Poverty Line:
➔ Poverty trends in India and the world are illustrated through the concept of the poverty line.
➔ A common method used to measure poverty is based on the income or consumption levels.
➔ A person is considered poor if his or her in come or consumption level falls below a given “minimum level” necessary to fulfill basic needs.
➔ While determining the poverty line in India, aminimum level of food requirement, clothing,
footwear, fuel and light, educational and med- ical requirement etc. are determined for sub- sistence. These physical quantities are multi plied by their prices in rupees.
➔ The present formula for food requirement while estimating the poverty line is based on the desired calorie requirement.
➔ The accepted average calorie requirement in India is 2400 calories per person per day in rural areas and 2100 calories per person per day in urban areas.
➔ Since people living in rural areas engage themselves in more physical work, calorie requirements in rural areas are considered to be higher than urban areas.
➔ The poverty line is estimated periodically (normally every five years) by conducting sample surveys. These surveys are carried out by the National Sample Survey Organisa tion (NSSO).
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