Latest news with #Poverty
Express Tribune
13 hours ago
- Science
- Express Tribune
AI and the environment
The writer is an academic and researcher. He is also the author of Development, Poverty, and Power in Pakistan, available from Routledge Listen to article For Gen X people like me, who are trying to get used to the new world of AI, like we learnt using the computer, and then the Internet many years ago, it is intriguing to see how AI is becoming integrated into our lives. For researchers like me, AI is making it easier to navigate Internet searches, and to synthesise relevant literature. Besides such novice applications of AI, however, this evolving technology is going to start playing an increasingly prominent role in more salient aspects of our lives ranging from healthcare, education, manufacturing, agriculture, and even warfare. There are also legitimate reasons to be wary of AI's power. AI is making it much easier to spread disinformation, enable fraud, and cause conflicts to become deadlier. Moreover, AI, like many other technologies that we have become so dependent on in our consumerist world, ranging from cars to cell phone, has significant environmental impacts. This heavy ecological footprint of AI is more concerning to me than speculations about AI dominating or replacing humans. AI has a much larger environmental impact than many of the other innovations we now depend on, due to the exorbitant amount of energy needed to operate and train AI systems, and because of the e-waste produced by the hardware used to run AI. Training and operationalising large language models such as ChatGPT depend on energy still being generated via fossil fuels, which is leading to more carbon emissions, and increased global warming. Each ChatGPT question is estimated to use around 10 times more electricity than a traditional Google search. Producing and disposing of AI hardware also generates a lot of e-waste comprised of harmful chemicals. Running AI models need a lot of water too, to cool the data centres which house massive servers, and to cool thermoelectric or hydroelectric plants which supply electricity for these data centers. The race to produce AI is also compelling major tech giants to walk back on their earlier environmental pledges. Consider, for instance, the case of Google. A few years ago, Google set an ambitious target to address climate change by becoming 'net zero' emissions, but now the company's emissions are growing due to Goggle's bid to become a leader in AI. As the AI industry continues to grow, its environmental impact will grow too. However, as is the case of ecological destruction caused by over consumption of other products, the environmental impacts of AI will not be evenly distributed across different regions or socio-economic classes. The benefits of AI will not be evenly spread either. Higher income countries are better poised to capture economic value from AI because they already have better digital infrastructure, more AI development resources, and advanced data systems. Better off households will be able to enjoy the benefits of AI, while having more resilience in terms of shielding themselves from its adverse impacts. Conversely, the quest to produce more AI may cause exploitation in poorer countries that provide the critical resources needed for AI. This is not a speculative statement, but one based on ground realities. Consider, for instance, the dismal condition of miners, including children, in poor African countries like Congo, who are toiling away to produce cobalt to power batteries used to run electric cars, and our phones. Al will require many more of these critical resources, potentially leading to even more exploitation of people and natural environments in resource-rich but poor countries. It is important to improve the energy efficiency of AI models and data centers, and to use renewable energy sources to power AI data centres. Moreover, it is also vital to promote more sustainable mining and manufacturing practices and improve e-waste management to reduce the amount of harmful chemicals entering the environment. However, whether these efforts will be paid more attention than maximising profits within this highly unregulated new domain of human innovation remains to be seen.
NDTV
3 days ago
- Business
- NDTV
Beyond Utopia: Is India Tackling Inequality?
With $4.19 trillion (current prices), India has surpassed Japan in terms of GDP in the year 2025, as per the IMF. Now, India ranks fourth in the world, just below Germany ($4.74 trillion) with a small margin. It is expected to surpass Germany within two to three years if India continues its growth trajectory. It is undoubtedly a remarkable feat for India. However, there is one concern raised in public discourse that needs to be addressed: 'Is India's growth inclusive or unequal?', and, 'Should India do more to eradicate inequality?' This question is frequently raised by a section of economists. In this article, an effort is made to understand this inequality, its trends, and how to tackle it based on secondary data and reports available, while considering all opinions. The most common index to measure inequality is the Gini coefficient (values between 0 to 1, where 0 represents perfect equality and 1 shows extreme inequality). As per the Economic Survey 2024-25, inequality has shown declining trends. The Gini coefficient for rural areas declined to 0.237 in 2023-24 from 0.266 in 2022-23, and for urban areas, it fell to 0.284 in 2023-24 from 0.314 in 2022-23, based on consumption expenditure. Historically, the Gini index has fluctuated between 31.6% (the lowest in 1993) and 35.9% (the highest in 2017) between 1977 and 2021 (World Bank). However, some experts believe that the expenditure-based Gini coefficient does not represent the true picture, as households or individuals with low incomes tend to spend more than they earn, whereas high-income groups spend much less in percentage terms, resulting in long-term wealth inequality that remains uncaptured in the data. Other reports on this matter also need to be considered, as findings vary. According to the 'Pandemic, Poverty, and Inequality: Evidence from India' report by Bhalla Surjeet S. et al. (2022), "Real inequality, as measured by the Gini coefficient, has declined to near its lowest level reached in the last forty years—it was 0.284 in 1993/94 and in 2020-21 it reached 0.292.". The percentage of total consumption at the national level by the top 10% income group changed from around 28% to 32%, while for the bottom 40%, it remained around 9% between the 1980s and 2013, as per the 'Inequality and Locational Determinants of the Distribution of Living Standards in India' report by the IMF in 2021. Other literature also shows that inequality has declined in recent years (Ghatak et al., 2022 and Gupta et al., 2021). A report titled 'State of Inequality in India' (Kapoor and Duggal, 2022) states that 6%-7% of total incomes are earned by just the top 1% and expresses concerns over the concentration of growth benefits without percolation to the poorer classes. In contrast, some studies report stark inequality based on different parameters or data sets, such as unequal median-to-top pay ratios among NIFTY50 companies, flight usage data, the Forbes list, or even food-delivery app usage data. Most reports on inequality in India are based on expenditure data, but a few also derive estimation for income or wealth inequality. One of the world's leading voices on inequality, the World Inequality Lab (WIL), provided various estimates for India in its report. According to the report, the top 1% hold 40.1% of wealth, the top 10% hold 65%, and the bottom 50% hold just 6.4%. In terms of income, the top 1% earn 22.6%, the top 10% earn 57.7%, and the bottom 50% earn just 15% of the total income share for the year 2022-23. Although after liberalisation, between 1990 and 2022, the average real growth rate in income in India became 3.6% per year, significantly higher compared to 1.6% between 1960 and 1990. But most of the income share increased for the top 1% and declined for the bottom 50%. Now, the question that arises is, is India unique in its inequality? The answer is no. The same report by WIL shows that India's income share held by the top 10% (57.7%) is in the middle with respect to other developing countries like South Africa (65.4%) and Brazil (56.8%), but higher than the USA (48.3%) and China (43.4%). Another report, 'Trends in Income Inequality and its Impact on Economic Growth (2014)' by the OECD, states, "Today, the richest 10% of the population in the OECD area earn 9.5 times the income of the poorest 10%; in the 1980s, this ratio stood at 7:1 and has been rising continuously ever at the bottom grew much slower during the prosperous years and fell during downturns, putting relative (and in some countries, absolute) income poverty on the radar of policy concerns." This proves that inequality is a part of growth for most countries and is inevitable for free market-based economies. Before delving deeper into the reasons behind inequality and strategies to tackle it, there must be clarity of thought. No matter what economic or market system a country has, inequality is a reality. No matter how hard a nation tries, inequality will persist. Except in the utopian communist system, which exists only theoretically or in propaganda literature. Such systems do not make everyone equally rich but equally poor, as experienced by many economically failed countries. Does this mean we shouldn't strive for equality and inclusivity in growth and development? No, we should certainly aim to maximise equality in a pragmatic way without falling into the trap - the trap of policies that sacrifice growth and turn a nation into a banana republic. As rightly stated in The State of Inequality in India report 2022, "Inequality is not simply a lack of resources…It is living in vulnerability and deprivation with restricted means of upward mobility. Income distribution is not an accurate measure of assessing the degree of inequality, but as a socio-economic inequalities transcend into everyday lives in ways that restrict mobility, limit one's capability to make choices, and intensify their experiences of exclusion and isolation." Thus, it is more appropriate to focus on empowering the economically and socially deprived classes. Certainly, attacking market-friendly policies, businesses, and businessmen won't help in fighting inequality. Often, incentives or tax relief for industries or corporate tax cuts are blamed for inequality and shown as the root cause. But it is essential to understand that these measures promote further investment in the economy and help create employment. High tax rates may seem attractive in the short run, but eventually, the economy suffers in the form of slow growth or business migration in the long run. To counter inequality, the most reliable and potent weapon is the philosophy of 'Antyoday', that is, the upliftment of the poorest and most marginalised members of society. Inequality is triggered primarily by social vulnerabilities in health, education, and skills among the lowest sections of society. If the government keeps uplifting the lowest strata through schemes and policies, the results can be expected to be far more positive compared to policies that may sabotage the growth cycle. Over the last decade, the government has worked in this direction. With initiatives like the 'Ayushman Card' coupled with schemes like 'Poshan,' the insecurity and risk of falling suddenly into the poverty cycle have reduced significantly. Health-related expenses are one of the most common 'emergency expenses' for low-income groups. According to the Economic Survey of India, between FY15 and FY22, the share of government health expenditure increased from 29.0% to 48.0%, and the share of out-of-pocket expenditure in total health expenditure declined from 62.6% to 39.4%. With these kinds of efforts, the government has achieved great success in eradicating extreme poverty (below 1%), poverty (low middle income PPP$3.2 per day, just 14.8% in 2019-20 compared to PPP$1.9 in 2011-12), and multi-dimensional poverty in India. Improvements in access to health and education facilities, along with food security and other basic amenities, bring the poorest of the poor to an equitable platform. An opportunity and chance from which they can at least start dreaming and aiming for higher goals and become part of India's growth story. This is the actual equality for which we, as a nation, should strive. Schemes like 'Start-up India' have paved the path for many first-generation entrepreneurs to build successful startups and unicorns. Merit and equal opportunity-based competition motivate individuals to work harder and take risks to benefit from high returns. Thus, if India maintains its economic growth trajectory while empowering socially and economically weaker sections through quality education, access to health and nutrition and skill development, inequality will be reduced - not in a utopian sense, but in a practical one.
Express Tribune
12-06-2025
- Politics
- Express Tribune
Are Ibn Khaldun's ideas still relevant for countries like Pakistan?
The writer is an academic and researcher. He is also the author of Development, Poverty, and Power in Pakistan, available from Routledge Listen to article The dangerous skirmish with our hostile larger neighbour has sparked a rare moment of national solidarity within Pakistan — a welcome feeling given the immense political polarisation we have been experiencing in recent years. However, major ethnic, regional and socio-economic rifts remain a dominant feature within Pakistani society, and it would be wishful thinking to assume that these serious problems will melt away just because we scored an apparent short-term win over India. Carving out a new nation from colonial India, using the two-nation theory which aimed to unite diverse ethnic groups using a common religious identity, was an impressive feat. Yet, the way this rationale was operationalised through a hurried partition plan resulted in a truncated nation separated by nearly 1000 miles. A sizeable number of Muslims remained in India fearing displacement and believing that the transnational nature of their faith did not necessitate residing in a separate nation. Those who migrated to the eastern wing of Pakistan also soon discovered that a shared religious identity was not an excuse to continue tolerating hegemony by more powerful ethnic groups. The traumatic separation of Bengalis from the rest of Pakistan did not result in other ethnic groups overcoming their differences either. Not only the Balochs or Pathans, but also the Sindhis and Saraikis have their own reasons for feeling disgruntled in the sort of Pakistan we have managed to create over these past several decades. Ethnic disgruntlement is not the only problem corroding a common sense of national identity. Sectarianism and the extremist violence resulting from it remain another source of perpetual consternation. One cannot oversimplify the root causes of such ruptures and blame the Punjabis as the cause of all discord. The proxy contestation between the Soviets and the US, alongside rivalries within the Muslim world, has certainly exacerbated religious tensions in Pakistan. Suspected Indian support to militants and insurgents has added fuel to the fire. However, while these external factors exacerbated societal rifts, they cannot be blamed for creating them out of thin air. The way our post-colonial establishment has relied on top-down, patronage-based and unrepresentative models of governance must shoulder much of the blame for the glaring social tensions evident in our midst today. Perhaps it is time for our leaders and decision-makers to revisit some of the ideas put forth by thinkers closer to our own cultural roots. For instance, the work of a 14th century seminal Muslim sociologist, Ibn Khaldun, still offers relevant insights for addressing the growing polarisation in our contemporary society. Ibn Khaldun's concept of asabiyyah, or social cohesion, is particularly worthy of greater attention. Asabiyyah helps unite people and can foster solidarity through shared values which, in turn, remains essential for effective governance and the overall stability of any state. The essence of Ibn Khaldun's ideas proposes a humanist and participatory approach to governance, wherein the well-being of a given society is a paramount goal. He aptly noted how inequality leads to social fragmentation and instability, and warned about the dangers of relying solely on military strength. Ibn Khaldun certainly offers a more compelling basis for national building than the warped ideologies put forth by populist and divisive leaders who suppress dissenting voices to build hierarchical systems allowing accumulation by the few at the cost of marginalising the many. Even if the traditional characteristics identified by Ibn Khaldun to enable cohesion may be less relevant in our increasingly complex world of fluid identities, the notion of asabiyyah can be reinterpreted to prioritise universal values such as freedom, social justice and respect for differences. If our leaders can honestly embrace such ideas, we may move closer to actualising the notion of Pakistan, which is supposed to be an acronym representing all the regions that comprise this nation.
The Hindu
09-06-2025
- Business
- The Hindu
AIADMK accuses Rangasamy government of announcing welfare schemes without budgeting for funds for implementation
AIADMK State Secretary A. Anbalagan has accused the Rangasamy government of announcing populist schemes without budgeting for the financial means to implement them. Addressing a press conference, Mr. Anbalagan contended that several welfare measures announced in the last Budget session aimed at the weaker sections and the student community remained only on paper. He cited as examples some of the announcements made by Chief Minister N. Rangasamy such as the proposal to raise monthly assistance for an estimated 70,000 Below Poverty Line families from ₹1,000 to ₹1,500 that entailed an annual additional outgo of about ₹126 crore and another scheme to provide ₹1,000 monthly assistance to over a lakh women who remain outside the umbrella of any government support that was expected to cost the exchequer an estimated ₹120 crore additionally each year. Likewise, the government had proposed to raise the old age pension by ₹500 for 1.81 lakh beneficiaries at an additional financial burden of ₹108.6 crore per year while proposed increases in educational aid for children of fishermen and the differently-abled, marriages and funerals were projected to cost at least ₹400 crore annually, the AIADMK leader said. He wondered whether these empty promises were made only on paper over governance failures to tap revenue or plugging revenue leakages and with the sole intention of hoodwinking voters ahead of the 2026 Assembly elections. Mr. Anbalagan also flayed the decision to raise liquor prices to increase revenue as it would further burden consumers. Instead, the government should have opted for reforms in the excise sector that had potential to net about ₹750 crore in additional revenue, he said.
Hans India
09-06-2025
- Business
- Hans India
MEPMA bags 9 prestigious SKOCH Awards
Guntur: Mission for Elimination of Poverty in Municipal Areas (MEPMA) , Government of AP, was honoured with the prestigious SKOCH Platinum Awards for its exemplary performance in activities towards urban poverty alleviation. The MEPMA has been conferred with nine SKOCH Platinum Awards for its exemplary contribution to Urban Poverty Alleviation. This prestigious honour recognises MEPMA's innovative and impactful initiatives, which have transformed the lives of urban communities across AP and have set a benchmark for other States to emulate. The awards will be presented at a grand awards ceremony to be held in New Delhi as a part of the SKOCH Summit on September 20. Out of 14 projects submitted by MEPMA, nine projects have received the prestigious award after passing through a multi-stage scrutiny process. The nine award-winning initiatives recognised by SKOCH include: Nivasam, Web & App based IT platform for providing safe and secure housing for the urban homeless. Livelihood tracker: Leveraging technology for monitoring and enhancing livelihoods, bank linkage scheme, empowering SHG women through E-Commerce, linkage with ONDC & Non ONDC platforms, empowering urban SHGs via skill and gig economy. MEPMA Mission director N Tej Barath expressed his gratitude to the Government of AP. He emphasised that this recognition reinforces MEPMA's resolve to continue its mission of eradicating urban poverty and building resilient communities.
