The poverty line figures given by the Planning Commission for 2009-10 have drawn strong criticism of foul play from politicians, social activists and some economists. Is the current poverty line justified? Why are there so many conflicting opinions? To understand this complex issue in simple terms,Indivjal Dhasmana interviewed Pronab Sen, principal advisor to the Planning Commission and former chief statistician. Edited excerpts: There is so much confusion around the poverty line....

-Economic and Political Weekly Yojana Bhavan never seems to know how to count India’s poor That the United Progressive Alliance (UPA) government can on occasion after occasion mishandle a situation and also show insensitivity has been in evidence once again in its handling of the poverty figures estimated from the 66th (2009-10) round of the National Sample Survey (NSS). Although the Planning Commission’s estimates, as measured by the Tendulkar methodology, declined sharply...

The Prime Minister's Economic Advisory Council has suggested a complex combination of three pricing models to fix retail prices of 348 essential drugs to balance industry's concerns and public health. The proposal, however, has drawn the ire of drug makers who say it is a watered down version of the health ministry's proposals. The council has proposed that for medicines facing "insufficient competition" or a monopoly-like situation, the retail price should...

The Comptroller and Auditor-General has slammed the Narendra Modi government for financial irregularities, particularly for mismanagement of public sector undertakings, resulting in losses of over Rs. 16,000 crore. It has come down heavily on the state-owned Gujarat State Petroleum Corporation (GSPC) for extending “undue benefits” to the Chief Minister's “favoured few,” mainly Adani Energy and Essar Steel companies, which coupled with its poor management and faulty agreements on exploration of oil...

By the sheer loudness of their protests, NGOs, journalists and intellectuals have bamboozled the prime minister into withdrawing the latest Planning Commission report. The report had shown accelerated poverty reduction, a perfectly plausible outcome in view of accelerated growth since 2003-04. But the critics are not happy that India is succeeding in combating destitution. They therefore tirelessly invent myths to muddy the discourse. If we are to avoid costly policy...