1 minEconomic Concept
Economic Concept

Poverty

What is Poverty?

Poverty is a state of deprivation characterized by a lack of essential resources and capabilities, including food, shelter, healthcare, education, and access to basic services. It can be absolute (lack of basic necessities) or relative (being poor compared to others in society).

Historical Background

Poverty has been a persistent challenge in India since independence. Various poverty alleviation programs have been implemented over the years, including the Integrated Rural Development Programme (IRDP), the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA), and the National Food Security Act (NFSA).

Key Points

7 points
  • 1.

    Measured using various methods, including the poverty line (based on income or consumption expenditure).

  • 2.

    The Tendulkar Committee and the Rangarajan Committee have provided different estimates of poverty in India.

  • 3.

    Multidimensional Poverty Index (MPI) considers multiple deprivations in health, education, and living standards.

  • 4.

    MGNREGA guarantees 100 days of wage employment to rural households.

  • 5.

    NFSA provides subsidized food grains to a large section of the population.

  • 6.

    Poverty is linked to various factors, including lack of education, unemployment, social discrimination, and regional disparities.

  • 7.

    Sustainable Development Goal (SDG) 1 aims to end poverty in all its forms everywhere.

Visual Insights

Evolution of Poverty Alleviation Programs in India

Key milestones in India's fight against poverty.

India has a long history of implementing various poverty alleviation programs, evolving from rural development schemes to rights-based legislation.

  • 1978Integrated Rural Development Programme (IRDP) launched
  • 1989Jawahar Rozgar Yojana (JRY) launched
  • 1993Employment Assurance Scheme (EAS) launched
  • 2005Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) enacted
  • 2013National Food Security Act (NFSA) enacted
  • 2015Pradhan Mantri Jan Dhan Yojana (PMJDY) launched
  • 2026Continued focus on MGNREGA and NFSA with increased budgetary allocations debated

Understanding Poverty in India

Key dimensions and interconnected factors contributing to poverty.

Poverty

  • Causes
  • Types
  • Measurement
  • Government Schemes

Recent Developments

5 developments

Government initiatives to promote financial inclusion and access to credit for the poor.

Focus on skill development and employment generation to address unemployment-related poverty.

Efforts to improve healthcare and education outcomes for the poor.

Use of technology and data analytics to identify and target vulnerable populations.

Impact of COVID-19 pandemic on poverty levels and the need for targeted interventions.

Source Topic

Budget Analysis: Prioritizing Elites Over Addressing Core Societal Needs

Economy

UPSC Relevance

Important for UPSC GS Paper 3 (Economic Development) and GS Paper 2 (Social Justice). Questions related to poverty, its causes, consequences, and government initiatives are frequently asked in both Prelims and Mains.

Evolution of Poverty Alleviation Programs in India

Key milestones in India's fight against poverty.

1978

Integrated Rural Development Programme (IRDP) launched

1989

Jawahar Rozgar Yojana (JRY) launched

1993

Employment Assurance Scheme (EAS) launched

2005

Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) enacted

2013

National Food Security Act (NFSA) enacted

2015

Pradhan Mantri Jan Dhan Yojana (PMJDY) launched

2026

Continued focus on MGNREGA and NFSA with increased budgetary allocations debated

Connected to current news

Understanding Poverty in India

Key dimensions and interconnected factors contributing to poverty.

Poverty

Lack of Education

Unemployment

Absolute Poverty

Relative Poverty

Poverty Line

Multidimensional Poverty Index (MPI)

MGNREGA

National Food Security Act (NFSA)

Connections
CausesTypes
TypesMeasurement
MeasurementGovernment Schemes