<–2/”>a >The World Bank defines POVERTY in absolute terms. The bank defines extreme poverty as living on less than US$1.90 per day> (PPP), and moderate poverty as less than $3.10 a day. Types of Poverty Absolute poverty measures poverty in relation to the amount of Money necessary to meet basic needs such as food, clothing, and shelter. The concept of absolute poverty is not concerned with broader Quality Of Life issues or with the overall level of inequality in Society.
The concept of absolute poverty is based on absolute norms for living (measured in terms of consumption expenditure) laid down according: to specified minimum standard and all such individuals or groups whose consumption expenditure is found to be below this standard are classified as poor. Under the relative concept of poverty, a family (or an individual) is deemed to be poor if its level of income or consumption expenditure falls below a predetermined level.
Poverty in India is measured as the head-count ratio of the Population living below the official ‘Poverty Line’, which is calculated using the methodology prescribed by the Expert Group on Methodology for Estimation of Poverty appointed by the Planning Commission in order to arrive at a threshold consumption level of both food and non-food items. The methodology uses the Consumer Expenditure Surveys (CES) conducted by the National Sample Survey Office (NSSO) of India
once every five years to attain the poverty line; and, hence, poverty figures in India are obtained once every five years. The Planning Commission’s latest poverty line, using methodology suggested by the Tendulkar Committee in 2010, is apparently defined as the spending of Rs. 27.20 per capita per day in rural areas and Rs.33.40 per capita per day in urban areas.Problems with measurement of poverty in India
- Multiple indicators, depending on which agency or department is counting are used for identification of the poor
- Divergence of official estimates of poverty ratio with the actual incidence of poverty
- No poverty census in urban areas
- Use of different methodologies for estimation and identification of BPL households
- Restricting the identification of poor in states to the cap fixed by the Planning Commission
- Variation in estimates
- Wrong targeting of beneficiaries of welfare schemes
Non-income dimensions of poverty: Multi-dimensional poverty index
Poverty Alleviation Schemes
- Poverty alleviation programmes can be in form of EMPLOYMENT generation programmes or social assistance programmes so that different dimensions of poverty are addressed.
- At present there are three centrally sponsored employment programmes in operation
- MNREGS: Rural, wage employment
- SGSY: Rural, self-employment
- SJSRY: Urban, self and wage employment
- MNREGS
- 2006
- Launched in 200 most backward districts in the first phase. At present 619 districts are covered under the NREGS
- During 2008-09, 4.51 crore households were provided employment under the scheme
- Swarnajayanti Gram Swarozgar Yojana
- 1999 after restructuring the Integrated Rural Development Programme (IRDP) and allied programmes, viz., Development of Women and Children in Rural Areas (DWCRA), Training of Rural Youth for Self-Employment (TRYSEM), Supply of improved tool-kits to rural artisans (SITRA), Ganga Kalyan Yojana (GKY) and Million Wells Scheme (MWS)
- Self-employment programme for rural poor
- Objective is to bring the assisted swarozgaris above the poverty line by providing them income generating assets through bank credit and government subsidy
- Centre: State – 75:25; 90:10 for NE states
- Swarna Jayanti Shahari Rozgar Yojana (SJSRY)
- It is a unified centrally sponsored scheme launched a fresh in lieu of the erstwhile Urban Poverty alleviation programmes, viz, Nehru Rozgar Yojana (NRY), PM’s Integrated Urban Poverty Eradication Programme (PMIUPEP), and Urban Basic Services for the Poor (UBSP)
- Revamped in 2009
- Self-employment + Wage employment
- The revamped SJSRY has 5 components
- Urban Self-Employment Programme (USEP)
- Urban Woman Self-help Programme (UWSP)
- Skill Training for Employment Promotion amongst urban poor (STEP-UP)
- Urban Wage Employment Programme (UWEP)
- Urban Community Development Network
History of poverty alleviation/employment generation programmes
Poverty and Growth-3/”>Inclusive Growth
- Direct relationship between aggregate poverty and Average consumption
- Growth in aggregate income is hence needed for reduction in aggregate poverty
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Poverty is a state or condition in which a person or community lacks the Resources and opportunities necessary for a standard of living considered acceptable or necessary. Absolute poverty is a lack of basic human needs, such as food, water, sanitation, shelter, and healthcare. Chronic poverty is poverty that persists over a long period of time. Deprivation is the state of being without the basic necessities of life. Economic inequality is the unequal distribution of wealth and income within a society. Human Development is the process of improving the quality of life and well-being of people. The Human Development index (HDI) is a composite index of life expectancy, Education, and per capita income. Income inequality is the unequal distribution of income within a society. The Multidimensional Poverty Index (MPI) is a measure of poverty that takes into account multiple deprivations in people’s lives. The Poverty Gap is the average shortfall of the poor from the poverty line. The poverty line is a level of income below which a person or family is considered poor. The poverty rate is the Percentage of the population that is poor. Poverty reduction is the process of reducing the number of people living in poverty. Relative poverty is poverty that is defined in relation to the average standard of living in a society. Social exclusion is the process of being excluded from full participation in society. Sustainable Development is development that meets the needs of the present without compromising the ability of future generations to meet their own needs. The Sustainable Development Goals (SDGs) are a set of 17 goals that were adopted by the United Nations in 2015. Sustainable development indicators are measures that are used to track progress towards the SDGs. Sustainable development targets are specific targets that are set for each SDG. Underdevelopment is a state of economic and social backwardness. Urban poverty is poverty that is concentrated in urban areas. Wealth inequality is the unequal distribution of wealth within a society. World poverty is poverty that exists on a global scale.
Poverty is a complex issue with many causes. Some of the Causes of Poverty include:
- Low wages
- Unemployment
- Lack of education
- Lack of healthcare
- Discrimination
- Natural disasters
- War
Poverty has many negative consequences, including:
- Hunger
- Malnutrition
- Disease
- Lack of education
- Lack of healthcare
- Crime
- Violence
- Social unrest
- Political instability
There are many things that can be done to reduce poverty. Some of the solutions to poverty include:
- Increasing the minimum wage
- Providing job training
- Providing affordable housing
- Providing healthcare for all
- Promoting Equality/”>Gender Equality
- Investing in education
- Reducing discrimination
- Providing disaster relief
- Promoting peace
Poverty is a global problem, but it is one that can be solved. By working together, we can create a world where everyone has the opportunity to live a healthy and productive life.
One of the most important things that we can do to reduce poverty is to increase the minimum wage. The minimum wage is the lowest wage that employers are legally allowed to pay their employees. In the United States, the federal minimum wage is currently $7.25 per hour. This is not enough to live on, and many people who work full-time at minimum wage jobs still live in poverty. Increasing the minimum wage would help to lift people out of poverty and give them a better chance to succeed.
Another important way to reduce poverty is to provide job training. Many people who are poor do not have the skills or education that they need to get a good job. Providing job training can help people to develop the skills that they need to get a better job and earn a higher income.
Affordable housing is also essential for reducing poverty. Many people who are poor cannot afford to pay rent on a decent place to live. Providing affordable housing would help people to have a safe and stable place to live, which would make it easier for them to find a job and improve their lives.
Healthcare is another important need for people who are poor. Many people who are poor do not have Health insurance, and they cannot afford to pay for medical care when they get sick. Providing healthcare for all would help people to get the care that they need when they are sick, which would improve their health and well-being.
Gender equality is also important for reducing poverty. Women and girls are disproportionately represented among the poor. Promoting gender equality would help to ensure that women and girls have the same opportunities as men and boys, which would help to reduce poverty.
Investing in education is another important way to reduce poverty. Education is the key to getting a good job and earning a higher income. Investing in education would help people to develop the skills that they need to get a better job and improve their lives.
Reducing discrimination is also important for reducing poverty. People who are discriminated against often have fewer opportunities to succeed. Promoting equality and reducing discrimination would
Here are some frequently asked questions and short answers about the following topics:
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What is the difference between poverty and inequality?
Poverty is a state of deprivation or lack of resources. Inequality is a state in which people have different amounts of resources. Poverty can be caused by a number of factors, including unemployment, low wages, and lack of education. Inequality can be caused by a number of factors, including discrimination, Subscribe on YouTube