Discuss the trends in poverty ratio in India.
Dear Student,
Trend of Povery in India is described below:-
| Year | Poverty Ratio | ||
|
| Rural (%) | Urban (%) | Total (%) |
| 1973-74 | 56.4 | 49.0 | 54.9 |
| 1977-78 | 53.1 | 45.2 | 51.3 |
| 1983 | 45.6 | 40.8 | 44.5 |
| 1987-88 | 39.1 | 38.2 | 38.9 |
| 1993-94 | 37.3 | 32.4 | 36.0 |
| 1999-2000 | 27.1 | 23.6 | 26.1 |
| 2004-05 comparable with 1993-94 | 28.3 | 25.7 | 27.5 |
| Estimates Source: Planning Commission Estimates (Uniform Reference Period) | |||
The above data spells out how rural poverty has declined significantly from 56.4% to 28.3% from 1973-74 to 2004-05 whereas decline in urban poverty (from 49% to 25.7%) is not so significant. Over the years, rural poor has migrated to urban areas in order to seek for better employment opportunities and better living standard. But on the other hand, since rural people lack skills and education, so the urban industrial sector fails to absorb this excess supply of labour. Consequently, these unskilled labourers form an informal sector (like rickshaw puller, barber, cobbler, etc.) that makes them even more vulnerable. Thus, the trends in poverty in India support the statement that poverty has shifted from rural to urban areas.
Regards