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Pro-Poor Approach UPSC NOTE

 Pro-Poor Growth

  • If the growth can bring more people out of poverty and raise people’s standard of living, it is termed as Pro-Poor Growth.

  • Pro-Poor Growth is a narrow concept than Inclusive Growth  

  • In Inclusive growth, we make sure that people at the bottom of the pyramid are not mere recipients of the benefit. 

  • We can achieve pro-poor growth via the Trickle Down Effect, where benefits provided to those at the top of the pyramid trickle down

  • But in Inclusive Growth, those at the bottom are also part of growth and aren’t just recipients of the benefits of growth

GST’s pro poor tack 

  • The Goods and Services Tax (GST) regime has benefitted people through a pro-poor approach

  • Reflecting a pro-poor approach, the effective weighted average GST rate has consistently fallen since 2017

  • GST lowered taxes on many essential items compared to pre-GST rates

  • Common items like hair oil and soaps saw tax cut from 28% to 18%

  • Electrical appliances taxed at 12% v/s 31.5% before

  • Movie tickets were taxed lower, too

  • National Anti-profiteering Authority ensured that companies passed the benefits to the consumers. 

  • GST has exempted many essential items and services, such as unbranded food items, certain life-saving drugs, healthcare, education, public transport, sanitary napkins, hearing aid parts, agricultural services, etc



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Learnerz IAS | Concept oriented UPSC Classes in Malayalam: Pro-Poor Approach UPSC NOTE
Pro-Poor Approach UPSC NOTE
Learnerz IAS | Concept oriented UPSC Classes in Malayalam
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