For policymakers and social scientists, poverty is a matter of concern. Because it is the main barrier to access the basic necessities of life that include food, shelter, and clothing. They suffer a lot because of economic shocks such as fluctuations in economic growth and a sudden rise in inflation. However, there are so many factors involved in increasing rate of poverty but the main factor is an unequal distribution of income in Pakistan. The poor are getting poorer and the rich are getting richer.
Income Inequality in Pakistan is Hurting Our Economy
The economic divide in the country is widening the gap between the two classes. This gap is directly or indirectly hurting our economy. The urban-rural divide in the country is also creating inequality of opportunities. In rural areas, poor are having little access to education, health, and financial services.
To improve the living standards of the common man is very important for economic development but unfortunately, in our country, the income inequality among the people is making it impossible.
The poor are getting poorer and the rich are getting richer
Presently, our country is on the trajectory of the high economic deficit. This is the main reason that almost 35 percent of the people are living below the poverty line and millions of children are not going to school. Furthermore, women’s unpaid domestic work is not measured in any data. Around 63 percent of youth in Pakistan are spending their life impractically.
Income and wealth inequality in Pakistan is increasing day by day. There are only 22 persons in our country who have billions of wealth and reserves. The rest are spending struggling lives while many of them are facing hunger and poverty. Education and health infrastructures are on the verge of collapse. Because of that moral and ethical values are decaying.
How income inequality can affect our society?
Extreme income inequality is the major reason for the increasing corruption in society. It obstructs economic growth, leads to irregular wealth and income distribution, moral and ethical iniquities. Moreover, it badly affects labor and human rights. This portrays an intimidating picture of the country’s overall economic scenario.
Income inequality is getting a serious problem. It needs to be controlled. The government should increase spending on education, health, and social protection. Moreover, it should provide equal labor wages for both men and women. The government should revamp and reform the taxation system.
We can not deny that inequality in incomes and assets between the rich and the poor is turning into a critical issue.
On the recommendation of the World Health Organization (WHO), most of the third world countries have started health insurance programs. Almost 55 percent of Pakistanis are earning less than $2 a day. However, the current government is working to provide health insurance cover.
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