Answer:
To
estimate the poverty line in India following points can be considered
(i) A Common method used to measure poverty is based on income and
consumption levels.
(ii) A minimum level of food requirement and other basic needs
such as clothing, footwear, fuel and light, educational and medical
requirements, etc. are determined for subsistence.
(iii) These are then calculated in terms of money required
to consume them by multiplying physical quantities by their prices in rupees.
(iv) Such a consumption expenditure determines the poverty
line. For the year 2000, the poverty line for a person was fixed at 328 per
month in rural areas and 454 for the urban areas.
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