The major reasons for poverty in India are:
→ Colonial Rule: India went through a long phase of low economic development under the British colonial administration. The policies of the colonial government ruined traditional handicrafts and discouraged development of industries like textiles.
→ High growth in Population: The rapid growth of population, particularly among the poor, is considered one of the major causes of Indian poverty. Poor people are illiterate and have traditional outlook. Hence, they are either ignorant of birth control measures or not convinced of the need for birth control. Moreover, they consider male child as an asset, that is, as a source of income and a source of security during old age.
→Low Rate of Economic Development: The actual rate of growth in India has always been below the required level. It has been around 4 percent since 1951. This has resulted in fewer job opportunities. This was accompanied by a high growth rate of population.
→ Unemployment: Another important factor that can be held responsible for the incidence of high poverty in India is the high degree of unemployment and underemployment. The job seekers are increasing at a higher rate than the increase in the employment opportunities.
→ Unequal Distribution: Although national income of India has been increasing since 1951, it was not properly distributed among different sections of the society. A large proportion of increased income has been pocketed by a few rich. They become richer.Consequently, the majority of people have to live below the poverty line.
→Social Factors: Various social factors, viz., caste system, joint family system, religious faiths, law of inheritance, etc., have blocked the path of economic development.
