Q64.
In a given year in India, official poverty lines are higher in some States than in others because
Answer
B
Explanation
The Planning Commission methodology for estimating poverty at national and state level was regarded by some as inappropriate in giving a representative picture of the incidence of poverty in the country. The main points of the criticism were: (a) the adjustment procedure; (b) the choice of deflators to represent price changes in the poverty line; (c) application of the same poverty line in all the states, which imply the absence of price differentials across the states; (d) use of a fixed consumption basket over time; and (e) the uniform consumption basket for all the states.