Development Theory - Basic Needs

Basic Needs

The basic needs approach was introduced by the International Labour Organization in 1976, mainly in reaction to prevalent modernisation- and structuralism-inspired development approaches, which were not achieving satisfactory results in terms of poverty alleviation and combating inequality in developing countries. It tried to define an absolute minimum of resources necessary for long-term physical well-being. The poverty line which follows from this, is the amount of income needed to satisfy those basic needs. The approach has been applied in the sphere of development assistance, to determine what a society needs for subsistence, and for poor population groups to rise above the poverty line. Basic needs theory does not focus on investing in economically productive activities. Basic needs can be used as an absolute measure of poverty.

Proponents of basic needs have argued that elimination of absolute poverty is a good way to make people active in society so that they can provide labor more easily and act as consumers and savers. There have been also many critics of the basic needs approach. It would lack theoretical rigour, practical precision, be in conflict with growth promotion policies, and run the risk of leaving developing countries in permanent backwardness.