1. A common method used to measure poverty is based on income and consumption levels.

2. A minimum requirement of food requirement and other basic needs such as clothing, footwear, fuel and light, educational and medical requirement, etc. are determined for subsistence.

3. These are then calculated in terms of money required to consume them by multiplying physical quantities by their prices in rupees.

4. Such consumption expenditure determines the poverty line. For the year 2000, the poverty line for a person was fixed at Rs 328 per month in rural areas and Rs 454 for the urban areas.

5. The poverty line is estimated by the NSSO in India.