|Inter-Generational Income Mobility Map of the World 2018. Source: World Bank|
Intergenerational Income Mobility Study:
The World Bank study uses a newly created 2018 database—the Global Database of Intergenerational Mobility (GDIM)—that covers more than 95 percent of the global population. Intergenerational income mobility measures how children's incomes compare with their parents' incomes at similar stages of life over a period of 50 years.
|Inter-Generational Income Inequality Scatter Plot of the World 2018. Source: World Bank|
The study found that higher intergenerational income mobility is associated with lower income inequality.
More and more Pakistanis are sharing in their nation's development, according to World Economic Forum (WEF). Pakistan ranks 47 among 74 emerging economies ranked for inclusive development by WEF released recently at Davos, Switzerland. Inclusive development in the South Asian country has increased 7.56% over the last 5 years. World Economic Forum assesses inclusive development based on "living standards, environmental sustainability and protection of future generations from further indebtedness."
Pakistan ranks among the 10 worst performing countries in absolute educational mobility, defined as the share of adults that are more educated than their parents, and relative mobility, defined as the correlation between individuals’ education and that of their parents.
|Intergenerational Educational Mobility. Source: World Bank|
In terms of intergenerational education mobility, only 9.4% of Pakistanis born in the bottom half make it to the top compared with a median of 15% among developing economies. Compared with other South Asian countries (in IGM in education), however, Pakistan (9.4%) is doing marginally better than India (8.9%) and Bangladesh (8.6%), but worse than Nepal (11.4%), Afghanistan (12.3%), Sri Lanka (15.9%), and the Maldives (24.8%), according to the World Bank.
|Comparison of Intergenerational Mobility in Pakistan. Source: World Bank|
WEF Inclusive Development Report 2018:
The WEF inclusive development index ranks Pakistan at 47, below Bangladesh at 34 but above India at 62. The 7.56% rate of increase in inclusive development in Pakistan is higher than 4.55% in Bangladesh and 2.29% in India. China ranks 26 and its inclusion is rising at a rate 2.94%.
|WEF IDI Rankings. Source: WEF|
Another WEF report compiled by Oxfam said the richest 1% of Indians took 73% of the wealth generated last year.
Income Share Change in Asia's Poorest Quintile:
The share of national income of Pakistan's poorest 20% of households has increased from 8.1% to 9.6% since 1990 , according to the United Nations Economic and Social Commission for Asia and Pacific (NESCAP) Statistical Yearbook for 2015. It's the highest share of income for the bottom income quintile in the region.
The countries where people in the poorest income quintile have increased their share of total income include Kyrgyzstan (from 2.5 per cent to 7.7), the Russian Federation (4.4 per cent to 6.5), Kazakhstan (7.5 per cent to 9.5) and Pakistan (8.1 per cent to 9.6). India's bottom income quintile has seen its share of income drop from 9% to 7.8%.
|Bottom Quintile Income Share Change. Source: UNESCAP Statistical Yearbook|
Although more people in China have lifted themselves out of poverty than any other country in the world, the poorest quintile in that country now accounts for a lower percentage of total income (4.7 per cent) than in the early 1990s (8.0 per cent). The same unfortunate trend is observed for a number of other countries, including in Indonesia (from 9.4 per cent to 7.6) and in the Lao People’s Democratic Republic (from 9.3 per cent to 7.6).
Development of China Pakistan Economic Corridor (CPEC) is transforming Pakistan. Among the parts of the contry being transformed the most by CPEC are some of the least developed regions in Balochistan and Sindh, specifically Gwadar and Thar Desert. Here is more on these regions:
Gwadar Port City:
Gwadar is booming. It's being called the next Shenzhen by some and the next Hong Kong by others as an emerging new port city in the region to rival Dubai. Land prices in Gwadar are skyrocketing, according to media reports. Gwadar Airport air traffic growth of 73% was the fastest of all airports in Pakistan where overall air traffic grew by 23% last year, according to Anna Aero publication. A new international airport is now being built in Gwadar to handle soaring passenger and cargo traffic.
In addition to building a major seaport that will eventually handle 300-400 million tons of cargo in a year, China has built a school, sent doctors and pledged about $500 million in grants for an airport, hospital, college and badly-needed water supply infrastructure for Gwadar, according to Reuters.
The Chinese grants include $230 million for a new international airport in Gwadar, one of the largest such disbursements China has made abroad, according to researchers and Pakistani officials.
New development work in Gwadar is expected to create as many as 20,000 jobs for the local population.
Thar, one of the least developed regions of Pakistan, is seeing unprecedented development activity in energy and infrastructure projects. New roads, airports and buildings are being built along with coal mines and power plants as part of China-Pakistan Economic Corridor (CPEC). There are construction workers and machinery visible everywhere in the desert. Among the key beneficiaries of this boom are Thari Hindu women who are being employed by Sindh Engro Coal Mining Company (SECMC) as part of the plan to employ locals. Highlighted in recent news reports are two Hindu women in particular: Kiran Sadhwani, an engineer and Gulaban, a truck driver.
|Kiran Sadhwani, a Thari Hindu Woman Engineer. Source: Express Tribune|
|Hindu Woman Truck Driver in Thar, Pakistan. Source: Reuters|
Some of them are now being employed in development projects. A recent report talked of an underground coal gasification pilot project near the town of Islamkot where "workers sourced from local communities rested their heads after long-hour shifts".
A 2012 study of 22 nations conducted by Prof Miles Corak for the Organization for Economic Cooperation and Development (OECD) has found income heritability to be greater in the United States, the United Kingdom, Italy, China and 5 other countries than in Pakistan.
The study's findings, presented by the author in testimony to the US Senate Finance Committee on July 6, 2012, rely on the computation of "inter-generational earnings elasticity" which the author explains as follows:
"(It) is the percentage difference in earnings in the child’s generation associated with the percentage difference in the parental generation. For example, an intergenerational elasticity in earnings of 0.6 tells us that if one father makes 100% more than another then the son of the high income father will, as an adult, earn 60% more than the son of the relatively lower income father. An elasticity of 0.2 says this 100% difference between the fathers would only lead to a 20% difference between the sons. A lower elasticity means a society with more mobility."
Intergenerational Mobility in Pakistan:
Corak calculates that the intergenerational earnings elasticity in Pakistan is 0.46, the same as in Switzerland. It means that a difference of 100% between the incomes of a rich father and a poor father is reduced to 46% difference between their sons' incomes. Among the 22 countries studied, Peru, China and Brazil have the lowest economic mobility with inter-generational elasticity of 0.67, 0.60 and 0.58 respectively. The highest economic mobility is offered by Denmark (0.15), Norway (0.17) and Finland (0.18).
The author also looked at Gini coefficient of each country and found reasonably good correlation between Gini and intergenerational income elasticity.
In addition to Corak, there are other reports which confirm that Pakistan has continued to offer significant upward economic and social mobility to its citizens over the last two decades. Since 1990, Pakistan's middle class had expanded by 36.5% and India's by only 12.8%, according to an ADB report titled "Asia's Emerging Middle Class: Past, Present And Future".
More evidence of upward mobility is offered by Euromonitor market research indicating that Pakistanis are seeing rising disposable incomes. It says that there were 1.8 million Pakistani households (7.55% of all households) and 7.9 million Indian households (3.61% of all households) in 2009 with disposable incomes of $10,001 or more. This translates into 282% increase (vs 232% in India) from 1995-2009 in households with disposable incomes of $10,001 or more. Consumer spending in Pakistan has increased at a 26 percent average pace the past three years, compared with 7.7 percent for Asia, according to Bloomberg.
The latest World Bank Study based on 2018 data shows that Pakistan continues to offer higher intergenerational economic mobility than most of the rest of the world. It reconfirms an earlier 2012 study of 22 nations by Miles Corak. More and more Pakistanis are sharing in their nation's development, according to World Economic Forum (WEF). Pakistan ranks 47 among 74 emerging economies ranked for inclusive development by WEF released recently at Davos, Switzerland. Inclusive development in the South Asian country has increased 7.56% over the last 5 years. World Economic Forum assesses inclusive development based on "living standards, environmental sustainability and protection of future generations from further indebtedness."
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World Bank Group
Intergenerational Income Mobility
Pakistan has made substantial progress in terms of poverty reduction and overall
improvementin standards of living over the past decades. The process of economic development
in Pakistan has led to absolute upward mobility across generations.
Children and youth living in today’s Pakistan experience a much higher quality of life than their grandparents. If we look at the
period from the early 1970s to the present, welfare as measured by GDP per capita (calculated in
2010 US$) increased 2.5 times from US$453 to US$1,178. Social indicators have also improved
significantly. For example, a child born in Pakistan today can expect to live, on average, more than a
decade longer than a child born two generations ago and achieve higher educational levels.
Nonetheless, the picture is less positive when considering intergenerational mobility (IGM) from a
relative perspective, that is, the extent to which an individual’s position on the economic ladder
within a society is independent of the position of the individual’s parents (Box 3).
Intergenerational Education Mobility
A recent report (World Bank, 2018b) analyzing trends in IGM in education across 146
countries indicates that Pakistan ranks among the worst performing countries in absolute
educational mobility, defined as the share of adults that are more educated than their parents, and
relative mobility, defined as the correlation between individuals’ education and that of their parents.
Pakistan also ranks among the 10 worst performing countries when looking at the share of
individuals in the 1980s’ generation who made it to the top quartile of education out of all those born
to parents with education in the bottom half of their generation. Ideally, if one’s ability to obtain an
education did not depend on how well educated one’s parents are, the share would be 25 percent. In
the case of Pakistan, only 9.4 percent of individuals born in the bottom half make it to the top
compared with a median of 15 percent among developing economies.
Compared with other South Asian countries (in IGM in education), Pakistan is doing marginally better than India (8.9 percent) and Bangladesh (8.6 percent), but worse than Nepal (11.4 percent), Afghanistan (12.3 percent), Sri Lanka (15.9 percent),
and the Maldives (24.8 percent).
An Analysis of Intergenerational Mobility in Pakistan Zahid Pervaiz & Shahla Akram
Educational mobility in Pakistan surpasses income and occupational mobility at all point of times. In 2007, 34.68% offspring had an income which was greater than their fathers’ income. This slightly increases to 36.87% in the year 2015. Downward mobility of income at all point of times is higher than upward mobility. As far as educational mobility is concerned, 56.19% offspring had higher education (in years of schooling) than their fathers and 55.17% did so in 2015. Thus, although the majority of population has moved upward as compared with previous generation in terms of educational attainments yet the scenario is quite opposite in terms of income and professional mobility where either the majority has moved downward or it has remained in the same income or occupational group. Table 3 tries to explain this phenomenon of upward/downward mobility in a better and simple way by dividing the whole population into two income groups. Median/mean income has been used to divide whole population into low income (poor) and high income (rich) group.
Table 3 shows that in 2007, there was 72.98% likelihood that offspring of poor fathers will remain poor (earn income below median) whereas 27.02% of them have a probability to get out of poverty and enter into upper income group. The likelihood of remaining in the same low income group (below median) for those individuals whose fathers were poor decreased from 72.98% in 2007 to 64.02% in 2015. Thus an intertemporal analysis suggest that upward mobility of low income group has increased from 2007 to 2015 in the sense that they have now entered into better income group. But still immobility is too high particularly in low income group due to which poverty may persist. Same kind of picture emerges if we use mean income instead of median income as a threshold for dividing population into two groups of low income and upper income. Table 4 given below provides more in depth picture of movement of individuals from one income quintile to other income quintile viz-a-viz their father.
An interesting phenomenon is evident from figures provided in table 4: immobility is highest either among the poorest i.e. people belonging to first income quintile or among the richest i.e. people belonging to top income quintile. According to the matrix of year 2007, there was 36.8% likelihood that offspring whose parent fall in first income quintile will also remain in the same income quintile. Whereas this likelihood for top income quintile was 52.53%. It implies that persistence of status quo was highest in the rich class. Intertemporal analysis reveals that immobility has come down during the period of our study. Which implies that now there is slightly higher probability for offspring belonging to first income to move upward. Similarly there is more likelihood of downward mobility for 5th income quintile.
Most of #Pakistan's #Hindus are of lower caste #untouchables. When they migrate to #India, they face discrimination. They can not enter #Hindu temples, and assaulted for drinking from the community water well. India is no Hindu paradise for them. https://www.nytimes.com/2019/10/05/world/asia/pakistan-hindu-india-modi.html
This is not the Hindu paradise they had crossed the border to join, they said. This is not the India Mr. Modi promised them.
Mr. Bheel is wracked by doubt, the same doubt his grandfather had when he chose to keep the family in Pakistan during partition. Did he make the right choice?
He left his home and siblings in Karachi, trading a lucrative job as an administrator of a medical clinic there to live as a migrant in India. His medical diploma, one of the few possessions he brought with him, hangs proudly on a wall, although it is not valid in India. He struggles to make ends meet here.
“You take these decisions sometimes out of excitement for what your life could be,” Mr. Bheel said, his daughter cuddling beside him on a bench. “Then you arrive and realize it’s much different on the ground.”
Mr. Bheel looked on as his wife struggled to contain rainwater leaking from the ceiling, after a monsoon swiftly obliterated the sunny sky. Eventually she gave up, running out of pots and buckets.
“Maybe this wasn’t the right decision for me,” he said. “But maybe my children will look back and say, ‘My father made the right choice.’”
Bhagchand Bheel is one of the disappointed. When he migrated to India in 2014, he was grateful to leave the violence and pressure of Karachi, Pakistan’s commercial hub. He boarded the Thar Express to Zero Point Station, the last stop before the border, where he and his family lugged their bags by foot into India, settling in a camp in the city of Jodhpur.
He was among his people, he thought, and could finally be free. But he is of a lower caste, and when he tried to enter a Hindu temple, he was barred entry by the priest because of it, he said. And when a friend tried to drink from the community water well, he was physically assaulted by upper caste Brahmins who accused him of polluting it.
“In Pakistan, the only thing that matters is if you are Hindu or Muslim,” said Mr. Bheel, whose last name is derived from his tribe. “Because we are Hindus, in Pakistan we were discriminated against. But in India, I face discrimination because I’m a Bheel.”
Like many Pakistani Hindus, Mr. Bheel migrated after Mr. Modi came to power in 2014, after a long campaign promoting Hindu nationalism.
Muslims in India say life has gotten progressively harder for them, too. Mr. Modi’s government is accused of turning a blind eye to the scores of Muslim men lynched by Hindu mobs. When an 8-year old Muslim girl was gang raped and killed in Kashmir last year by Hindu men, local police officers allegedly helped cover up the crime.
But despite the discrimination Muslims face in India, they do not tend to migrate to Pakistan in the numbers their Hindu counterparts in Pakistan do. Indian Muslims tend to migrate to the West instead.
In the Al Kausar Nagar migrant camp in Jodhpur, huts made out of thin, wispy branches, like birds’ nests, nestle in clusters, with quilts with vibrant Pakistani tribal designs hanging off their sides.
Bands of Pakistani Hindu women crouch over unfinished quilts, stitching away, hoping to sell them in the market to wealthier Indians. They complain that they receive little government assistance, siphoning what little electricity and water they can off municipal lines, and that the quality of public schooling for their children is not as good as it is in Pakistan, a main source of grievance for the many who migrated to give their children better opportunities.
Is it an institution, digital or social inclusion that matters for inclusive growth? A panel data analysis
This study empirically examines the impact of institutional quality, social inclusion and digital inclusion on inclusive growth across different economies characterized by different income groups. Particularly, the study examines the impact of institutions on inclusive growth by using the panel data for 83 countries over the period 2010–2017. For empirical specification, we used two-steps system-GMM estimation technique to tackle endogeneity and min–max normalized indexing technique to construct the indices for inclusive growth, social inclusion, digital inclusion and institutional quality. The results of this study show that there is a direct link between institutional quality and inclusive growth for a higher-income group of countries but not in the rest of the income groups. Contribution of social and digital inclusivity is significant in all three income groups, except for social inclusion in middle-income countries. From the policy point of view, these findings suggest that establishing and strengthening the institutional structure in low- and middle-income countries can contribute towards better and higher inclusive growth.
Interestingly, China (with score 58.52) is ranked higher in terms of inclusive growth than Japan (score: 56.10). Sri Lanka is having score 48.13 has a higher literacy rate than India, which is growing more inclusively than it, as its IGI score value is 50.24. It may be due to the dominance of some variables such as employment to population ratio, income inequalities or per capita income growth in the sample for one country and which may not be high for another country. It is interesting to note that the IGI score of Pakistan (53.52), which has lower economic growth rates than Sri Lanka and India but performed better in terms of inclusive growth than these nations. The results of Pakistan are consistent with Saima and Javed (2011). The performance of Uzbekistan and Nigeria is the worst in terms of inclusive growth. The gap between middle income and low-income groups is small (5 to 6 average points) that implies middle-income countries might be growing rapidly as compared to low-income nations, but in terms of inclusive growth does not significantly differ from low-income countries.
Countries ranking based on institutional quality index indicates that high-income countries are ranked at the top, as shown in Fig. 3. Finland ranked at the top with scores 94.62 which shows the best institutional structure in the world, followed by Norway (93.74), Sweden (93.12). The largest economy in the world (USA) ranked in the 13th position with a score value of 84.24. According to this ranking, Zimbabwe has the poorest institutional structure with a score of 27.77.
Figures 4 and and55 portrays an accumulative picture based on the inclusive growth index (IGI) and institutional quality index (IQI).2 These figures indicate the imperative economic rationale of why high-income countries have a higher level of inclusive growth. This implies that as income level increases, institutional quality improves, which helps in achieving inclusive growth, as predicted by North (1994) World Bank (2002) and North and Davis (1970).
For a long time we have known that improved transport accessibility leads to more opportunities and better lives.
ANDREW DABALENSHOMIK MEHNDIRATTA|JANUARY 24, 2022
Accessibility describes how easy (or difficult) it is for people to reach services and opportunities. When you look at the data, significant accessibility gaps persist around the world. Globally 51% of individuals living in low-income countries reside within an hour of a city compared to 91% of individuals in high-income countries. This limited access to urban centers hinders rural populations from accessing services and opportunities, including healthcare, education, jobs, and markets. Gender plays an important role as well: as these findings from Pakistan illustrate, women typically must cover greater distances to reach basic services. Even for people living in cities, accessibility may vary depending on the availability of public transport, the impact of traffic congestion.
Lack of access is systematically linked to inferior development outcomes, even more so if motorized transport is not available. The inability to travel to healthcare facilities, for instance, has been associated with increased mortality and morbidity from treatable conditions. Conversely, improved access is often synonymous with improved development outcomes. For example, women with access to roads in Pakistan are twice more likely (14% vs 28%) to go to pre-natal consultations. In rural Morocco, girls’ enrollment in primary schools increased from 17% to 54% when their access to roads improved.
Looking particularly at rural roads investments, the construction of a new road can lead to a chain of positive impacts. When a rural community gets connected to the road network, people who could not reach healthcare, schools, or other essential services before are suddenly able to do so. Workers can access more and better jobs. Farmers can sell their products in more distant markets. But these outcomes can only materialize if rural road projects are carefully planned and prioritized. Also, while investments in road networks are often a critical first step toward enhancing accessibility, they should be integrated into a broader investment package targeting social and technological development overall.
However, transforming this knowledge into action had been hard to operationalize. Lack of data regarding the transport network, opportunities, limited computing power to calculate travel times in large areas and lack of consistent framework had made it hard for us to take this academic research into an operational reality. We needed to understand exactly which transport projects will have the highest impact on accessibility? How would this accessibility transform into household welfare? And how do we create tools to inform planning and investment decisions?
To address these questions, the World Bank’s Transport and Poverty and Equity teams jointly developed a new framework that relies on high-resolution mapping and other sophisticated analytical tools to provide a more granular view of how rural road infrastructure can benefit communities.
We are now able to deploy all that knowledge into operational action, by developing an analytical framework that highlights spatial disparities in access to services and opportunities, calculates the expected gains in accessibility from investments into road infrastructure and thereby informs the placement of transport investments throughout the region.
China’s belt and road projects will help lift Pakistan from poverty, says Imran Khan
Despite questions around Pakistan’s deals with China, its PM says CPEC and Gwadar port are viewed as ‘a great opportunity’
Khan told Chinese President Xi Jinping that Islamabad would support China at any time as its ‘all-weather friend’
“I do not understand why there is this suspicion about CPEC [China-Pakistan Economic Corridor] and the Gwadar port … what China achieved is really [why] we look at China as a role model, because never has a nation lifted so many people out of poverty as did China,” Khan said.
“This is really my main concern: how do I lift people out of poverty, how do we create wealth in our country? We see CPEC and Gwadar as a great opportunity for our geoeconomics, I think this is not exclusive between Pakistan and China. We invite any other country to join and invest in CPEC projects,” Khan said, referring to his policy on strengthening trade and investment with regional countries.
“We want to lift our poverty using the example of China,” he said.
CPEC comprises a network of roads, railways, ports, power plants, oil and gas pipelines and optical fibre cables. A main feature of the project is a road from Xinjiang in China’s far west to Gwadar port in Balochistan. Only around a third of the projects have been completed.
“The US is also a good friend of Pakistan, but it is different from the all-weather friendship with China,” Khan said, adding that in the past the US had switched between being friendly towards his nation and then sanctioning Pakistan over regional issues, including conflicts in Afghanistan.
“Pakistan-China relations have been stable for the past 70 years,” Khan said.
CPEC project keeps children fed
Hundreds of children belonging to lessprivileged families in the scenic Kaghan Valley are being fed on a daily basis at the under-construction Suki Kinari hydropower project along the Kunhar River.
The Suki Kinari dam project, one of the key initiatives of the China Pakistan Economic Corridor (CPEC), is estimated to generate 884 megawatts of electricity, which will benefit 13 million households.
According to Mari Petroleum, around 6,000 locals are already involved in the construction work, and once complete, it will create hundreds of more jobs. It is a unique project for which a 30km long tunnel will be dug through the mountains and from where the water will be diverted to the power turbines with the help of pipes.
Launched in 2017, 83% of the work of Suki Kanari Energy Project has been completed. It is hoped that this project will be added to the national grid next year, increasing Pakistan's hydropower reserves by nine percent.
Study reveals social mobility booming in Pakistan
The Standard Chartered Bank (SCB-Pak) has conducted a study on ‘Emerging Affluent Consumers’ in eleven countries including Pakistan, in which it found that nearly two-thirds or 64 per cent of emerging affluent consumers in Pakistan are experiencing upward social mobility while 11 per cent are enjoying ‘supercharged’ social mobility.
The Emerging Affluent Study 2018 – climbing the prosperity ladder – examines the views of 11,000 emerging affluent consumers- individuals who are earning enough to save and invest – from 11 markets across Asia, Africa and the Middle East.
Commenting on the study, SCB Retail Banking Head Syed Mujtaba Abbas said, “Ambitious consumers are on an upward social trajectory; they are surpassing their parents’ success in education, careers and home ownership. As their ambitions and aspirations grow, they are demanding convenient financial services and digital technology to broaden their access to money management and advance their financial wellbeing. It is an exciting journey where they are not only improving their own lives, but they are also fuelling growth in some of the world’s most exciting markets.”
According to the study, the average figure for social mobility among the emerging affluent consumers across the markets is 59 per cent, and of these 7 per cent are experiencing supercharged social mobility.
Pakistan’s socially mobile consumers, as identified by the study, have had impressive earnings growth, with almost half (44 per cent) enjoying a salary increase of 10 per cent or more in the past year, and more than a third (34 per cent) seeing their earning jump by 50 per cent or more in the past five years.
In Pakistan, the socially mobile people are also better educated and achieving higher levels of employment and homeownership than their parents. As many as 89 per cent went to universities, compared to 66 per cent of their fathers and less than half (49 per cent) of their mothers, while 83 per cent are in a management position or running their own businesses compared to 65 per cent of their fathers and 28 per cent of their mothers. Similarly, as many as 88 per cent of the socially mobile people own their own home, compared to 81 per cent of their parents at the same age.
Levels of optimism among the emerging affluent in Pakistan are even higher than reality, with 79 per cent believing they are in a better financial position than their parents compared to the 64 per cent in the study that are actually socially mobile.
More than two-thirds (70 per cent) of the emerging affluent in Pakistan say their familiarity with digital tools have been vital to their personal success, while 73 per cent say online banking makes them feel that they have more control over their money and investments, and 67 per cent say digital money management has helped them get closer to achieving their financial goals.
Pakistan’s emerging affluent is comfortable going online for financial advice, with the majority (60 per cent) saying they would invest in financial products online if an on-demand adviser was available. Risk is not a problem for the emerging affluent if strong rewards are possible 58 per cent would accept a high level of risk for a high level of return when investing their money in online financial products.
INTERGENERATIONAL ECONOMIC MOBILITY: THE CASE OF NORTH-
Ansa Javed Khan1, Sajjad Ahmad Jan2, Jawad Rahim Afridi3*, Arshia Hashmi4, Muhammad Azeem Ahmed5 1Assistant Director, P&D, Bacha Khan University, Charsadda, Pakistan; 2Assistant Professor, Department of Economics, University of Peshawar, Peshawar, Pakistan; 3*Lecturer, Department of Economics, Sarhad University of Science & IT, Peshawar, Pakistan; 4Assistant Professor, The University of Faisalabad, Department of Management Studies, Faisalabad, Pakistan; 5Associate Professor, Barani Institute of Sciences, Pakistan.
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Article History: Received on 19th June 2021, Revised on 26th June 2021, Published on 29th June 2021
Access to Education and Intergenerational Economic Mobility
The following table 1 shows the change in educational status which has taken place between the parents and children’s generations for the overall sample as well as for the sub-groups (Majority and Minority Tribes). The absolute numbers (outside parentheses) and the percentage (within parentheses) in different cells of the table show the people who are illiterate or at different levels of education. The table on one hand shows the intergenerational mobility of people up and down the education ladder and on the other hand reveals the wide and persistent educational gap between the majority and minority tribes. The table shows that 26 % of the respondents in the kids’ generation do not have any education versus 46 % in the parents’ generation. The results affirm the government’s claims and the common perception that, on average, more people have become literate through time and therefore the people in the children’s generation are more likely to be educated than their parent's generation. Further, the college and university graduates in the children’s generation outnumber the school graduates while school graduates outnumber the higher two educational categories in the parents’ generation as most of the students in past used to drop out at both primary or high school levels and couldn’t manage to get into a college or university for higher studies.
The aggregate results for the whole sample are actually driven by the majority tribes as it shows identical trends from the parents’ generation to the children’s generation in all educational. The majority tribe has succeeded in decreasing the number of illiterates from 33% in the parents’ generation to 11% in the children’s generation. College and university graduates (total of 60%) outnumber the school graduates and the illiterate (total of 40%) in the children’s generation as compared to the parents’ generation in the majority tribe where the former is 26% and the latter is 73%. This indicates a visible upward movement of the educational ladder by the members of the majority tribe. The situation of education and literacy in the minority tribe is deplorable if the comparison is either made on basis of children’s and parents’ generations or if the educational attainment levels of the minority and majority tribes are compared. The illiterates outnumber all the other educational categories as in sharp contrast to the educational attainment levels of the majority tribe. The data further reveals that no or only a negligible improvement in the educational status of the people belonging to the minority tribe has taken place between the children’s and parents’ generations. This affirms our presumption that in the North-Western parts of Pakistan, the tribal affiliation of a person determines his or her access to education. The ease of access to education then further transforms into economic mobility or immobility of the people.
69% Pakistanis feel that their children will have a better life than them in a global Gallup International survey in 64 countries
Figure in India is 43%
The most positive country among those surveyed is Nigeria (90% minus 6%) and the most negative is Slovenia a (14% minus 53%). Among the prominent countries where GIA could poll, expectations for their children’s future are highest in Nigeria is followed by Russia (52% minus 10%), Mexico (48% minus 30%), the USA (43% minus 31%) and India (43% minus 33%).
When combining the two questions, another perspective is added. For instance, Moldova shows a total of 86 (45% saying that their live is worse life than the one of their parents plus 41% expecting a worse life of today’s children), followed in this negative ranking by North Macedonia (82: 35% negative assessments plus 47% negative predictions), Afghanistan (81), Syria and Italy (78), etc.
Most of the countries are still positive on both questions, but if one looks for instance for countries with both above 50% positive answers, Nigeria stands out with 171 (81% positive for today plus 90% positive for tomorrow), followed by Kosovo (162), the United Arab Emirates (150), Ghana (141), Pakistan (134), etc.
Findings are proved, confirming that developing parts of the world share more hope. National and political peculiarities leave their footprint but in general is seems that the closer the war and troubles are, the worse are the answers on both issues – as expected.
Every second citizen (51%) of the world believes that their life is better than that of their parents. The other half of the people asked is equally divided between those who assess a worse life (23%) and those who find it the same (23%). 3% could not answer. Satisfaction with the living standard is a key factor for people to believe that they have a better life than their parents. But in some rich regions like Europe this is not so valid.
Expectations for the life of today’s children are predominantly good as well but lower than the comparison of own life to the life of the previous generation – 44% are expecting a better life for today’s children in comparison to our lives, 28% expecting a worse life, 20% expecting about the same and 8% not responding. Aged people are less sure about the better future of the next generation. More money unsurprisingly seems to result in more confidence in the future on a personal level, but on a national level countries that experience or used to experience difficulties are the ones to believe stronger in better future for the next generation. Unsurprisingly again.
20 new projects in Gwadar on the way of completion during 2023: Report | Pakistan Today
These projects entail desalination potable water plant, Gwadar Free Zone North (Phase 11), Gwadar Safe City Project, New Gwadar International Airport, three electricity projects, Gwadar Smart Port City Master Plan, Gwadar Tourism Project, New management model of Pak-China Technical and Vocational Institute (PCT & VI), State of Art Shipyard Project, Oil Refinery project, Green Gwadar Project, Pak-China Friendship Hospital, fisher community projects, Gwadar Port dredging project, Export-oriented projects, Fishing industry, Warehouse industry, and Gwadar Huafa Exhibition and Trading Center.
According to the report, over the last 10 years since CPEC set its foot in 2013, Gwadar outlook is changing gradually and constructively, getting over daunting challenges including poverty, civic issues, water, electricity, employment, infrastructure, agriculture and on top of them blue economy.
In the past Gwadar was in shamble and disarray. Later in the course of 10 years, Gwadar has been making headway toward progress in a sustainable manner.
Many development projects have been completed so far including Gwadar Port, Gwadar Free Zone South (Phase I), Eastbay Expressway, Pak-China Technical and Vocational Institute (PCT & VI), China-Pakistan Gwadar Faqeer Middle School, Fiber Optic, E-Custom system (WeBOC), Plant Tissue Culture Lab & Green House, livestock, women-led garment factory, Gwadar University and GDA-Indus Hospital.
The city’s strategic location at the mouth of the Persian Gulf, coupled with its deep-sea port and modern infrastructure, makes it a hub for trade, transportation, and investment.
As a result, Gwadar is expected to attract a significant amount of foreign investment and economic activity in the coming years, emerging as a major contributor to Pakistan’s economic growth.
One of the most significant projects is the 1.2 Million Gallon Per Day (MGD) de-salination plant, expected to be fully operational by April 2023. This plant will provide a reliable source of clean drinking water to the residents of Gwadar.
In 2023, more than 4 lakhs of people of Gwadar are going to get rid of painful power woes as three electricity projects will power up Gwadar. The first project is about 100 MW Irani electricity from Gabd-Remdan (Pak-Iran border) to Jiwani Grid Station to Gwadar that will come on 1st March.
The second project is another 100 MW from Iran-Pangjur-Turban-Pasni to Gwadar that is going to be completed in current year. The third project is from Quetta, Nag-Besima section to Pangjur and then Turbat-Pasni to Gwadar.
Meanwhile 5 MW power supply will be available to Gwadar Free Zones North (Phase II). If all goes well, in the second step 12 MW power supply will be ensured for Gwadar Free Zone South (phase I) and Gwadar Port in coming months. Finally, the government also approved 300 MW coal-fired power project for Gwadar.
Another major project that is expected to pick more pace in 2023 is the development of the Gwadar Free Zone North (Phase II) spreading over 2,221 acres of land. Currently, export-based Chinese companies are very near building and running their factories in a few months.
The year of 2023 has also brought many fortunes for Gwadar’s fishermen regarding their livelihood to new housing schemes. The Balochistan Government has approved 200 acres of land for new fishermen housing colony for low-income fishmen of Gwadar.
Around Rs300 million has been allocated. Around 3,291 poor fishermen of Gwadar are going to get free of cost boat engines as the government has allocated funds of Rs823 million.
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