Causes Of Poverty In Pakistan

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Causes of poverty in Pakistan: Poverty in Pakistan has multiple factors and is not solely dependent on any one factor. These include economic factors, social factors and most importantly political factors. These together form the roots of poverty in Pakistan. Vicious Circle of Poverty: Just like other developing countries Pakistan is also victim of vicious circle of poverty. According to definition of vicious circle of poverty a country remains poor because their income level remains low because of which there are low investments and saving and hence deficiency of capital. This circle continues forever. When there is low investment the productivity is compromised and so again the income level is reduced. Moreover the balance between imports…show more content…
The increasing inflation rate has very bad effects on people. The prices of goods and services are so high that everyone cannot afford it. In addition to it taxes on daily routine items and services increases their prices further. The employee’s wages are not increased in accordance with the inflation and their expenditures are increasing every day. In fact many of the poor people are deprived of basic needs like food, shelter and cloths. High inflation rate not only reduces the purchasing power of people but reduces their living standard and their savings are decreased hence they remain poor. Moreover the health and education of their children is affected as with their wages they can only purchase basic needs. In short inflation combined with being poor is…show more content…
Government policies in Pakistan has adversely affected poverty in Pakistan. People in government are of elite class and none of the member is from middle or lower class and so they do not know the situation and needs of a common man in Pakistan. Hence the policies they make does not suite the poor. The taxes which should be taken from the well-off are being applied on food, utility bills and other daily routine items, which ultimately is paid by the underprivileged. Furthermore people have to pay for health services as the quality of service is not up to the mark in government hospitals and so people have to go to private hospitals which are so expensive and every one cannot afford it. Same is the case with education which should be given free of cost to the population as it is a duty of a state but because of poor education standards in government schools any other option left is private schools which again are so expensive for everyone to afford. Moreover because of instable government no reforms are introduced to address

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