11th to 21st January 2024 - Discussion Paper released by NITI Aayog on Multidimensional Poverty in India since 2005-06. Flashcards

1
Q

What is the Multidimensional Poverty Index (MPI)?

A

The MPI is a comprehensive measure that goes beyond monetary income to capture poverty in various aspects of life.
It is based on the Alkire and Foster (AF) method.
It identifies people as poor based on multiple deprivations they experience, providing a different perspective than just looking at income alone

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2
Q

What organizations provided inputs for the NITI Aayog discussion paper?

A

Oxford Policy and Human Development Initiative (OPHI)
United Nations Development Programme (UNDP)

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3
Q

How much decline did India see in its MPI between 2005-06 and 2022-23?

A

India saw a reduction of 17.89%, with the MPI dropping from 29.17% in 2013-14 to 11.28% in 2022-23.

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4
Q

What are the three dimensions assessed in India’s National MPI?

A

Health
Education
Standard of Living

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5
Q

List the 12 indicators used in the National MPI.

A

Health: Nutrition, Child & Adolescent Mortality, Maternal Health.
Education: Years of Schooling, School Attendance.
Standard of Living: Cooking Fuel, Sanitation, Drinking Water, Housing, Electricity, Assets, Bank Account.

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6
Q

What is the poverty cutoff to be considered MPI poor?

A

A person is considered MPI poor if their deprivation score equals or exceeds 33.33%.

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7
Q

Between 2015-16 and 2019-21, how many people in India escaped multidimensional poverty?

A

135 million people

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8
Q

Why did NITI Aayog release the National MPI in 2021?

A

To provide a more holistic understanding of poverty in India, beyond solely income-based measures.
To help guide policy decisions and targeted interventions for poverty reduction.
To improve India’s position in globally accepted poverty indices.

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9
Q

How does the pace of poverty reduction in India compare between the periods 2005-06 to 2015-16 and 2015-16 to 2019-21?

A

The pace of poverty reduction was significantly faster in the period between 2015-16 and 2019-21 (10.66% annual rate of decline) compared to the earlier period 2005-06 to 2015-16 (7.69% annual rate of decline).

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10
Q

What is the difference between the global MPI and the National MPI?

A

The National MPI closely aligns with the global MPI methodology and uses 10 of the same indicators.
The National MPI adds two additional indicators – Maternal Health and Bank Accounts – to reflect India’s specific priorities.

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11
Q

What does the “Intensity of Poverty” measure in the context of the MPI?

A

The Intensity of Poverty measures the average number of deprivations that a person living in multidimensional poverty experiences. It gives an idea of how severe the poverty is for those affected.

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12
Q

Which Indian states saw the greatest reduction in the number of MPI poor?

A

Uttar Pradesh, Bihar, and Madhya Pradesh recorded the largest decline in the number of MPI poor between 2013-14 and 2022-23.

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13
Q

Does India’s National MPI measure the same deprivations for urban and rural areas?

A

Yes, the National MPI assesses the same 12 indicators across both urban and rural areas, allowing for a consistent picture of multidimensional poverty throughout the country.

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14
Q

How does the reduction in multidimensional poverty relate to India’s Sustainable Development Goal (SDG) Target 1.2?

A

SDG Target 1.2 aims to reduce at least by half the proportion of people living in poverty in all its dimensions by 2030.
The significant decline in India’s MPI indicates that the country is on track to achieve SDG Target 1.2 ahead of schedule.

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15
Q

What is the relationship between the finding of faster poverty decline in poorer states and the concept of disparities?

A

The faster decline in poverty in India’s poorer states suggests a reduction in disparities. This means that the gap between the poorest and the better-off states is narrowing in terms of multidimensional poverty.

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16
Q

What policy implications might arise from the finding that all 12 MPI indicators in India showed improvement?

A

This finding suggests that government interventions across various sectors (health, education, standard of living) have a combined positive effect on reducing multidimensional poverty. Policymakers can use this information to reinforce and scale up successful programs and target any areas where progress might be slower.

17
Q

Besides the MPI, what other measures of poverty are commonly used?

A

Traditional income-based poverty lines (e.g., living below $1.90 a day)
Consumption-based measures (tracking how much people spend on essential items)
Human Development Index (HDI) – a broader measure that includes income, education, and life expectancy.