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Artificial poverty is the result of individual and collective decision and natural poverty is the result of causes which lie outside the domain of human decisions such as distress situations (floods, earthquakes, droughts).
Prof. Baxi states that the so-called 'natural' causes of poverty have a lot to do with human decision-making. For example, droughts and floods are now seen as an aspect of consequences of wrong policy decisions, rather than as natural disasters or happening. Forests help in controlling floods and play an important role in environmental ecological sustainability. Despite their potentiality to reduce poverty and contribute to economic growth of India and their significant contribution to local and global environment, forest resources were not given the importance due to them. Due to deforestation, now we hardly find a tree in the areas where forests once existed. All this happened due to wrong decision-making of society. Environmental imbalances are due to pollution and the 'greenhouse gases (a term used to denote increased warming of the earth's surface and lower atmosphere due to higher levels of carbon-dioxide and other gases) which affect the world's climate. Development of science and technology of industries has brought in its wake an endless trail of ecological irritants-smoke, fume, noise,chemical wastes, water pollution, deforestation, unplanned organisation, dirt and squalor which need to be curbed. Nibons oxide, methane chlorifloro carbons, carbon-dioxide and other industrial gases used in industries are causing greenhouse effect which is warming the earth. The ozone layer is affected by global emissions of ozone-depleting chemicals. Global warming, with the damage to the ozone, leads to extreme weather events such as heat waves, heavy precipitation events, floods, droughts, fires, pest outbreaks and severe cyclonic storms, increase in the level of the sea and the destruction of the vegetation on earth. All these changes lead to poverty due to lack of water for crops, and failure of crops and the result is mass starvation deaths due to man's irrational decisions.
Artificial poverty (social poverty) is considered as impoverishment, a dynamic process of public decision-making. These decisions are made by people who hold public power, and it is a mistake to think that only politicians hold this power, although they manifest it supremely and dramatically. Judges, bureaucrats, economists and other human science specialists, media- all, to some extent or the other, Command power and take decisions which lead to poverty.
Natural causes of poverty refer to factors that are outside of human control, such as natural disasters, climate change, and resource scarcity. Some of the key natural causes of poverty include:
Social causes of poverty on the other hand, refer to factors that are within human control, such as economic systems, political systems, and social institutions. Some of the key social causes of poverty include: