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A Report on “poverty Classifications and Cross Ponding Income of Upper Poverty Level and Lower Poverty Level”

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“A Report on Poverty Classifications And

Cross ponding income of Upper Poverty level and

Lower Poverty level”

A Report on

“Poverty Classifications and cross ponding income of Upper Poverty level and Lower Poverty level”

Course Title: Development Economics

Course Code: BA - 3219

Submitted By:

Md. Asfathullah: 090333 Sourav Datta: 090334

Shovon Saha: 090351

Submitted To:

Professor Dr. ATM Jahiruddin

Professor

BBA Program

4th year, 2nd term

Business Administration Discipline Khulna University, Khulna

August 31, 2014

August 31, 2014

Professor Dr. ATM Jahiruddin

Professor

Business Administration Discipline

Khulna University, Khulna

Subject: Submission of Report for Development Economics Course.

Dear Sir,

Enclosed is the report on the “Poverty Classifications and cross ponding income of Upper Poverty level and Lower Poverty level” which is submitted to you as an obligatory part of the fulfilment of the Development Economics Course.

This study was to find out Poverty classification of BBS & income for different groups of poor- revisiting from empirical evidences an to find out how much one should earn for the household for upper poverty level and what is the income level corresponding to lower poverty level.

Since the very onset we have collected information with utmost sincerity and tried to interpret the collected information appropriately. We have devoted our effort to make the report representing the fact. We are available for any further assistance in interpretation or clarification.

Sincerely yours,

Md. Asfathullah, ID: 090333

Sourav Datta, ID: 090334

Shovon Saha, ID: 090351

Acknowledgement

First of all, we express our heartfelt gratitude to Almighty who has given us the opportunity of successful completion of this Report.

We would like to express our gratitude and appreciation to the following people for making this report possible. We consider it a pleasure and privilege to pay regards and thanks to Professor Dr. ATM Jahiruddin, Head, Business Administration Discipline, Khulna University. We appreciate his support, co-operation and teachings.

Thanks are also due to all the respondents for cooperating in the collection of the primary data. We would like to express our thanks to all of them for helping us in getting the opportunity to complete our report.

TABLE OF CONTENTS

EXECUTIVE SUMMARY vii

CHAPTER 01: INTRODUCTION

1.1 Background of the Study 8

1.2 Objective of the Study 9

1.3 Scope of the Study 9

1.4 Source of Data 9

1.5 Limitation of the Study 9

CHAPTER 02: LITERATURE FRAMEWORK

2.1 Literature Review on Poverty 10

CHAPTER 02: POVERTY IN BANGLADESH

3.1 Summary of Poverty in Bangladesh 13

3.2 Understanding Poverty 17

3.3 Categories of Poverty 18

3.4 Organizational definition of Extreme Poor 19

CHAPTER 04: MEASURMENT OF POVERTY

4.1 Theoretical Framework 22

4.1.1 Food Poverty Line 22

4.1.2 Non-Food Poverty Line 22

4.1.3 Lower Poverty Line 22

4.1.4 Upper Poverty Line 22

4.2.1 Head Count Rate using CBN Method 23

4.2.2 Head Count Rate of Poverty in Khulna Division 24

4.2.3 Intake of Calories 24

4.3.1 Food Basket and Non-Food Basket 25

4.3.2 Data of Five Household 26

4.4 Food Basket for Bangladesh 27

CHAPTER 05: CONCLUSION

5.1 Conclusion of The Report 28

REFERENCE 29

APPENDIX 32

Questionnaire

LIST OF FIGURE & TABLES 32

FIGURE 01: Different Categories of Poor People 18

Table 01: Extreme Poverty Definitions 19

Table 02: Household income and Expenditure survey, 2005, 2010, BBS 21

Table 03: Head Count of Upper Poverty Line & Lower Poverty Line 23

Table 04: Head Count Rate of Poverty in Khulna Division 24

Table 05: Intake of Calories 24

Table 06: Five Household Data of Food Basket and Non-Food Basket 26

Table 07: Food Basket Data 25

EXECUTIVE SUMMARY

A starting point of the poverty measurement literature is to identify those who are poor. In the simplest case, poverty is based on a single attribute of well-being, "income". In this one-dimensional world, poverty is conceived as a condition or status associated with levels of income below an absolute threshold, the poverty line. The definition of a poverty status with multiple attributes of well-being is more delicate. While the concept "poverty status" makes explicit reference to stable or static condition, in a dynamic setting welfare attributes may change over time.

Poverty is increasingly understood to be multi-dimensional and the result of multiple deprivations. The state of ‘poverty’ encompasses notions of limitations to, and deprivation of, resources, often focused on lack of income or access to food, but also including other material, social and psychological deprivations that affect individual well-being. Attention is paid to the stresses which poverty places on individuals and on households. The use of

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