Q.9 COVID-19 pandemic accelerated class inequalities and poverty in India. Comment.

Model Answer:

Introduction

Class inequalities refer to the disparities in income, wealth, and access to resources among different social classes. Poverty is the state where individuals lack sufficient income to meet basic needs. In India, class inequalities and poverty have been persistent issues, with significant portions of the population living below the poverty line.

Body

The COVID-19 pandemic has exacerbated these issues. The lockdowns and economic disruptions disproportionately affected the lower-income groups. According to the World Bank, India's poverty rate increased by 7% in 2020, pushing millions back into poverty. The informal sector, which employs over 80% of India's workforce, was hit hardest, leading to widespread job losses and income reductions.

Factors contributing to the acceleration of class inequalities and poverty:

  • Job Losses: The pandemic led to massive job losses, especially in the informal sector. The Centre for Monitoring Indian Economy (CMIE) reported that over 122 million people lost their jobs in April 2020 alone.
  • Healthcare Access: The pandemic highlighted the stark disparities in healthcare access. The poor had limited access to quality healthcare, exacerbating their vulnerability.
  • Education Disruption: School closures and the shift to online education widened the educational divide. Children from low-income families lacked access to digital devices and internet connectivity, affecting their learning.
  • Economic Slowdown: The GDP contracted by 7.3% in FY 2020-21, leading to reduced economic opportunities and increased poverty.

Impact of the acceleration of class inequalities and poverty:

  • Increased Poverty: The pandemic pushed millions into poverty, reversing years of progress. The Pew Research Center estimated that the number of poor in India increased by 75 million in 2020.
  • Widening Inequality: The wealth gap widened as the rich could leverage their resources to weather the crisis, while the poor faced severe hardships.
  • Social Unrest: Rising inequalities and poverty can lead to social unrest and instability, as seen in the migrant crisis during the lockdown.

Need for immediate action:

  • Social Safety Nets: Strengthening social safety nets like the Public Distribution System (PDS) and Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) is crucial.
  • Healthcare Investment: Increasing investment in healthcare infrastructure to ensure equitable access.
  • Education Support: Providing digital infrastructure and support to ensure continuity in education for all children.

Measures to address the acceleration of class inequalities and poverty:

  • Universal Basic Income (UBI): Implementing UBI to provide a safety net for the poor.
  • Skill Development: Enhancing skill development programs to improve employability.
  • Inclusive Growth Policies: Formulating policies that promote inclusive growth and reduce disparities.

Way forward:

  • Policy Reforms: Implementing comprehensive policy reforms to address structural inequalities.
  • Public-Private Partnerships: Leveraging public-private partnerships to enhance resource allocation and service delivery.
  • Community Engagement: Engaging communities in planning and implementation to ensure that interventions are context-specific and effective.

Conclusion

Addressing the acceleration of class inequalities and poverty requires a multi-faceted approach, focusing on immediate relief and long-term structural changes to build a more equitable society.