Introduction:

Many development barriers are both of cause and consequence of poverty such circular relationship perpetual the low level of development including capital deficiency and market imperfection as characteristics of poor countries. The circle emphasizes that total output is low and that little remains as surplus for capital accumulation because of the low level of real income. The flow of saving small the low level of real income is due to lack of capital stock. In turn the result of low level of real income. Thus capital deficiency and low productivity have contributed to the saying that a poor country is poor because it is poor. This circle is called as Vicious circle of poverty. The determinants of below poverty line are:

Determinants of Below Poverty Line:

• Under development: It is because of under development of the Indian economy that the level of the national income and per capita income are low. under development is due to lack of industrialization as their no investment as they are no savings due to low income of the people hence many people are force to depend on agriculture where they get mere earnings which is not sufficient to meet the desire necessaries.
• Rapid growth and population: Overpopulation is another important cause of the prevailing poverty in the country when the national income is divided among too many people the per capita income is born to be low, just to keep the per capita income as the low level, 10% of the national income must be invested this shows how difficult is to raise the level of National income in a country of rapidly growing population.
• Low agriculture productivity: Carrying on cultivation by primitive techniques small size of holdings, insufficient irrigation failure of the use of modern agriculture inputs keep agriculture productivity in India at a very low level the result is low income to the tillers.
• Oppressive land system: Tenancy system provides over and extensive area of our agriculture the tenants are badly exploited by the landlords and they are left with low income after paying the rent to the landlords.
• Unemployment and under employment: The existence of huge unemployment and under employment leads for dependency. The income earner of the family has the share his income to the unemployed for their survival thus unemployment is an important cause of poverty in the country. Limited access to stable employment, particularly in rural or underdeveloped areas, can lead to persistent poverty.
• Inequality: Inequality in the distribution of national income has also been a major cause of mass poverty in India when a large chunk of national income is packed by the top 5 to 10% of the population (the majority of the population).
• Social and Cultural Factors: Caste, ethnicity, gender, and other social divisions often lead to discrimination, limiting access to resources, jobs, and education. Women and girls are often at a greater risk of poverty due to lower educational opportunities, limited economic rights, and social expectations.
• Low Income Level: Households with low or inconsistent income are at a higher risk of falling below the poverty line. This can result from unemployment, underemployment, or unstable jobs that lack benefits. Wages vary widely depending on skill level, gender, and regional disparities, which can increase poverty among disadvantaged groups.
• Employment Opportunities: Low income from employment or lack of job opportunities often keeps individuals below the poverty line High unemployment or underemployment limits income, affecting a household’s ability to afford necessities. Seasonal, informal, or unskilled jobs tend to offer less stability, pushing individuals closer to or below the poverty line.
• Family Size and Dependency Ratio: Larger families have more dependents, increasing financial strain and making it harder to meet the needs of each member. A high proportion of non-earning members, such as children or elderly dependents, burdens the earning members, often reducing household income per capita.
• Social Discrimination and Inequality: Social discrimination often affects income, education, and employment opportunities, making certain groups more susceptible to poverty. Women, especially single mothers or widows, are often disproportionately affected by poverty due to wage gaps, limited employment opportunities, and unpaid domestic labor.

also read: explain the determinants of economic development.