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India Today, May 10, 1999
May 10, 1999



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INCOME POVERTY AND BEYOND
Becoming Poor and Indian

Fight poverty with economic growth. But don't forget the social issues.

By Shubashis Gangopadhyay

INCOME POVERTY AND BEYOND
EDITED BY RAJA J CHELLIAH AND R SUDARSHAN
SOCIAL SCIENCE PRESS
PAGES: 221
PRICE: Rs 395

Chelliah: poverty as food for thoughtAn edited book is usually a collection of articles by different authors who have been identified by the editors as experts in certain areas. In addition, the editors' job is to ensure that the authors write on a common theme. Some editors often write an introductory chapter explaining why the different writers were brought together and what their collective wisdom implies.

However, this book is not an edited book in these senses. Various authors were commissioned to write the papers and the book is based on their works. Each chapter is a presentation of what the editors feel is important in whatever the authors originally wrote. So one never knows whether the conclusions drawn are those of the original authors or of the editors. I will assume that the conclusions are those of the editors.

The first two chapters describe, very briefly, the official approach to the measurement of poverty in India. The editors do not shed any new light on the already existing literature. I would have wanted these two chapters to give a rundown on how the new economic policies are affecting India's poor. There is a reference to this but the editors seem to be in a hurry to continue with other things.

In Chapter 2, the editors use extensively the published data on poverty using consumption expenditure. But the chapter title suggests that the data are based on incomes. In fact, the income-based poverty data are in Chapter 3 and based on an NCAER survey.

Chapter 3 looks at some of the same tables discussed in the earlier two chapters but here all households and persons are characterised by income variables. What is missing is an explanation of the differences between the consumption-based poverty figures and the income-based ones. The editors use the official poverty line, which is based on consumption expenditure. With incomes usually being more than consumption, one would have expected the income-based poverty figures to be lower than the official estimates of poverty. But that is not the case for many states. The anomaly is not explained.

Actually it is only later in the book, Chapter 6 onwards, that the book strikes out on the new ideas and concepts about the issue of poverty. It correctly points out that growth alone will not suffice. People have to be trained and in good health to partake of the opportunities thrown up by increased growth. Otherwise not only will poverty not be eliminated, growth itself will flounder.

Another point it makes is that the issue of poverty is multi-dimensional. While nominal poverty lines may be a useful starting point, a disaggregated analysis of the elements constituting the consumption basket is necessary to get a fix on policy matters. Also, the social aspects, which economists tend to ignore, are often the more significant problems. For example, women's literacy rates or their participation in the work force are quite low in the rich states of Punjab and Haryana as well as in poorer Bihar.

In short, the book reiterates the importance of directly attacking the issue of poverty instead of wishing it away through policies aimed at increased growth alone. In the second half of the book, we have a good exposition of the various dimensions of poverty. What is lacking, however, is a clear road-map of how to eradicate poverty.

NEW RELEASES

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Inaugural issue of an annual register of Indian dance. Archival pictures are a bonus.

» Mastermind India
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The television quiz show comes to print, 2,760 questions to have every trivia buff salivating. Try it.

» The Investor's Guide to Indian Corporates
(IRIS, Rs 1,000)
The latest half-yearly results and other information on 500 companies.

 

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