Open In App

What is a Poverty Line?

Last Updated : 02 Jun, 2022
Improve
Improve
Like Article
Like
Save
Share
Report

The poverty line is the degree of pay to meet the base everyday environments. Poverty line is how much cash is required for an individual to meet his fundamental necessities. It is characterized as the cash worth of the labor and products expected to give essential government assistance to a person.

  • People who are living below the poverty line are called below the poverty line(BPL). BPL ration card was issued to the people who are living below the poverty line.
  • People who are living above the poverty line are called above the poverty line(APL).APL ration card was issued to the people who are living above the poverty line.

Mass poverty is a situation in which a large section of people in the economy is deprived of basic necessities.

Poverty line in India

India is having a very much planned destitution estimation instrument under the recent Planning Commission. The Planning Commission was the nodal organization for the assessment of destitution. For setting the destitution line and philosophy of developing it, the Planning Commission selected Expert Groups occasionally. For instance, the Rangarajan Committee is the most recent among those Expert gatherings. Generally, the arranging commission appraises the number of individuals beneath the destitution line in states as well as in the rustic and metropolitan regions in light of the overarching neediness assessment system put together by the master gatherings.

System for developing the Poverty line

The destitution assessment approach was reconsidered ordinarily with a new master bunch/team selected by the Planning Commission to investigate the matter. Every master bunch/team has concocted a specific system for deciding the neediness line. For estimating destitution, a neediness line is set. The destitution line is the degree of pay expected to fulfil the base guideline of living. Individuals who have a pay not exactly this is considered as underneath the destitution line. The idea about least utilization guidelines and utilization levels were changed in view of proposals of the different master gatherings/teams. These master bunches utilize the NSS (National Sample Survey) gauge about the utilization example of families every once in a while. The NSSs occasionally make broad family reviews on use. Here, from the favoured utilization bushel of individuals, the master bunches get the most fundamental wares. These wares are set under a  poverty line basket (PLB).

Least way of life is accordingly communicated as the container of labor and products ordinarily utilized by individuals. In light of this utilization design, the Expert Groups gauge the base utilization levels (and the pay expected to purchase these) and the pay expected to get these labor and products in both country and metropolitan regions. This pay level goes about as the neediness line.

  • Poverty line changes starting with one country and then onto the next. In created nations, where there is progressed way of life and government assistance ideas, the Poverty line is high as the fundamental norm to reside incorporate higher utilization prerequisites and openness to numerous labor and products.
  • Then again, in a lot less created nations, the fundamental necessities will be low and contains generally fundamental utilization things expected to support life. This implies that the neediness line is set by the government assistance standard in a specific culture (economy).
  • Poverty is ‘relative’ and what is neediness in the US or in a high level West European nation may not be poverty in Bangladesh.

Poverty is estimated as far as the Head Count Poverty Ratio (HCPR) in a few different nations. The HCPR is the level of the populace under the neediness line. This implies that outright neediness is assessed in India. Destitution proportion is estimated with regards to per capita utilization use of more than a month.

Sample Questions

Question 1: How is poverty line methodology changing in India?

Answer:

Reaching out from the main endeavor to set a neediness line – the Working Group of 1962 to the Rangarajan Task Force (2014), destitution assessment philosophy has gone through a development in India. Poverty is estimated as far as the Head Count Poverty Ratio (HCPR) as in a few different nations. The HCPR is the level of the populace under the neediness line. This implies that the outright neediness is assessed in India. Destitution proportion is estimated with regards to per capita utilization use more than a month.

Question 2: How poverty line changes from one country to another?

Answer:

In created nations, where there is progressed way of life and government assistance ideas, Poverty line is high as fundamental norm to reside incorporate higher utilization prerequisites and openness to numerous labor and products. Then again, in a lot less created nations, the fundamental necessities will be low and contains generally fundamental utilization things expected to support life. This implies that neediness line is set by the government assistance standard in a specific culture (economy).

Question 3: Explain the poverty line in India?

Answer:

India is having a very much planned destitution estimation instrument under the recent Planning Commission. The Planning Commission was the nodal organization for assessment of destitution. For setting destitution line and philosophy of developing it, the Planning Commission selected Expert Groups occasionally. For instance, the Rangarajan Committee is the most recent among those Expert gatherings. Generally, the arranging commission appraises the quantity of individuals beneath destitution line in states as well as in the rustic and metropolitan regions in light of the overarching neediness assessment system put together by the master gatherings.


Like Article
Suggest improvement
Share your thoughts in the comments

Similar Reads