Quick Revision Notes & Formula Sheet

Class: 9th
Subject: Social Science (Economics)
Chapter: Poverty as a Challenge
Board: MP Board (NCERT Based)

1. Introduction to Poverty

• What is Poverty? Poverty means hunger and lack of shelter, a situation where parents are not able to send their school-going children to school, or a situation where sick people cannot afford treatment.
• Key Indicators: Lack of clean water, lack of sanitation facilities, lack of a regular job at a minimum decent wage.
• Social Exclusion: Poverty is seen in terms of the poor having to live only in a poor surrounding with other poor people, excluded from enjoying social equality of better-off people in society.
• Vulnerability: Vulnerability to poverty is a measure which describes the greater probability of certain communities (like backward castes/tribes) or individuals (like widows or physically handicapped) of becoming or remaining poor in the coming years.

2. Poverty Line

• Definition: A common method used to measure poverty is based on the income or consumption level. A person is considered poor if their income or consumption level falls below a given "minimum level" necessary to fulfill basic needs.
• Determining the Poverty Line in India:
  • Calorie Requirement:
    • Rural areas: 2400 calories per person per day (due to higher physical work).
    • Urban areas: 2100 calories per person per day.
  • Monetary Expenditure (As per recent estimates):
    • Rural areas: Rs. 816 per person per month.
    • Urban areas: Rs. 1000 per person per month.
• NSSO (National Sample Survey Organisation): Conducts periodic surveys (usually every 5 years) to estimate the poverty line in India.

3. Causes of Poverty

Historical and economic factors responsible for widespread poverty in India:

1. Historical Reason: Low economic development under the British colonial administration, which ruined traditional handicrafts and discouraged industries like textiles.
2. High Population Growth: Rapid growth of population, particularly among the poor, makes economic growth rates less effective.
3. Unequal Distribution of Land: Unequal distribution of land and other resources despite various land reform policies.
4. Social Factors: Huge expenditure on social obligations, religious ceremonies, and caste system customs forcing people into debt.
5. Unemployment: Lack of job opportunities and widespread disguised unemployment in rural areas.

4. Anti-Poverty Measures (Government Policies)

The current anti-poverty strategy of the government is based broadly on two planks:

1. Promotion of Economic Growth
2. Targeted Anti-Poverty Programmes

Major Poverty Alleviation Programmes in India:

• MGNREGA (Mahatma Gandhi National Rural Employment Guarantee Act, 2005):
  • Provides 100 days of wage employment to every household to ensure livelihood security in rural areas.
  • One-third of the jobs are reserved for women.
• PMGY (Pradhan Mantri Gramodaya Yojana, 2000):
  • Additional central assistance is given to states for basic services such as primary health, primary education, rural shelter, rural drinking water, and rural electrification.
• NREGP (National Rural Employment Guarantee Programme, 2006):
  • Aimed to enhance livelihood security in rural areas.
• AAY (Antyodaya Anna Yojana):
  • Targeted towards the "poorest of the poor" for subsidized food grains.
• PMJJBY / PMSBY / PMJDY: Financial inclusion and insurance schemes implemented recently to protect vulnerable groups.

5. The Challenges Ahead / Future Challenges

Poverty reduction is expected to make better progress in the next ten to fifteen years due to:

• Higher economic growth.
• Increasing stress on free elementary education.
• Empowering women and the economically weaker sections of society.
• Universal free health care and sanitation.

Broader Definition of Poverty: Poverty must be redefined from "minimum subsistence level of living" to "human poverty". A large number of people may be able to feed themselves, but do they have education? Do they have shelter? Are they free from caste and gender discrimination? True poverty eradication means achieving human dignity for all.