Causes of poverty

8,779 views

Published on

Published in: Career
1 Comment
5 Likes
Statistics
Notes
  • who was the author of this article
       Reply 
    Are you sure you want to  Yes  No
    Your message goes here
No Downloads
Views
Total views
8,779
On SlideShare
0
From Embeds
0
Number of Embeds
2
Actions
Shares
0
Downloads
228
Comments
1
Likes
5
Embeds 0
No embeds

No notes for slide

Causes of poverty

  1. 1. TABLE OF CONTENTS1 INTRODUCTION2 CAUSES2.1 LACK OF EDUCATION2.2 LARGE SCALE IMPORT2.3 DIVISION OF AGRICULTURAL LAND2.4 MORAL CULTURE2.5 GOVERNMENT POLICIES2.6 CORRUPTION2.7 PRIVATIZATION2.8 OVERPOPULATION2.9 UNEMPLOYMENT2.10 LAW AND ORDER2.11 LOW NATIONAL INCOME2.12 INCREASE IN UTILITY CHARGES2.13 INFLATION2.14 IMPOSITION OF TAX
  2. 2. 2.15 NONPRODUCTIVE EXPENDITURES2.16 LOW LIVING STANDARD2.17 LANDLORDISM2.18 LOW LIVING STANDARDS2.19 NEPOTISM2.20 BACKWARD INFRASTRUCTURE2.21 LOW RATE OF CAPITAL FORMATION3 EFFECTS3.1 CHILD LABOUR IN PAKISTAN3.2 CRIMES AND VIOLENCE3.3 HEALTH PROBLEMS3.4 MORAL AND RELIGIOUS VALUES3.5 HOMELESSNESS3.6 SHORTER LIVES3.7 CHILDREN ANTISOCIAL BEHAVIOUR3.8 HUNGER4 SOLUTIONS
  3. 3. 4.1 ENSURING RESOURCES FOR POOR:4.2 BY EMPOWERING THE POORS4.3 EQUAL ACESS OVER MARKETS:4.4 INCREASING AGRICULTURE4.5 DEVELOPMENT IN CONSTRUCTION4.6 ROLE OF MICROFINANCE4.7 HEALTH FACILITIES4.8 POVERTY ELIMINATING PROGRAMMES4.9 ECOCOMIC GROWTH4.10EDUCATION4.11POPULATION4.12DEVELOPMENT OF AGRICULTURAL LAND
  4. 4. IntroductionThe word poverty derived from Latin word “pauper” means “poor”. Poverty refersto the condition of not having the means to afford basic human needs such as cleanwater, nutrition, health care, clothing and shelter. Poverty is the condition ofhaving fewer resources or less income than others within a society or country, orcompared to worldwide averages. Poverty is one of the major social problems whichPakistan is facing. It is one of the most important and sensitive issue not only forPakistan but for the whole world. Poverty can cause other social problems liketheft, bribe, corruption, adultery, lawlessness, injustice etc.It is the fundamental duty and responsibility of the country to fulfill the basicneeds of its people. Basic needs of man comprises of shelter, food and clothing.When these needs are not fulfilled they bring about problems termed as socio-economic problems. Pakistan has also been suffering from these problems. The realissue is not the presence of these problems in the society. But the extent to whichthey are being paid attention and solved. When these problems are not met timelythe results in the form of deviant behavior, drug abuse, smuggling, corruption,poverty, illiteracy and many other social evils.Poverty Condition in PakistanPoverty has been one of the biggest problems that Pakistan faces today. It isrightly said that poverty anywhere is a threat to prosperity everywhere. Nearly 60per cent of the population of Pakistan lives in villages.According to an analysis, poverty has increased roughly from 30% to 40% duringthe past decade. It means that 40 per cent of the country‟s population is earningtheir livelihood below the poverty line. In such condition people are depressed oftheir basic necessities of life. Proper education and medicine are becoming distantfrom them. They are forced to think of their survival only of due to poverty andunemployment, parents instead of sending their children to schools, prefer childlabor for them. They make them do so to support their family and use them asearning hands from the early age.
  5. 5. Causes of poverty Lack of education: The literacy rate of Pakistan is very low. Most ofpeople do not have any concept about the modern earning sources. Mostpeople are unable to adopt technology for their business needs, that‟s whybusiness do not meet international standards and results as decrease inrevenue which lead the society to poor financial conditions. Large Scale Import:The import of Pakistan is greater than export. Bigrevenue is consumed in importing good every year, even raw material has toimport for industry. If we decrease import and establish own supply chainsfrom our country natural resources the people will have better opportunitiesto earn. Division of Agricultural land:Pakistan is an agricultural country.Most of people are farmers by profession. One has land which is fulfillingthe needs of his family but he has to divide the land into his children whenthey got young. After division the land is not sufficient to support a family.Now the families of his children are suffering and spending their lives belowpoverty line. Moral Culture:The main reason for poverty is the social dishonesty andirresponsible behavior of people. Every one is trying to get rich by usingunfair means. A shop keeper is ready to get whole money from the pocket ofcustomer. People doing jobs are not performing their duties well. In societythe man considered brave or respectful who do not pay taxes or continuouslyviolate the laws. This irresponsible behavior continuously increases andproduces loss for the country. Government Policies:Government is not well aware of presentconditions of country. The policies of government are base on thesuggestions of officials which do not have awareness about the problems of
  6. 6. a common man. After implementation the policies do not get effective result.After the failure of one policy, government does not consider its failure andannounces another policy without studying the aftermaths of last one. Heavytaxes and unemployment crushes the people and they are forced to livebelow poverty line. Corruption:Another cause of poverty is corruption. Every one is trying toearn more and more by using fair and unfair means.Only one relationship thatis exists in society is money. One has to pay a heavy cost to get his right.Justice can be bought by money only. But government is unable to controlsuch type of things. In this whole scenario some corrupt people has beenoccupying the resources and common man is living in miserable conditions. Privatization:Government is unable to manage the departments andcountry has low reserve assets. So some companies run by government aresold to foreign investors. The services provided by the companies arebecoming costly. For example if government sold a gas plant then prices forgas in country rises. Overpopulation:The growth rate of population in Pakistan is very highand is among the highest in the world. Since 1947, the population has becomemore than triple. Pakistan is almost touching 180 million marks.With limitedresources it is very difficult to control the growing population.The massivelyincreasing population has almost outstripped the resources in production,facilities and in job opportunities. Unemployment:Pakistan is poorly faced with the problem ofunemployment. The existing unemployment rate is 15%. Thousands of youngdoctors, engineers and other educated people are out of job. There are noopportunities for youth to utilize their capabilities or abilities in rightdirection.In this way rate of poverty increases. Law and Order:There are lot of problems regarding law and order.Terrorist attacks create uncertainty in stock markets and people earningfrom stock are getting loss due to which the whole country faces uncertainincrease in commodity prices.
  7. 7.  Low National Income:Poverty in Pakistan is also the result of low levelof national income. Low level of national income means low level of saving andlow level of investment. All these factors contribute toward poverty. Increase in Utility Charges:Utility charges like water, gas,electricity, telephone bills etc. are increasing day by day in Pakistan. Moreutility charges lead to reduction in the saving of population and its result ispoverty. Inflation:High rate of inflation is an extra reason for poverty. Due toinflation much amount of money is not enough to purchase much amount ofgoods and services. Inflation decreases the savings and investments of poorpeople and they remain poor. Rate of inflation is 13.3 %. Imposition of Taxes:Government has to impose taxes to raise itsrevenue. Imposition of taxes reduces the disposable income of people.Hencepoverty increases. Non-Productive Expenditures:Government has to make a lot ofunproductive expenditures on social heads and to make strong defence.These high expenditures are also a reason of poverty. Low Living Standard:Pressure of foreign counties in our economicactivities, backward standard of productivities and improper basic facilitiesto population reduce the living standard of population. Low living standard isa symbol of poverty. Landlordism:Ignorant but big landlords control our whole economy. Theyhave no sense of social welfares. In government they take those actions thatare in their personal interests. Nepotism:Nepotism means the murder of talent and abilities. It refersto the employment opportunities according to relation not according to theworth. If population is poor but is talented it remains poor due to nepotism. Backward Infrastructure:Non-availability or availability ofbackward infrastructure is also an additional reason of poverty. Low level ofeducation, backward state of technology, poor health, inefficiency of labourand poor system of transportation & communication are caused in poverty.These entire things create no attraction for investment.
  8. 8.  Low Rate of Capital Formation:Rate of capital formation inPakistan is very low. Low rate of capital formation means low opportunitiesof employment, low level of productivity and deficit in balance of paymentthat leads to poverty. Rate of capital formation is just 5 % and it should bemore than 20 %.Effects Child labour in Pakistan:The first and most immediate effects ofpoverty in Pakistani society that people do not send their children to schools.As we know that "the childs parents tomorrow" if our children are growinglabourer not only our present society, but face problems in the future. InPakistan, nearly 4 million children 5-14 years of age group go (Federal Bureauof Statistics) to work.The poverty of his formative years in the undergroundmines, the work is very dangerous places to work at 50 V, etc., cementindustry, tobacco production, processing, and more with live electricalfailure could force the dissolved Crimes and violence:Direct impact on poverty, crime and violence inPakistan. Human Trafficking of the most common form of (violence)prostitution, which is run mostly by poverty. According to the survey, thepoor men of violence on his wife for the purposes of the income. Womenselling their bodies by their family members are forced to earn something.Street crime, but the final impact on poverty in Pakistan. Health Problems:Poor people are suffering from many diseases. Theydo not care enough resources. Pakistan ranks 135th out of 194 countries forthis reason that the life expectancy at birth of the index. In Pakistan, thelife expectancy rate at birth is 65 years or less. When the Westerncountries it is 80 + years as Japan, Hong Kong, Australia, Switzerland,Iceland, etc. Diseases are more widely spread because poor people cannotafford hygienic foods and pure drinking water which is much expensive.
  9. 9. I. Many infants born into poverty have a low birth weight, which isassociated with many preventable mental and physical disabilities. Notonly are these poor infants more likely to be irritable or sickly, theyare also more likely to die before their first birthday.II. Poor families experience much more stress than middle-class families.Besides financial uncertainty, these families are more likely to beexposed to series of negative events and “bad luck,” including illness,depression, eviction, job loss, criminal victimization, and family death. From a moral and religious values – Track:poor people can veryeasily in the state of poverty break our ethical and moral codes. They donot care for the moral or religious value. Good for them is that theirrequirements and needs. Homelessness:Homelessness, or extreme poverty, carries with it aparticularly strong set of risks for families, especially children. Homelesschildren are less likely to receive proper nutrition and immunization. Theyexperience more health problems. Homeless women experience higher ratesof low-birth-weight babies, miscarriages, and infant mortality, probably dueto not having access to adequate prenatal care for their babies. Homelessfamilies experience even greater life stress than other families, includingincreased, family relationships, and friendships. Shorter lives:A universal and simple measure of poverty consists inlooking at different populations‟ health and life expectancy.It‟s no surprise that anywhere on earth, poorer communities are far worsethan richer ones.But peoples health is affected not only by material povertybut also by social exclusion, yet another of the neglected effects of poverty.No matter if poverty affects someones mental or physical health, the endresult is the same: on average the poor live shorter lives than the rich. Children antisocial behaviour:One of the effects of poverty onchildren‟s development is to lead them to build an antisocial behavior thatacts as a psychological protection against their hostile environment.Discrimination and social exclusion often push them to more aggressivenessand less self-control and nuance in reaction to stressful events. Having oftenbeen taken advantage of in their early childhood, they rarely come to aconstructive way to deal with conflicts. As they grow up, these behaviors are
  10. 10. more and more entrenched in their personalities and often consideredunrecoverable. This highlights the importance of taking action as early aspossible. Hunger:Rises in the costs of living making poor people less able to afforditems. Poor people spend a greater portion of their budgets on food thanricher people.Every year nearly 11 million children living in poverty die beforetheir fifth birthday. 1.02 billion people go to bed hungry every night.Solutions ENSURING RESOURCES FOR POOR:The government should think that all it needs to do to reduce povertyis to allocate more resources to the poor or to the local governmentswho are supposed to „represent‟ them. BY EMPOWERING THE POORS:Similarly some of the large NGOs operating in many different districtspursue poverty alleviation by trying to provide micro credit to the poor.Increased resources by the government or micro credit by NGOs maybe a necessary but is not a sufficient condition for overcoming poverty.Thus the analysis and evidence within this new poverty paradigmsuggest that the key to overcoming poverty is to empower the poor toget better access over markets, governance, and the institutions thatprovide public services such as health care, education and justice. EQUAL ACESS OVER MARKETS:The new survey evidence shows that the poor lose as much as one-third of their income due to unequal access over input and outputmarkets and extortions by the local administration. For example, as
  11. 11. much as 51 percent of the extremely poor tenants borrow money fromthe landlord.so the poor should get equal access over input and outputmarkets. INCREASING AGRICULTURE:Focus should be given to boost agriculture (agro-industry, agri-business and live stocks) to reduce poverty. It is recommended thatincentives and subsidies should be given to the farmers to producemore output. It promotes jobs, increases income of the farmers,creates domestic demand for goods and services, help for controllingfood inflation and improve the life of vulnerable segments of thesociety. DEVELOPMENT IN CONSTRUCTION:The Construction industry is the driving force of an economy becauseit accommodates skilled, semiskilled, and unskilled work force andcontributes through a higher multiplier effect with the forward andbackward linkages in the economy. The construction industry throughlinkages effect, with about 40 building material industries, supportinvestment and growth climate and help reducing poverty bygenerating income opportunity for poor household. ROLE OF MICROFINANCE:The role of microfinance should be strengthened. The poor usefinancial services not only for business purpose but also invest inhealth and education to manage household emergencies. HEALTH FACILITIES:The evidence shows that health is a major trigger that pushes peopleinto poverty and the poor into deeper poverty. Due to the inadequacyof the government‟s health facilities, as many as 85 percent of thepoor go to private allopathic medical practitioners for treatment.sogovernment should provide equal medical facilities across the country. POVERTY ELIMINATING PROGRAMMES:Targeted poverty alleviation programmes, for instance directtransfers, such as Zakat, nutritional programs for children,
  12. 12. employment generation through infrastructure development projectsand credit based self-employment program, are helpful to reducepoverty. ECOCOMIC GROWTH:Many studies have shown that economic growth is a necessary, notsufficient condition to reduce poverty. A higher and sustainedeconomic growth must be accompanied by other poverty alleviationmeasures such as investment in human capital like education, healthand other human development activities, like safety net measures, areessential to reduce poverty. EDUCATION:Education is considered a key to change and progress, therefore focusshould be given to increase literacy rate in Pakistan.so that peoplecould understand what is better and what harm to them is. And coulderadicate unemployment and poverty. POPULATION:Rate of population must be controlled,because due to Increasingpopulation poverty rate increases. DEVELOPMENT OF AGRICULTURAL LAND;Government should develop agricultural sector.Government shouldalso provide loans to poor farmers on easy basis .So that they canearn their livelihood.

×