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How Unequal a Country India is?
In economic writings on India it is commonplace to describe Indian economic inequality to be relatively low. In support, the inequality measure of Gini coefficient (with values of zero for no inequality, and one for extreme inequality) on the basis of NSS consumption data is usually cited. This Gini coefficient in 2004-5 was 0.325, and is indeed lower than in many developing countries, including China, and by constant repetition, both in national and international documents and the financial press, this has become part of the folklore about Indian inequality. But there are reasons to believe that the NSS data under-represent the rich, and in any case while for other developing countries the Gini coefficient often refers to income distribution, India's refers to distribution of consumption expenditure (as NSS does not collect income data), which is usually less than that of income (partly because the rich tend to save more than the poor). The NCAER occasionally collects income data,...
38 per cent Indians are poor: Report
Published on August 20 2009 , Page 13 http://epaper.hindustantimes.com/ArticleText.aspx?article=20_08_2009_013_006&kword=&mode=1 38 per cent of Indians are poor: report The figure is 10 per cent higher than the present poverty estimate of 28.5 by Chetan Chauhan … chetan@hindustantimes.com About 38 per cent of the country's population are poor, a government committee constituted to estimate poverty has said. The figure is 10 per cent higher than the present poverty estimate of 28.5 per cent. The committee, based on new methodology, has taken into consideration indicators for health, education, sanitation, nutrition and income, as per the National Sample Survey Organisation (NSSO) survey of 2004-05, to reach at new poverty estimation for India. The survey had said India's population was 1.1 billion that year. A committee headed by S.D. Tendulkar, former chairperson of the PM Economic Advisory Committee (PMEAC), has used a different methodology, in its preliminary find...
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