A Comment on the Various Views Regarding the Measurement of Poverty in India

Abstract

This paper critically examines the evolving methodologies and debates surrounding poverty measurement in India, particularly in the post-liberalization period. It explores the limitations of the Planning Commission’s calorie-based poverty lines and the challenges posed by changes in data collection methods, such as the shift to a mixed recall period in the 55th National Sample Survey (1999–2000). The paper contrasts official estimates with alternative approaches, notably Utsa Patnaik’s "direct method" that links expenditure to actual calorie consumption, which reveals much higher poverty levels than those reported by the government. On the other hand, economists like Deaton and Dreze argue that declining calorie intake may reflect changing consumption patterns, improved health, and reduced physical activity rather than worsening poverty. The study also assesses the recommendations of the Tendulkar (2009) and Rangarajan (2014) Committees, which attempted to revise poverty lines to better reflect changing economic realities. While these committees introduced important reforms, they have also been criticized for either abandoning calorie norms or diluting nutritional thresholds. The paper argues that poverty estimation in India remains deeply politicized and methodologically sensitive, often underestimating deprivation by lowering the benchmarks. It calls for a decoupling of poverty lines from welfare entitlement and recommends that poverty assessments be entrusted to independent, apolitical bodies to ensure transparency and accuracy.