The Poverty Line: Concept and Measurement

Abstract

In this paper, a new approach to defining the poverty line is proposed in which family heads are asked what they consider a minimal income level for their own family. It was found that the respondents appeared to specify higher amounts, the greater their actual income and family size, and that the relationship was loglinear. For each family size there is an income level at which a respondent's stated minimum income is equal to his actual income. This level is taken as a definition of the poverty line. The poverty line thus defined varies with family size.