Question

How is poverty line fixed in India at the national level?

Answer 1

In India, the poverty line is fixed at the national level based on calorie intake, representing the minimum energy required to maintain basic health and work capacity. The average calorie intake is set at 2,400 calories per person per day in rural areas and 2,100 calories per person per day in urban areas, with the rural requirement higher due to more physical labour. The poverty line is determined by estimating the monthly per capita expenditure (MPCE) needed to meet this calorie intake and basic non-food needs.