There are two ways to identify the poor: in terms of how much they lack, and in terms of what you can do for them. To begin with, India's poverty line was set at the total (food and non-food) expenditure observed for the person who was just about consuming a nutritionally adequate number of calories. In subsequent years, rural and urban poverty lines were adjusted to take inflation on board, without adjusting...
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How little can a person live on? by Utsa Patnaik
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...
More »Munda raps Plan panel poverty index
-The Telegraph Chief minister Arjun Munda today slammed the poverty benchmark fixed by the Planning Commission. “The poverty yardstick is faulty and will put a poor state like Jharkhand at a great disadvantage,” the chief minister told The Telegraph. “How can a person survive on Rs 32 daily in urban areas and Rs 26 in rural areas? Munda asked and sought a central review for the sake of the poor. The fear in...
More »‘Rs. 39 enough for med expenditure’ by Dhananjay Mahapatra & Nitin Sethi
Updating the poverty line cutoff figures, the Planning Commission said that those spending in excess of Rs 32 a day in urban areas or Rs 26 a day in villages would no longer be eligible to draw benefits for those living below the poverty line. TOI broke down the overall monthly figure for urban areas and used the CPI for industrial workers along with the Tendulkar committie report figures to see...
More »“Delink food entitlements from poverty line” by Gargi Parsai
In a significant move, prominent economists on Monday made a forceful plea to delink food entitlements from the “faulty” poverty measures put out by the Planning Commission. Asserting that under-nutrition was much more widespread in the country than income poverty “however defined,” the economists sought restoration of the universal Public Distribution System (PDS) “as the best way forward'' in combating hunger and poverty. “This is not only feasible within the available fiscal...
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