Multi-Dimensional Poverty Index – UPSC Prelims

  • The Multidimensional Poverty Index (MPI) is the product of two numbers:
    • Headcount H or percentage of people who are poor and
    • Average intensity of deprivation A – which reflects the proportion of dimensions in which households are deprived.
  • The criterion for someone to be declared as deprived as per MPI are as follows:
    1. Education (year of schooling, child enrolment): Each indicator is equally weighted at 1/6.
    2. Health (child mortality, nutrition): Each indicator is equally weighted at 1/6.
    3. Standard of living (electricity, drinking water, sanitation, flooring, cooking fuel, assets): Each indicator is equally weighted at 1/18.
  • In terms of countries, India accounts for both the highest and a staggering number of multi-dimensionally poor people.
  • Nearly 31% (217 million) out of the 689 million poor children all over the globe live in India.
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