UPSC MainsGENERAL-STUDIES-PAPER-II202015 Marks250 Words
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Q16.

The incedence and intensity of poverty are more important in determining poverty based on income alone". In this context analyse the latest United Nations Multidimensional Poverty Index Report.

How to Approach

This question requires an analysis of the latest United Nations Multidimensional Poverty Index (MPI) report, framed within the context of the statement emphasizing the importance of incidence and intensity of poverty over income alone. The answer should begin by defining multidimensional poverty and contrasting it with traditional income-based measures. It should then delve into the key findings of the latest MPI report (as of my knowledge cutoff in early 2023, the latest is the 2022 report), focusing on incidence (the proportion of people living in poverty) and intensity (the average number of deprivations experienced by poor households). The analysis should highlight how these factors provide a more nuanced understanding of poverty than income alone. Finally, the answer should conclude by discussing the implications of these findings for policy interventions.

Model Answer

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Introduction

Poverty, traditionally measured by income levels, offers a limited understanding of deprivation. The Multidimensional Poverty Index (MPI), developed by the Oxford Poverty and Human Development Initiative (OPHI) and the United Nations Development Programme (UNDP), provides a more holistic view by considering multiple deprivations at the individual level. The statement "The incidence and intensity of poverty are more important in determining poverty based on income alone" underscores the limitations of solely relying on monetary metrics. The 2022 UN MPI report, covering 111 countries, reveals that 1.9 billion people – 24.9% of the global population – live in multidimensional poverty, offering a stark contrast to income-based poverty estimates and highlighting the significance of understanding both *who* is poor (incidence) and *how* poor they are (intensity).

Understanding Multidimensional Poverty

Traditional income-based poverty measures, like the World Bank’s poverty line, focus on consumption or income levels. While useful, they fail to capture the various non-monetary dimensions of deprivation that significantly impact well-being. The MPI, in contrast, assesses poverty across three key dimensions: Health (nutrition and child mortality), Education (years of schooling and school attendance), and Living Standards (access to electricity, safe drinking water, sanitation, flooring, cooking fuel, and assets).

Key Findings of the 2022 UN MPI Report

The 2022 report presents several crucial findings:

  • Global MPI Value & Incidence: The global MPI value stands at 0.129, indicating that 24.9% of the population (1.9 billion people) are multidimensionally poor. This is a significant number, exceeding income-based poverty estimates.
  • Sub-Saharan Africa: This region remains the most affected, with over half the population (55.1%) experiencing multidimensional poverty. The incidence is significantly higher than in other regions.
  • Intensity of Poverty: The average intensity of poverty – the average number of deprivations experienced by poor households – is 3.1. This means that, on average, each poor household faces over three simultaneous deprivations.
  • Children & Poverty: Nearly half of all multidimensionally poor individuals are children under 16. This highlights the intergenerational nature of poverty and the importance of investing in child development.
  • Internal Variations: The report emphasizes significant variations *within* countries. Poverty is often concentrated among specific ethnic groups, rural populations, and marginalized communities.

Incidence vs. Intensity: A Deeper Dive

The statement in the question is validated by the MPI’s methodology. Consider two hypothetical countries:

Country Incidence (Percentage of Population in MPI Poverty) Intensity (Average Deprivations) MPI Value (Incidence x Intensity)
Country A 30% 2 0.6
Country B 20% 4 0.8

Country B, despite having a lower incidence of poverty (20% vs. 30%), has a higher MPI value (0.8 vs. 0.6) due to its higher intensity of poverty (4 vs. 2). This demonstrates that focusing solely on the percentage of people in poverty can be misleading. Country B’s poor experience a greater degree of deprivation, indicating a more severe poverty situation overall.

Policy Implications

The MPI’s focus on incidence and intensity has significant policy implications. It necessitates a shift from solely income-focused interventions to a more comprehensive approach that addresses multiple deprivations simultaneously. For example:

  • Targeted Interventions: Identifying specific deprivations prevalent in different regions and communities allows for targeted interventions.
  • Integrated Programs: Programs addressing health, education, and living standards in an integrated manner are more effective than siloed approaches. The Pradhan Mantri Jan Vikas Mission (PMJVM) in India, aiming to improve the quality of life of people in identified backward districts, exemplifies this approach.
  • Data-Driven Policymaking: Regular monitoring of MPI indicators allows for evidence-based policymaking and evaluation of program effectiveness.

Conclusion

The latest UN MPI report reinforces the argument that understanding the incidence and intensity of poverty is crucial for effective poverty reduction. Moving beyond income-based measures allows for a more nuanced and accurate assessment of deprivation, leading to more targeted and impactful policy interventions. Addressing the multiple dimensions of poverty simultaneously, particularly focusing on vulnerable groups like children and marginalized communities, is essential for achieving sustainable and inclusive development. Future MPI reports should continue to refine indicators and expand coverage to provide a more comprehensive global picture of multidimensional poverty.

Answer Length

This is a comprehensive model answer for learning purposes and may exceed the word limit. In the exam, always adhere to the prescribed word count.

Additional Resources

Key Definitions

Multidimensional Poverty Index (MPI)
A composite index that measures poverty based on multiple deprivations in health, education, and living standards, rather than solely on income or consumption.
Incidence of Poverty
The percentage of the population living in multidimensional poverty, representing the breadth of poverty.

Key Statistics

1.9 billion people globally live in multidimensional poverty (24.9% of the global population).

Source: UN MPI 2022 Report

Sub-Saharan Africa has the highest incidence of multidimensional poverty, with 55.1% of the population experiencing it.

Source: UN MPI 2022 Report

Examples

Kerala’s Development Model

Kerala, India, has achieved high levels of human development despite relatively low per capita income, demonstrating the importance of investing in health and education. This success is reflected in lower MPI values compared to other Indian states with similar income levels.

Frequently Asked Questions

How does the MPI differ from the Human Development Index (HDI)?

While both indices measure well-being, the HDI focuses on average achievements in health, education, and income, while the MPI focuses on the *deprivations* experienced by individuals within a household, providing a more detailed picture of poverty.

Topics Covered

EconomySocial IssuesPovertySocial WelfareEconomic Development