Class Note 9. Economics. Chapter 3. Poverty as a Challenge.

 कृण्वन्तो विश्वमार्यम. 

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Class IX.
S.St. NCERT. Class Notes. Chapter 2.Economics.

People as Resources.

Session 22 – 23. 

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Our guiding forces. 

Guru Ravindra, William Wordsworth & Sumitranandan Pant.

IX. Class. Subject. S.St. Economics. Chapter 1.

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Chapter-3.

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GLOSSARY:- 

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 Chapter 3 Poverty as a Challenge.

Summary
In this chapter we have seen that poverty has many dimensions. Normally, this is measured through the concept of poverty line. Through this concept we analysed main global and national trends in poverty. But in recent years analysis of poverty is becoming rich through a variety of new concepts like social exclusion. similarly, the challenge is becoming bigger as scholars are broadening the concept into human poverty.
★Inside questions ★
Question 1.When the health of a person suffers due to deficiency of nutrients in food as per his daily requirement, he/she is said to be the victim of _______ .
Answer: Malnutrition

Question 2.What helped West Bengal in reducing poverty?
Answer : Land reform measures.

Question 3.How many people in India live below the poverty line?
Answer:270 million.

Question 4.In rural areas in India, the accepted average calories requirement per person per day is 
Answer : 2400 calories.

Question 5.What is the most difficult challenge faced by independent India?
Answer: Poverty

Question 6. PMRY was started in 1993, stands for _______ .
Answer: Prime Minister Rojgar Yozana
Question 7. SGSY was launched in 1999 for assisted poor families above poverty line by organising them into self-help groups. It stands for_____________?
Answer: Swarnajayanti Gram Swarozgar Yojana

Question 8. PMGY was launched in 2000 to provide rural shelter, rural drinking water, primary health, primary education and rural electrification. It stands for _______ ?
Answer: Pradhan Mantri Gramodaya Yozana

Question 9.What is poverty?
Answer: Poverty is a situation in which a person is unable to satisfy minimum basic necessities of life, i.e., food, clothing, education, shelter, health, etc.

Question 10. What are the two methods of estimating the poverty line?
Answer : There are two methods of measuring poverty line— 
Level consumption expenditure method and Income method.
Question 11.What are the two main causes of poverty in India?
Answer: Low level of economic development under the British colonial administration.A high growth rate of population.
Question 12. What is the full form of NSSO?
Answer: National Sample Survey Organisation.

Question 13.Which are the poorest states in India?
Answer: Odisha and Bihar

Question 14. How is poverty defined by the World Bank?
Answer: Poverty is defined by the World Bank as living on less than $ 1.90 per day.

Question 15.What is the major reason behind huge income inequalities?
Answer: It is the unequal distribution of land and other resources.

Question 16. Which organisation carries out survey for determining the poverty line?
Answer: National Sample Survey Organisation.

Question 17.How do you define vulnerability to poverty?
Answer: Vulnerability to poverty is a measure, which describes the greater probability of certain communities or individuals of becoming, or remaining, poor in the coming years.

Question 18. How does a country measure its poverty?
Answer:Each country uses an imaginary line that is considered appropriate for its existing level of development and its accepted minimum social norms.

Question 19. How is the food requirement estimated in poverty line?
Answer: The present formula for food requirement while estimating the poverty line is based on the desired calorie requirement. Food items, such as cereals, pulses, vegetable, milk, oil, sugar, etc., together provide these needed calories.

Question 20.What is the accepted average calorie requirement in India?
Answer: The accepted average calorie requirement in India is 2,400 calories per person per day in rural areas and 2,100 calories per person per day in urban areas.
 
 
 

Chapter-End Questions

 
Question 1: Describe how the poverty line is estimated in India?
Answer: In India poverty line is measured or calculated considering the following factors
required for subsistence:
1. Minimum level of food requirement,
2. Clothing
3. Footwear
4. Fuel and Light
5. Education and
6. Medical requirement etc.
These physical quantities are multiplied by their prices. The present formula for food
requirement is based on the desired calorie requirement. On the basis of these calculations in 1999 – 2000, the poverty line in the rural areas was fixed Rs.328 per capita per month and in urban areas, it was Rs.454. People earning more than this amount were considered above the poverty line and earning less than this amount were considered as living below the poverty line.
Question 2: Do you think that present methodology of poverty estimation is appropriate?
Answer: The present methodology of poverty estimation does not look appropriate. It only takes one factor in view and that is the economic factor. Moreover it considers about a “minimum” subsistence level of living rather than a “reasonable” level of living.
Poverty has many dimensions. It is no longer confined to economic factors alone. With
development, the definitions of what constitutes poverty also changes. Its concept has
broadened to human poverty. A few persons may have been able to feed themselves but if they are without education, without shelter, without health-care, without job security,
without self-confidence, without social equality, they are considered poor. If poverty is to be removed in real sense and the people are to be brought above the poverty line, not only that we need to increase their income but also, we have to provide the people with
education, shelter, health-care, job-security, respect, dignity all.
Question 3: Describe poverty trends in India since 1973?
Answer: As per the data, there is a substantial decline in poverty ratio in India from 55
percent in 1973 to 36 percent in 1993. There was further decline from 36 percent in 1993 to 26 percent in 2000. Although the number of poor people remained stable (about 320
million) in the earlier two decades (1973 to 1993), there was significant reduction in the
number of the poor to about 260 million till 2000.It may also be noted that poverty ratio
always remained higher in rural areas compared to urban areas. If the present trend
continues, the people below poverty line may come down to less than 20 percent in the
next few years.

Question 4: Discuss the major reasons for poverty in India?
Answer: The major reasons for poverty in India are:
•Colonial Rule: India went through a long phase of low economic development under
the British colonial administration. The policies of the colonial government ruined
traditional handicrafts and discouraged development of industries like textiles.
• High growth in Population: The rapid growth of population, particularly among the
poor, is considered one of the major causes behind Indian poverty. Poor people are
illiterate and have traditional outlook. Hence, they are either ignorant of birth
control measures or not convinced of the need of birth control. Moreover, they
consider male child as an asset, that is, as a source of income and a source of
security during old age.
• Low Rate of Economic Development: The actual rate of growth in India has always
been below the required level. It has been around 4 per cent since 1951. This has
resulted in less job opportunities. This was accompanied by a high growth rate of
population.
•Unemployment: Another important factor that can be held responsible for the
incidence of high poverty in India is the high degree of unemployment and
underemployment. The job seekers are increasing at a higher rate than the increase
in the employment opportunities.
•Unequal Distribution: Although national income of India has been increasing since
1951, it was not properly distributed among different sections of the society. A large
proportion of increased income has been pocketed by a few rich. They become
richer. Consequently, the majority of people have to live below the poverty line.
•Social Factors: Various social factors, viz., caste system, joint family system, religious
faiths, law of inheritance, etc., have blocked the path of economic development.
Question 5: Identify the social and economic groups which are most vulnerable to poverty
in India.
Answer: Social Groups Vulnerable to Poverty:
• Scheduled caste households
•Scheduled tribe households
Economic Groups Vulnerable to Poverty:
•Rural agricultural labour households
• Urban casual labour households
Question 6: Give an account of interstate disparities of poverty in India.
Answer: The proportion of poor is not the same in every state. Though there has been a
decline in poverty in every state from the early seventies, the success rate of reducing
poverty has varied from state to state. In 20 states and union territories, the poverty ratio is less than the national average of 26. In others, the poverty ratios are higher than the
national average. Among these, Orissa and Bihar continue to be the two poorest states with poverty ratios of 47 and 43 per cent respectively. Both rural and urban poverty are quite high in these states. On the other hand, states like Tamil Nadu, Andhra Pradesh, Gujarat, Kerala, Punjab and Jammu and Kashmir and West Bengal have shown a significant decline in poverty. Public distribution of food grains, focus on human resource development, high agricultural development and land reform measures are some of the factors responsible for the decline in poverty in these states.

Question 7: Describe global poverty trends.
Answer: The proportion of people in developing countries living on less than $1 per day has fallen from 28 per cent in 1990 to 21 per cent in 2001. There has been a substantial
reduction in global poverty since the nineteen eighties. However, the reduction in poverty is marked with great regional differences. Due to rapid economic growth and massive
investment in human resource development, poverty declined substantially in China and
Southeast Asian countries.On the other hand, in South Asian countries (India, Pakistan, Sri Lanka, Nepal, Bangladesh, Bhutan), the decline has not been as rapid. While the ratio of poverty in Latin America has remained the same, in sub-Saharan Africa, poverty has risen from 41 per cent in 1981 to 46 per cent in 2001. According to the world development report of 2001, countries like Nigeria, Bangladesh and India still have a large percentage of people living under poverty.Poverty has also resurfaced in some of the former socialist countries like Russia, where officially it was non-existent earlier.
Question 8: Describe current government strategy of poverty alleviation?
Answer: Removal of poverty has been one of the major objectives of Indian developmental strategy. The current government strategy of poverty alleviation is based on two planks:
(1) Promotion of Economic Growth
(2) Targeted Anti-poverty Programmes
Some of the anti-poverty programmes undertaken by government at present are discussed below:
• Prime Minister’s Rozgar Yojana (PMRY): Started in 1993, this programme aims to
create self-employment opportunities for educated unemployed youth in rural areas
and small towns.
• Pradhan Mantri Gramodaya Yojana (PMGY): Launched in 2000, this aims to create
and improve basic services like primary health, primary education, rural shelter, rural
drinking water and rural electrification.
• National Food for Work programme (NFWP): Launched in 2004 in 150 most
backward districts of the country, this programme is open to all rural poor who are in
need of wage employment and desired to do manual unskilled work.

•National Rural Employment Guarantee Act (NREGA):This act was passed in
September 2005. The act provides 100 days assured employment every year to every
rural household in 200 districts. Later, the scheme will be extended to 600 districts
and also one third to the proposed jobs would be reserved for women.
Question 9: Answer the following questions briefly
(i) What do you understand by human poverty?
Answer (i): Human poverty is a concept that goes beyond the limited view of poverty as lack of income. It refers to the denial of political, social and economic opportunities to an
individual to maintain a “reasonable” standard of living. Illiteracy, lack of job opportunities,
lack of access to proper healthcare and sanitation, caste and gender discrimination, etc., are all components of human poverty.
(ii) Who are the poorest of the poor?
Answer (ii): Women, children (especially the girl child) and elder people in a poor family are regarded as the poorest of the poor because they are systematically denied equal access to resources available to the family.
(iii) What are the main features of the National Rural Employment Guarantee Act 2005?
Answer (iii) : Main features of the National Rural Employment Guarantee Act 2005:
•The Act assures 100 days employment every year to every household.
• Initially covering 200 districts, the Act would be extended later on to cover 600
districts.
•One-third of the jobs are reserved for women.