- Poverty lines in India are based on consumption expenditure. - The cost of the basket of goods and services included in the poverty line calculation varies across states due to differences in price levels. - Therefore, poverty lines are calculated separately for different states using state-specific price indices to account for these variations.
In a given year in India, official poverty lines are higher in some States than in others because
Asked in UPSC IAS 2019 · Topic: Nature of Indian Economy (Poverty and Income Inequality)
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Answer: B. price levels vary from State to State
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