The problem
of unemployment is a serious problem which if not cured duly, leads to poverty.
In India, this problem is a quite major one. Currently, a whole of 13.3% of the
Indian population is unemployed. Basically, it is a situation where people are
willing and able to work but are not getting any jobs due to many reasons.
These people include only those who are above the age of 18 years because of
the child labor law in India. There are various measures to cure this type of
situation. Let’s discuss them.

1.INCREASING
THE GROWTH RATE OF GDP

One way to
solve this problem could be the aggregate growth of the GDP. In the next 10
years, this growth rate must be 8%-9% so that the economy will grow and
eventually the employment opportunities will increase.

2.POPULATION
CONTROL

The rapid
growth of population needs to be reduced because the employment opportunities
available or being created are not enough to absorb the increasing labor force
in the country. If the opportunities are less and are not being able to
increase then eventually, the population will have to be reduced.

3.AGRICULTURAL
SECTOR DEVELOPMENT

If only the
agricultural sector will grow, then it is possible to create more employment
opportunities for the existing labor force. This growth is possible with the
help of modern and advanced technology, better irrigation facilities, reform of
land laws and the increase in public investment.

4.ENGOURAGE
THE SMALL-SCALE INDUSTRY

The
small-scale enterprises needs to be encouraged and supported more because these
industries will help create more of such employment opportunities for the
people residing in the villages. Also, such industries would help in the
development of the rural areas and contribute towards the economic growth.

5.IMPROVED
INFRASTRUCTURE

The
infrastructure is a crucial part of the economy. The better the infrastructure,
the more will be the economic growth. These infrastructures boost the growth of
industrial and agricultural sector and hence, more opportunities would be
created.

6.EMPLOYMENT
PROGRAMS

The
government needs to plan special employment programs with the only aim of increasing
employment in the nation. These plans must be given attention precisely and not
only this, but the government should also make sure that the implementation is
strict. A lot of times, programs or incentives are introduced for the help of
the less privileged section of the society but still it does not provide with
expected results due to the inefficiency in the execution. The people who are
targeted for such programs are completely clueless about them and hence, no one
benefits from this.

7.CREATION
OF SELF-EMPLOYMENT OPPORTUNITIES

The government
must also provide with various facilities like financial assistance, training
of skills, availability of inputs and marketing of products so that more
self-employment opportunities would be created. These types of opportunities
are basically those which does not need a superior to hire people. Here, people
start their own business or a start-up and employ themselves.

8.IMPROVEMENT
IN EDUCATION SYSTEM

The
education system in a lot of regions in the nation is still backward and not up
to the development we have made. Therefore, people still don’t have the apt
knowledge and qualification required for most of the jobs. This system needs to
be upgraded so that every student has the same opportunities in the future.

 A major
problem in the whole world right now is the excessive use of available
resources. We are continuously using the natural irreversible resources up to
the level of our own satisfaction without planning for the future. What we need
to understand is that we are not using what our ancestors left for us rather,
we are taking away what belongs to our future selves. We have to keep in mind
the consequences of our actions on the future generation and therefore, choose
a path that is sustainable enough.

Sustainable
development is a method for such a careful and planned development. It means
that availability of resources for the future generation which will allow them
to have a average quality life, at least as good as what the current generation
is enjoying.

The basic
aim of this development is to make sure that the future generation does not
suffer for the actions taken by us today. They get to live a life as
comfortable as us.

At the same
time, we should also focus on the economic growth. This is why the term
‘sustainable’ is used. The preservation of the world should be our prime focus
along with rapid growth of our economy. A path is only sustainable if the stock
of the capital assets is constant or rises with time.

The term
‘sustainable development’ was introduced by the International Union for the
Conservation of Natural Resources (IUNC) 1980 in their World Commission
Strategy report. According to them, sustainable development refers to the
development that meets our own needs without compromising with the needs of the
future generation.

AIMS

·       Sustainable use of resources without
the taking anything away from the future generation

·       Prevent further damage to our support
system – environment

·       To conserve the biodiversity and
other resources for long-term needs

WAYS TO
ACHIEVE SUSTAINABLE DEVELOPMENT

1.RESTRICT
THE USE OF RENEWABLE REOURCES

Renewable
resources should be extracted on a long-lasting and appropriate basis. What we
have started to do is extract them as much as we can with the hopes of making
profits without calculating if it is even needed or not.

2.SUBSTITUTE
NON-RENEWABLE WITH RENEWABLE RESOURCES

Non-renewable
resources like natural gas, oil, coal must be substituted with the renewable
ones. Non-renewable resources are something that cannot be made by the man. At
the rate that we are using these, it is definite that one day they will be
extinct, and nothing will be left for the future. Therefore, we need to
understand that only a certain amount of these resources must be used, and
majorly renewable resources should be used.

3.BECOME
INPUT EFFICIENT

The
technology that we are using right now must be used in a way that it produces
more of the input for renewable resources and not just consume them. It will
help to increase the production of renewable resources and eventually
non-renewable ones will be preserved.

4.POLLUTION
AND POPULATION CONTROL

The
extremely increasing pollution has already done enough damage to the ozone
layer as we all know. A very important part of the environment has already
started degrading because of our actions. This must be taken as a lesson by us
and we should keep a heed on our activities. Also, the increasing percentage of
human population is leading to an excessive use of resources and this needs to
be controlled.

 A major part
to start a business or to run a business successfully is finance. The company
must ensure all the time they are in good financial position and can face any
unexpected risks. No doubt there are quite a few finance options available out
there. One needs to choose wisely and calculatedly from among these options
that which one would be better for their organization. Not all of these options
will necessarily be apt for the nature of your business. Let us talk about two
of such finance options. One being ‘shares’ and the other ‘debentures’. What
exactly are these and which one would be more beneficial for you.

SHARES

Basically,
these are a part of the company that can be sold or bought indicating that the
shareholder is the owner of the company up to the amount of his shares. These
are known as the owner’s fund. Often, if the company is in the need of funds
then they tend to sell some of their shares to the prospective buyers.

There are
two types of these shares – ‘equity shares’ and ‘preference shares’. Equity
shares are the shares that do not benefit the owner with any kind of
preferential rights or authorities whereas, preference shares come with its own
benefits.

Some of
these benefits are that preference shareholders have a right to receive a fixed
rate of dividend from the profit before any of the equity shareholders are
declared their dividend. If in case, the profits are not enough to be divided
between both the holders then the equity shareholder will be left with no
dividend. Also, if the company is winding up, preference shareholder’s capital
is returned before the equity shareholders.

One downside
is that preference shareholders do get any say in the management or do not have
any voting rights in the company. This privilege is only provided to the equity
stakeholders.

DEBENTURES

These are
the borrowed funds that are used to raise long-term capital from a source
outside of the company like corporations and governments. Although, there is a
fixed rate of interest that needs to be paid here. The debenture issued is a cognizance
that the company has borrowed funds from the source which it guarantees to
return on a certain date in the future. Therefore, the debenture holders are
known as ‘creditors of the company’.

For the
public issue of debentures, it is mandatory that it has been rated by a credit
rating agency like ‘Credit Rating and Information Services of India Ltd.’
(CRISIL).

SHARES
VS. DEBENTURES

While the
shares are considered to be owner’s funds, the debentures are categorized under
the borrowed funds which means that there is a fixed rate of interest that must
be paid from time to time. Also, if debentures are issued, you don’t get any
rights or benefits from the company whereas, in case of shares, you have a
voting right or you receive a fixed dividend.

The shares
are issued exactly at their face value which means that there won’t be any
discount on the issue which is possible in the case of debentures. Although in
debentures, the company’s assets are to be kept with the source as mortgage
which is not the case in shares.

From a
company’s perspective, if equity shares are issued then it will increase the borrowing
capacity of the company. On the other hand, if debentures are issued, it will
decrease its borrowing capacity.

There isn’t
a right or wrong source of fund out there. It lies in your hands which source
you choose. However, it is a very crucial decision which should be made after
doing the complete research and going through the pros and cons of each one of
them. The decision should be wise and favorable for your company.

 Planning is
a major part of the business. In fact, it is the first and foremost step by the
organization towards the achievement of their goal. In terms of business, it
basically refers to the process of setting up of objectives in a given time period
and analyzing all of the alternatives possible to achieve those objectives and
then finally, choosing the correct method to do so.

We can tell
by its definition itself that it is a crucial part of the business that cannot
be ignored. Let’s understand in detail exactly how important planning actually
is from a business’ perspective.

1.PROVIDES
DIRECTION

If we have
already stated in advance that what our objectives are and how the work is
supposed to be done, then it will provide a direction to us. Planning makes
sure that all the objectives are clear so that everybody knows what action is
to be taken and in which direction. All the employees are aware what the
organization has to achieve and what they must do in order to complete those
achievements. If there won’t be any planning done beforehand, the employs would
be confused and will work in different directions which would lead to nothing
but chaos.

2.REDUCES
UNCERTAINITY

Planning is
an activity that allows the organization to look ahead and anticipate the
uncertain events and risks that may take place. If we have a plan in advance,
there are less chances of the organization facing a loss in an uncertain event.
Therefore, planning anticipates the future risks and develops possible
solutions for it beforehand. Although it must be noted that planning only
anticipates the upcoming risks and does not eliminate them. So, it won’t help
you to avoid those problems but will provide a way to make sure you are
affected the least.

3.REDUCES
USELESS ACTIVITIES

Planning
makes sure that each and every department in the organization knows their goal
and the employs know what they are doing. There is a clarity in thoughts and
actions of everyone which helps to carry out the operations smoothly without
any confusion. Due to this, there is very low chances of redundant activities
taking place and wasting the time and resources. It becomes easier to detect
the inefficient work and eliminate them.

4.PROMOTES
CREATIVE IDEAS

Planning is
all about thinking in advance about what to do and how to do it and therefore,
new innovative and creative ideas can take place and provide everyone with a
solid plan. It is closely linked to creativity.

5.HELPS IN
DECSIONS

It helps the
organization to look ahead and gives them a chance to protect themselves
against the uncertain events and prepare with an action plan for it. For this,
one must choose the correct plan from among the various possible alternatives
available. Here, they must look and evaluate both, the positive as well as the negative
aspects of all the alternative choices because they need to select the one
which is the most feasible and profitable. Therefore, planning helps in making
efficient and fully developed decisions.

 There is no
denying that poverty is one of the major problems in the country. Almost 68.8%
of the population lives below the poverty line and are not able to fulfill their
basic necessities of life. The question is, what is the government’s take on this?
What are their initiatives to cure this problem?

The
government has always given a major heed to the poverty alleviation programs
initiated by them. They started these programs with an aim to create more and
more self-employment and wage-employment in the country so the there is a clear
reduction in the poverty percentage. Therefore, these types of programs were
categorized into two different types.

SELF-EMPLOYMENT
PROGRAMS

1.RURAL
EMPLOYEMENT GENERATION PROGRAM

Initiated –
1993

Objective –
to create more self-employment opportunities in the rural sectors. It was
implemented by the khadi and the village committee.

2.PRIME
MINISTER ROZGAR YOJNA

Initiated –
October 1993

Objective –
to create more self-employment as well as wage-employment opportunities for the
educated unemployed from the local families.

3.PRIME
MINISTER EMPLOYMENT GENERATION PROGRAM

Initiated –
14 August 2008

Objective –
to create more self-employment opportunities

4.SWARNAJAYANTI
SHAHRI ROZGAR YOJNA

Initiated –
1 December 1997

Objective –
it was a centrally sponsored scheme in the ratio of 75:25 between the state and
the central government with an aim to create more self and wage employment
opportunities.

5.SWARNAJAYANTI
GRAM SWAROZGAR YOJNA

Initiated –
1 April 1999

Objective – to
create the availability of subsidies and micro-enterprises in the rural area
that will increase the self-employment opportunities.

Programs
merged under this – Integrated Rural Development Program (IRDP), Training of
Rural Youth for Self Employment (TRYSEM), Development of Women and Children in
Rural Areas (DWCA), Ganga Kalyan Yojna (GKY) and Million Wells Scheme (MWS).

WAGE
EMPLOYEMENT PROGRAMS

1.SAMPURNA
GRAMEEN ROZGAR YOJNA

Initiated –
25 September 2001

Objective –
to use more of labor-intensive technology where the mode of payment was either
cash or food grains.

2.NATIONAL
FOOD FOR WORK PROGRAM

Initiated –
14 November 2004

Objective –
to create supplementary wage-employment opportunities which was implemented in
150 backward districts for people living below the poverty line.

3.MAHATMA
GANDHI NATIONAL RURAL EMPLOYMENT GENERATION ACT (MNREGA)

Initiated –
2005

Objective –
to create more wage employment in the country by providing guaranteed 100 days
of wage employment.

OTHER
PROGRAMS

1.NATIONAL
SOCIAL ASSISTANCE PROGRAM

Initiated –
15 August 1995

Objective –
to support the widowed, aged and disabled people who do not have any source of
income with them.

2.PRADHAN
MANTRI JANDHAN YOJNA

Initiated –
2014

Objective –
it opened a bank account for all the households and offered various banking
services with an aim to promote the habit of savings in them.

 Poverty is a
major problem from which India has been suffering since an extremely long time.
Poverty is quite a subjective topic and cannot have one ‘right’ definition.
Each country can describe it in their own way according to the conditions of their
own economy. Although, in a broad way it may be described as a state in which
an individual is unable to fulfil even his basic needs of life.

The basic
reasons are the social factors. The quality of education provided to the poor
children is not good enough for them to change their future and therefore, they
end up being poor. This cycle goes on due to the lack of money. Here are some
of the major causes of poverty in India.

1.INEQUALITY

During the
five-year plan period, the national income of the country has been increasing
but the problem arises when it is not being distributed among the different
sections of people equally. Majority of this income goes to those who are
already rich leaving the poor with close to nothing. This inequality has widened
the problem of poverty.

2.BACKWARD
AGRICULTURE

In India,
the natural as well as the physical resources are underutilized due to the lack
of technology and capital. Therefore, the production is low in the country.
Even the technology available in the agricultural sector lack irrigation
facility and they do not have high-yielding variety of seeds. This also results
in the increase of poverty as their quality of life id still low.

3.BORROWINGS

The poor, in
order to survive financially, borrow money from government banks or rich money
lenders. For this borrowed money, they have to pay an interest which is set
quite high. This leads them to end up in a vicious cycle of borrowings. This
cycle continues from one generation to another making it impossible for them to
save.

4.HIGH RATE
OF POPULATION GROWTH

Because of
the increase in the population, the burden of dependency ahs increased.
Therefore, to provide for the family’s basic needs becomes an exceedingly big
problem. This high rate of population also indicates lower health facilities
and other crucial amenities which leads to the standard of living being low.

5.SOCIAL
CAUSES

Many social
factors such as caste, religion, gender, joint family system and others have
hindered the economic growth. Majority of the population still being orthodox
and not ready to change and move on ha vastly affected the growth of the
country.

6.UNEMPLOYMENT

Because of a
high level of unemployment, the number of dependency of people on the employed
ones has increased. As a result, the consumption expenditure per head is
decline because there is only so much one person can provide for a family.
Consequence – most of such families are living below the poverty line.

7.ILLITERACY

It is no
hidden fact that a high percentage of our population is illiterate. Due to
this, the farmers have absolutely no idea about the efforts and initiatives
taken by government that may help them with their financial condition. Also,
they are unaware of the new technologies and tools for cultivation being introduced
in the market. This also leads to the money lenders cheating them and
extracting more money from them.

 Cryptocurrency
is basically a virtual currency that is not possible to imitate. The
‘cryptocurrency’ is derived from the encryption techniques. These
cryptocurrencies are based on blockchain technologies. A blockchain, in simple
words, means a database to keep records about the holders of the currency.
Because these currencies are digitally operated and not issued by any
government agents or authorities, there is eventually no political interference
or manipulation.

 The first even blockchain launched
cryptocurrency was Bitcoin which till date is the most famous crypto. Apart
from that, there are various other currencies with different functions
available in the market now that it has become such a hot topic.

Bitcoin was
launched in 2009 by a group known as ‘Satoshi Nakamoto’. Over 18.8 Million
crypto are being circulated in the market with a total market cap of $858.9
Billion as of August 2021 and there are only 21 Million currencies available
leading to the reduction of chances of both inflation and manipulation. Some of
the other alternate currencies include Litecoin, Peercoin, Namecoin, Ethereum,
Cardano and Eos.

Crypto
generally allow for safe payments online which are referred as ‘tokens’ and the
ledger entries of these exchange of tokens are stored digitally. Many investors
make money out of these currencies by selling them to other investors at a
profit.

Cryptocurrencies
claim that it makes it easier for financial transactions between two parties as
it does not require any third party that needs to be trusted with their money.
These transactions are secured by a private key. A private key is one that is
only known by the owner of the account and is used by him to sign away
transactions. This uses the least of transaction fees unlike the banks and
other financial institutions which charge a certain amount for wire transfer.

A downside
of these currency is that it is partially anonymous which makes it easier for
illegal business like tax evasion and money laundering. However, this anonymity
is highly valued by some individuals considering it acts like a protection for
those activists who live under a repressive government.

The market
price of any product depends upon its demand and supply and similar theory
applies to cryptocurrency. The rate at which one currency can be exchanged for
another can fluctuate widely which makes it a risky business to invest in. The
cost of producing a crypto, especially Bitcoin, which is an extremely large
amount, depends upon its market price.

It is also a
fact that only the blockchain of these currencies are digitally secured. The
other aspects of it like ‘wallets’ and ‘exchanges’ are not highly secured. They
are still prone to hacking and in the past 10 years, there have been cases of
millions of dollars being stolen via hacking of some mere coins.

The fact
cannot be ignored that cryptocurrency has only been in the market for 10 years.
It is not some gold or a piece of land that can be bought and guarantee you a
profit in future. It is a completely different and new technology that needs
knowledge and awareness. Just like stock market, one needs to be fully educated
before investing their valuable money into this business.