Income Inequality in Balochistan – Causes and Way Forward

Abstract

This study examines the growing income inequality in Balochistan, which exacerbates poverty, threatens social cohesion, challenges national integration in Pakistan, and hinders development. It explores non-income determinants of income inequality in Balochistan, such as land inequalities, digital divide, unbalanced employment structure, educational disparities, inefficient economic policies, and urbanization. Using Max Weber’s theory of social stratification, the study employs a mixed-method approach, surveying 200 individuals across Balochistan through Simple Random Sampling and analyzing the data via the Statistical Package for the Social Sciences (SPSS). The study finds that the majority of the respondents (55%) believe that land inequality is the major contributor to income inequality, 42.5% indicate the digital divide, and 40% attribute it to the unbalanced employment structure. Similarly, 39% referred to educational disparities, 37.5% cited inefficient economic policies, and 30% indicated urbanization. To mitigate these issues, the study advocates for the Human Capital Approach, urging targeted intervention by the government in the human capital of Balochistan.