India’s poor can take heart — for there’s justice even in this world, despite and in spite of the Planning Commission. Planning Commission deputy chairman, and expert on poverty, Montek Singh Ahluwalia, has gotten off his high horse. Ahluwalia said on Monday that a new committee would be set up to come up with a fresh method to identify India’s poor. Last week the Commission had filed an affidavit in the...

The Planning Commission’s poverty line affidavit has exposed how blissfully ignorant the glorified economists of the UPA are of the true reality of India The 2G spectrum scam, Commonwealth Games loot, cash-for-vote bribery, Lokpal fiasco, Pranab-Chidambaram duel on the Finance Ministry note, and the count goes on. It seems the UPA-II is stuck in a rut.  As if the battering by the united Opposition and hauling over the coals by civil...

The basic problem with the Approach Paper, as with its predecessor, is that its theoretical paradigm is wrong. WHAT used to be said of the Bourbon kings of France applies equally to the Indian Planning Commission: “They learn nothing and they forget nothing.” The Approach Paper to the Twelfth Five-Year Plan gives one a sense of déjà vu. It is hardly any different from the Approach Paper to the previous Plan...

Planning Commission’s affidavit to the Supreme Court states that adjusting for inflation, the poverty line for an urban person is Rs 32.5 per day per person and for a rural person it is Rs 29.3 per day per person. This has raised an outcry in media and the urban middle class, who consider them outrageously low. Based on these poverty lines, Planning Commission estimates that there are 40.74 crore persons...

The Planning Commission's laughable estimates of the ‘poverty line' follow from a mistake in method that it made 30 years ago and has clung to ever since. The affidavit that the Planning Commission recently submitted before the Supreme Court stating that a person is to be considered ‘poor' only if his or her monthly spending is below Rs.781 (Rs.26 a day) in the rural areas and Rs.965 (Rs.32 a day) in...