According to the Planning Commission's Estimates (Expert Group Methodology) about percentage of population below the poverty line population, which option/options of the following is/are correct? a. In 1983-84, Rural area poverty was 46.6 percent. b. 36.0 percent of the population was below the poverty line in 1993-94. c. 35.0 percent of the population in Urban area was below the poverty line in 1990-91. d. In India, 37.0 percent of the total population was below the poverty line in 1987-88.

According to the Planning Commission's Estimates (Expert Group Methodology) about percentage of population below the poverty line population, which option/options of the following is/are correct? a. In 1983-84, Rural area poverty was 46.6 percent. b. 36.0 percent of the population was below the poverty line in 1993-94. c. 35.0 percent of the population in Urban area was below the poverty line in 1990-91. d. In India, 37.0 percent of the total population was below the poverty line in 1987-88. Correct Answer a and b

The correct answer is a and b.

  • Poverty can be defined as a condition in which an individual or household lacks the financial resources to afford a basic minimum standard of living.
  • The conventional approach to measuring poverty is to specify a minimum expenditure (or income) required to purchase a basket of goods and services necessary to satisfy basic human needs.
    • This expenditure is called the poverty line.
    • The basket of goods and services necessary to satisfy basic human needs is the Poverty Line Basket (PLB).
  • In 1983-84, Rural area poverty was 46.6 percent. Hence, statement a is correct.
  • METHODOLOGY OF ESTIMATION
    • The ​Estimation of poverty in India has been based on two critical components: 
      • Information on the consumption expenditures and its distribution across households is provided by the NSS consumption expenditure surveys;
      • These expenditures by households are evaluated with reference to a given poverty line.
  • Percent of Population below Poverty Line

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