Causes of-poverty-presentation-on-poverty-poverty-in-pakistan by salim sahil

Poverty

Poverty

Absolute Poverty : A situation where

individuals don’t have access to basic requirements of life –Food, Shelter and Clothing

Relative Poverty : is a poverty measure

based on a poor standard of living or a low income relative to the rest of society.

Poverty Half the world’s population, about 3 billion, live on less

than $2 per day.

Malnutrition, lack of health care, substandard housing, and illiteracy breed desperation, disease and daily suffering.

Poverty traps future generations in a vicious cyclewithout hope or opportunity.

Poverty Statistics Almost 30,000 children under the age of five die

Approximately 790 million people in the developing world are chronically undernourished.

Nearly a billion people entered the 21st century unable to read a book or sign their names.

Difference between “Poor” & “Poorest”

The term “poorest” or “very poor”refers to people living on less than $1 per day orin the bottom half of those livingbelow their nation’s poverty line.

The term “poor” means those livingin poverty above $1 per day or the upper half of those living below their nation’s poverty line.

Causes of Poverty Decline in overall national

growth

Political instability

Natural disasters

Corruption

Socio-economic disparities.

Lack of access to education

Lack of infrastructure

Lack of relevant laws &administrative procedures

Lack of access to investment & credit, complete market information

Effects of Poverty

All or most of the money earned go to basic survival. There is little or no money left to improve quality of life.

Living in poverty almost always means that the harsh reality of today will repeat itself tomorrow.

Effects of Poverty, continued… Poverty breeds poverty. If one cannot afford proper

nutrition or health care for one’s family, children grow up at greater risk of acquiring a life threatening or disabling disease.

If one cannot afford to educate one’s children, it will be a repeat of their parents’ life

If one cannot afford to buy one’s own land or home or livestock, there are few opportunities to build assets that will last over time.

The 5 Poorest Countries Of The World

1. Democratic Republic of Congo (GDP – per capita: $300)

2. Republic of Liberia (GDP – per capita: $500)

3. Republic of Zimbabwe (GDP – per capita: $500)

4. The Solomon Islands (GDP – per capita: $600)

5. Republic of Somalia (GDP – per capita: $600)

Causes of Poverty In Pakistan Government Bad Policies

CORRUPTION

Inflation

Smuggling

Overpopulation

Unemployment

Lack of education

Law and order situation

Foreign Investment

Government’s Expenditures It is estimated that around 5 Crore is spent on the

security of Prime Minister and the President

Monthly expense of 1 minister = 30 Lacs, Monthly expense of 96 minister = 288000000 (28 Crore80 Lacs

CORRUPTION

It’s a condition when People forget about mortality, and don’t care about the fact if money is being earned by fair means

Only one relationship that is exists in society is money. One has to pay a heavy cost to get his right.

Institutions have failed to provide justice to common Citizens.

Inflation Poverty in Pakistan is increasing because of general

rise in prices of all products in Pakistan

Hence, it decreases purchasing power of people earning low earnings/Wages/Salaries.

Smuggling Pakistan was recently facing the shortage of sugar and

wheat due to the smuggling these items to neighboring countries.

Pakistan is the 7th largest wheat producer, it’s consumption was 20 Million ton and produced 23 million ton recently

Similarly Pakistan is the 4th largest sugarcane producing country, but due to stocking habits of it’sowners…It was facing severe sugar crises

Unemployment International Labour Organization defines, occurs

when people are without jobs and they have actively sought work

Unemployment rate in 2009was 7.40 which is doubled in 2010, the current rate is15.20%

When peoples are unemployed they consume the resources but are unable to contribution overall economy, which results in overt.

Law and Order SituationThere are lots of problem regarding Law & Order

situation in Pakistan

Terrorist attacks create uncertainty in stock marks and people earnings from stock are getting loss due to which the whole country faces uncertain increase in commodity prices

Local Industries, Firms, are unableto sign agreements with foreigninvestors due to prevailing laworder situation

Role of IMF IMF loans usually come with conditions, restrictions and

requirements imposed by IMF on the borrowing country

Pakistan is also seeking the help from IMF on very dangerous conditions which are causing more poverty in the country. Some of the conditions are Listed Below:

Put an end to subsidies on all products.

Taxes should be increased.

Govt. expenditure should be stop.

cut military spending by almost a third

Solutions to remove poverty

Govt. should make the Policies in Favor of Pakistan, and Pakistani people.

Govt. should not waste national assets and utilize them to remove the poverty

Corruption should put to an end and Judiciary should take some action against corrupt people.

Population rate should be controlled.

Govt. should make policies to provide employment to the Labor force.