POVERTY | Basic Concepts | Indian Economy

-
Poverty is a social phenomenon in which a section of the society is unable to even fulfil its basic necessities of life.

 ⇒ Poverty is normally defined with respect to poverty line. Poverty line is a cut-off point on the line of distribution which divides the poor and non-poor.

 ⇒ Y.K.Alagh Committee in 1978 defined the poverty line as the mid-point of the monthly per capita expenditure class having a daily calories intake of 2400 per person in rural areas and 2100 in urban areas.

 ⇒ In 1993, Prof. Lakdawala proposed introduction of state specific price changes in the adjustment of poverty lines. Thus state specific poverty lines were obtained.

 ⇒ The 61st Round of NSSO provides poverty estimates based on Uniform Recall Period(URP) and Mixed Recall Period(MRP).

 ⇒ The URP consumption data uses a 30day reference period for all items of consumption.

 ⇒ The MRP consumption data uses a 365 day reference period for five infrequently purchased non-food items namely clothing, footwear, durable goods, education and institutional medical expenses and a 30 day reference period for remaining items.

 ⇒ Multidimensional Poverty Index- Recently the Oxford Poverty and Human Development Initiative (OPHI) and UNDP have worked out on Multidimensional Poverty Index. It is based on a range of deprivations at the household level from education to health outcomes to assets and services.

 ⇒The Tendulkar Committee was set up by Planning Commission to examine the issue and suggest a new poverty line and estimates.

 ⇒ According to Tendulkar Committee, poverty percentage in India is 37.2%.

 ⇒ The N.C.Saxena Committee was constituted by Ministry of Rural Development for suggesting a methodology for estimation of BPL households in rural areas.

 ⇒ According to this committee, poverty level in India is 50%.

 ⇒ Head- Count Measure- It is easiest and very old method of measuring poverty in a region.

 Head-count ratio = people below poverty line/ total population

 ⇒ Government of India has started various poverty alleviation programmes of basically two types
 (i) Encouraging self-employment, and
 (ii) Providing supplementary wage employment.

 ⇒ Garibi hatao slogan was adopted during Fifth Plan.

 ⇒ Planning commission in 2012 reduced the poverty line to Rs 28.65 per Capita daily consumption in cities and Rs 22.42 in rural areas, scaling down India’s poverty ratio to 29.8% in 2009-2010.

Comments

Post a Comment

Popular posts from this blog

Demographic Terms | Indian Economy

-
Total Fertility Rate: It measures the number of children born to a woman up to the end of reproductive period.  Birth Rate- Number of live births per year per 1000 of the population.  Death Rate- Number of deaths per year per 1000 of the population.  Infant Mortality Rate (IMR)- Number of deaths of children below one year of age per 1000 of the live births.  Maternal Mortality Rate (MMR)- Number of maternal deaths of per 100000 births.  Life Expectancy- the average age at which people die.  Natural Increase- Excess of births over deaths per 1000 of population. This does not include increase in population due to immigration.  National Population Policy was adopted in 2000 with the objective to address the unmet needs for contraception, healthcare, infrastructure and health personnel and to provide integrated service for basic reproductive and child health care.
Read more

Human Development Index (HDI)

-
⇒ United Nations Development Programme (UNDP) has developed a composite index HDI for quantitative measure of human development.  ⇒ The concept of HDI is given by Mahbub-Ul-Haq of Pakistan and Amartya Sen of India.  ⇒ It includes (i) longevity of life, (ii) knowledge base and (iii) decent material standard of living.  ⇒ According to HDR 2011, the HDI for India was 0.547 in 2011 with an overall ranking of 134 out of 187 countries.  ⇒ Norway and Australia are at top two positions in HDI ranking 2011.  ⇒ Life Expectancy at birth in India was 65.4 years in 2011 as against 81.9 years in Australia and 81.1 years in Norway.  ⇒ In terms of Gender Inequalities Index (GII) India with a value of 0.617 ranks 129 out of a total of 187 countries as per HDR 2011.
Read more

Unemployment | India Economy

-
⇒Unemployment in India is a very crucial problem.  ⇒ It is structural in nature. It is also cyclical.  ⇒ A person working 8 hours a day for 273 days of the year is regarded as employed on a standard person year basis.  ⇒ Due to conceptual and statistical difficulties the estimates of unemployment and underemployment both in rural and urban areas are neither accurate not reliable.  ⇒ Dantewala Committee was appointed in 1969 for estimation of unemployed.  ⇒ UPSS Concept-Dr. Montek Singh Ahluwalia (2001)  ⇒ Current Daily Status (CDS) Concept- Dr. S.P.Gupta (2002)  ⇒ Labour force grows at faster rate than employment rate  ⇒ The Eleventh Five Year Plan (2007-2012) aimed at generation of 58 million work opportunities.  ⇒ According to NSSO data, during 2004-2005 and 2009-2010, the overall labour force expanded by only 11.7 million.  ⇒ As per result unemployment in absolute terms came down by 6.3 million.  ⇒ In 2009-2010, unemployment is l...
Read more