Poverty

Points of Discussion
 What is poverty?
 Types of Poverty.
 Causes of Poverty.
 Effect of Poverty on Economy.
 Effect of Poverty on Social Sectors.
 How can we eradicate poverty?

What is Poverty?
 Poverty is general scarcity or the state of one who lacks a certain amount
of material possessions or money. It is a multifaceted concept, which
includes social, economic, and political elements.
 According to the UN, poverty is "denial of opportunities and choices most
basic to human development - to lead a long, healthy, creative life and
to enjoy a decent standard of living, freedom, dignity, self-esteem and
respect from others.“
 The World Bank and international community usually regards $2/day as
the standard for those living in poverty, per year this would be $730 USD.

What is Poverty?

Types of Poverty
 Absolute poverty or destitution refers to the lack of means necessary to
meet basic needs such as food, clothing and shelter. Absolute poverty is
meant to be about the same independent of location.
 Relative poverty occurs when people do not enjoy a certain minimum
level of living standards as compared to the rest of society and so would
vary from country to country, sometimes within the same country.

Factors affected by poverty
Factors usually discussed when regarding poverty are
 Education
 Sanitation
 Availability of food
 Clean water
 Health
 Employment

Causes of Poverty.
 The causes of poverty include changing trends in a country’s economy,
lack of education, high divorce rate which causes feminization of poverty,
having a culture of poverty, overpopulation, epidemic diseases such as
AIDS and malaria, and environmental problems such as lack of rainfall.
 The International Food Study Institute had a brief on a collection of
extensive studies that analyzed the causes of poverty, analyzing
household data and reviewing empirical research in 20 countries. They
found that some of the major causes of poverty were the inability of poor
households to invest in property and education, limited access to credit,
in some cases these instances produce more poverty via inherited
poverty. The systematic exclusion of ethnic minorities, scheduled castes,
tribes, women and people with disabilities and health issues. Persistence of
poverty is partially attributed to these classes not having access to
institutions and markets.

Causes of Poverty
 War & political instability
 National Debt
 Discrimination and social inequality
 Vulnerability to natural disasters
 Lack of education
 Natural disasters
 Lack of money
 No opportunities provided
 Over population

Major causes of extreme poverty
 Hunger & Malnutrition
 Limited access to quality health care
 Insufficient access to sanitary water
 Limited education

Effects of poverty
 Economic disability
 High Mortality Rates.
 Increased health risks and perpetuation of epidemics such as HIV/AIDS
and Malaria.
 Hampers children’s ability to grow & develop properly and contributes to
a cycle of poverty
 Inhibits education and social advancement
 Increased armed conflict

Almost half the world — over three billion people — live on less than
$2.50 a day.

FACTS about poverty
 1.4 BILLION people in developing countries live on $1.25 or less
 3 out of every 4 people live on less than $1.25 a day
 22,000 children die every day due to poverty
 8 MILLION people die from lack of food and nutrition – about 24,000 deaths
each day .
 60% of world’s hungry are women.
 Lack of proper maternal care results in 300,000 maternal deaths annually 1 out
of 6 infants are born with a low birth rate in developing countries.
 Malnutrition causes 1/3 of all child deaths resulting in 2.6MILLION deaths per
year.
 Every 5 second a child dies of hunger related diseases.

FACTS about poverty
 98% of the world’s undernourished people live in developing countries.
 2/3 of the worlds hungry people live in just 7 countries: BANGLADESH,
CHINA, DEMOCRATIC REPUBLIC OF CONGO, ETHIOPIA, INDIA, INDONESIA
and PAKISTAN.
 35MILLION people are living with HIV/AIDS out of which 65% are women.
 More than 11MILLION children die from preventable health issues such as
malaria, Diarrhea and pneumonia.

How can we eradicate poverty
Priority actions on poverty eradication include:
 Improving access to sustainable livelihoods, entrepreneurial opportunities and
productive resources;
 Providing universal access to basic social services;
 Progressively developing social protection systems to support those who
cannot support themselves;
 Empowering people living in poverty and their organizations;
 Addressing the disproportionate impact of poverty on women;
 Working with interested donors and recipients to allocate increased shares of
ODA to poverty eradication; and
 Intensifying international cooperation for poverty eradication.

Policy for eradication of Poverty
We will make two types of policies
 Long term
 Short term

Short term policy
For the quick eradication of Poverty we have to give money in hand of
people for this we have to improve our economy and if we want to improve
our economy then we have to increase factors of production. According to
the economist we can easily develop or improve capital in factors of
production by taking loans and investing them in economy.

Short term policy
We can use following this for this
 Giving business loans to general public
 Ease to start business
 Low interest rates
 By using expansionary fiscal policy (launching mega projects)
 International trade promotion
 Microfinancing

Virtuous Circle of empowerment

Long Term
Poverty is passed from one generation to the next. Through our work, Plan
International gives children, families and communities the tools they need to
break the cycle of poverty. These tools include:.
 Quality education provides children with the knowledge and life skills they
need to realize their full potential, and is essential to creating change in a
child’s life. Plan International helps by training teachers, building new schools
and breaking down barriers that prevent many children – and girls in particular
– from attending school.
 Access to health care is essential. Plan International helps communities build
health clinics, train health care workers and invest in equipment and
medicine, so children can grow up healthy and strong.
 Population control : The tragedy is that with a population of about 4 billion our
world could sustain its environment and defeat poverty. So, unpleasant as the
conclusion is, there is only one solution to our problem.

Long Term
 Water and sanitation are also essential for every child’s survival. Each year,
Plan helps communities build school latrines, community water points and
helps to establish organizations to ensure the continued management and
maintenance of water points.
 Economic security: Plan works to overcome poverty by helping communities
around the world gain the economic security they need to thrive. Plan
International is training people living in poverty to acquire the skills and
knowledge they need to secure a livelihood, and support their families.
 Child participation: Plan helps children learn their rights and take active roles
within their community. Child participation helps children engage in
citizenship, express their views and make decisions that will shape their future
and influence the people around them.

Recalling the solutions
 Creating Good Jobs
 Educating Women
 Raising Wages
 Microfinancing
 Gender Equality
 Transparency in Government Spending
 Canceling National Debts
 Access to Heath Care
 Access to Clean Water and Sanitation
 Nutrition, Especially in Infants

Thank you

Group 1
 Muhammad Arif Hassan
 Zeeshan Ali
 Ali Irshad
 Usman Ihsan
 Abdul Musawir
 Sidra Zaheer Khan