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1. Intr oduction
1.1. Sta tement of the Pr oblem

Since the human have place them self in forms of groups, there have always have been ups and down in there life. Economically all the humans have never been divided equally. This has its roots from the beginning of the earth till now.

There are many economic problems in the world such as unemployment unstable political structure, poor governance and many problems related to economic growth.

Poverty cannot be described it can only be felt. One knows more about poverty when he is hungry and cannot purchase food, he and his children want new clothes but they can\u2019t purchase it because of low income, he\u2019s sick and doesn\u2019t have money to have medicine, he wants to send his children to school but can\u2019t bear educational expenditures. The world Development Reports define poverty as \u201cpronounced deprivation in well being\u2019. Poverty can be measured by following three methods, i.e. Head Count Ratio, Basic Needs Approach, and Poverty of Opportunity.

According to Head Count Ratio, the persons who fall below the poverty line as determined in the country are regarded as poor. In Pakistan, for instance, the persons who earn income which cannot meet the daily intake of about 2350 calories per person are considered to fall below the poverty line. Basic Need\u2019s Approach suggests the measurement of \u2018poverty\u2019 with reference1

to income distribution. According to this approach if the persons of a fixed income group cannot purchase basic needs, i.e. food, clothing, housing, education and basic health facilities, they are considered to fall below the poverty line. The third approach which is \u2018poverty of opportunity\u2019, if due to fall in income, health or education the human sufferings increase the people are considered to have fallen below the poverty line.

The major topics of our discussion are causes of poverty in Pakistan. Poverty has many causes; some of them are very basic. Some experts suggest, for instance, that the world has too many people, too few jobs, and not enough food but such basic causes are quite intractable and not easily demolished.

Poverty has always been a major concern all over the world. 20% of world population consumes 86% of the world\u2019s goods. While 80% of humanity gets just the remainder 14%. Besides this, the developed countries are also trapped in circle of poverty.

Even though Britain is one of the most affluent members of the European Union, reports show that UK is the worst place in Europe to be growing up if you are poor as more children are likely to be born in poverty there, as compared to else where in the EU.

It has been reported by united affair economy that the wealthiest nation on earth has been the widest gap between the richest and the poor of any industrialized nation and inequalities continue to grow. In US it has been reported that for 1998 almost 70% of the wealth was in the hand of top 10%. In another report they mention that \u201cIn 1989,

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the United States had 66 billionaires and 31.5 million people living below the official poverty line. A decade later, the United States has 268 billionaires and 34.5 million people living below the poverty line.\u201d The causes of poverty in such countries are the wide gap between the rich and poor. There is also wide range of inequality.

\u201cGr
owth with equity is good f or poor\u201d
[ Oxa

m, june2000] The common factor that leads to poverty are:
1 \u2013 The unemployment
2 \u2013Over population
3 \u2013 Inability to meet high standards of living
4 \u2013inadequate education employment opportunities
5 \u2013environment degradation
6 \u2013certain economic and demographic trends and
7 \u2013welfare incentives
Besides the developed countries that are trapped in vicious circles of

poverty, the developing countries are so badly trapped as if it were quick sand. The more they try to come out of it, the more they get into it. Pakistan is also adversely affected due to the poverty. Though poverty is all around the world but is seems as if Asian countries especially Pakistan is mostly targeted by poverty. Now the questions that arise in every Pakistani\u2019s mind are that:

\u2022
What are the causes that prevails poverty in Pakistan
\u2022
What are the factors the bound poverty in Pakistan
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