Challenges of Indian Economy

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The main challenges are poverty, unemployment, education, health care, price rise, and economic growth. These problems affect the standard of living and require government action.

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The poverty line is based on minimum food intake. In rural areas it is 2400 kcal per day, and in urban areas it is 2100 kcal per day. A person who cannot get this minimum energy from food is considere…

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Poverty is not only about food. Clothing, shoes, housing, health care, and basic education are also essential needs. So a wider measure includes food and non-food items to show real deprivation.

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About 27.5 percent of India's population was poor in 2004-5 based on food-only measure. This shows that a large section of people could not meet the minimum food requirement.

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When food and non-food items are included, more than 37 percent of India's population was poor. This measure shows that poverty is deeper when basic needs beyond food are counted.

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Labour force means people who are able to work and are between 15 and 59 years of age. By 2010, India's labour force was more than 43 crores.

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Unemployment remains high because industrial growth is slow, education and training are not enough, and agriculture already has too many workers. Agricultural work is also seasonal, so many workers be…

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About 8 percent of the labour force does not get daily employment. This means several crores of people remain without regular work on many days.