Civil Services Prep

Inequality in the ownership pattern of resources is one of the major causes of poverty. Discuss in the context of ‘paradox of poverty’.

Model answer

The paradox of poverty means that a region may be rich in natural resources, while its people remain poor. They neither control them nor receive fair returns. Poverty is therefore not merely scarcity, but unequal ownership and control. Unequal ownership creates poverty through several channels: **Unequal land ownership:** Landless workers and insecure tenants lack steady income and collateral. The Agriculture Census 2015-16 found that small and marginal farmers operated **86% of holdings**, but only **46.94% of operated area**. **Concentrated wealth:** Oxfam India’s 2023 report estimated that the top **1% held 40.6% of India’s wealth**, while the bottom **50% held less than 3%**. This concentration creates unequal political influence. **Loss of forests and commons:** Poor families depend on forests, grazing land and water bodies for food, fuel and income.

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