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All about Below Poverty Line

[ecis2016.org] In this article, understand about below poverty line and the various causes of it in India

BPL full form is Below Poverty Line. BPL is an economic benchmark tied to a certain level of income, determined by the Government of India. It can assist in identifying financially disadvantaged individuals and households in immediate need of government assistance.

Below poverty line: What is it?

The government uses many indicators to identify those living below the poverty line (BPL). These criteria may differ between rural and urban locations. Various countries use different factors and methods to define poverty. The Suresh Tendulkar Committee defined the poverty line in India in 2011. It was calculated by using monthly expenses for food, education, health, transportation, and power. According to this committee, a person who spends Rs 33 per day in urban regions and Rs 27 per day in rural areas is considered poor.

BPL: Causes of poverty in India

  • Reduced resource utilisation

Underemployment, concealed unemployment of human resources and inefficient resource management, have resulted in low agricultural productivity, causing a decrease in their standard of living.

 

  • A rapid pace of economic development

The rate of economic development in India is far below what is required for a good level. As a result, there is still a disparity between the degree of availability and the demand for products and services. Poverty is the end effect.

  • Scarcity of capital and capable entrepreneurship 

Much-needed finance and long-term entrepreneurship play critical roles in boosting growth. However, these are in short supply of money, making it difficult to boost production.

 

  • Factors of society

Our country’s social structure is extremely backward in comparison to the rest of the world, and is not conducive to faster progress. The caste system, inheritance law, rigid traditions and practices are impeding speedier progress and exacerbating the poverty problem.

 

  • Uneven income distribution

Simply increasing productivity or reducing the population can not alleviate poverty in our country. We must recognise that disparity in income distribution and wealth concentration must be addressed. The government can reduce income disparity and keep the economy in check.

 

  • Regional deprivation

India is divided by an unequal distribution of poverty in several states, such as Nagaland, Orissa, Bihar etc. The administration should provide special benefits and incentives to encourage private capital investment in underserved areas.

Source: https://ecis2016.org/.
Copyright belongs to: ecis2016.org

Debora Berti

Università degli Studi di Firenze, IT

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