Poverty in India: concepts,measurement and status (original) (raw)

Abstract

Growth is not the sole objective of economic policy. It is necessary to ensure that the benefits of growth accrue to all sections of the society. Eradication of poverty is thus an important objective. Human beings need a certain minimum consumption of food and nonfood items to survive. However the perception regarding what constitutes poverty varies over time and across countries. Nevertheless there is need for a measure of poverty. Only then, it will be possible to evaluate how the economy is performing in terms of providing a certain minimum standard of living to all its citizens. Measurement of Poverty has, therefore, important policy implications. A definition of poverty in terms of subsistence level has had wide acceptance as it seems to be in accordance with common sense which describes poverty as lack of the income needed to acquire the minimum necessities of life. Poverty is an extremely complex phenomenon, which manifests itself in a range of overlapping and interwoven economic, political and social deprivations. These include lack of assets, low income levels, hunger, poor health, insecurity, physical and psychological hardship, social exclusion, degradation and discrimination, and political powerlessness and disarticulation. Two basic approaches to the concept of poverty were found in economic literature, namely, absolute poverty and relative poverty. The concept of absolute poverty is based on absolute norms for living (measured in terms of consumption expenditure) laid down according: to specified minimum standard and all such individuals or groups whose consumption expenditure is found to be below this standard are classified as poor. This

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References (4)

  1. Anonymous (2013) Press Note on Poverty Estimates: 2011-12, Planning Commission, Government of India. pp.10
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