Revising estimates of poverty
One of the criticisms of the official poverty line is that it does not capture the cost of basic necessities, particularly non-food components such as health and education. This issue gains importance due to an increase in household private expenditure on education and health services in recent years. This article estimates poverty ratios at the all India level and for the states in 2004-05 by including the minimum private expenditure on health and education. The estimated poverty ratios are substantially higher than the official poverty ratios.