Multidimensional Poverty in India: An Analysis Based on NSSO Unit Level Data

Abstract

The present paper estimates and analyses the multidimensional poverty in India during 2004- 05 and 2011-12 and examines the role of Public Distribution System (PDS) along with socioeconomic characteristics of the households on the degree of multidimensional poverty based on NSSO unit level data. In order to estimate multidimensional poverty,we have used the Alkire and Foster methodology and have considered three dimensions namely, education, food & nutrition and living condition. The study reveals that households are more deprived in the food & nutrition dimension. Multidimensional poverty was found to be 53 per cent in 2004-05 which reduced to 34 per cent in 2011-12. Rural located households and the households belonging in the weaker section of the society suffer from a high degree of multidimensional poverty. The majority of them are still deprived of education, suffer in severe food & nutrition insecurity and live without basic amenities.Besides, the degree of multidimensional poverty is significantly low for the self and regular employed households. It was further found that PDS has played a favourable role in reducing the degree of multidimensional poverty in India.