Describe how the poverty line is estimated in India. (2024)

Aperson is considered poor if his or her income or consumption levelfalls below a given minimum level necessary to fulfilbasic needs. Each country uses an imaginary line that is consideredappropriate for its existing level of development and its acceptedminimum social norms. This is called the poverty line.

Whiledetermining the poverty line in India, a minimum level of foodrequirement, clothing, footwear, fuel and light, educational andmedical requirements, etc., are determined for subsistence. Thesephysical quantities are multiplied by their prices in rupees, andthereby the poverty line is arrived at. The numbers involved in thecalculation of the poverty line vary. Since the economics of livingin the rural parts of the country is different from that of living inthe urban parts, the poverty line deducted for individuals living inthe rural areas is different from that deducted for individualsliving in the urban areas.


Describe how the poverty line is estimated in India. (2024)
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