In Economics (Class 9 - Poverty as a Challenge), understanding who is considered 'poor' is a fundamental concept. In India, the Poverty Line is estimated periodically (normally every 5 years) based on a minimum level of food requirement and basic non-food expenses.
Rural Calorie Need: 2400 kcal/day.
Urban Calorie Need: 2100 kcal/day.
Poverty Line (2011-12): ₹816 (Rural) and ₹1000 (Urban) per month.
Conducting Body: NSSO (National Sample Survey Organisation).
The poverty line in India is calculated using two main parameters:
1. Minimum Calorie Requirement (Food)
2. Monetary Value (Income/Consumption) The calorie requirement is converted into its monetary value (how much money is needed to buy that food), along with a minimum amount for clothing, footwear, fuel, light, and education.
The poverty line is estimated by conducting massive sample surveys across the country. These surveys are carried out by the NSSO (National Sample Survey Organisation) under the Ministry of Statistics.
The poverty line is estimated based on the minimum daily calorie requirement (2400 calories for rural, 2100 for urban) and the minimum monthly expenditure required to buy that food and basic necessities.
People living in rural areas generally engage in more strenuous physical labour (like farming) compared to urban residents, so they require more calories.
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