Introduction

India is officially called the Republic of India . It's located in South Asia . It is the seventh largest
country by area as well as it states the second stage in the world by population .The population of
India consists of over 1.2 billion. India has a very deep history and it had undergone many more
events which are effected India’s social and economic life .India was very slow about economical
status recently years due to internal and external problems.. But nowadays we can see that after
market based economic reforms (1991) India is one of the fastest growing major economies in the
world. Moreover it has already become a strong industrialized
country among the developing countries.

The country became the highest level and amazing

achievements on the telecommunication industry, automotive
industry, and the pharmaceutical industry.

Indian economy world’s tenth- largest economy based on

nominal GDP. It is also very good about ,, purchasing power
parity ‘’( the third largest ). In spite of these successes India is
still facing the problems and the challenges such as: poverty, illiteracy, corruption,
malnutrition and inadequate public health care as well.

Five objectively plan of India ( 2007-2012 )

Income & Poverty

 Increase agricultural GDP growth rate to 4% per year to ensure a broader spread of benefits
 Create 70 million new work opportunities.
 Reduce educated unemployment to below 5%.
 Raise real wage rate of unskilled workers by 20 percent.
 Reduce the headcount ratio of consumption poverty by 10 percentage points
Poverty In India

It is absolutely impossible to say that , there is a country which is very perfectly and full rich
economic life. Every country has own economic, political and social problems. On this basis we are
able to say poverty also omnipresent. Here, we will discuss poverty status in India. How would go
poverty outcomes in India? How well economical condition of household and etc.

Regardless of strong industry and much better economic growth rate of India , there are a lot of
social and economical problems. One of the such as problems is poverty. Poverty in India is
prevalent with the nation estimated to have a third of the world’s poor

According to 2010 data from the United Nations Development Program, an estimated 37.2% of
Indians live below the country's national poverty line. A 2010 report by the Oxford Poverty and
Human Development Initiative (OPHI) states that 8 Indian states have more poor people than 26
poorest African nations combined which totals to more than 410 million poor in the poorest African
countries.

Causes of poverty in India

The most main causes are a higher population growth rate and going down of the agriculture. While
service and industry was increasing intensity agriculture growth rate has fallen down from 4.2 % to
2%. It was a really bad situation for India. Because about 60 % population lives depended on
agriculture. Furthermore That is, agriculture plays an important role in GDP growth by
approximately 18%. It has been mentioned the most main causes for causing of poverty In India. At
the same time its considered several causes of poverty in India.

The following reasons can be caused to the highest poverty status in the country.

1) 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 the agricultural sector. This brought a
downfall in their standard of living.
 2) 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 services. The net result is
poverty.

3) Price Rise:

The continuous and steep price rise has added to the miseries of the poor. It has benefited a few
people in the society and the persons in the lower income group find it difficult to get their
minimum needs.

4) Unemployment:

Continuously expanding the 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.

5) Shortage of Capital and Able Entrepreneurship:

Capital and able entrepreneurship have an important role in accelerating the growth. But these are in
short supply making it difficult to increase production significantly.