GS Mains Model Question & Answer: What are the main
causes of Poverty in India?Discuss. Comment
Q. What are the main causes of Poverty in India?
What are the main causes of Poverty in India?Discuss.
Ans. Poverty is one of the main issues, attracting the attention of sociologists
and economists. It indicates a condition in which a person fails to maintain a
living standard adequate for a comfortable lifestyle.
Though India boasts of a high economic growth, it is shameful that there is
still large scale poverty in India. Poverty in India can be defined as a
situation when a certain section of people are unable to fulfill their basic
needs. India has the world’s largest number of poor people living in a single
country. Out of its total population of more than 1 billion, 350 to 400 million
people are living below the poverty line. Nearly 75% of the poor people are in
rural areas, most of them are daily wagers, landless laborers and self employed
house holders. There are a number of reasons for poverty in India.
1. Rapidly Rising Population : The population during the last 45 years has
increased at the rate of 2.2% per annum. On average 17 million people are added
every year to its population which raises the demand for consumption goods
2. Low Productivity in Agriculture : The level of productivity In agriculture is
low due to subdivided and fragmented holdings, lack of capital, use of
traditional methods of cultivation, illiteracy etc. This is the main cause of
poverty in the country.
3. Under Utilized Resources : The existence of under employment and disguised
unemployment of human resources and under utilization of resources has resulted
in low production in agricultural sector. This brought a down fall in their
standard of living.
4. .Low Rate of Economic Development: The rate of economic development in India
has been below the required level. Therefore, there persists a gap between level
of availability and requirements of goods and inrvices. The net result is
6. Price Rise : The continuous and steep price rise has added to the miseries of
poor. It has benefited a few people in the society and the parsons in lower
income group find it difficult to get their minimum needs.
7. 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 opportunities.
8. Shortage of Capital and Able Entrepreneurship : Capital and able
entrepreneurship have important role in accelerating the growth. But these are
in short supply making it difficult to increase production significantly.
9. Social Factors : The social set up is still backward and is not conducive to
faster development. Laws of inheritance, caste system, traditions and customs
are putting hindrances in the way of faster development and have aggravate” the
problem of poverty.
10. Political Factors : The Britishers started lopsided development in India and
reduced Indian economy to a colonial state. They exploited the natural resources
to suit their interests and weaken the industrial base of Indian economy.
In independent India, the development plans have been guided by political
interests. Hence, the planning a failure to tackle the problems of poverty and