ECONOMICS

CLASS XI

TOPIC: POVERTY

PRESENTED BY:

MRS. H. K. KARIM

POVERTY

Poverty implies inability to get minimum consumption requirements of

life, health and efficiency.

HOW ARE THE POOR IDENTIFIED?

• Relative poverty- it refers to poverty of one set of people in relation to other.

• Absolute poverty- In India concept of poverty line is used as a measure of Absolute poverty. Poverty line refers to that line which expresses per capita average monthly expenditure incurred by the people to satisfy their minimum needs.

CAUSES OF POVERTY

• Low level of national product.• Low rate of growth.• Heavy pressure of population.• Inflationary pressure.• Unemployment and underemployment.• Lack of efficient entrepreneurs.• Outdated social institution.• Lack of infrastructure.

Suggestions for the removal of poverty

• Speeding up the pace of eco growth.

• Reducing inequality of income.

• Reduction in growth rate of population.

• Development of agriculture.

• Stability in price level.

• Eradication of unemployment.

• Opportunities of self employment.

Measures adopted by the government to remove poverty.

• Swarnjayanti Gram Swarozgar Yojna.

• Sampoorna Gramin Rozgar Yojna.

• Pradhanmantri Gramoday Yojna.

• Swarnjayanti Sahri Swarozgar yojna.

• Prime minister Rozgar Yojna.

• National Rural Employment Guarantee act.

PAP—A critical assessment

• The main achievements of PAPs are-

• There has been a decline in the percentage of population below poverty line from 55% in 1973-74 to 26%in 1999-2000.

• Increase in income of the poor has been possible because of PAPs.

PAP—A critical assessment.

• Causes of failure of PAPs are--

• Inefficient administration.

• Favoured rich against poor.

• Remote areas are neglected.

• Definition of poor is not well defined so many non poor take advantages.

Home Assignment

• What do you mean by poverty? • Distinguish between Absolute poverty and

Relative poverty. • Write six major causes of poverty in India.• Give four suggestions to remove poverty

in India. • Discuss the various measures taken by

the govt. to solve the problem of poverty in India.