Poverty

Poverty
Saturday, June 29, 2024 11:35 AM
Poverty is a state of not having enough material possession for a person's basic need (i.e) food , cloth
and Shelter.
This explanation is traditional and very much narrow but present day poverty need much better
explanation hence multi dimensional poverty is important. This idea of multi dimensional poverty
explanation was invented by oxford poverty and human development initiative around 1980's . Later
UNDP adopted it and releasing Multi dimensional poverty index from 1990. Later Niti Aayog adopted
this and releasing multi dimensional poverty index for India from 2021.
What is Multi dimensional poverty?

Multi dimensional poverty encompasses various deprivations experienced by poor people in their daily
life.
And those Deprivations are
• Lack of education
• Poor health
• Poor standard of living (Lack of electricity, LPG, sanitation, clean drinking water, flooring) and
living in environmentally Hazardous area
• Dis Empowerment - I cannot take decisions on those matters which affects my life when I am
disempowered . Example : Slum dwellers
• Poor Quality of life
Assignment - Why Multi dimensional poverty is important ?
Poverty calculation
In India 3 important committee are
• Alagh committee - this committee fixed poverty line on the basis of minimum daily calorie
requirement 2400 calories for rural area and 2100 calories for urban area
• Suresh Tendulkar committee - 2009 - According to this committee per day expenditure is used to
calculate poverty line that is for rural areas 27 rupee a day a per person and for urban areas 33
rupee a day a person (Expenditure method)
• There was heavy criticism about the committee recommendations hence C. Rangarajan
committee was formed . This committee fixed 32 and 47 as rural and urban poverty line
• According to Suresh Tendulkar committee around 20 % of Indian are poor
• And According to Rangarajan committee around 30 % of Indians are poor. This is pre text
government accepts only Suresh Tendulkar committee report.
Reasons for poverty

General reasons Indian specific reasons
• Individual Reasons • Population breeds poverty
Individual being lazy and not in labor force may • Low income results in high TFR and this results in
results in poverty. low level of education and health.
• Religious reasons - Religion is generally • Reduced agriculture productivity and food
considered as opium of masses (Karl Marx) . insecurity .
Hence who religion much higher starts believing • Inflation pressure
in karma. Hence they accepts poverty as a • Structure of the society - caste system -those who
punishment .- its more like fatalism are in lower caste suffers from lack of privileges and
• Structure of the society -class Stratification- opportunities equivalent to those who are in upper
those who are in lower class suffers from lack of caste. Hence it is not easy for those at the bottom
privileges and opportunities equivalent to those to reach upper caste.
who are in upper class. Hence it is not easy for • Natural disasters - Rehabilitation is poor in India
those at the bottom to reach upper class. • Health reasons - In India , the out-of-the-pocket
• Culture or sub culture of poverty- this concepts expenses is much higher hence it may lead to
was introduced by Oscar Lewis as he said that poverty. - PMJAY
poor people share certain culture which results
in vicious cycle of poverty and those culture are
immediate gratification, Dependency attitude
etc..
Consequences of Poverty
• Homelessness- It is considered to be a violation of human right to adequate Housing.
Homelessness is a problem that goes beyond rooflessness and it is related to lack of access to safe
shelter.
• Stress , pressure and associated health issues-
• Increase in crime rate and extremism- lower the development , higher the extremism
• Child labor - immediate gratification
• Family issues -
• Mass migration - rural to urban migration
Solutions
a. distributive strategy (apply to everyone)
1. irrigation scheme - PM Krishi Sinchayee yojana - 1 lakh crore - the theme (Per drop more
crop)
2. Road connectivity - National Highway authority of India and for rural roads Pradhan Mantri
Gram Sadak Yojana and Aajeevika Gramin express yojana.
3. electrification - for urban area integrated power development scheme and to bring
electricity to rural area DDU gram Jyoti yojana and to bring electricity to household villages
govt PM Sahaj Bijli Har Ghar yojana - Saubhagya
this scheme is highly helpful to promote e governance in rural - how ? e governance need -
electricity, mobile phone (PLI scheme ), internet connectivity.
higher the e governance lower the poverty.
4. education - right to education check new education policy.
b. Specific strategy
1. Housing - Pradhan Mantri Awas Yojana - urban and gramin.
2. Skill development - PM kowshal vikas yojana
3. employment - Mnrega, PM employment generation scheme, Mundra yojana, standup India
4. UBI - universal basic income - was introduced by economic survey 2016-17 and according to
economic survey this ubi can be used as a alternative strategy for many poverty based
schemes in india. This UBI have 5 elements - unconditionality (there is no condition attached
with the cash transfer), universality ( that is it is given to everybody), payment in case ( no
food coupons are vouchers are given ) , payments to individuals (not to the family), payment
at regular intervals (and not like 1 time grant)
UBI is very costly hence later govt stand was partial rural basic income
Social security measures
Effective measures to control poverty:

• Encourage private investments
• Eliminate black money
• To standardize the banking system
• Universal education
• Local level planning

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Saturday, June 29, 2024 11:35 AM

What is Multi dimensional poverty?

Assignment - Why Multi dimensional poverty is important ?

Reasons for poverty

4. education - right to education check new education policy.

Social security measures

Effective measures to control poverty:

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