In a given year in India, official poverty lines are higher in some States than in others because
Answer & explanation
Answer: (b) price levels vary from State to State
A poverty line is the money needed to buy a fixed minimum basket of goods and services. Because the same basket costs different amounts in different States, the Planning Commission set separate State poverty lines that reflect inter-state price differences.
- ✓ (b) The Planning Commission's 2011-12 estimates (Tendulkar method) gave all-India lines of Rs 816 (rural) and Rs 1,000 (urban) per person per month and stated that these vary by State because of inter-state price differentials.
- ✗ (a) Poverty rates are the result of applying the line to consumption data; they do not set the line.
- ✗ (c) State income (GSDP) affects how many people fall below the line, not the cost of the minimum basket that defines it.
- ✗ (d) PDS quality influences household consumption, but the official line is priced from the consumption basket, not from PDS performance.
Remember · Poverty line = cost of a minimum consumption basket; State lines differ because prices differ (Tendulkar 2011-12: Rs 816 rural, Rs 1,000 urban per capita per month, all-India).
Sources
- PIB (Planning Commission), 23 July 2013: Poverty Estimates for 2011-12 ↗ “These poverty lines would vary from State to State because of inter-state price differentials.”
Question and answer: UPSC's official GS Paper I (2019, Series A) — paper ↗ · answer key ↗. Explanation: Minimalist IAS, checked 30 Sept 2026 (how we verify). ·