There is a strong link between economic growth and poverty reduction . justify with example
Answers
Economic growth is usually associated with expansion of real GDP/National Income,employment creation in the economy,ensuring business and industry growth,capital mobilization etc.Poverty reduction mainly refers to pulling out people from impoverishment and improve overall living conditions
Explanation:
Economic growth and poverty reduction are quiet synonymous as far as the subsequent objective is concerned.One important component of economic growth is certainly job creation and moving towards real GDP/output in the process.This indicates that people who are under poverty line or earning less than minimum will also get an opportunity to avail new job opportunities and increase their earnings.Now, this requires betterment of education system and skilled labor market to ensure necessary improvement in human capital and poor people can get access to better and specialized education.
Job creation of poor people is also related to human development index.With better job skills and necessary educational qualifications,these people can get better jobs with better salary/income and improve their living conditions consequently.This includes better lifestyle, higher luxury consumption, better educational and medical facilities for their family members and so forth.