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Q.Examine the causes for poverty in India.

Telangana TsbieTSBIE Telangana Intermediate (2nd Year) Commerce Board 2026Subjective· 5mImportance★★★★★est
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Poverty in India results from slow growth with rapid population increase, large unemployment, low farm productivity, unequal distribution of land and income, illiteracy, ill-health, rising prices and the lasting effects of colonial underdevelopment.

Economic causes

  1. Low rate of economic growth relative to population for a long time after independence.
  2. Unemployment and under-employment, which deprive people of income.
  3. Low agricultural productivity, keeping farm incomes and rural wages low.
  4. Unequal distribution of income and assets, especially land, concentrating wealth.
  5. Inflation / rising prices, which erode the real income of the poor.
  6. Capital deficiency and slow industrialisation, limiting job creation.

Demographic and social causes

  1. Rapid population growth, which spreads income thinly and raises dependency.
  2. Illiteracy and lack of skills, reducing earning capacity.
  3. Poor health and nutrition, which lower productivity.
  4. Social factors such as the caste system and gender discrimination.

Historical cause …

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