The Many Faces of Inequality in India: Beyond the Gini Index
UPSC Relevance
Prelims: Indian Economy (Inequality, Gini Index, Informal Sector), Social Issues (Gender Inequality, Digital Divide), Governance.
Mains:
GS Paper 1: Salient features of Indian Society, Diversity of India; Role of women and women’s organization, Social empowerment; Poverty and developmental issues.
GS Paper 2: Welfare schemes for vulnerable sections of the population.
GS Paper 3: Inclusive growth and issues arising from it.
Key Highlights from the News
The article argues that reports indicating India is one of the least unequal countries in the world based on the Gini Index (score 25.5) do not align with the real-life situation in India.
Various types of inequalities are deeply rooted in India. In addition to economic, gender, health, education, and social inequalities, digital and banking inequalities are also increasing.
Wealth Inequality: The richest 1% of the population receives 22.6% of the country's national income. Accurate data on income inequality is not available as a large portion of the country's population works in the informal sector.
Gender Inequality: Women's participation in the labor force is only 35.9%. This drops to 12.7% in leadership positions.
Digital Divide: Only 53.9% of schools in India have internet facilities. Only 25% of women in rural India have internet access, compared to 49% of men.
Inequality in one sector exacerbates inequalities in other sectors. For example, digital inequality further limits opportunities for women and the poor.
The article concludes that India can only truly become a less unequal country when everyone has equal opportunities.

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