Answer :


Poverty is the economic situation in which a person is not able to completely fulfil the minimum requirements needed to lead their life. It is the condition in which people are deprived of their basic and fundamental necessities of life. The basic requirements of the people include those physical and social factors that enable them to have a much higher standard of living. On the physical side, it includes the requirement of proper, nutritious three-square meals, clothing and shelter. From the social perspective, it includes the requirement of health facilities, clean drinking water, clean surroundings and educational facilities.


The Gram Panchayat identifies poor and vulnerable people on the basis of the following physical and social grounds. Also, the income earned by the person in a day is also considered. It is mostly measured in terms of the poverty line. Poverty line represents the elementary, the minimum income required to acquire all the basic necessities. It represents the ability of a person to incur the expenditure to satisfy the basic necessities. Many committees were appointed to analyse and demarcate the poverty line. The Rangarajan Committee has fixed the poverty line expenditure as Rs. 32. With a combination of all these factors, people are divided as rich and poor.


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