Question 5GS3GS1
Inequality has become a major challenge to inclusive growth in India. In this context, elaborate on the reasons for rising economic inequality in India. Also suggests measures required to reduce economic inequality in India. (Answer in 150 words) 10 marks
Introduction
According to UN, Inequality is the state of not being equal, typically in status, rights & opportunities. It is indeed biggest challenge to inclusive growth.
25 words
Main Body
Data: According to World Inequality Report 2022, India ranks among most unequal among G20 nations. Oxfam report 20221-1 of richest owns 40% of wealth. Reasons for rising economic inequality: 1) Historical constraints: Impact of 200 years of colonisation showed and imbalanced regional growth & 2) Human capital constraints: (low human capital) followed by widow cycle (low factory)(low economic opportunity)(low productivity)Measures to reduce economic inequality
3Gro structural constraints: 25-101 of India economy is unorganised & informal without adequate social security & wages for all labours. 4) Social constraints: Age old social with caste based employment, gender discrimination, etc. 5) Technology & knowledge economy: replace memes with poor skills & rewards higher skills increasing inequality gap. Measures to reduce economic inequality: 1) Financial inclusion: schemes like J-A-M trinity, PM Kisan Mandhan Yojana, etc. 2) Social protection: National level social security scheme must be strictly implemented (G) Atal Pension Yojana, etc. 3) Support Entrepreneurship: creation of job provider not job seekers. (G) PM Mudra Yojana 4) Human resource development & social capital investment (G) Ayushman Bharat, etc. Therefore government can adopt innovative measures like Universal Basic Income, ishan unemployment scheme, etc
197 words1 paragraphs
Diagram
Diagram shows a cycle: 'low human capital' connected to 'widow cycle' with arrows pointing to 'low factory', 'low economic opportunity', and 'low productivity', illustrating the interconnected nature of inequality factors
- Strong use of data and reports (Oxfam, World Inequality Report)
- Clear UN definition of inequality
- Identification of historical and structural causes
- Visual representation of human capital cycle
- Reference to G20 context
Topper
Dr. Sachin B L
2023
Subject & Paper
GS3GS1
Topic
Economic Development
Inequality and Inclusive Growth
Reasons for Economic Inequality in India
Writing Stats
222
Total words
1
Paragraphs
Analytical and research-based
Tone