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Ethics & economics

-The Indian Express   There was a bitter argument over the provisional poverty line put out by the Planning Commission in an affidavit to the Supreme Court, which drew the line at Rs 32 per capita per day in urban areas and Rs 26 per person in rural areas. The Planning Commission has now “clarified” its position. While the Tendulkar Committee line will remain a point of reference, various welfare entitlements will...

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Shift to market by Venkitesh Ramakrishnan and Ajoy Ashirwad Mahaprashastha

The changing stances of the Planning Commission reflect the influence of the political climate. THE short note on the history of the Planning Commission on its website concludes thus: “For the first eight Plans the emphasis was on a growing public sector with massive investments in basic and heavy industries, but since the launch of the Ninth Plan in 1997, the emphasis on the public sector has become less pronounced and...

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HC: NREGS wages can’t be less than minimum wages by Ravish Tiwari

After firefighting the controversy over poverty line cut-off, the Congress-led UPA government may find itself in trouble on the matter of NREGS wages. In a judgment late last month, the Karnataka High Court ruled that wages under the UPA’s flagship rural job guarantee scheme “shall not be” less than the minimum wages fixed by state governments under the Minimum Wages (MW) Act. The decision will re-open the tussle between Sonia Gandhi-led National...

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The poverty line debate by Kirit Parikh

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...

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Poverty: Where do you draw the line? by Sudhanshu Ranade

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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