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Rural Economy & DevelopmentRural Economy & Development

Why should we study in this paper?

3. To understand and analyze the socioeconomicdynamics of the rural areas of India as well as

other countries

. To !now the "asics and conceptual framewor!sof rural development

#.To put rural development theories methodicallyinto practices at state$ national & internationallevel

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What is EconomyWhat is Economy ??

% Economy means certain livin conditionsof people in certain reion throuh whichthe physical 'uality of life of the people isdetermined.

% Rural economy is characterized "y theprimary sector & allied activities.

% Rural economy is "asically a producers(economy

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DevelopmentDevelopment

% Development is a continuous process ofpositive chane towards improvement of)*+

% Development is not only the economicrowth$ "ut it is also the e'uita"ledistri"ution of the development ain

% Development means rowth with ,ustice

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-haracteristics of Development-haracteristics of Development

% Increase in )*+% rowth with ,ustice

% Removal of ine'uality & )overty

% E'uita"le distri"ution of development ain

% /ustaina"ility

%E'ualization of opportunities

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 0lternative Development Indicators 0lternative Development Indicators

% )*+I% 1uman Development

% Empowerment

% 2oral & Ethics

% 1

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/chools of Thouhts/chools of Thouhts

% Rostow( s rowth Theory% +ewis Development Theory

% International Dependence Theory

% andhian Development Theory

% ehruvian Development Theory

%2ar4ist Development Theory

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Issues of Development in lo"al -onte4tIssues of Development in lo"al -onte4t

% )olarization of Wealth% 5eminization of )overty

% Rural 6r"an Influ4

% +are /cale Displacement% Destruction of livelihoods /ystem

% /yneric )ro"lems

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Issues in Development in Indian -onte4tIssues in Development in Indian -onte4t

% rowth 7/ Distri"ution

%  0ricultural Development 7/ Industrial Dev% Technoloy intensive 7/ +a"or replacin Economy

% -entralized 7/ Decentralized )lannin

% 6r"an 7/ Rural Development

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What is )overty ?What is )overty ?

 The word 8 poverty 8 suests

impoverishment9 an ina"ility toprovide a family with nutritious food$clothin$ and reasona"le shelter . UNO

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Types of povertyTypes of poverty

%  0"solute )overty  : )hysical re'uirements at su"sistence level$ price 'uotations$ per capita consumer

e4penditure;

%  Relative )overty

  : income distri"utions of fractile roups$ top #

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What does )overty create ?What does )overty create ?

)eople residin in tri"al and forested areasare li!ely to remain poor forever as a result theyfoment violence$ conflicts & social unrest  in

future.

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5actors of )overty5actors of )overty

% )oor *uality 1uman -apital9 low level ofproductive efficiency

% Insta"ility of output in 0riculture sector 

% Im"alance in distri"ution & rowinine'ualities

% )revalence of -hronic 6nemployment

% )revalence of low level technoloy

% /teadily improvin rate of capital formation

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Why )oor is )oor?Why )oor is )oor?

 

)overty "ecomes hereditary in India "ecause -hronic)oor pass on the poverty syndromes to the ne4t

eneration

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6neven distri"ution of food rains & a"sence of riht to food act

:)eople=s 6nion for -ivil +i"erties ;

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What is )overty +ine ?What is )overty +ine ?

 Poverty Line  is an economic "enchmar!and threshold used to indicate economic

disadvantae and to identify individualsand households in need of theirsu"sistence.

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6nderlinin the )overty6nderlinin the )overty

% >th 5) criteria : @ $

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7arious /tudies on )overty7arious /tudies on )overty%

H,ha(s estimate of )overty:$< calories;

% Dande!ar & Rath(s /tudy of )overty : Rs

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  Poverty  is widespread in India$ with thenation estimated to have #A3rd  of theworld=s poor. 0ccordin to a

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Declinin )overty in IndiaDeclinin )overty in India

http://upload.wikimedia.org/wikipedia/commons/c/ce/BPL_Data_GOI.png

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International )overty +ineInternational )overty +ine

  Internationally$ an income of less than M#. perday per head of purchasin power parity isdefined as e4treme poverty. IncomeB"asedpoverty lines consider the "are minimum incometo provide "asic food re'uirementsN it does notaccount for other essentials such as health careand education. That is why some times the

poverty lines have "een descri"ed as starvationlines.

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)overty in -hina)overty in -hina

% @

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)overty in 6nited /tates of 0merica)overty in 6nited /tates of 0merica

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Infrastructure in Indian EconomyInfrastructure in Indian Economy

% Enery & )ower 

%  0riculture & Irriation

% Transport

% -ommunication & IT

% Industry% Defense

% Entertainment & 2edia

% /cience & Technoloy

% an!in & Insurance% 1ealth & Education

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)erformance in Infrastructure /ector )erformance in Infrastructure /ector 

/ectors 6nit #>

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Enery -onsumption9 World wide :

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atural Resources in Indian Economyatural Resources in Indian Economy

% +and Resources% Water Resources

% 5orest Resources

% 2arine Resources% 2ineral Resources

% onB-onventional & renewa"le enery

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2a,or 0reas of Intervention2a,or 0reas of Intervention

Income eneration Road R & REmployment Electricity 5orestry

2iration -ommunication Women Issues

 0riculture 1ousin /ocial /ecurity

Irriation 1ealth 2ar!etin

Disaster 2anaement +ivelihoods 5inance

5isheries Education Hthers

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Tips for Draftin the /chemeTips for Draftin the /cheme

% Download a related scheme which is already inforce :or phased out;.% -ritically assess the scheme and find out the aps

% -ollect the all India level vital statistics on land$

population and others.% Draft the scheme on any one of the areas of

rural development (Latest by 23rd of July) which

will "e presented roup wise on class from 1st 

 of August & will "e assessed with < mar!s.

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uidelines of the /cheme ?uidelines of the /cheme ?

ive a nomenclature of the /cheme i.e.

 Q National Poverty Alleviation Programme

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)art I B )roramme H",ectives and uidin)art I B )roramme H",ectives and uidin)rinciples)rinciples

#. Introduction

.)roramme H",ectives

3.uidin )rinciples

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)art II S )lannin$ 5undin & E4ecution)art II S )lannin$ 5undin & E4ecution

G. )lannin for the pro,ects

. 5undin and 0llocation

K. )roposals

C. /tate +evel 0encies

O. )reparation of )ro,ect )roposals and their-learance

>. /crutiny of )ro,ect )roposals

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#

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)art III B 5low of funds$ procedure for)art III B 5low of funds$ procedure for

release and 0uditrelease and 0udit

#K. 5low of 5unds

#C. )rocedure for Release Hf 5unds to the /tate

+evel 0ency#O. 0udit

#>. 2iscellaneous