Assignment no: 1

Assignment Title: Poverty, Unemployment & NI

Assignment course: Economic Analysis
Program: BBA 2 years 1st semester
Submitted to: Sir Bilal Ijaz
Submitted by: Sara Batool 22017120-003
Question: How can we control unemployment and poverty? And how can we increase
national income?

Unemployment: Unemployment is a situation where people of a country are willing to work

but cannot find jobs. According to Samuelson: ‘‘Unemployment occurs if there are qualified
workers who would be willing to work at prevailing wages but cannot find jobs.’’
Ways to control unemployment:
Unemployment can be reduced by a number of ways for example:
 Population control
 Encouragement of cottage industries
 Development of industrial area
 Development of agricultural area
 Educational reforms
 Rural development schemes
 Reorientation of educational system
 Government must lower direct taxes
 Government must encourage flows of foreign investment

Poverty: A state or condition in which a person or community lacks the financial resources
and essentials of minimum standard of living.
 Ways to control poverty: The issue of poverty is high in immature and agricultural
nations so there must be a more focus on improvement of agricultural sector.
 People should be given educational and training facility.
 Family planning schemes should be introduced The ever rising population should be
checked.
 More and more industries should be set up to meet the needs of our country.
 Poverty can be alleviated if affordable goods and services are provided.
 Poverty can also be reduced by creating job facilities.
 Systemic issues such as corruption, discrimination and lack of access to resources should
be checked.
National income: National Income defines a country's wealth. This income depicts the
value of goods and services which are produced by an economy. This gives effect to the net
result of all the economic activities performed in the country.
Ways to increase national income:
We can improve national income by some of the following ways:
 We must overcome income inequality which in turn can lead to economic
stability and growth.
 Encourage investment and implement tax policies.
 Promote exports and lower imports.
 Develop human capital by providing knowledge and skills to the workforce.
 Increase productivity of goods and services.
 Promote economic growth by encouraging businesses to invest in the economy
and create jobs.