager

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ERADICATION OF POVERTY, SOCIAL WELFARE POLICIES IN INDIA: INITIATIVES AND POLICY IMPLICATIONS

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India is one of the most progressive nations of the world, making waves in the field of science and technology, nuclear energy etc. Global multinationals and growing industries have changed the face of urban India with people being employed in corporate, having a fairly high standard of living and an increased purchasing power. But this just shows the glorious side of the story for India. But the rural country still struggles for its basic necessities of life like food, drinking water, shelter and education. Despite the country's meteoric GDP growth rate, poverty in India is still pervasive; especially in rural areas where 70% of India's 1.2 billion populations live. It is one of the fastest growing economies in the world and yet its wealth is hardly redistributed across the population. Major determinants of poverty are low levels of per capita income, high population growth, unequal distribution of wealth, inadequacy of infrastructure, unproductive employment, and under employment and disguised unemployment etc. The objectives of the present paper is to review the poverty definition, causes of poverty, effects, policy perspectives of poverty alleviation programmes and to analyze various programmes, emphasis of Five Year Plans (FYPs) on poverty alleviation, gains of poverty alleviation programmes in India and remedies. The poverty alleviation programmes, recycles the overall standard of living of the people. As these programmes ensures better health, better education to their children. Hence the income generation through employment gives minimum hopes to take care of the future generation in respect of their education, public health including adaption of a family planning and other developmental aspects in growing economies, indirectly gives a way to remove poverty.

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This study presents a critical evaluation of the poverty alleviation programmes that the Indian government specifically implemented in rural areas after independence. This study's aim is to evaluate the effects of various poverty alleviation initiatives on the socioeconomic status and standard of living of rural residents of India as well as the reasons why some of these initiatives have failed and have drawn criticism. The paper is based on secondary data sources, including reports and documents from the government. Bar graphs, line graphs, and images have been used to present quantitative data throughout the entire paper, which is based on a qualitative methodology. This paper has provided a critical assessment of programmes like TRYSEM, IRDP, MGNREGA, etc. These programmes highlight achievements in generating income and building infrastructure while highlighting problems like corruption and poor targeting. The results paint a complex picture of rural India's efforts to reduce poverty. There are still issues like administrative roadblocks, corruption, poor targeting, and low awareness, despite the fact that some programmes have produced commendable results in terms of creating income, improving livelihoods, and developing infrastructure. Additionally, there are concerns about the sustainability and long-term effects of these interventions, necessitating a more thorough investigation of the structural barriers to holistic advancement.

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Objective –In this paper, the researcher attempt to find out how many schemes for development have been launched by the Indian Government and the various benefits and challenges of adopting these schemes in rural India. The research paper focuses on whether the schemes have helped to connect rural people and whether they have been successful in fulfilling the basic needs of rural people. Methodology/Technique – The study reviews literature in the related area. Findings – The current government has already come up with so many social and financial alleviation schemes for the poor; however, the fate of those unfortunates still remains a concern. Novelty – The study attempts to provide insight to reforms of poverty in India.

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Essay on Poverty in India

eradication of poverty in india essay

In this essay we will discuss about Poverty in India. After reading this essay you will learn about: 1. The Concept of Poverty 2. Absolute and Relative Poverty 3. Incidence 4. Recent Poverty Debate in India 5. Poverty Differential among Different States in India 6. Poverty Alleviation Programmes 7. Economic Reforms and Poverty Eradication Programme 8. World Bank’s New Perception.

  • Essay on the World Bank’s New Perception of Poverty

Essay # 1. The Concept of Poverty :

Poverty is a peculiar problem from which various countries of the world, particularly the Third World, have been suffering. There cannot be a common definition of poverty which can be broadly accepted everywhere. Thus there are large differences between the definitions of poverty accepted in various countries of the world.

Leaving aside all these differences it can be broadly said that poverty is a situation where a section of the society, having no fault of their own, is denied of even basic necessities of life. In a country, where a chunk of the population is deprived of even minimum amenities of life since long period, the country is suffering from a vicious circle of poverty.

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Poverty is considered as the greatest challenge faced by the societies in the third world countries. Poverty is also concerned with the comparison with respect to a fixed line—known as poverty line. However, the poverty line is fixed extraneously and, therefore, remains fixed for a certain period.

Poverty Line:

Normally poverty is defined with poverty line. Now the question which is relevant at this point is What is the poverty line and how is it fixed? The answer to the question is that the poverty line is a cut-off point on the line of distribution, which usually divides the population of the country as poor and non-poor.

Accordingly, people having income below the poverty line are called poor and people with income above poverty line are called non-poor. Accordingly, this measure, i.e., the percentage of people living below the poverty line is known as head count ratio.

Moreover, while fixing a poverty line we must take adequate care so that the poverty line is neither too high nor too low rather it should be reasonable one. While fixing the poverty line, consumption of food is considered as the most important criteria but along with it some non­food items such as clothing, and shelter are also included.

However, in India we determine our poverty line on the basis of private consumption expenditure for buying both food and non-food items. Thus it is observed that in India, poverty line is the level of private consumption expenditure which normally ensures a food basket that would ensure the required amount of calories.

Accordingly, the average caloric requirements for rural and urban person are fixed at 2,400 and 2,100 calories respectively. Thus, the required amount of calories would normally coincide with one of the class- interval or will fall between two intervals.

Using inverse interpretation method, one can find amount of consumption expenditure at which the minimum calorie requirement is met. This amount of consumption expenditure to meet the minimum calorie requirement for person is called the poverty line.

In India, broadly accepted definition of poverty emphasises more on minimum level of living rather than on reasonable level of living. Accordingly, it is broadly agreed that poverty can be termed as a situation where a section of the population fails to reach a certain minimum consumption standard. Differences arise with the fixing of this minimum consumption standard.

After a thorough examination, the study group set up by the Planning Commission in July 1962 recommended a standard of private consumption expenditure of Rs 20 (at 1960-61 prices) per capita per month as the bare minimum amount common to both rural and urban areas.

At the initial stage, the Planning Commission accepted the study Group’s poverty criterion. Various researchers like B.S. Minhas and A. Vaidyanathan also made their study on the basis of this definition. But other researchers like Dandekar and Rath, PK. Bardhan and Ahluwalia made their study on the basis of their own definition of poverty.

Later on, the “Task Force on Projections of Minimum Needs and Effective Consumption Demand” offered an alternative definition of poverty which has been adopted by the Planning Commission in recent years.

The Task Force defined the poverty line as the mid-point of the monthly per capita expenditure class which have a daily calorie intake of 2,400 per person in the rural areas and 2,100 in urban areas of the country. Accordingly, the minimum desirable standard was worked out at Rs 76 for the rural areas and Rs 88 for urban areas at 1979-80 prices.

Prof Galbraith once argued “Poverty is the greatest polluter”. There is definitely some logic in this argument. The entire world economy now considers poverty as their great enemy. In India, the problem of poverty is still quite acute. For the last forty-five years, Indian politicians have been holding the expectation and promise of poverty removal believing in the theory of the “trickle down”.

Most of them were of the opinion that the benefits of a high and sustained growth of the economy will eventually take care of bulk of the poor population of the country. But by the end of 1960s, it became quite clear that the benefits of growth could hardly trickle down and institutional reforms adopted in the country were strangled by vested class interests.

Considering this situation, a plethora of poverty alleviation measures were gradually adopted by the beginning of 1970s.

Again in 1987-88, the Planning Commission revised the standard of private consumption expenditure of 15.43 for rural areas and Rs 165.58 for urban areas per capita per month as a bare minimum amount for determining the poverty line. Again in 1999-2000, the same consumption expenditure per capita per month determined on the basis of NSSO data revised to Rs 211.30 for rural areas and Rs 454.11 for urban areas.

The Expert Group under the Chairmanship of Prof. S.D. Tendulkar revised the national poverty line at 2004-05 prices and accordingly the monthly per capita consumption expenditure of Rs 446.68 in rural areas and Rs 578.80 in urban areas in 2004-05.

Again in October, 2011 in response to the quarry of the Supreme Court, the Planning Commission made an attempt to revise the poverty line with the monthly per capita expenditure of Rs 965 for urban areas (Rs 32 per day) and Rs 781 in rural areas 26 per day).

But facing a severe criticism on the above prescription of below poverty line cap from several quarters, the UPA government at the Centre has now decided to revise the expenditure criteria by factoring in the 2009-10 NSSOs report on household expenditure.

The Planning Commission on October 3, 2011 was compelled to announce that a new methodology will be worked out to redefine the poverty line in consistent with the Food Security Bill passed recently by a new Expert Committee.

Planning Commission made another estimate of the poverty line in March 2012 and that was announced in the Parliament on 6th March, 2013. As per the latest available information, the poverty line at all India level for 2009-10 is estimated at monthly per capita consumption expenditure (MPCE) of Rs 673 (Rs 22.40 per day) for rural areas and Rs 860 (Rs 28.65 per day) for urban areas.

After 2004-05, this survey has been conducted in 2009-10.

The Planning Commission has updated this new poverty lines and poverty ratios for the year 2009-10 as per the recommendations of the Tendulkar Committee using NSS 66th Round (2009-10) data from the Household Consumer Expenditure Survey. Thus it has been estimated that the poverty lines at all India level as an MPCE of Rs 673 for rural areas and Rs 860 for urban areas in 2009-10.

Planning Commission made another estimate of poverty line in July 2013 by following the Tendulkar methodology, As per this latest estimate, the poverty line at all India level for 2011-12 is estimated at monthly per capita consumption expenditure (MPCE) of Rs 816 (Rs 27.20 per day) for rural areas and Rs 1,000 (Rs 33.33 per day) for urban areas.

The Planning Commission has updated this new poverty lines and poverty ratios for the year 2011-12. Thus, it has been estimated that poverty lines at all India level as an MPCE of Rs 816 for rural areas and Rs 1000 for urban areas.

Essay # 2. Absolute and Relative Poverty:

Most of the time, the concept of poverty and its discussion is usually confined to absolute poverty. Accordingly, absolute poverty is measured by a pre-determined level of living which families or households should be able to afford. Thus in absolute sense, the concept of poverty is not related to the income and the distribution of consumption expenditure, which is usually done in the measure of relative poverty.

Thus in the measure of absolute poverty, the absolute minimum consumption basket includes consumption of food grains, vegetables, milk products and other important items which are necessary for attaining healthy living along with access to other important non-food items. While doing so, these standards are converted into monetary units to define it as ‘Poverty Line’ .

People whose consumption expenditures are found below this threshold limit are usually considered as poor. For example, the one-dollar consumption expenditure per capita in PPP dollars is the absolute poverty line accepted internationally. This concept of absolute poverty is very much relevant to poor and less developed countries where large scale absolute poverty prevails.

Relative poverty, on the other hand, considers over all distribution of income and the relative position of a household within that distribution pattern. Here in this concept of relative poverty, the relative position of one section of people is compared with another group. This concept of relative poverty can also be extended to other countries to get a comparative estimate of poverty in a relative manner.

In 1871, Dadabhai Naoroji wrote a book entitled “Poverty and Un-British Rule in India” which shows that India was comparatively a very poor country. In 2003, the per capita income of USA was US $ 35,060 and that of United Kingdom was US $ 25,250 and thus UK can be considered as poor as compared to US.

Thus relative poverty is very much associated with the issues of inequality. Here the extent of income or consumption of the last quintile population (poorest) could be compared with the richest quintile showing a wide gap between the two.

In terms of relative poverty the last quintile population would be termed as poor whereas in terms of absolute poverty criterion the same last quintile group may not be termed as poor as they are maintaining the income and consumption bucket above the minimum level that represents poverty line.

If half of the population of the country is maintaining its average income below the per capita income of the country then they can be termed as poor on the relative criterion although they maintain the minimum basket of goods and services to remain above the poverty line. Thus relative poverty looks at the angle of inequality. Thus, the concept of relative poverty is completely different from Absolute poverty.

Essay # 3. Incidence of Poverty in India:

In order to determine the strategy of development of the country, it is quite essential to make an appropriate estimate of incidence of poverty in India. But appropriate and reliable data for the estimation of the extent of poverty is not available in India.

However, on the basis of NSS data on consumption expenditure, various estimates of the extent of poverty have been made by Minhas, Dandekar and Rath, P.K. Bardhan and Ahluwalia. But due to the differences in their concept of poverty, their results vary widely.

Let us now discuss the findings of these estimates:

Estimates of B.S. Minhas:

The study of the extent of poverty made by Minhas covered the period 1956- 57 to 1967-68. Taking the annual per capita minimum expenditure of? 240 as the minimum standard (on the basis on NSS data), he found that the proportion of people below the poverty line declined from 64 per cent in 1956-57 to 50.6 per cent in 1967-68.

Estimates of Dandekar and Rath:

Dandekar and Rath estimated their own standard of poverty line taking 2,250 calories as the desired minimum level of nutrition. They observed “that level of consumer expenditure is desirable which secures a diet adequate at least in terms of calories. In 1960-61, this was Rs 170 per capita per annum for rural households and Rs 271 per capita per annum for urban household”.

Their estimates revealed that in 1968-69 nearly 40 per cent of the rural population (i.e., about 166 million) and over 50 per cent of the urban population (i.e., nearly 49 million) were living below the poverty line.

Total number of persons living below the poverty line also increased from 117 million in 1960-61 to 216 million in 1968- 69, although the proportion of population below the poverty line remained the same at 41 per cent.

Estimates of P.K. Bardhan:

Bardhan advocated a lower standard for estimating the poverty line and thus considered Rs 15 per capita per month at 1960-61 prices for the rural poverty line and Rs 18 for the urban line. On the basis of the NSSO data on consumption expenditure, Bardhan’s study revealed that in 1968-69 about 55 per cent of rural population and 41 per cent of the urban population of the country were lying below the poverty line.

Moreover, Bardhan concluded that the percentage of population below the poverty line rose from 38 per cent in 1960-61 to 55 per cent in 1968-69.

Estimates of M.S. Ahluwalia:

Ahluwalia studied the incidence of poverty in India for the period 1956- 57 to 1973-74. Taking the same concept of poverty line of Rs 15 per month at 1960-61 prices for rural areas and Rs 20 per head per month for urban areas he estimated that 54.1 per cent of the rural population in 1956- 57 was lying below the poverty line.

This extent of poverty declined to 38.9 per cent in 1960-61 and then again rose to 56.5 per cent in 1966-67. He further estimated that in 1973-74, about 46.1 per cent of the rural population was below the poverty line. This revealed that the incidence of poverty in India fluctuated over the years.

Planning Commission’s Estimates of Poverty in India:

In recent years, the Planning Commission has also estimated the incidence of poverty in India taking Rs 77 per capita per month (at 1979-80 prices) as the bare minimum consumption for drawing the poverty line for the rural population.

Later on the Planning Commission revised per capita monthly expenditure for drawing poverty line at Rs 115.43 for rural areas and Rs 165.58 for urban areas in 1987-88. Table 12.1 shows these estimates of incidence of poverty.

Estimates of Incidence of Poverty

These estimates revealed that the proportion of rural population lying below the poverty line declined from 54.1 per cent in 1972-73 to 51.2 per cent in 1977-78 and then it again declined to 40.1 per cent in 1983-84 and 28.37 per cent in 1987-88.

Again the proportion of urban population lying below the poverty line declined from 41.2 per cent in 1972-73 to 38.2 per cent in 1977-78 and then again declined to 28.1 per cent in 1983-84 and then to 16.82 per cent in 1987-88.

Accordingly, these estimates revealed that the percentage of total population below the poverty line declined from 51.5 per cent in 1972-73 to 37.4 per cent in 1983- 84 and then to 25.49 per cent in 1987-88.

Planning Commission Revised estimates of Poverty (1993-94) :

The Planning Commission estimates the incidence of poverty in rural and urban areas of the country using the quinquennial survey data on household consumption expenditure released by the National Sample Survey Organisation (NSSO), coupled with the poverty lines as set out in the Report of the Task Force on Projection of Minimum needs and Effective Consumption Demand, constituted by the Planning Commission in 1979. In view of the recent revisions in the aggregate private consumption expenditure made by CSO and the population data derived from census results, the poverty estimates for 1987-88 have been revised.

Expert Group Estimates, July 1993 :

In view of the methodological issues raised in respect of the estimates on poverty and also poverty alleviation being an objective of economic and social development, the Planning Commission constituted an Expert Group on September 1989 for considering methodology and computational aspects of estimation of proportion and number of poor persons in the country.

While retaining the concept of poverty line as recommended by the Task Force, the Expert Group suggested certain basic changes in the price deflator to update the poverty line for its application in later years. This group suggested use of state specific price indices which can reflect the changes in cost of consumption basket of the people around the poverty line.

It also relied exclusively on the National Sample Survey (NSS) data on consumption expenditure to assess the incidence of poverty without adjusting the NSS Consumption that is obtained from macro-aggregates of the national accounts.

The Expert Group has estimated the percentage of population living below the poverty line under the new estimating pattern, as given in Table 12.2:

Number and Percentage of Population below Line

The report of the Expert Group which was submitted in July 1993, was subsequently released by the Planning Commission and its recommendations are under consideration. The new estimate has also confirmed a steady decline in proportion of population below the poverty line.

Together with the overall economic growth, the anti-poverty and employment generation programmes have helped in reducing the incidence of poverty over the long run.

Accordingly, the poverty ratio in rural areas declined from 56.4 per cent in 1973- 74 to 45.7 per cent in 1983 and then to 37.3 per cent in 1993-94. Again the poverty ratio in urban areas also declined from 49.0 per cent in 1973-74 to 40.8 per cent in 1983 and then to 32.4 per cent in 1993-94.

Moreover, the poverty ratio of the country as a whole has also declined from 54.9 per cent in 1973-74 to 44.5 per cent in 1983, 38.9 per cent in 1987-88 and then to 36.0 per cent in 1993-94 and finally to 26.1 per cent in 1999-2000 and 24.4 per cent in 2000-01.

In numerical terms, the number of persons living below the poverty line in India increased from 321 million in 1973-74 to 329 million in 1977-78 and then gradually declined to 307 million in 1987-88 and then again increased to 320 million in 1993-94 and then to 260 million in 1999-2000.

Planning Commission estimates on the basis of NSSO Data, 1999-2000 :

Recent estimate of poverty was made by the Planning Commission on the basis of NSSO 55th round data for the year 1999-2000. Some of the key results of the 55th Round of the Household Consumer Expenditure Survey of the National Sample Survey Organisation (NSSO) covering the period July 1999 to June 2000, have now become available showing a very significant decline in poverty.

Accordingly, the rural poverty has declined to 27.1 per cent based on 30-day recall and 24.0 per cent on a 7-day recall methodology. Again the poverty ratio in urban areas has also declined to 23.6 per cent based on 30-day recall and 21.6 per cent on 7-day recall methodology.

Moreover, the poverty ratio of the country as a whole has declined to 26.1 per cent based on 30-day and 23.3 per cent on 7-day recall methodology. These two sets of estimates may not be strictly comparable to the earlier estimates of poverty. Nonetheless, they provide clear evidence indicating a substantial decline in the overall poverty ratio in the country during the 1990s.

As per the recent estimate based on NSSO data, it is observed that in 1999-2000 the country has 260 million population living below the poverty line (BPL); out of which 193 million live in rural areas and 67 million live in urban areas.

Thus the Planning Commission estimate of poverty on the basis of the NSSO 1999-2000 data is the latest official estimates of poverty and non official estimates on poverty are available beyond this data. Economic Surveys for 2003-04 and 2004-05, on the basis of the result of 55th round of NSSO, had indicated that there has been an impressive decline in the incidence of poverty in the 1990s.

However, the extent of the actual decline in the proportion below the poverty line (BPL) between 1993-99 and 1999-2000 has been a subject of an intense debate by academicians because of the change in methodology for collection of basic data in 1999-2000 and possible non-comparability with earlier rounds of the consumer expenditure surveys.

Planning Commission’s Estimates on the basis of NSSO Data, 2004-05 :

Next official estimates of poverty incidence is based on the NSSO 61st round of large-scale sample survey in 2004-05. On the basis of the quinquennial large sample surveys on household consumer expenditure conducted by the National Sample Survey Organisation (NSSO), incidence of poverty is estimated by the Planning Commission for the year 2004-05.

Table 12.2(a) reveals this poverty estimate.

Poverty Ratios by URP and MRP

Table 12.2(a) reveals that the Uniform Recall Period (URP) consumption distribution data of NSS 61st Round yields a poverty ratio of 28.3 per cent in rural areas, 25.7 per cent in urban areas and 27.5 per cent for the country as a whole in 2004-05.

The corresponding poverty ratios calculated from the Mixed Recall Period (MRP) consumption distribution data are 21.8 per cent for rural areas, 21.7 per cent for urban areas and 21.8 for the country as a whole.

While the former consumption data (URP) uses 30-day recall/reference period for all items of consumption, the latter (MRP) uses 365-day recall/reference period for five infrequently purchased non-food items, namely, clothing, footwear, durable goods, education and institutional medical expenses and 30-day recall/reference period for remaining items.

The percentage of poor in 2004-05 estimated from URP consumption distribution of NSS 61st Round of consumer expenditure data (27.5 per cent) are comparable with the poverty estimates of 1993-94 (50th Round) which was 36 per cent for the country as a Whole, The percentage of poor in 2004-95 estimated from MRP consumption expenditure of NSS 61st Round of consumer expenditure data (21.8 per cent) are roughly comparable with the poverty estimates of 1999- 2000 (55th Round) which was 26.1 per cent for the country as a whole.

Average per capita consumption expenditure for rural and urban population as per 61st Round (2004- 05) is Rs 558.78 and Rs 1,052.36 respectively. NSSO Data also reveals that rural population on an average spends about 55 per cent of its consumption on food and remaining 45 per cent on non-food items.

Estimates of Poverty Ratio by Tendulkar Committee, 2004-05 :

The above estimate of poverty ratio was prepared by an Expert Group under the Chairmanship of Professor Suresh D. Tendulkar Constituted by the Planning Commission in December 2005, which submitted its report in December 2009. The recomputed poverty estimates for the years 1993-94 and 2004-05 as recommended by the Tendulkar Committee have been accepted by the Planning Commission.

As per the Tendulkar Committee Report, the national poverty line at 2004-05 prices was a monthly per capita consumption expenditure of Rs 446.68 for rural and Rs 578.80 for urban areas in 2004-05. The above estimates of poverty line which refer to the national average, vary from state to state because of price differentials.

It its report, the Tendulkar Committee mentioned that the proposed poverty lines have been validated by checking the adequacy of actual private expenditure per capita near the poverty lines on food, education and health by comparing them with normative expenditures consistent with nutritional, educational and health outcomes.

In order to have a two point comparison of changes in head count ratio, the Expert Group has again re-estimated poverty ratio for 1993-94. The head count poverty ratio for 1993-94 and 2004-05 as released earlier by the Planning Commission on the basis of Lakdawala Methodology and also by using by the Tendulkar Methodology are shown in Table 12.2.(b).

It is observed that as per Lakdawala methodology, the poverty ratio in general in India declined from 36.0 per cent in 1993-94 to 27.5 per cent in 2004-05 showing poverty reduction to the extent of 8.5 per cent.

But as per Tendulkar methodology, the same poverty ratio declined from 45.3 per cent in 1993-94 to 37.2 per cent in 2004-05 showing poverty reduction of 8.1 per cent. However, in respect of both these two methodologies, the extent of poverty reduction is not much different.

Poverty Ratio as per Lakdawala and Tendulkar Methodology

Table 12.2(c) shows comparative estimate of the poverty incidence and growth rates in India and some other selected Asian countries.

Table 12.2(c) reveals that although the reduction of the overall poverty ratio in India from 54.9 per cent to 36 per cent during a period of three decades (1973-93) is quite significant, but the performance of poverty alleviation or reduction has been weak as compared to that of some East Asian countries.

While the poverty ratio in India has declined from 54.9 per cent in 1975 to -36.0 per cent in 1995, the same ratio has declined from 59.5 per cent to 22.2 per cent in China, 64.3 per cent to 11.4 per cent in Indonesia, 23.0 per cent to 5.0 per cent in Korea, 17.4 per cent to 4.3 per cent in Malaysia and 8.1 per cent to 0.9 per cent in Thailand during the same period.

It may be observed that the success of some East Asian countries (like China and Indonesia) lies in faster average (GDP) economic growth being 11.1 per cent in China, 6.6 per cent in Indonesia and 8.7 per cent in Korea during 1980-95 period as compared to that of only 5.6 per cent in India.

Poverty Incidence and Growth Rates in India and Selected Asian Countries (in per cent)

Moreover, the annual reduction in poverty ratio during the period 1975-95 was 0.9 percentage point in India as compared to that of 1.9 percentage point in China, 2.6 percentage point in Indonesia and 0.7 percentage point in Malaysia.

Planning Commission’s Estimates on the basis of NSSO Data, 2009-10 :

The Planning Commission has updated the poverty lines and poverty ratios for the year 2009-10 as per the recommendations of the Tendulkar Committee using NSS 66th Round (2009-10) data from Household Consumer Expenditure Survey. It has estimated the poverty lines at all India level as an monthly per capita consumption expenditure (MPCE) of Rs 673 for rural areas and Rs 860 for urban areas in 2009-10.

Based on these cut-offs, the percentage of people living below the poverty line in the country has declined from 37.2 per cent in 2004-05 to 29.8 per cent in 2009-10. Even in absolute terms, the number of poor people has fallen by 52.4 million during this period.

Of this 48.1 million are rural poor and 4.3 million are urban poor. Accordingly, the total number of poor in the country has been estimated at 34.47 crore in 2009-10 as against 40.72 crore in 2004-05.

The all India head count ratio (HCR) has declined by 7.3 percentage points from 37.2 per cent in 2004- 05 to 29.8 per cent in 2009-10, with rural poverty declining by 8 percentage points from 41.8 per cent to 33.8 per cent and urban poverty declining by 4.8 percentage point from 25.7 per cent to 20.9 per cent.

The sharp decline in poverty of over 10 percentage points was witnessed in Himachal Pradesh, Madhya Pradesh, Maharashtra, Orissa, Sikkim, Tamil Nadu, Karnataka and Uttarakhand. It is also revealed from the report that the poverty has increased in North-Eastern States of Assam, Meghalaya, Manipur, Mizoram, and Nagaland.

Some of the bigger states such as Bihar, Chhattisgarh and Uttar Pradesh have shown only marginal decline in poverty ratio, particularly in rural areas. These estimates of poverty made by the Planning Commission are based on methodology recommended by the Tendulkar Committee, which includes spending on health and education, besides calorie intake.

It is also observed that poverty has declined on an average by 1,5 percentage points per year between 2004-05 to 2009-10. The annual averages rate of decline during the period 2004-05 to 2009-10 is twice the rate of decline during the period 1993-94 to 2004-05.

Planning Commission’s revised Estimates of Poverty Ratio on the basis of NSSO data, 2011-12:

The Planning Commission’s revised estimates of poverty ratio based on NSSO data, 2011-12 can be seen from the following Table 12.2(d).

Number and Percentage of Poor or Poverty Ratio as per tendulkar Committee Methodology

The Planning Commission has revised the estimates of poverty lines and poverty ratios for the year 2011-12 following the Tendulkar methodology using the NSS 68th Round (2011-12) data from Household consumer expenditure Survey.

Accordingly, the poverty line at all India level for 2011-12 is estimated at monthly per capita consumption expenditure (MPCE) of 7 816 (Rs 27 per day) for rural areas and Rs 1000 (Rs 33 per day) for urban areas. Based on these cut-offs the proportion of people living below the poverty line in the country has declined from 37.2 per cent in 2004-05 to 21.9 per cent in 2011-12.

In absolute terms there were 26.93 crore people below the poverty line in 2011-12 as compared to 40.72 crore in 2004-05.

However, this current estimate of poverty has triggered controversy among different people. Some groups argue that the poverty ratio of 2011-12 is too low and far from reality. However, the impact of economic growth, agricultural and industrial development and effect of rural uplift and rural employment schemes cannot be totally denied.

Thus it is observed that over a span of seven years the incidence of poverty declined from 37.2 per cent to 21.9 per cent in 2011-12 for the country as a whole, with a sharper decline in the number of rural poor. Table 12.2 (e) shows alternative estimates of poverty in India made by different experts and important bodies and also the criteria for determining such poverty line in the country.

Alternative Estimates of Poverty in India and the Critrerion of Poverty Line

Essay # 4. Recent Poverty Debate in India:

In India, recently, a serious poverty debate is going on which is related to the concept and the measurement of poverty. The current debate centres on the estimation of price deflators, reference period for survey and also for determining the basis of poverty line.

Growth of per capita income over 3 per cent per annual during 1990’s and the increasing divergence in the per capita expenditure reflected in NSSO schedules and the national accounts systems have been cited to point out that the NSSO consumer expenditure surveys has under estimated consumption expenditure.

Accordingly, the incidence of poverty is considered to be overestimated. But, on the other hand, serious debate continued on the incidence of poverty after the release of official estimates of poverty by the Planning Commission for 1999-2000. In this report it is found that between 1993- 94 and 1999-2000, overall poverty in India declined by 10 per cent and in rural areas by more than 10 per cent.

On this matter many scholars have questioned about the comparability of the 1993-94 and 1999-2000 estimates due to the changes in the method of data collection. They observed that the incidence of poverty has been under estimated through over-reporting of expenditure by the surveyed households due to changes in the survey design.

Two subsequent studies made by Sundaram and Tendulkar (2003) and Sen and Himangshu (2003) argued that such decline in the incidence of poverty between 1993-94 and 1999-2000 would be in the range 7 per cent to 4.5 per cent respectively as compared to that to 10 per cent estimated officially earlier.

Essay # 5. Poverty Differential among Different States in India :

A high degree of poverty differentials among the various states of India has been continuing from the very beginning. Although various measures were undertaken since the inception of planning for the eradication of poverty throughout the country and some degree of success has also been attained in reducing the poverty ratio in general among all the states but the high degree of poverty differentials still persist among different states of the country.

State-wise poverty ratios have witnessed a secular decline from 1973-74 to 2004-05. The poverty is estimated from the state-specific poverty lines and the distribution of persons by expenditure groups obtained from the NSS data on consumption expenditure.

It is observed that though poverty has declined at the macro level, rural-urban and inter-state disparities at the poverty ratio are clearly visible. The state specific poverty ratios at the national and state levels and the poverty differentials among different states from 1973-74 to 2004-05 can be seen from Table 12.3.

Poverty Ratio at State Level

Table 12.3 reveals the poverty ratio of different states. It is observed that the poverty ratio both at the rural and urban level in different states has declined considerably but still a high degree of poverty differentials still exist between backward and relatively developed states of the country leading to mounting regional disparities.

The rural poverty ratio of relatively backward states in 1973-74 which were 67.28 per cent in Orissa, 62.99 per cent in Bihar, 62.66 per cent in Madhya Pradesh and 52.67 per cent in Assam, gradually declined to 60.80 per cent in Orissa, 55.70 per cent in Bihar, 53.60 per cent in Madhya Pradesh and 36.40 per cent in Assam in 2004-05.

But the present poverty ratios of backward states are still very high as compared to that of relatively developed states like Punjab (22.1 per cent), Gujarat (39.10 per cent) and Kerala (20.2 per cent).

Thus, the rural poverty ratio is still relatively high in Orissa, Bihar and North Eastern states. In Orissa, Madhya Pradesh, Bihar and Uttar Pradesh, the urban poverty ratios were in the range of 35.1 to 43.7 per cent in 2004-2005.

But the combined poverty ratio of the backward states during the period 1973-74 to 2004-05 gradually declined from 66.18 per cent to 57.2 per cent in Orissa, 61.91 per cent to 54.4 per cent in Bihar, 61.78 per cent to 48.6 per cent in Madhya Pradesh and 51.21 per cent to 34.4 per cent in Assam. But the performance of few other states in this regard has been found quite satisfactory.

The combined poverty ratio of states like Kerala, West Bengal, Tamil Nadu and Uttar Pradesh which were 59.79, 63.43, 54.94 and 57.07 in 1973-74 respectively, gradually declined substantially to 19.70, 34.3, 28.9 and 40.9 respectively.

Thus, there has been a significant reduction in poverty ratio during the period in Kerala, Jammu and Kashmir, Goa, Lakshadweep, Delhi, Andhra Pradesh, Gujarat, Tamil Nadu, Karnataka, West Bengal and Andaman and Nicobar Islands.

Thus, while some states such as Punjab and Haryana have succeeded in reducing poverty by following the path of modernisation of agriculture and high agricultural growth, others have focused on particular areas of development, e.g., Kerala has focused on human resource development, West Bengal on vigorous implementation of land reform measures and empowerment of Panchayats and Andhra Pradesh on direct public intervention in the form of public distribution of food grains.

The Approach Paper of the Tenth Plan also recorded the projections of poverty level at the end of Tenth Plan prepared by the plan panel. As per this projection, it is found that if macro-economic and sectoral projections for the Tenth Plan (2002-07) are achieved, the poverty ratio in India should fall to 19.2 per cent by the end of plan period.

While the urban poverty ratio is expected to drop to 14.6 per cent, rural poverty ratio is also projected to fall to 21.0 per cent. The poverty projections further show that 90 per cent of the poor will be concentrated in eight states, such as Bihar, Madhya Pradesh, Orissa, Uttar Pradesh, West Bengal, Assam, Maharashtra and Rajasthan.

All India GDP growth targets of more than 8.0 per cent accompanied by high agricultural growth in Haryana, Himachal Pradesh, Goa, Gujarat, Punjab and Delhi should make the poverty levels negligible in these states. Keeping in mind the migration factor from relatively poorer states to the prosperous ones, it has projected a poverty level of 2.0 per cent in these states by 2007.

Poverty Differentials of Different States as per Planning Commission Estimate on the Basis of NSSO Data, 1999-2000 and 2004-05 :

As per the estimate made by the Planning Commission on the basis of NSSO data, 1999-2000, the poverty differentials among the different states of the country still persist at a wide level.

Orissa has the dubious distinction of having the maximum percentage of BPL population (47.15 per cent) while the Jammu and Kashmir has the least number of such population, i.e., 3.48 per cent. Besides Orissa, the only Other State with over 40 per cent BPL population is Bihar, in which 42.6 per cent of the total population is living below the poverty line (BPL).

The states with more than 30 per cent BPL population are Uttar Pradesh (31.15 per cent), Arunachal Pradesh (33.47 per cent), Assam (36.09 per cent), Madhya Pradesh (37.43 per cent), Nagaland (32.67 per cent), Sikkim (36.65 per cent) and Tripura (34.44 per cent).

Other states with below 10 per cent BPL population are Goa (4.4 per cent), Jammu and Kashmir (3.48 per cent), Himachal Pradesh (7.63 per cent), Haryana (8.74 per cent), Punjab (6.16 per cent), Chandigarh (5.75 per cent), Daman and Diu (4.44 per cent) and Delhi (8.23 per cent).

However in absolute terms, Uttar Pradesh has the highest number of those living below the poverty line at 52.98 million while Daman and Diu has just 6,000 BPL population.

Among those states with more than 10 million BPL population include—Andhra Pradesh (11.9 million or 15.77 per cent), Karnataka (10.44 per cent); Maharashtra (22.79 million or 25.02 per cent), Orissa (16.9 million or 47.15 per cent), Tamil Nadu (13.04 million or 21.12 per cent) and West Bengal (21.34 million or 27.02 per cent).

Thus wide inter-state disparities are visible in the poverty ratios between rural and urban areas as also in the rates of decline of poverty. Among major states like Orissa, Bihar, West Bengal and Tamil Nadu, more than 50 per cent of their population lived below the poverty line in 1983.

By 1999-2000, while Tamil Nadu and West Bengal had reduced their poverty ratio by nearly half, Orissa and Bihar continued to be the two poorest states with poverty ratios of 47 and 43 per cent respectively. In 1999-2000, 20 states and Union Territories had poverty ratios which were less than the national average.

Among other states, Jammu and Kashmir, Haryana, Gujarat, Punjab, Andhra Pradesh, Maharashtra and Karnataka also succeeded significantly in reducing the incidence of poverty.

Poverty Differentials of Different States as per Planning Commission Estimate on the Basis of NSSO Data, 2004-05:

As per the recent estimate made by the Planning Commission on the basis of NSSO data 2004-05, the poverty differentials among different states of the country still persists at a wide leve.

Among the states, orissa has again the dubious distinction of having maximum percentage of BPL population (52.2 per cent), followed by Bihar (54.4 per cent), which Kerela has the lowest poverty ratio of 19.7 per cent in 2004-05.

The states with more than 30 per cent BPL population as 2004-05 estimates are Madhya Pradesh (48.6 per cent), Uttar Pradesh (40.9 per cent), Maharashtra (38.1 per cent), Assam and Rajasthan (34.4 per cent), West Bengal (34.3 per cent), Karnataka (33.4 per cent) and Gujarat (31.8 per cent).

The states with below 30 per cent BPL population includes-Tamil Nadu (28.9 per cent) , Himachal Pradesh (24.1 per cent), Haryana (22.9 per cent), Andhra Pradesh (29.9 per cent), Punjab (20.9 per cent), and Kerela 19.7 per cent.

Thus there remains wide poverty differentials among the different states of India as per 2004-05 estimates.

This situation underscores the need for rapid growth of output and employment coupled with strengthening of the special programmes of poverty alleviation and employment generation. Thus this problem of poverty has to be dealt in the framework of the strategy of development laying emphasis on those sectors whose growth makes a significant impact on the income level of the underemployed.

Thus the findings of the study made by Minhas, Dandekar and Rath, Bardhan and others revealed that most of the people living below the poverty line belonging to landless agricultural labour households with small holdings, land-less non-agricultural rural labour households and small land operators with les than 1 hectare of land holdings.

Accordingly, Danekar and Rath observed tha, “The urban poor are only an overflow of the rural p[oor into the urban area. Fundamentally, they belong to the same class as the rural poor. However, as they live long enough in urban poverty, they acquire characteristics of their own. Little is known of their and labour in the growing cities.”

Thus the problem of poverty in India is quite chronic. Inspite of 4 decardes of planning, the problem of poverty is still persisting in the country.

Thus Amartya Sen rightly observed, “The poor is not an economic class, nor convenient category to use for analysing social and economic movements. Poverty is the common outcome of variety of desperate economic circumstances and a policy to tackle poverty must, of necessity, go beyond the concept of poverty. The need of discrimination is essential.”……. “ It is not sufficient to know how many poor people there are, but how exactly poor they are.”

Essay # 6. Poverty Alleviation Programmes:

Although the problem of poverty has been persisting in India since the inception of planning but the serious programmes for the alleviation of poverty were introduced only in recent years. Poverty alleviation was accepted as one of the major objectives of planning since the Fifth Plan.

It is only during the 1970s the programmes like Small Farmer’s Development Agency (SFDA), Marginal Farmers and Agricultural Labourers Development Agency (MFAL), Drought Prone Areas Programme (DPAP), Crash Scheme for Rural Employment (CSRE) and Food for Work Programme (FWP) were introduced for benefitting the rural poor. Later on, the Integrated Rural Development Programme (IRDP) was introduced in 1978-79.

In order to provide wage employment to the rural poor, the National Rural Employment Programme (NREP) and the Rural Landless Employment Guarantee Programme (RLEGP) were introduced during the Sixth Plan. Later on, on April 1, 1989, NREP and RLEGP were merged into a single wage employment programme under Jawahar Rozgar Yojana (JRY).

IRDP is also being implemented by the Government since 1980 as a major instrument of its strategy to alleviate rural poverty. The objective of the programme is to assist poor families in developing skills and inputs to overcome their poverty. So far 41.3 million families have been assisted with a total investment of Rs 19,318 crore. The level of investment per family at the end of March 1993 was Rs 7,141.

Concurrent evaluation of IRDP carried out by the Ministry of Rural Areas and Employment reveals that as many as 16 per cent of families assisted under IRDP were able to cross the poverty line of Rs 6,400 during 1989. Again as per preliminary results of concurrent evaluation of IRDP carried out during September 1992 to February 1993, about 50 per cent of assisted families could cross the poverty line of Rs 6,400

During the Eighth Plan 18 million families were assisted under IRDP with plan provision of Rs 3,350 crore. At the end of March 1993, about 21 lakh families living below the poverty / line were given income generating assets with a mixture of credit and subsidy.

Moreover, providing skills to rural youth belonging to families below poverty line and also to enable them to take up self or wage employment, the Training of Rural Youth for self Employment (TRYSEM) was introduced in August 1979.

A total of 26.6 lakh youths and 11.3 lakh women so far have been trained under this scheme, out of which 15.6 lakh youths have been fully employed. In 1992-93 and 1993-94 about 2.8 lakh and 3.04 lakh youths respectively were trained under TRYSEM and under JRY, about 7,821 lakh and 10,237 lakh man-days of employment respectively were generated.

During the first four years of the Eighth Plan (1992-93 to 1995-96), total number of youths trained was 11.47 lakh as against its target of 13.18 lakh and total number of man-days of employment generated under JRY was 365.54 crore as against its target of 362.86 crore. Again during the first four years of the Eighth Plan, total number of IRDP families assisted was 89.13 lakh as against its target of 65.6 lakh.

Family Credit Plan (FCP) is also a useful device to ensure higher investment for a beneficiary family under IRDP to enable the family to cross the poverty line. Under IRDP, all families in rural areas below the poverty line are eligible for assistance.

In 1993-94, two new programmes, namely the Employment Assurance Schemes (EAS) and the Prime Minister’s Rozgar Yojana (PMRY) were introduced. The EAS is now implemented in 3,175 backward blocks in the country. It aims at providing 100 days of unskilled manual work up to two members of a family in the age group of 18 to 60 years normally residing in villages within the blocks covered under EAS.

It is a need based programme hence no target of employment generation has been fixed. Under EAS/SGRY, total man- days of employment generated in 1993-94 was 494.94 lakh, 4,165.3 lakh in 1998-99, 8,223 lakh in 2004- 2005. Under PMRY, total employment generated in 1993-94 was 0.45 lakh and in 1994-95 was 2.83 lakh, in 2003-2004 was 1.8 lakh as against the target of 3.00 lakh.

The Economic Survey, 2002-03 in this connection observed, “The success of anti-poverty strategy is reflected in the decline in the combined poverty ratio from 54.9 per cent in 1973-74 to 36.0 per cent in 1993- 94. The poverty ratio declined by nearly 10 percentage points in the 5 year period between 1993-94 to reach 26.1 per cent in 1999-2000. While tile proportion of poor in the rural areas declined from 56.4 per cent in 1973-74 to 27.1 per cent in 1999-00, the decline in urban areas has been from 49 per cent to 23.6 per cent during this period. In absolute terms, the number of poor declined to 260 million in 1999-00 with about 75 per cent of these being in the rural areas.”

National Social Assistance Programme (NSAP) :

The National Social Assistance Programme (NSAP) was announced on 15th August 1995 for providing succor to the aged and families below the poverty line. The NSAP for the poor encompasses old age pension, family benefit in case of the death of the bread-winner and maternity benefits.

The NSAP is a centrally sponsored programme with 100 per cent central funding and it is intended to ensure that social protection to the beneficiaries throughout the country is uniformly available without interruption.

The NSAP consists of the following three components:

(a) National Old Age Pension Scheme (NOAPS):

Providing a pension of Rs 75 per month to destitute and to person above 65 years of age living below the poverty line. This was expected to benefit 54 lakh people. In 2006-07, Rs 2,800 crore was allocated for the scheme.

(b) National Family Benefit Scheme (NFBS):

This scheme makes provision for lump-sum survivor benefit on the death of the primary bread winner in poor households of Rs 10,000 in the case of accidental death and Rs 5,000 in the case of death from unnatural causes. This scheme was expected to benefit 4.5 lakh families a year.

(c) National Maternity Benefit Scheme (NMBS):

This scheme provides maternity benefit of Rs 300 for expectant mothers per pregnancy up to the first two live births. This scheme was expected to benefit 46 lakh women each year. This programme involves an expenditure of Rs 867 crore in full year. An outlay of Rs 515 crore was provided during 1995-96 and a sum of Rs 725 crore was provided for the above three components of NSAP in 1999-2000 budget.

Targets of Tenth Plan :

Apart from an indicative target of an 8 per cent average GDP growth rate, specific monitor able targets of key indicators have been finalised for the Tenth Plan (2002-07) and beyond. One of these pertains to the reduction in poverty ratio by five percentage points by 2007 by 15 percentage points by 2012.

The poverty reduction target set by the Planning Commission for the Tenth Five Year Plan aimed at achieving a poverty ratio of 19.3 per cent for the country as a whole by 2007, 21.1 per cent for the rural and 15.1 per cent for the urban areas.

Critical Evaluation of Poverty Alleviation Programmes :

But all- these poverty alleviation programmes did not yield the desired result due to some of its shortcomings. These were:

(a) Allocation of funds and determination of targets were made without considering the size of the population and incidence of poverty leading to wrong identification of families;

(b) The selection of schemes was also not done in a rational manner;

(c) Poverty alleviation programmes failed to recognise importance of increased flow of social inputs through nutrition, family welfare, social security;

(d) This programme neglected the disabled, sick and socially handicapped persons;

(e) The present approach was almost blind about the existence of secondary poverty;

(f) The present poverty line crossing criterion for evaluation the income changes occurring below poverty line;

(g) The poverty alleviation programmes ignored the consequences of the earning activities of the poor people in terms of occupational health hazards and adverse ecological factors.

The Government is seriously reviewing its rural anti-poverty programmes in the light of lapses noticed and in the context of formulating the current five year plan. The Planning Commission has constituted a steering Group and six other groups to look into “poverty alleviation and area development programmes in rural India.”

So far, scrutiny of the working of the two major programmes—Integrated Rural Development programme (IRDP) and Jawahar Rozgar Yojana (JRY) has thrown up some major areas of concern. While on the positive side, under the IRDP scheme, beneficiaries were selectively chosen for assistance so as not to leave out the really needy.

On the flip side, it has been observed that a second dose of assistance given to beneficiaries was very low. Only 2.38 per cent of the total old beneficiaries were given a second dose, while new beneficiaries received less than 2.16 per cent assistance, implying enough attention has not been paid to providing subsequent doses of assistance to eligible families.

Moreover, the poverty alleviation schemes being administered by the banks must be evaluated and reviewed to ensure that benefits reach the intended target group. There is an urgent need to restructure the existing poverty alleviation schemes for focused and effective implementation as a large number of schemes were being implemented which resulted in “loss of focus”.

There is the need to compress the total number of schemes into two categories, i.e., those which generate employment and those which create assets for the benefit of the community.

Although the poverty alleviation programmes have four major objectives, i.e., generation of employment, creation of assets for community benefit, improvement of productivity and raising the general living standards of the people below the poverty line, but the thrust of all these schemes should be to create assets which directly benefit a large number of people.

Measures to be Adopted :

Success of poverty alleviation programmes not only depends on launching of wage employment and self-employment programmes but it also depends on the improvement of land relations in favour of the cultivators and redistribution of income in favour of the rural poor.

Thus the Approach paper of the Fifth Plan rightly observed that “Employment is the surest way to enable the vast numbers, living below the poverty level, to rise above it. Conventional fiscal measures for redistribution of income cannot by themselves make a significant impact on the problem.”

Thus in order to remove poverty steps must also be taken in the following directions:

(i) To impose ceiling on land and redistribution of ceiling—surplus land among the landless, small and marginal farmers.

(ii) To make provision for proper security of tenure for the tenant cultivators and share-croppers.

(iii) To provide employment to huge number of landless unemployed workers by developing agro-based small scale industries in the wage goods sector.

(iv) To take necessary steps for the reclamation of land and to arrange irrigation facilities for dry lands.

(v) To provide minimum amenities of life in rural areas and also in urban slum areas through Minimum Needs Programme.

(vi) To develop growth centres in order to run various projects like animal husbandry, dairy, fishing, poultry farming, farm forestry etc.

(vii) To ensure that rural development programmes like IRDP, JRY are redressed properly so that they can generate sufficient wage employment and self-employment opportunities to the rural poor. But the present contract system followed for the implementation of these programmes should be stopped and proper institutional framework should be provided so that rural workers can engage themselves with much vigour and responsibility.

Professor Sukhamoy Chakraborty rightly observed that “The solution to the problem of rural poverty will require that small farmers must also be given access to land-augmenting innovation along with a programme of well-conceived public works………………….. many of the specific tasks will need to be done on a decentralised basis.”

In order to implement these measures effectively, it will require a strong political will on the part of the government and active participation of the people with growing consciousness about their rights and responsibilities.

It can be observed further that India must sustain eight (8) per cent growth rate and aim for attaining nine (9) per cent growth rate as otherwise it would not be able to eradicate poverty.

The World Bank report entitled, “India : Achievements and Challenges in Reducing Poverty”, recently observed that the poverty level in India could go down from the current level of about 35 per cent to just 6.3 per cent by the year 2005 if the economy maintains its growth and income distribution levels.

The report further observed, “this would be a tremendous achievement for a country which is home to the largest concentration of poor in the world.”

The Bank noted that Indian economy has grown on an average by six per cent to seven per cent over the past few years. A senior World Bank economist Mr. Zoubida Allaoua, the principal author of the report said, “India has made substantial gains against widespread deprivation over the past 50 years.”

The Bank opined that the Indian Government should push for more growth so as to eradicate poverty within the least possible time.

Prime Minister’s Economic Advisory Council Chairman Mr. C. Rangarajan, while delivering a foundation day lecture at centre for Economic and Social Studies on 22nd February, 2014 observed that pro-poor policies by the government must be aimed at growth in the long run and also ensure flow of investments in the sectors working for poor.

Mr. Rangarajan also advocated public-private partnership model for delivery of social services such as health and education. He further observed that the design of policies has, therefore, to perform delicate balancing act. The pro-poor policies are necessary as they are to widen the opportunities and capabilities of the poor, must be so fashioned as to promote growth in the long run.

Pro-Poor policies should include not only income transfers which by their nature have to be limited, but also flow of investment to sectors and areas where poor work and live. Rural development including agriculture growth thus assumes major importance.

On the delivery of social services, he further argued that the delivery channel need not necessarily be through government administrative mechanism.

“Public-private partnerships in the delivery of these services need to be explored. Which taking advantage of superior administrative efficiency of private institutions, the larger public goals should not be sacrificed. Public-private partnership mode of delivery can thus supplement the direct delivery of services through government institutions.”

Such a model has proved to be a success in India in the case of AIDS programme where non-governmental organisations have played an extremely important role. Thus, one should try to realise seriously that social development and economic growth are not necessarily the same and thus different approaches need to be adopted for such programmes.

Essay # 7. Economic Reforms and Poverty Eradication Programme:

Alleviation of poverty has been considered as an important element in the economic policy of the country since its inception.

To meet the objective of poverty alleviation of a part of our adjustment process under economic reforms, the Government has allocated a higher amount of outlays on elementary education, rural drinking water supply assistance to small and marginal farmers, programmes for the welfare of scheduled castes and scheduled tribes and other weaker sections of the society, programme for women and children and also on infrastructure and employment generation projects.

Effective implementation of grass-root level development programmes requires designing of alternative strategies to empower people to help themselves. The, then Finance Minister, Dr. Manmohan Singh was of the view that mere increasing of expenditure on social sectors and rural development, as has been done in the Eighth Plan, was not sufficient to eradicate poverty.

Designing of alternative strategies was necessary since economic reforms and the government efforts to remove poverty are primarily based on self-help.

In recent times, some experts as well as voluntary agencies have expressed concern that Government’s pre-occupation with economic growth may hamper social welfare, including the health sector. But there is need for better appreciation of this alternative approach on this issue.

Dr. Singh during his address to various forums, internationally and within the country, had himself stated that there were several areas of concern about effective implementation of grassroots development programmes. These involved active participation of the people in the design and implementation of rural development schemes.

Dr. Singh observed recently, “People at all times have to beat the centre of our concern and when we talk about people, our priority has to be the poorest among them. When we talk of encouraging private investment, we are under no illusion that the private entrepreneurs would go to the remote, far-flung or the poorest areas of our country to build schools, hospitals, roads or build drinking water facilities. What we are doing is to throw open certain sectors to private entrepreneurship so that the sources of the State that are released may be diverted to meeting the more basic human needs of the people.”

‘The emphasis is to use market forces where they can be productive enough to yield better results. At the same time, strengthening of the role of the State is sought in those areas where market forces cannot be relied upon to achieve social and economic objectives.

In the medium term, a high growth rate of six to seven per cent is needed to create enough job opportunities for all the new entrants to the labour force. Resources required for meeting the needs of the poorest and improving outlays on poverty alleviation can be mobilised only when the required growth momentum has been built up.

But the Government cannot depend on growth itself to trickle down speedily to the poor. Hence, there is need for more direct attack on the problem of mass poverty.

First and foremost, it is sought to make the whole growth process more labour-intensive. Expansion of exports which are labour-intensive, relies on the country’s endowment of skills and natural resources, will open up new employment opportunities.

Leading French economist, Mr. Guy Sorman, while delivering a lecture on “Development and civilization: is economic liberalization the right solution for India?” observed recently (February, 1995) that liberalization must be accompanied by policies to remove poverty for it to be successful in India.

He said, “Liberalization is fine but is not enough” …………… “Liberalization process would take years to percolate down to the grass roots and people would have not have patience to wait that long.”

He further said that unless the Government spent its surplus on redistribution of resources, including public distribution, drinking water, basic education and health care, the whole process could go away. Of late, there has been wide ranging controversy about the impact of economic reforms on the poor.

One set of experts are alleging that the reforms have accentuated destitution and widened disparities and others are maintaining that such negative situations, if any, are purely coincidental and having little correlation with the new policy measures.

This sort of controversy was sparked off when a recent study of economic reforms and their impact on the poor people revealed that rural poverty in India rose sharply in recent years. The study conducted by Prof. S.P. Gupta revealed that the population living below the poverty line steadily rose from 39.0 per cent in 1988- 89 to 40.69 per cent during July-December 1992.

Findings of Prof. Gupta’s study came as a great deal of embarrassment to the Government, Economic Survey (1995-96) continued to record the official figure of poverty ratio from 25.49 per cent in 1987-88 to 18.96 per cent in 1993-94. But the Planning Commission did not prepare the estimates of poverty on the basis of 47th and 48th rounds of N.S.S.

Findings of Prof. Gupta were also corroborated by two eminent economists, Prof. S.D. Tendulkar and Prof. L.R. Jain. Tendulkar and lain, in their study reported that rural poverty increased from per cm in July 1990-June 1991 to 42.06 per cent in July-December 1991 and then to 48.07 per cent during January- December 1992.

Moreover, the UNDP estimates of poverty also revealed that the percentage of population lying below the poverty line was 40 per cent in 1992. The above evidence on trends in rural poverty have added a new dimension to the debate on economic reform process in India.

While the critics argued that economic reforms have accentuated the marginalization of the poorer people in the rural areas, the proponents of economic reforms and new economic policy changes argued alternatively to defend the reforms.

For example, the critics pointed out that average monthly per capita consumption of cereals declined from 14.4 kgs in 1987-88 to 13.5 kg in 1992. Data available from Sample Registration System (SRS) were also cited to show that the crude death rate of population has started to go up in the early 1990s both in urban as well as in rural areas.

But the defenders of the new economic policy have utilised the NSS data on consumption of square meals. The percentage of rural households having two square meals a day increased from 88.3 per cent in 1990-91 to 92.3 per cent in 1992.

Accordingly, they argued that people were being fed better and this did not get reflected in the consumption of cereals as more and more people were switching over to the consumption of non-cereal food items to meet their caloric requirements.

Whatever may be argument in favour or against the impact of economic reforms on poverty, there is one point which is quite striking. During the 1980s, there was a consistent decline in the proportion of people living below the poverty line.

The official estimates showed that there was a considerable fall in the poverty ratio from 48.3 per cent in 1977-78 to 37.4 per cent in 1983-84 and 25.5 per cent in 1987-88. Again the expert Group’s corresponding figures depicted the poverty ratio at 51.8 per cent, 44.8 per cent and 39.3 per cent respectively during the same years.

Main point that arises here is that whether this regressive trend has any correlation with the ongoing economic reforms. In this connection, Tendulkar and Jain argued that the new economic policy changes have not directly contributed any increase in rural poverty, though they have admitted that there has been fiscal compression induced squeeze in anti-poverty spending which was directly related to reforms.

“In fact if one considers outlays under the IRDP, this decline from Rs 809.49 crore in 1990-91 to Rs 773.09 crore in 1991-92 and Rs 662.22 crore in 1992-93, as a result there was a sharp decline in the number of beneficiary families from 28.98 lakh to 25.37 lakh and 20.69 lakh over the same period.”

Considering this criticism, the outlay on IRDP was nearly doubled in 1993-94 to Rs 1,093 crore and thereby 25.39 lakh families were assisted by this programme. But in 1994-95 this programme could assist only 21.82 lakh families and during the first eight months of 1995-96, the number of assisted families under the IRDP was only 9.01 lakh families.

Another important point raised by Tendulkar and Jain is that there has been the possible erosion of purchasing power of the poor due to rising trend in the prices of food observed during 1990s.

Although the economic reform measures cannot be said to be solely responsible for such event but there are sufficient reasons to believe that strong linkages exist between the availability of food grains, PDS off take, food grains prices and poverty ratio. In spite of consistent rise in food grains production, most of this increased production has been channelized to fill up the buffer stock of the Government.

The stocks of food grains have not been offloaded from the PDS outlets as the issue prices have more or less similar to the open market prices. This like issue prices is mostly related to the government’s policy of raising the procurement prices frequently for compensating the farmers against cuts in fertilizer subsidy.

Although in the pre-reform period, the Government tried to bridge the widening gap between procurement price and issue price through allotment of food subsidies, but the present policy of adopting fiscal austerity also forces the government to reduce the gap through the like of issue prices.

Thus the fiscal compression- induced cuts in outlay for the social sector have indicated that economic reforms have started to exert adverse impact on poverty.

The Government has revamped programme for raising the incomes of the people living below the poverty line, particularly in rural areas and the public distribution system has been extended to the most backward block for supply of essential articles of mass consumption to provide a measure of protection to the poor against inflation.

The liberalisation programme has helped agriculture. Besides, as excessively high protection to industry comes down, the relative profitability of agriculture improved. Impediments to trade in farm products were removed. New incentives have given boost to farm exports, The rising trend in agro, horticulture, aquaculture and other exports has generated new employment opportunities in the rural sector.

Moreover, an adequate flow of institutional rural credit to agriculture is vital for the development of the rural sector and this flow at present is very low in relation to need. Thus considering the situation, several new schemes for social uplift and poverty alleviation were launched by the Government during the recent years of economic reforms.

These included:

(a) Employment Assurance Scheme for providing 100 days of unskilled manual labour to the rural poor, in the 2,475 backward blocks including those that are flood prone in the country;

(b) Prime Minister’s Rozgar Yojana aimed at providing employment to unemployed youth through the creation of micro-enterprises;

(c) National Social Assistance Programme which encompasses old age pension, family benefits in case of death of the bread earner and maternity benefits;

(d) Rural Group Life Insurance Scheme, with a subsidized premium;

(e) National Programme of Nutritional support to Primary education (also known as Mid-Day Meal scheme) aimed at providing a nutritious meal to children in primary school;

(f) Mahila Smridhi Yojana aimed to promote the saving habit among rural women; and

(g) Indira Mahila Yojana aimed at more effective empowerment of women.

Moreover, the nation-wide Public Distribution system for food grains and other essential commodities has since been strengthened, with the revamped PDS now operating in 1,775 backward blocks and expected to be extended to all 2446 blocks under the Employment Assurance Scheme.

The World Bank in its publication titled “IDA in action 1993-1996” observed in this connection that though there are still too many poor people in India, but the country has achieved “significant progress” in poverty eradication, “India’s performance in reducing poverty has been modest compared to some countries in east Asia, for example Indonesia and Thailand.”

Thus, to achieve success in the poverty eradication programmes along with the economic reforms introduced in the country, alternative strategies for empowering the people to help themselves are to be designed.

A mere increase in the amount of expenditure on social sectors and rural development will not be sufficient to eradicate poverty rather a change in strategy in the direction along with sincere and active participation of the people in the design and implementation of rural development schemes etc. are needed the most.

Essay # 8. World Bank’s New Perception of Poverty:

The World Development Report (WDR), 2000-2001 released by the World Bank on 14th September, 2000 in Washington provided a new perception to poverty with an agenda sensitive to the needs of attacking poverty by promoting opportunities, facilitating empowerment and furthering security.

The report also mentioned about two new initiatives—a highly enhanced poor countries debt relief initiative and a comprehensive development framework.

The report sought to expand the understanding of poverty and its causes, while building on the Bank’s past strategy, drew heavily from the South-Asian experiences and Dr. Amartya Sen’s ideas of empowering the poor. The report admits that poverty remained a persisting dilemma and belied the improvement in human conditions with global wealth, global connections and technological capabilities.

The report observed that of the World’s 6 billion people, 2.8 billion lived on less than $ 2 a day and 1, 2 billion live on less than $ 1 a day with 44 per cent of the deprived ones living in South Asia alone.

Exacerbating the crisis of poverty is an overwhelming concentration of conflicts in poor countries, widening gaps between the rich and the poor countries leading to increasing worldwide income disparity and failure of reform programmes to deliver according to the expectations.

The scope of the report has substantially broadened perception of poverty, having drawn from the first- ever “Voices of the Poor” study based on experiences narrated by more than 60,000 poor women and men in 60 countries.

The experiences so gained dictated the World Development Report’s shift of emphasis in its approach to tackle poverty from the over-reaching emphasis of the 1950s on large investments in physical capital and infrastructure to the 1970s on health and education, the 1980s on economic management and the 1990s’ stress on governance and institutions.

The report proposed opening of opportunities by improving access to financial markets for the poor, raising resources and making public spending pro-poor by reducing military spending. Empowerment moved away from its perception of a solely economic process to an outcome of interaction of economic, social and political forces, and had to be achieved by making state institutions more responsive to the needs of people.

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  • Poverty Essay

Poverty in India Essay

500+ words poverty in india essay.

Poverty is defined as a condition in which a person or family lacks the financial resources to afford a basic, minimum standard of living. Poor people don’t have adequate income; they can’t afford housing, health facilities and education which are essential for basic survival. So, poverty can be understood simply as a lack of money, or more broadly, barriers to everyday human life. With the help of this poverty essay, students will understand the meaning of poverty, the major causes of poverty and the efforts taken to eliminate poverty in India. So, students must go through this poverty in India essay in depth to get ideas on how to write effective essays and score high marks in exams.

What Causes Poverty?

There are various factors that are responsible for poverty. The major causes are unemployment, illiteracy, increasing population, and lack of proper education and training. As people are not able to find work for themselves, they are not able to earn their livelihood. Due to this, they lack access to basic education, health care, drinking water and sanitation. They are unable to feed their families and children. The other causes of poverty include war, natural disasters, political instability, etc. For example, World War II impacted many countries and they had to suffer from poverty for a long time. It took a lot of effort for such countries to recover their normal state. Similarly, natural disasters affect some areas so badly that poverty and hunger arise.

How is Poverty Measured in India?

The minimum expenditure (or income) required to purchase a basket of goods and services necessary to satisfy basic human needs is called the Poverty Line. Poverty can be measured in terms of the number of people living below this line. It is measured by the State Governments and information is provided by Below Poverty Line (BPL) censuses. Different countries use different measures for measuring poverty but the basic concept remains the same. The definition of the poverty line remains the same, i.e, consumption required for maintaining the minimum standard of living in a country.

Efforts to Eliminate Poverty

Earning income is the first step towards poverty eradication. Poverty can be eliminated by empowering people, and by giving them a good education that will prepare them to have a better career and future. With the help of education, people can get good jobs which allow them to earn a good living. In this way, they will be able to provide their children with a better life. People should be given easy access to transportation, information, communication, technologies, and other public facilities and services to help remove poverty.

The government has also taken several steps to eradicate poverty in India. It has launched various programmes and schemes such as the Five Years Programme, Prime Minister’s Rozgar Yojana, Mahatma Gandhi National Rural Employment Guarantee Act, Swarna Jayanti Shahari Rozgar Yojana, Pradhan Mantri Jan-Dhan Yojana, Deen Dayal Antyodaya Yojana etc. These programmes help to generate wage employment for the poor, unskilled people living in rural areas. The government also has social security programmes to help a few specific groups such as poor women, elder people, and widows. Apart from these government initiatives, citizens of India have to take an active part in eliminating poverty because it can’t be achieved by just a few people. It needs the support of everyone.

Did you find “Essay on Poverty” useful for improving your writing skills? Do let us know your views in the comments section. Keep learning, and don’t forget to download the BYJU’S App for more interesting study videos.

Frequently asked Questions on Poverty in India Essay

How can poverty in india be abolished completely.

Abolishing poverty in India completely can be challenging. Steps should be taken to ensure equality in education so that everyone gets equal opportunities to find better livelihoods. Proper sanitation and water facility 3. Economic security and development

When was the first plan implemented for Poverty abolition?

The fifth five-year plan was first implemented in the year 1974-79 and since then the government has taken several steps and made many reservations to take this plan forward.

What is the relation between Poverty abolition and economic development?

Poverty abolition and economic development go hand in hand with each other and they are interlinked to each other. Eradication of poverty automatically improves the overall economic situation of a country.

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eradication of poverty in india essay

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eradication of poverty in india essay

  • improving access to sustainable livelihoods, entrepreneurial opportunities and productive resources;
  • providing universal access to basic social services;
  • empowering people living in poverty and their organizations;
  • addressing the disproportionate impact of poverty on women;
  • working with interested donors and recipients to allocate increased shares of ODA to poverty eradication; and
  • intensifying international cooperation for poverty eradication.

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Essay on Poverty Eradication

Students are often asked to write an essay on Poverty Eradication in their schools and colleges. And if you’re also looking for the same, we have created 100-word, 250-word, and 500-word essays on the topic.

Let’s take a look…

100 Words Essay on Poverty Eradication

Understanding poverty.

Poverty refers to the state of not having enough resources to live a decent life. It’s a significant issue affecting millions worldwide.

Causes of Poverty

Poverty is caused by factors like unemployment, lack of education, and economic instability. These factors prevent people from earning a sufficient income.

Steps Towards Eradication

Poverty eradication involves steps like providing quality education, creating job opportunities, and promoting economic stability. These steps help people to earn a decent living.

Role of Individuals

Everyone can contribute to poverty eradication. We can donate, volunteer, or help in creating awareness about poverty and its solutions.

Eradicating poverty is a big challenge, but with collective efforts, it’s achievable. Let’s all contribute to a poverty-free world.

250 Words Essay on Poverty Eradication

Introduction.

Poverty eradication stands as one of the most pressing issues that humanity faces today. It is a complex problem that requires a multifaceted approach, involving economic, social, and political strategies.

The Scope of Poverty

The World Bank defines extreme poverty as living on less than $1.90 per day. However, poverty extends beyond mere monetary measures, encompassing elements like access to quality education, healthcare, and basic human rights.

Economic Strategies

Economically, poverty eradication involves creating opportunities for the poor. This could be achieved through policies that promote job creation, fair wages, and entrepreneurship. Microfinance initiatives can empower the impoverished to start their own businesses, fostering economic independence.

Social Strategies

Socially, poverty eradication requires improving access to education and healthcare. Education equips individuals with the skills needed for better employment prospects, while good health is essential for productivity and income generation.

Political Strategies

Politically, governments need to ensure that policies are inclusive and equitable. This includes implementing progressive taxation, strengthening social safety nets, and promoting gender equality.

In conclusion, poverty eradication is not a task for the faint-hearted. It requires a holistic approach, with concerted efforts from governments, civil society, and individuals. By working together, we can make significant strides towards a world free from poverty.

500 Words Essay on Poverty Eradication

Poverty eradication is a global challenge that requires concerted efforts from all sectors of society. Despite the remarkable progress made in reducing extreme poverty, millions still live below the poverty line, struggling to meet their basic needs. This essay explores the concept of poverty eradication, its importance, strategies to achieve it, and the challenges faced.

Understanding Poverty Eradication

Poverty eradication implies the complete elimination of poverty in all its forms. It’s a multidimensional issue, encompassing not just financial poverty but also other aspects like lack of access to health services, education, and opportunities. The United Nations’ Sustainable Development Goal (SDG) 1 aims to “end poverty in all its forms everywhere” by 2030, signifying the global commitment towards this cause.

Importance of Poverty Eradication

Poverty eradication is crucial for sustainable development and human dignity. It’s not only a moral imperative but also a key to unlocking human potential and societal progress. Eliminating poverty can lead to improved health, increased productivity, and reduced crime rates. Moreover, it can foster social cohesion and political stability, contributing to peace and security.

Strategies for Poverty Eradication

Addressing poverty requires a comprehensive and multifaceted approach. First, economic growth must be inclusive, ensuring that the benefits reach the poorest sections of society. This can be achieved through job creation, fair wages, and social protection measures.

Second, investment in human capital is crucial. Access to quality education and healthcare can enable individuals to break the cycle of poverty and lead productive lives.

Third, promoting social inclusion and reducing inequality are fundamental. Policies should aim to eliminate discrimination and empower marginalized groups, enabling them to participate fully in society.

Lastly, it’s essential to build resilience against shocks such as economic crises, conflicts, and natural disasters, which can push people into poverty.

Challenges in Poverty Eradication

While the path towards poverty eradication is clear, several challenges persist. Economic disparities, both within and between countries, hinder progress. Structural issues, such as corruption, political instability, and inadequate infrastructure, can exacerbate poverty.

Climate change poses another significant challenge. Its impacts, such as extreme weather events and food insecurity, disproportionately affect the poor, undermining efforts to eradicate poverty.

Moreover, the COVID-19 pandemic has reversed some of the gains made in poverty reduction, highlighting the vulnerability of progress and the need for robust social protection systems.

Poverty eradication is a daunting task, but not an impossible one. We have the knowledge, resources, and strategies needed to overcome this challenge. What’s required is the political will, global cooperation, and a commitment to justice and equity. By addressing poverty, we can build a more prosperous, sustainable, and equitable world.

That’s it! I hope the essay helped you.

If you’re looking for more, here are essays on other interesting topics:

  • Essay on Rural Poverty
  • Essay on Democracy and Poverty
  • Essay on Causes of Poverty

Apart from these, you can look at all the essays by clicking here .

Happy studying!

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  1. Poverty in India Essay Example

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    In addition, eradication of poverty has become necessary for the sustainable and inclusive growth of people, society, country, and economy. FAQs about Poverty in India Essay Q.1 List some ways to end poverty in India.

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    1. Effect on Health - one of the most devastating effects that poverty has is on the overall health of the nation. The most prominent health issue stemming from poverty is malnutrition. The problem of malnutrition is widespread in all age-groups of the country but children are most adversely affected by this.

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    Essay on Poverty In India People living in poverty do not have enough money for basic necessities such as food and shelter. An example of poverty is the state a person is in when he is homeless and does not have enough money. The rate of poverty in India is increasing because of the population in the urban areas.

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    which form the backbone of all poverty analysis in India. In Section 3, we discuss the rising discrepancy between averageas re expenditures ported by the NSSO surveys and by the National Accounts Statistics (NAS) of the Central Statistical Office (CSO). In Section 4, we describe in detail the evolution of official poverty lines in India while in

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    Sustainable Development Knowledge Platform Poverty eradication The 2030 Agenda acknowledges that eradicating poverty in all its forms and dimensions, including extreme poverty, is the...

  17. Eradication Of Poverty Essay

    Eradication of poverty is thus an important economic objective. Human beings need a certain minimum consumption of food and non food items to survive. However the perception regarding what constitutes poverty varies over time and across countries. Nevertheless there is need for a measure of poverty.

  18. Free sample essay on Eradication of Poverty in India

    Free sample essay on Eradication of Poverty in India. India evokes many images but an image that is hard to dispel is that of a seething masses of humanity living in abject poverty.

  19. (PDF) An Analysis Of Poverty Alleviation Programmes In India With

    This paper discusses that for achievement of sustainable development goals, poverty eradication becomes most basic & essential requirement. In order to achieve Global Goals (SDGs) by 2030...

  20. Essay on Poverty Eradication

    Introduction Poverty eradication stands as one of the most pressing issues that humanity faces today. It is a complex problem that requires a multifaceted approach, involving economic, social, and political strategies. The Scope of Poverty The World Bank defines extreme poverty as living on less than $1.90 per day.

  21. PDF Eradication of Poverty in India: An Analysis

    1. To study the microcredit and poverty eradication programme 2. To examine the efforts of micro credit towards poverty eradication. 3. To know the impact of micro credit in India. 4. To examine the poverty relief through micro-finance in India. Research Methodology Methodology of the study is deductive, observational and analytical.

  22. (PDF) Poverty in India -A Study of Rural Poverty

    PDF | On Dec 31, 2020, Dr Sharath A.M published Poverty in India -A Study of Rural Poverty | Find, read and cite all the research you need on ResearchGate

  23. Poverty In India Essay

    Poverty is one of every country's biggest problems, especially in India. A sizable portion of the population in India lives in poverty. It is an impoverished country as a result of this. Even 75 years after gaining our freedom, we still have difficulties, and poverty has afflicted our country. India has an extremely high rate of poverty, which ...

  24. Non-farm entrepreneurship, caste, and energy poverty in rural India

    This study examines how non-farm entrepreneurship influences rural household energy poverty and explores caste-based heterogeneities in outcomes in India. The study used different quasi-experimental econometric methods to analyse panel data from the waves 1 and 2 (2015 and 2018) of the Access to Clean Cooking Energy and Electricity Survey of States (ACCESS) in India. The overall results across ...

  25. How does energy poverty eradication realize the path to carbon

    The energy poverty (EP) trap empowers policymakers to confront urgent issues related to energy, which also gives them the opportunity to deal with the dilemma of carbon lock-in (CLI). Based on provincial-level data in China during 2002-2017 and by employing the Instrumental Variable-Generalized Method of Moments (IV-GMM) estimation model, we empirically examine the direct impact of EP on CLI ...