Abstract
Pakistan confronts a complex dilemma of the human condition. The major issues are poverty and income
disparity particularly among the rural masses. The impact of the crisis of poverty is particularly acute on the
weakest sections of the society. It is illustrated that for the year 1990-91, 39.42 percent of the total 31.81 percent
of the population below the poverty line was found to be absolute poor containing chronically and extremely poor
in the proportion of 34.01 percent and 60.58 percent respectively. Below the poverty line, extremely poor,
chronically poor and transient poor constitute 1.72 percent, 10.82 percent and 19.27 percent of the overall
population in rural Pakistan. During the whole time series, 1196.76 thousand people added to the clusters of
extremely poor, 53769.55 thousand to chronically poor, 6659.13 thousand to transient poor and 7192.43
thousand to the vulnerable poor. It is evident that bringing 59.11 percent of the poor population out of poverty is to
certain extent easier than bringing the remaining 40.89 percent out of poverty trap.