A PROJECT REPORT ON

“A DETAILED STUDY ON POVERTY, ISSUES AND CHALLENGES”

Submitted in partial fulfillment of the requirements

For the award of Degree Of

BACHELOR OF BUSINESS ADMINISTRATION

SESSION (2022-23)

Submitted to Submitted by

MS. SHREYA SHARMA DWIVEDI SAHIL KHAN

(ASSISTANT PROFESSOR) Roll No. : 22014000715

Class : BBA 2nd SEMESTER

Axis Institute of Higher Education (KN115)

Rooma, Kanpur (UP)

1
 COLLEGE CERTIFICATE

Certified that this Project Report entitled"A detailed study on poverty ,issues andchallenges" has
been prepared by Mr. Sushil Kumar of BBA SEMESER II during session 2022 to 2023 under my
supervision.

The Project Report is up to the standard and I forward it to the director Axis Colleges of Higher
Studies for getting it evaluated as per the ordinances governing the BBA course

Ms. Shreya Sharma dwivedi

(Assistant Professor)

(Signature)

…………………………………….

2
 DECLARATION
I hereby declare that the Social Report entitled" A detailed Study on poverty; issues and challenges
." Submitted to Axis institute of higher education, Kanpur in partial fulfillment of Degree of
Bachelor of Business Administration is the original work conducted by me. The information and
data given in the report is authentic to the best of my knowledge

This Project Report is not being submitted to any other University for award of any other Degree,
Diploma and Fellowship.

Place - Kanpur Sahil khan

Date - RollNo.22014000715

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 ACKNOWLEDGEMENT
I feel to acknowledge my indebtedness and deep sense of gratitude to my guide Ms. SHREYA
SHARMA DWIVEDI (Assistant Professor) whose values guidance and kind supervision given to
me throughout the course which shaped the present work as it shows.

I pay my deep sense of gratitude to Ms. Mandeep Kaur (Coordinator) of BBA department, to
encourage me to the highest peak and to provide me the opportunity to prepare the project and
would like to express my gratitude towards my parents and PRINCIPAL OF AXIS INSTITUTE
OF HIGHER EDUCATION (AIHE) Dr. Neetu SinghMa’am for their kind co-operation and
encouragement which help me in completing the project. I am immensely obliged to my friends for
their elevating inspiration, encouraging guidance and kind supervision in the completion of my
project Last, but not the least, my parents are also an important inspiration for me. So, with due
regards, I express my gratitude to them.

SAHIL KHAN
BBA-2ndSemester

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 PREFACE
A professional course in (Bachelor of Business Administration) is incomplete unless the theoretical
knowledge acquired in the classroom is backed up by practical exposure, as theories alone do not
give the perfection to any discipline. The gap between theory & practiced bridged by the research
report, which has been an integral part of the syllabus.

I was assigned a project "Poverty; issues and challenges faced by the rural and urban people." this
report is the result of the work done during the training period

I have tried my level best to be as a systematic as possible and to avoid any sort of biases,

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 Table of contents
SR. NO CONTENTS Page No.

01-04
1 Introduction

2 Importance and significance 05 - 08

3 Objective 09– 09

4 Overview 10– 18

5 Impact of problem on society 19 -24

6 National and international policy for poverty 25– 29

7 Conclusion and suggestion 30 – 32

8 References 33 - 33

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Chapter-1
INTRODUCTION

7
Introduction

Poverty has many faces which have been changing from place to place and across time.
Poverty is the inability to fulfill the maximum requirement of life.
In other word, poverty refers to a state in which an individual is enable to fill even the
necessities of life.
One minimum requirement includes food, clothing, housing, education and health facilities.
Poverty is humiliation, the since of been dependent them and of being formed to accept sadness
and indifference when we seek help.
In the simplest term poverty may be defined as a social condition where individual don’t have
financial means to meet the most basic standard of use that id acceptable don’t have the means
to pay for basic need of daily use like food, clothes and shelters.
So poverty is a call to action – for the poor and wealthy a like – a call to change the world so
that many more may have enough to eat, adequate shelter , access to education and health,
protection from violence , and a voice in what happen in their communities. While much
progress has been made in measuring and analyzing poverty, the World Bank Organization is

8
 doing more work to identify indicators for the other dimensions of poverty. This work includes
identifying social indicators to track education, health, access to services, vulnerability, and
social exclusion. There is no one cause of poverty, and the results of it are different in every
case. Poverty varies considerably depending on the situation. Feeling poor in Canada is different
from living in poverty in Russia or Zimbabwe. The differences between rich and poor within
the borders of a country can also be great. Despite the many definitions, one thing is certain,
poverty is a complex societal issue. No matter how poverty is defined, it can be agreed that it is
an issue that requires everyone’s attention. It is important that all members of our society work
together to provide the opportunities for all our members to reach their full potential. It helps all
of us to help one another.

Poverty in India is a long-standing and complex issue that has plagued the country for decades.
With a population of over 1.3 billion people, India is home to a significant number of
individuals living in poverty. Despite making significant progress in recent years, poverty
remains a significant challenge with various socio-economic factors contributing to its
persistence.

Historically, India has struggled with high levels of poverty due to factors such as rapid
population growth, inadequate access to education and healthcare, limited job opportunities, and
social inequality. These factors, coupled with widespread corruption, insufficient infrastructure,
and uneven distribution of resources, have hindered the country's efforts to eradicate poverty.
India has made notable strides in reducing poverty over the years. The government has
implemented several poverty alleviation programs and initiatives, such as the Mahatma Gandhi
National Rural Employment Guarantee Act (MGNREGA), the National Rural Livelihoods Mission
(NRLM), and the Pradhan Mantri Jan Dhan Yojana (PMJDY), aimed at providing employment,
financial inclusion, and social welfare benefits to the poor.
However, despite these efforts, a large portion of the Indian population continues to live in poverty.
According to the World Bank, in 2019, approximately 58 million people in India were classified as
extremely poor, living below the international poverty line of $1.90 per day. Additionally, India
faces significant regional disparities, with poverty rates varying across states and rural-urban
divides.

Poverty in India has far-reaching consequences, affecting not only individuals' basic needs but also
their access to education, healthcare, and opportunities for social mobility. It perpetuates a cycle of
deprivation and limits economic growth and development on a broader scale.

9
Addressing poverty in India requires a comprehensive and multi-faceted approach that focuses on
economic growth, equitable distribution of resources, social welfare programs, improved access to
education and healthcare, and empowering marginalized communities. It also necessitates efforts
to tackle corruption, enhance infrastructure, promote sustainable development, and ensure
inclusive governance.
While progress has been made, the fight against poverty in India remains a formidable challenge.
Efforts to address the root causes of poverty and uplift vulnerable populations are crucial for
creating a more equitable and prosperous society.
poverty refers to the state or condition in which people or communities lack the financial resources
and essentials for a minimum standard of living. As such, their basic human needs cannot be met.
Poverty-stricken people and families may go without proper housing, clean water, healthy food,
and medical attention. Each nation may have its own criteria for determining the poverty line and
counting how many of its people live in poverty. It's important to remember that poverty is a
socioeconomic condition that is the result of multiple factors—not just income. These factors
include race, sexual identity, sexual orientation, and little to no access to education, among others.
Poverty is a state or condition in which a person or community lacks the financial resources and
essentials for a minimum standard of living.
Poverty-stricken people and families might go without proper housing, clean water, healthy food,
and medical attention.
Poverty is an individual concern as well as a broader social problem.
Welfare programs are used by governments to help alleviate poverty.
Poverty is the result of multiple factors, not simply income.

 Every 4th person in India is poor.

 260 million or 26 crore people in India are poor.
 India has the largest single concentration of the poor in the world.
 Poverty in India varies from state to state. The rate of success for poverty
Reduction is different from state to state, thus causing inter-state disparities. Orissa, Madhya
Pradesh and Bihar are the poorest states of India. Punjab, Himachal Pradesh ad Jammu and
Kashmir are the best states when poverty is concerned.

10
CHAPTER – 2
IMPORTANCE AND SIGNIFICANCE

11
Poverty is a significant issue in India, and understanding its importance is crucial in addressing and
finding solutions to this problem. Here are some key points highlighting the importance of poverty
in India.
One basic need approach has been described as consumption-oriented, giving the impression that
poverty elimination is all too easy.

In the development discourse the boule need model focus on the measurement of what is believed
to be an eradicable level of poverty.
 Development programs following the basic need approach do not Overt in economically
Productive activities that will help & society carry it own weight in the future, rather it
focuses on allowing the society to consume Just enough to me above the poverty line and
meet in basic need.
 There programs focus more on subsistence than fairness.
 He basic need or absolute approach is important In 1995 around summit on social
development in Copenhagen had, as one of the principal
 India is the second-most populous country in the world, with over 1.3 billion people.
Poverty affects a substantial portion of the population, making it a critical concern that
requires attention and action.
 Poverty hampers economic development and growth. When a significant portion of the
population is trapped in poverty, it restricts their ability to contribute to the economy,
inhibits their access to resources, and limits their potential for productivity and
entrepreneurship. Reducing poverty can unlock the economic potential of the country and
drive sustainable development.

12
 Poverty in India often leads to inadequate access to basic necessities, such as food, clean
water, healthcare, education, and sanitation. These deficiencies hinder human development
and can perpetuate a cycle of poverty across generations. By addressingpoverty,individuals
can lead healthier, more productive lives, and future generations can have improved
opportunities.
 Inequality: Poverty exacerbates socioeconomic inequalities in India. The lack of income
and resources creates disparities in living conditions, education, and opportunities between
different social groups. Addressing poverty is essential for promoting social justice and
creating a more equitable society.
 Poverty can contribute to social unrest and political instability. When people are deprived
of their basic needs and feel marginalized, it can lead to frustration, discontent, and social
tensions. Reducing poverty helps create a more stable and harmonious society.
 Poverty is associated with poor health outcomes and limited access to healthcare services.
Inadequate nutrition, lack of sanitation, and limited healthcare facilities contribute to higher
rates of diseases and infant mortality. Addressing poverty can improve overall health and
well-being by ensuring access to essential healthcare services and promoting healthier
living conditions.
 Poverty often prevents children from accessing quality education. Limited financial
resources can force families to prioritize immediate needs over investing in education. By
reducing poverty, children can have better access to schools, leading to improved literacy
rates and increased opportunities for higher education and skill development.
Addressing poverty in India requires a comprehensive approach involving economic policies,
social welfare programs, investment in education and healthcare, infrastructure development,
and targeted measures to uplift marginalized communities. By tackling poverty, India can
unlock its true potential, improve the lives of its citizens, and foster inclusive and sustainable
development.
India has made notable strides in reducing poverty over the years. The government has
implemented several poverty alleviation programs and initiatives, such as the Mahatma Gandhi
National Rural Employment Guarantee Act (MGNREGA), the National Rural Livelihoods
Mission (NRLM), and the Pradhan Mantri Jan Dhan Yojana (PMJDY), aimed at providing
employment, financial inclusion, and social welfare benefits to the poor.
However, despite these efforts, a large portion of the Indian population continues to live in
poverty. According to the World Bank, in 2019, approximately 58 million people in India were
classified as extremely poor, living below the international poverty line of $1.90 per day.
Additionally, India faces significant regional disparities, with poverty rates varying across
states and rural-urban divides.
Poverty in India has far-reaching consequences, affecting not only individuals' basic needs but
also their access to education, healthcare, and opportunities for social mobility. It perpetuates a
cycle of deprivation and limits economic growth and development on a broader scale.

13
Addressing poverty in India requires a comprehensive and multi-faceted approach that focuses
on economic growth, equitable distribution of resources, social welfare programs, improved
access to education and healthcare, and empowering marginalized communities. It also
necessitates efforts to tackle corruption, enhance infrastructure, promote sustainable
development, and ensure inclusive governance.
While progress has been made, the fight against poverty in India remains a formidable
challenge. Efforts to address the root causes of poverty and uplift vulnerable populations are
crucial for creating a more equitable and prosperous society.
poverty refers to the state or condition in which people or communities lack the financial
resources and essentials for a minimum standard of living. As such, their basic human needs
cannot be met. Poverty-stricken people and families may go without proper housing, clean
water, healthy food, and medical attention. Each nation may have its own criteria for
determining the poverty line and counting how many of its people live in poverty. It's
important to remember that poverty is a socioeconomic condition that is the result of multiple
factors—not just income. These factors include race, sexual identity, sexual orientation, and
little to no access to education, among others.
Poverty is a state or condition in which a person or community lacks the financial resources
and essentials for a minimum standard of living.
Poverty-stricken people and families might go without proper housing, clean water, healthy
food, and medical attention.
Poverty is an individual concern as well as a broader social problem.
Welfare programs are used by governments to help alleviate poverty.
Poverty is the result of multiple factors, not simply income.

 Every 4th person in India is poor.

 260 million or 26 crore people in India are poor.
 India has the largest single concentration of the poor in the world.
 Poverty in India varies from state to state. The rate of success for poverty
Reduction is different from state to state, thus causing inter-state disparities. Orissa, Madhya
Pradesh and Bihar are the poorest states of India.
.Punjab, Himachal Pradesh ad Jammu and Kashmir are the best states when poverty is
concerned.

14
Chapter-3
OBJECTIVES

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The study of poverty aims to achieve several objectives that help understand, measure, and address
the complex issue of poverty. Here are some common objectives pursued in the study of poverty:
 Understanding the nature and causes of poverty: One of the primary objectives is to gain a
deep understanding of poverty and its underlying causes. This involves examining the
economic, social, political, and cultural factors that contribute to poverty at individual,
household, community, and national levels.
 Measurement and assessment: Another objective is to develop reliable methods and tools
for measuring poverty. This includes determining poverty thresholds or lines, identifying
poverty indicators, and establishing appropriate measurement techniques to assess the
extent and severity of poverty within a population.
 Identifying vulnerable groups: The study of poverty aims to identify specific groups or
individuals who are more susceptible to poverty, such as children, women, the elderly,
ethnic minorities, and persons with disabilities. By understanding the dynamics of
vulnerability, policymakers can design targeted interventions to address their specific
needs.
 Analyzing the impacts of poverty: Researchers seek to analyze the various impacts of
poverty on individuals, communities, and societies. This involves examining the effects of
poverty on health, education, employment, social exclusion, crime rates, and overall human
development. Understanding these impacts helps in formulating effective poverty reduction
strategies.
 Designing poverty reduction policies: The study of poverty aims to inform the development
of evidence-based policies and programs to alleviate poverty. By analyzing successful
poverty reduction initiatives and evaluating their outcomes, policymakers can learn from
past experiences and design effective interventions that promote economic growth, social
inclusion, and sustainable development.
 Monitoring and evaluation: Regular monitoring and evaluation of poverty reduction efforts
are crucial to determine the effectiveness and efficiency of policies and programs. This
objective involves assessing the progress made in poverty reduction, identifying gaps and
challenges, and adjusting strategies as needed to achieve poverty eradication goals.
 Advocacy and raising awareness: Another objective is to raise awareness about the realities
of poverty, its causes, and its consequences. By disseminating research findings and
engaging in advocacy activities, the study of poverty aims to influence public opinion,
mobilize support, and promote social and political action to combat poverty.

Overall, the study of poverty is a multidisciplinary field that seeks to generate knowledge, inform
policy decisions, and contribute to the global efforts towards poverty reduction and sustainable
development.

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 Chapter-4
Overview

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Types of Poverty
Poverty is a complex issue that encompasses various dimensions and forms. Here are some of the
main types of poverty:
Absolute Poverty: This type of poverty refers to a severe deprivation of basic human needs,
including food, clean water, shelter, healthcare, and education. People living in absolute poverty
struggle to meet their fundamental needs for survival.
A condition where household income is below a necessary level to maintain basic living standards
(food, shelter, housing). This condition makes it possible to compare between different countries
and also over time.
It was first introduced in 1990, the “dollar a day” poverty line measured absolute poverty by the
standards of the world's poorest countries. In October 2015, the World Bank reset it to $1.90 a day
Absolute poverty refers to the measure of poverty, keeping in view the per capita intake of calories
and minimum level of consumption.
It refers to the lack of means necessary to meet basic needs such as food, clothing and shelter..
Absolute poverty refers to the measure of poverty, keeping in view the per capita intake of calories
and minimum level of consumption.
It refers to the lack of means necessary to meet basic needs such as food, clothing and shelter.
It is the condition in which people lack the minimum amount of income to maintain the average
standard of living in the society they live.
Example; when a household receives less then 50% income then average income.
It is a comparative measure of poverty. It shows the terms of inequality of income within the
country.

18
Under Relative poverty the economic conditions of different regions or countries is compared. The
capita income and the national income are the two indicators of relative poverty. According to the
UNO those countries are treated poor whose per capita income is less than US $725 per annum.
Relative poverty takes into consideration individual social and economic status compared to the
rest of society
Relative Poverty: Relative poverty is defined in relation to the economic status and living
standards of other members of a society. Individuals or households are considered to be in relative
poverty if their income or resources fall significantly below the average or median income of the
society they live in.
It is defined from the social perspective that is living standard compared to the economic standards
of population living in surroundings. Hence it is a measure of income inequality.
Usually, relative poverty is measured as the percentage of the population with income less than
some fixed proportion of median income.
It refers to a situation when a person is unable to meet the minimum consumption level, that is, the
total numbers of people living BPL (Below Poverty Line).
Poverty line refers to that line which expresses per capita average monthly expenditure incurred
by the people to satisfy their minimum needs.

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In India, nearly 20% of the country's population is absolutely

Urban Poverty: Urban poverty refers to poverty that is concentrated in urban areas. It often arises
due to factors such as limited employment opportunities, inadequate access to basic services, high
living costs, and social exclusion. Urban poverty is associated with issues like slums,
homelessness, and overcrowded living conditions.
Urban poverty is a form of poverty that is particularly visible in megacities, characterized by poor
living circumstances and income, as well as a lack of essential utilities for a decent standard of life.
Urban poverty in India is unique, particularly in the way that it follows certain patterns of growth.
Though the proportion of urban poor has reportedly declined over the past decades, the numbers
keep adding up.
The nature of urban poverty poses distinct challenges for housing, water, sanitation, health,
education, social security, livelihoods, and the special needs of vulnerable groups such as women,
children, and aging.

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Rural Poverty: Rural poverty is prevalent in rural or agricultural areas, where people rely heavily
on farming or other primary industries for their livelihoods. Factors contributing to rural poverty
include limited access to education, healthcare, infrastructure, and markets, as well as vulnerability
to natural disasters and climate change.

Multidimensional Poverty: Multidimensional poverty recognizes that poverty is not solely

determined by income levels. It considers a range of deprivations across various dimensions, such
as education, health, living standards, access to basic services, social exclusion, and participation
in decision-making processes.
Generational Poverty: Generational poverty occurs when poverty persists across multiple
generations within a family or community. It can be perpetuated by factors like limited educational
opportunities, inadequate access to resources, and systemic barriers that hinder upward mobility.
Rural-Urban Poverty Gap: This type of poverty refers to the disparities in income, living
conditions, and access to services between rural and urban areas within a country. Rural areas often
experience higher levels of poverty compared to urban areas, leading to significant gaps in
development and well-being.
Child Poverty: Child poverty specifically focuses on the economic deprivation and social
exclusion experienced by children. It encompasses the lack of basic necessities, such as nutrition,
healthcare, education, and adequate living conditions, which can have long-term detrimental
effects on their well-being and future prospects.
It's important to note that these categories are notmutually exclusive, and many individuals and
communities may experience a combination of these different types of poverty. Additionally,

21
poverty is influenced by a wide range of factors, including social, economic, political, and cultural
dimensions.

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 TWO TYPICAL CASES OF POVERTY
URBAN CASE
Thirty-three year old Ram Saran works as a daily-wage laborer in a wheat flour mill near Ranchi in
Jharkhand. He manages to earn around Rs 1,500 a month when he finds employment, which is not
often. The money is not enough to sustain his family of six- that includes his wife and four
children aged between 12 years to six months. He has to send money home to his old parents who
live in a village near Ramgarh. His father a landless laborer, depends on Ram Saran and his brother
who lives in Hazaribagh, for sustenance. Ram Saran lives in a one- room rented house in a
crowded basti in the outskirts of the city. It's a temporary shack built of bricks and clay tiles. His
wife Santa Devi, works as a part time maid in a few houses and manages to earn another Rs 800.
They manage a meagre meal of dal and rice twice a day, but there's never enough for all of them.
His elder son works as a helper in a tea shop to supplement the family income and earns another
Rs 300, while his 10- year old daughter takes care of the younger siblings. None of the children go
to school. They have only two pairs of hand-me-down clothes each. New ones are bought only
when the old clothes became unwearable. Shoes are a luxury. The younger kids are
undernourished. They have no access to healthcare when they fall ill.
The total income of the family of Ram saran is 1500+800+300-2600 and the members in family
are 6 and some money are sent to Ramgarh.
RURAL CASE
Lakha Singh belongs to a small village near Meerut in Uttar Pradesh. His family doesn't own any
land, so they do odd jobs for the big farmers. Work is erratic and so is income. At times they get
paid Rs 50 for a hard day's work. But often it's in kind like a few kilograms of wheat or dal or even
vegetables for toiling in the farm through the day. The family of eight cannot always manage two
squares of meals a day. Lakha lives in a Kuchha hut on the outskirts of the village. The women of
the family spend the day chopping fodder and collecting firewood in the fields. His father a TB
patient, passed away two years ago due to lack of medication. His mother now suffers from the
same disease and life is slowly ebbing away. Although, the village has a primary school, Lakha
never went there. He had to start earning when he was 10 years old. New clothes happens once in a
few years. Even soap and oil are a luxury for the family.

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 Poverty estimation in India
Poverty estimation in India is a complex and challenging task due to the country's vast population
and diverse socio-economic conditions. The Government of India uses different methods and
criteria to estimate poverty levels, and the two most prominent approaches are the Planning
Commission's poverty line and the multidimensional poverty index.
Planning Commission's Poverty Line: The Planning Commission, which has been replaced by the
NITI Aayog, used to estimate poverty based on a consumption expenditure approach. The poverty
line was defined as the minimum level of consumption necessary to meet basic needs for food,
education, health, and other essentials. The commission calculated poverty using data from the
National Sample Survey (NSS) and released periodic reports on poverty levels. However, this
method has received criticism for using a narrow definition of poverty and relying solely on
consumption expenditure.
Multidimensional Poverty Index (MPI): In recent years, the Government of India has also adopted
the MPI to measure poverty. The MPI considers multiple dimensions of poverty, including health,
education, and standard of living. It assesses households based on indicators such as nutrition,
child mortality, years of schooling, access to clean water, sanitation, and electricity. The MPI
provides a more holistic view of poverty and helps identify deprivations beyond income or
consumption.
Additionally, various state governments in India have their own poverty estimation methods,
taking into account local factors and priorities.
It is important to note that poverty estimation in India remains a topic of debate and has led to
discussions on the adequacy of the poverty line, the need for a multidimensional approach, and the
challenges of capturing the true extent of poverty in such a diverse country. Poverty estimates can
vary depending on the methodology and criteria used, making it essential to consider multiple
indicators and perspectives when assessing poverty in India.
It is carried out by NITI Aayog’s task force through the calculation of poverty line based on the
data captured by the National Sample Survey Office under the Ministry of Statistics and Program
Implementation (MOSPI).
Poverty line estimation in India is based on the consumption expenditure and not on the income
levels.
Poverty is measured based on consumer expenditure surveys of the National Sample Survey
Organization. A poor household is defined as one with an expenditure level below a specific
poverty line.
The incidence of poverty is measured by the poverty ratio, which is the ratio of the number of poor
to the total population expressed as a percentage. It is also known as head-count ratio.
Alagh Committee (1979) determined a poverty line based on a minimum daily requirement of
2400 and 2100 calories for an adult in Rural and Urban area respectively.

24
Subsequently different committees; Lakdawala Committee (1993), Tendulkar Committee (2009),
Rangarajan committee (2012) did the poverty estimation.As per the Rangarajan committee report
(2014), the poverty line is estimated as Monthly Per Capita Expenditure of Rs. 1407 in urban areas
and Rs. 972 in rural areas

Vulnerable Groups
Social groups vulnerable to poverty are Scheduled Caste and Scheduled Tribe. Similarly, among
the economic groups, the most vulnerable groups are the rural agricultural labor households and
urban casual labor households. According to a recent study, except for scheduled tribes, all the
other three groups (i.e. scheduled castes, rural agricultural laborer’s and urban casual labor
households) have seen a decline in poverty in the 1990s.

25
Inter-State Disparities
In India, the proportion of poor people is not the same in every state. Bihar and Odisha continued
to be the two poorest states, with poverty ratios of 33.7 and 32.6 percent, respectively. Urban
poverty is high in Odisha, Madhya Pradesh, Bihar and Uttar Pradesh. Kerala, Maharashtra, Andhra
Pradesh, Tamil Nadu, Gujarat and West Bengal saw a decline in poverty. Punjab and Haryana have
traditionally succeeded in reducing poverty with the help of high agricultural growth rates. Kerala
has focused more on human resource development. In West Bengal, land reform measures have
helped in reducing poverty. In Andhra Pradesh and Tamil Nadu, public distribution of food grains
is responsible for the improvement.

26
Chapter-5
CAUSE AND IMPACTOF POVERTY ON SOCIETY

27
 CAUSE AND IMPACTOF POVERTY ON SOCIETY

Poverty has a significant impact on society across various aspects. Here are some of the key ways
in which poverty affects society.the causes of Impact include Changing trends in a country
economy, lace. of Education, high olivine rase which eaves. feminization of poverty, having a
culture of Poverty.
The main cause of poverty are
 Rapidly rising population.
 Loco productivity in agriculture.
 under utilization resources.
 Low sake of Economic development
 Price rise
 Shortage of capital
 Social factor
 Political factor
 British rule rural economy
 Heavy pressure of population
 Chronic unemployment and underemployment
 Lack of proper industrialization
 India’s economic policy
 Neo-liberal policies and their effects
 unemployment

28
 RAPIDLY RISING POPULATION
 The population during the last 45 year has increased at the sale of 2.0%. Per annum. On
average 17 million people are added every gear to in population.
 Rapidly rising population is likely. to reduce per capita income growth and well- being, which
tends to increase population.
 India’s population has steadily increased through the years. During the past 45 years, it has
risen at a rate of 2.2% per year, which means, on average, about 17 million people are added
to the country’s population each year. This also increases the demand for consumption goods
tremendously.
LOW PRODUCTIVITY
 The level of productivity in agriculture. is low due to subdivided and Swag mended holdings,
Lave of capital use of traditional Method of cultivation.
 Low productivity is the main came of poverty.
 A major reason for poverty in the low productivity in the agriculture sector. The reason for low
productivity is manifold. Chiefly, it is because of fragmented and subdivided land holdings,
lack of capital, illiteracy about new technologies in farming, the use of traditional methods of
cultivation, wastage during storage, etc.

UNDER UTILIZED RESOURCE

 The existence of under employment are disguised an employment of human resource and
underutilization of resources has resulted In low production in agriculture Sector.
 Obis brought a down fall in their standard Living.
 There is underemployment and disguised unemployment in the country, particularly in the
farming sector. This has resulted in low agricultural output and also led to a dip in the standard
of living.
LOW RATE OF ECONOMIC DEVELOPMENT
The sale of Economic development in India has been below the required level of availability and
requirement of foods and services -
 His may lead to net result in poverty. Poor State of infrastructural facilities also recall in Slow
pace of development.
 Economic development has been low in India especially in the first 40 years of independence
before the LPG reforms in 1991.

29
PRICE RISE
 The continuous and steep price rise has added to the miseries of poor.
 It has benefited a few people in one society and the person in low level income group find it
difficult to get their minimum need. This also a main eaves of poverty. in India.
 Only high-level income people afford in The price rise for goods & services.
 Price rise has been steady in the country and this has added to the burden the poor carry.
Although a few people have benefited from this, the lower income groups have suffered
because of it, and are not even able to satisfy their basic minimum wants
SHORTAGE OF CAPITAL
 Capital and able entrepreneurship have important role in accelerating the growth - BCU there
are in show supply making it difficult to increase Production significantly.
 Capital formation in India is very low which cave low of Economic development.
 The shortage of capital and entrepreneurship results in low level of investment and job
creation in the economy.
SOCIAL FACTOR
 The social set up is still backward and is not Conducive to law development
 Laws of inheritance, caste system tradition and customs are putting hindrances in the way of
development and have the problem of poverty.
 Apart from economic factors, there are also social factors hindering the eradication of poverty
in India. Some of the hindrances in this regard are the laws of inheritance, caste system,
certain traditions, etc.

POLITICAL FACTOR
 The Britisher started lopsided development in India end reduced Indian economy to a colonial
state.
 They exposed the natural resources to suit their interest and welfare the individual bowed on
Indian Economy.
UNEMPLOYMENT
 The continuously expanding army of unemployed is another cause of poverty.
 The Job seeker is increasing in number at a higher rate than the expansion in Employment
 Uunemployment as a situation in which all there who, occurring to lack of work.
 Seen wone through Employment exchanger, intermediates, friend or relative or by making

30
 Unemployment is another factor causing poverty in India. The ever-increasing population has
led to a higher number of job-seekers. However, there is not enough expansion in
opportunities to match this demand for jobs.
 Colonial Exploitation: The British colonization and rule over India for about two centuries de-
industrialized India by ruining its traditional handicrafts and textile industries. Colonial
Policies transformed India to a mere raw-material producer for European industries.
 Climatic Factors: Most of India’s poor belong to the states of Bihar, UP, MP, Chhattisgarh,
Odisha, Jharkhand, etc. Natural calamities such as frequent floods, disasters, earthquake and
cyclone cause heavy damage to agriculture in these states

Impact of poverty on society

Poverty has significant impacts on society at various levels, affecting individuals, families,
communities, and the overall social fabric. Here are some of the key impacts of poverty on society:
Limited Access to Basic Needs: Poverty restricts access to essential needs such as food, clean
water, healthcare, and education. This lack of access can lead to malnutrition, increased
susceptibility to diseases, higher mortality rates, and limited opportunities for personal and
intellectual development.
Education and Human Capital: Poverty often results in limited educational opportunities, as
families struggling with poverty may be unable to afford school fees, supplies, or transportation.
This can perpetuate a cycle of poverty, as a lack of education limits future employment prospects
and earning potential, perpetuating the cycle of poverty across generations.
Health Disparities: Poverty is strongly correlated with poor health outcomes. Limited access to
healthcare services, nutritious food, and safe living conditions can lead to higher rates of chronic
diseases, shorter life expectancy, and increased infant mortality. Poverty also contributes to mental
health issues, as individuals may face chronic stress, anxiety, and depression due to financial
instability and social exclusion.
Crime and Social Disruption: Poverty can contribute to higher crime rates, as individuals facing
economic hardship may resort to illegal activities as a means of survival. Additionally,
communities burdened by poverty may experience higher rates of social unrest, violence, and
substance abuse. The lack of opportunities and social support networks can foster a sense of
hopelessness and desperation.
Inequality and Social Division: Poverty exacerbates social inequality by creating significant
disparities in income, wealth, and access to resources. This division can lead to social tensions,
resentment, and a breakdown of social cohesion. It hampers social mobility and perpetuates the
concentration of wealth and power in the hands of a few, leading to a less equitable society.

31
Economic Impact: Poverty hampers economic growth and development. Individuals and families
living in poverty have limited purchasing power, which reduces overall consumer demand and
slows down economic activity. In addition, poverty leads to a less skilled and productive
workforce, hindering innovation and economic competitiveness.
Addressing poverty requires comprehensive strategies that encompass education, healthcare,
employment opportunities, social safety nets, and efforts to reduce income inequality. By
addressing the root causes of poverty and providing individuals and communities with the
necessary resources and support, societies can work towards creating a more equitable and
prosperous future for all.

32
 Chapter-6
NATIONALAND INTERNATIONALPOLICY

33
SPECIAL PROGRAM UNDERTAKEN BY THE
GOVERNMENT
Governments around the world have implemented various programs and initiatives to address
poverty and improve the well-being of their citizens. While the specific programs can vary by
country and region, I can provide you with some examples of common approaches and initiatives
undertaken by governments to combat poverty: It's important to note that the specific programs
and initiatives can vary significantly depending on the country, its economic circumstances, and
the unique needs of its population. Governments often adopt a multi-faceted approach, combining
several strategies to combat poverty comprehensively.
The following are the specific program undertaken by government.
 Rural Employment generation program
 Prim minister Rozgar yojana.
 Swarna Jayantishahari Rozgar yojana.
 Swarna Jayanthi gram swarozgar Yojana.
 Sampoorna Grameen Rozgar yojana.
 Mahatma Gandhi National Rural Employment Guarantee Act 2005
 Integrated Rural Development Program(IRDP)
 Jawahar Rozgar Yojana\Jawahar Gram Samridhi Yojana(JRY)
 Rural Housing \Indira Awasa Yojana(IAY)
 Food For Work Program
 Annapurna Scheme
Rural Employment Generation Programmer (RGP)
This program aim at creating self. Employment opportunities r in rural area and small town under
this program one can get financial assistances in the form of bank loan to setup an enterprise that
generate employment

34
Prime Minister's Rozgar yojana [PMRY]
Educated unemployment from low income families in rural and urban area can get financial health
setup and enterprise that generates Employment under PMRY. It generated Employment by sassing
up 7 lakh micro enterprise during the 3rd plan.

Swarna Jayanthi Grameen Shahari Rozgar Yojana[SJSRY]

It mainly alme at creating Employment. Opportunities for both employment and wage
Employment in urban area. The cost of the program between the central and stake in the recto .

35
Swarna Jayanthi Gramin Swarozgar Yojana [BGSY]
The SGSY say employment program Launched with effect from April 1 st 1999. It aims at
encourage micro enterprise and to bring the assuaged poor family (swarozgar ) above
the poverty line by organized in to self helps groups (SHGs)
Sampoorna Grameen Rozgar Yojana [SGRY]
This was launched in September 2001 the aim Providing wage employment to poor unskilled
concern. In rural area and this program encourage labor intensive acone among the manual people
who are willing to render manual or unskilled service the cast of the programs is Share by central
and state. The main objective of the scheme continues to be the generation of wage employment,
creation of durable economic infrastructure in rural areas and provision of food and nutrition
security for the poor.

Mahatma Gandhi National Real Employment Guarantee Act 2005

This act was passed in 2008. The Scheme was launched in the year February 2006 the aim of the
act is to provide guaranteed wage employment for every rural household coho volunteers to do
unskilled manual wone for a minimum 100 day, in a yearThe Act provides 100 days assured
employment every year to every rural household. One-third of the proposed jobs would be
reserved for women. The central government will also establish National Employment Guarantee
Funds. Similarly, state governments will establish State Employment Guarantee Funds for
implementation of the scheme. Under the program, if an applicant is not provided employment
within 15 days s/he will be entitled to a daily unemployment allowance.

36
National Rural Livelihood Mission: Aajeevika (2011):
It evolves out the need to diversify the needs of the rural poor and provide them jobs with regular
income on a monthly basis. Self Help groups are formed at the village level to help the needy.

National Old Age Pension Scheme (NOAPS):

This pension is given by the central government. The job of implementation of this scheme in
states and union territories is given to panchayats and municipalities. The states contribution may
vary depending on the state. The amount of old age pension is ₹200 per month for applicantsaged

37
60–79. For applicants aged above 80 years, the amount has been revised to ₹500 a month
according to the 2011–2012 Budget. It is a successful venture.
Annapurna Scheme:
This scheme was started by the government in 1999–2000 to provide food to senior citizens who
cannot take care of themselves and are not under the National Old Age Pension Scheme (NOAPS),
and who have no one to take care of them in their village. This scheme would provide 10 kg of free
food grains a month for the eligible senior citizens. They mostly target groups of ‘poorest of the
poor’ and ‘indigent senior citizens .

38
 Chapter-7
Conclusion and Suggestion

39
 CONCLUSION
Poverty in its multidimensional needs multidimensional approach. Here, the policy planning may
incorporate the concepts of Welfare geography. It is an approach to geography where the emphasis
is on spatial inequality and territorial justice. Welfare geography sought to reveal who gets what,
where and how. The geographers whose prime concern are the problems of society and are trying
to formulate more realistic plans for public policy by giving the description and explanation of the
phenomena. Through such analysis, they evaluate their plans and suggest suitable strategies for the
balanced development. This will help to achieve the SDG 1 of ending poverty.The Global
Multidimensional Poverty Index-2018 released by the UN noted that 271 million people moved
out of poverty between 2005-06 and 2015-16 in India. The poverty rate in the country has nearly
halved, falling from 55% to 28% over the ten-year period. Still a big part of the population in India
is living Below the Poverty Line. Rapid economic growth and the use of technology for social
sector programs have helped make a significant dent in extreme poverty in the country. Despite
rapid growth and development, an unacceptably high proportion of our population continues to
suffer from severe and multidimensional deprivation. Thus, a more comprehensive and inclusive
approach is required to eradicate poverty in IndiaPoverty is a natural problem and it must be
solved on ever footing.Analyzing the project I find that the Poverty is one of the important factor
that peeing the economic growth into backward.

 Poverty is closely connected with. Cinemployment

 Govt take Initiative (portieres) for controlling. the poverty.
 Education plays every important me of reduce an employment.
 Cinemployment and poverty are the two sector of a game coin.
 The government is taking a number of steps to mileage Poverty -Though many organizations
have been created to find selection.
 Reasons for poverty are History, car and Political in ability taking nieces any step to develop
health and education sector in die is a good way to seduce poverty.
 Encouraging people who have volunteered to provide facilities such as pure water, food,
giving place etc. So help the poor people by giving their basic need.

40
 SUGGESTION
Controlling poverty in India is a complex issue that requires a multi-faceted approach involving
various stakeholders, including the government, non-governmental organizations (NGOs), and
communities themselves. Here are some suggestions that can help address poverty in
India.Promote inclusive economic growth: Implement policies that focus on creating sustainable
and inclusive economic growth. This can be achieved by encouraging investments in sectors that
generate employment opportunities, particularly in rural areas. It is also essential to address
income disparities and ensure equitable distribution of resources.
Improve access to quality education:
Enhancing access to quality education is crucial for breaking the cycle of poverty. The government
should invest in building more schools, improving infrastructure, and providing free or affordable
education to children from low-income families. Skill development programs and vocational
training can also empower individuals with the necessary skills for better job prospects.
Enhance healthcare services:
Access to affordable and quality healthcare is essential to reduce the financial burden on
impoverished households. The government should focus on strengthening primary healthcare
infrastructure, providing healthcare insurance schemes, and ensuring availability of essential
medicines at affordable prices.
Agricultural reforms:
As a significant portion of the Indian population relies on agriculture for their livelihood,
implementing effective agricultural reforms is vital. Providing farmers with improved access to
credit, irrigation facilities, modern farming techniques, and better market linkages can help boost
agricultural productivity and income levels.
Strengthen social safety nets:
Implementing and expanding social welfare programs can provide a safety net for vulnerable
populations. Programs like the Mahatma Gandhi National Rural Employment Guarantee Act
(MGNREGA) can provide employment opportunities and income support to rural households.
Targeted welfare schemes, such as subsidized food distribution through the Public Distribution
System (PDS), can ensure access to essential commodities for the poor.
Empower women:
Gender inequality often exacerbates poverty. Empowering women through access to education,
vocational training, and financial services can contribute to poverty reduction. Promoting women's
participation in the workforce and decision-making processes can have long-term positive effects
on poverty eradication.

41
Foster entrepreneurship and microfinance:
Encouraging entrepreneurship and providing access to microfinance can enable individuals to start
their own businesses and generate income. Supporting small-scale enterprises through favourable
policies, training programs, and easy access to credit can uplift marginalized communities and
contribute to poverty reduction.
Strengthen rural infrastructure:
Investing in rural infrastructure development, such as roads, electricity, clean water supply, and
sanitation facilities, can improve living conditions and promote economic activities in rural areas.
This can enhance the overall well-being and livelihood opportunities for the rural population.
Improve governance and transparency:
Ensuring effective governance, transparency, and accountability in public administration are
crucial for poverty reduction. Fighting corruption, promoting efficient delivery of public services,
and involving local communities in decision-making processes can help address the root causes of
poverty.
Foster international partnerships:
Collaborating with international organizations, governments, and NGOs can bring in additional
resources, expertise, and knowledge sharing to tackle poverty.
It's important to note that poverty eradication requires a long-term commitment and a
comprehensive approach. The implementation of these suggestions should be tailored to local
contexts and regularly evaluated to ensure their effectiveness

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Chapter-8
References

43
 References
 From NCERT Text book
 https: // link. Springer com.
 WWW. Economic discussion. Net
 Ending Poverty". United Nations. Archived from the original on 9 September 2020. Retrieved
22 September 2020.
 "Poverty | United Nations Educational, Scientific and Cultural Organization".
www.unesco.org. Archived from the original on 9 December 2019. Retrieved 4 November
2015.
 Roser, Max; Ortiz-Ospina, Esteban (1 January 2019). "Global Extreme Poverty". Our World in
Data. Archived from the original on 30 March 2021. Retrieved 30 March 2021.
 "Fragile and Conflict-Affected Countries and Situations", The World Bank Group A to Z 2016,
The World Bank, pp. 60a–62, 7 October 2015, doi:10.1596/978-1-4648-0484-
7_fragile_and_conflict_affected, ISBN 978-1-4648-0484-7, retrieved 2 January 2022
 B. Milanovic, Global Inequality: A New Approach for the Age of Globalization (Harvard
Univ. Press, 2016).

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