PAKISTAN: A CASE STUDY OF SOCIAL AND

ECONOMIC DISPARITIES

By: Imad Ud Din (BPA 18)

Undeniably, societies around the globe have made quite a progress, showing
remarkable achievements on social and economic fronts. Improved security
situations have led to peace and prosperity by and large. What seems to be
lacking, however, is the will to ensure that this prosperity is mutually shared on
the basis of equity. Economic data supplied by the organizations such as World
Bank and IMF points towards this troublesome aspect.
According to World Bank’s International Comparison Program Database on
GDP (PPP) per capita, vast disparities exist not only between the developed and
developing states, but also within these states as well. GDP (PPP) is Gross
Domestic Product (at purchasing power parity) per capita and it accounts for the
differences in the cost of living and inflation rates in different countries, thus
making it a reliable indicator. It is measured in Geary-Khamis Dollar
(International Dollar), which is a hypothetical unit of currency that has the same
purchasing power parity that the U.S. dollar had in the United States at a given
point in time.
To establish this argument of disparity in a better way we can take the example
of United States (developed state) and Pakistan (developing state). In year 2010,
United States recorded figures of 48,466.8 Intl. Dollars of GDP (PPP) per
capita, whereas in the same year, Pakistan was able only able to muster up a
figure of 3,988.7 Intl. Dollars (GDP (PPP) per capita, 2019). Such contrasting
figures call for improved governance measures in the developing world, and
simultaneously raise an alarm for collective measures on the global sphere to
address the issue of disparity. Hopes of a better future for a humanity rest only
on the foundations of collective initiatives towards peace, prosperity, and
equity.
As hinted above, such stark disparities exist not only amongst different states,
but also within them. The issue is even more alarming at the regional level.
Administratively each province of Pakistan is divided into districts. The districts
constitute the third level of governance. There is substantial diversity across
administrative districts from economic, cultural, and social point of view. The
life style and pattern of living show immense variation due to difference in the
regional development and progress (Khan & Idrees, 2014). Below is the list of
top five and bottom five districts of Pakistan in terms of Average Monthly
Earnings (Pakistani Rupee) Per Earner (Household Integrated Economic Survey
(HIES) 2010-11, 2011):

These statistics show that there exist vast disparities in the average earnings
across the districts of Pakistan. The average earnings in rich districts are more
than twice the average monthly earnings in relatively poor districts. The rich
districts have relatively better infrastructure, better health facilities, better law
and order situation and hence more employment opportunities.
To conclude, despite the progress and prosperity on various fronts, numerous
challenges are yet in dire need to be tackled with efficient and effective
governance. This includes both, local as well as the global governance. Peace
and prosperity are no doubt very pertinent towards a bright future, but so is the
equitable distribution of the gains from this prosperity. Therefore, governance
needs to be more participatory in nature and responsive towards all the different
levels of strata.

References

GDP (PPP) per capita. (2019). Retrieved from WORLD BANK GROUP:
https://data.worldbank.org/indicator/NY.GDP.PCAP.PP.CD?end=2010&
most_recent_value_desc=true&start=1990&year_high_desc=true
GOVERNANCE and THE LAW. (2017). WORLD BANK GROUP.
Household Integrated Economic Survey (HIES) 2010-11. (2011, September).
Retrieved from PAKISTAN BUREAU OF STATISTICS:
http://www.pbs.gov.pk/content/household-integrated-economic-survey-
hies-2010-11
Khan, K., & Idrees, M. (2014). Determinants of Earnings: A District Wise
Mapping of Pakistan. Forman Journal of Economic Studies, 1-16.
Retrieved from https://www.fccollege.edu.pk/wp-
content/uploads/2017/03/Paper-1-Determinants-of-Earnings-A-District-
Wise-by-Khola-Khan-and-Muhammad-Idrees.pdf