Poverty means the state of being extremely
poor or the state of being inferior in
quality or insufficient in amount.
It is a condition where people's basic needs for food,
clothing, and shelter
are not being met. Poverty is generally of two types:
(1) Absolute poverty and (2) Relative poverty.
Absolute
poverty or
destitution involves a lack
of basic necessities including food, clothing sanitation, shelter, health care and education.
[The
countries should try to eradicate (remove) this from the country]
Relative
poverty or economic inequality occurs when people have less income than other people
in the country/unable to participate fully in the normal activities of their
society.
[The countries should try to reduce this with in the country]
Measures to reduce poverty
The major measures
to reduce the poverty are 1) improve health, Education and industrialisation (especially of primary
sector).
Health: Long run economic growth can only be achieved through increases in capital (factors that increase productivity), both human and physical, and technology. Improving human capital, in the form of health, is needed for economic growth. Impart knowledge on the cost effectiveness of healthcare.
Education: By increasing the education facilities, create awareness in the people to get their rights. More technical education enables people to start their own technical business and many of them can go overseas to earn foreign exchange for the country.
Industrialization: Most of the developing countries are depending on primary sector with the majority of its labor force associated with it and generate the major percent of GDP from it . The latest and state of the art technologies for agriculture are still not being used in these countries. Industrialization can change the fate of the people. If government start an industrialization with incentives [ such as tax free zones ]to install new industries labour to move to these industries. This will force land owners to pay extra wages to get their work. Similarly it will also push them to use the latest technology to improve the yield. It is a reality and experience that when an industry starts in a rural area; the wages in that locality increases because the people have the opportunity to work in that industry.
Following are some other measures to reduce poverty.
Welfare
Projects, Compulsory education, Genetically Modified Food Production, Small
Loans, Debt Relief measures, Empowering Women,
Human rights & Gender Equality,
Projects on Climate Changes, End
Foreign Aid, Good Governance, Good tax systems, Law for Minimum wage and Policies
to reduce unemployment such as job creation schemes, stimulus to aggregate
demand, Active labour market policies, re-training schemes, and Welfare-to-work
schemes. These measures also can help to reduce inequality of income and wealth
and thereby reduce the poverty .