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Submitted by Luthfulla Atheeq on

Dear Mr. Devarajan,
Thank you for a well written and simply stated article on growth and poverty reduction. However, I have a comment on your statement on India's rate of poverty reduction in para 1. You state that "India’s GDP growth rate accelerated in the 1990s and 2000s, but poverty continued to fall at the same pace as before, about one percentage point a year." This statement is not true for the decade starting from 2000. The World Bank website on its India page has published the following data. Poverty headcount ratio went down from 37.2% in 2005 to 21.9% in 2012. That means in 7 years poverty went down by 15.3%, making the annual rate of poverty reduction to be 2.18%. You are aware the Indian economy grew at 8 to 9 % during most of this period. India's performance in poverty reduction cannot be compared with Tanzania and Zambia, which have seen commodity led growth with very low growth elasticity of poverty.


L K Atheeq