On Poverty Indicators

On Poverty Indicators N S Iyengar M H Suryanarayana This paper outlines a simple approach to the estimation of the poverty line using the concentration curves which already exist. This approach is based on the assumption, quite plausible for Indian conditions, that the distribution of levels of living of households at and above the poverty line is positively skewed and log-normal The authors first set out their main assumptions and state some of the properties of the three- parameter log-normal distribution. An outline of the proposed methods of estimation is then given and a simple numerical example is worked out to illustrate the approach. Usng this approach, some further empirical results of economic significance, based on an analysis of the available National Sample Survey (NSS) data over a period of time, are presented. Finally, a brief summary of the major findings and limitations is given in the concluding section.