Poverty and Inequality

Abstract

Raghabendra Jha and Anurag Sharma point out despite twenty years of accelerated growth, the persistence of mass poverty, perceived rising inequality, and their spatial variation cause disquiet. The accuracy of yardsticks that show improvement is questioned. Adequacy of nutrition, the traditional rationale for the poverty line, has not recorded impressive gains. The best means of lowering poverty, which reforms have not achieved, is to create mass scale jobs for poor and unskilled workers. The chapter advances suggestions for this and for better targeting of anti-poverty interventions. Aadhaar-based direct benefit transfers and attempts to expand low-skilled manufacturing in India are therefore hopeful signs.