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Chinanews, Beijing, Sept 27 – On Tuesday, China released its national development report for the year of 2007. The report points out that the poor population of the country’s rural areas might have been largely underestimated. According to the current poverty line set in China, those who earn 683 yuan a year or below are considered as poor people. However, according to related international standard, in developing countries, a person who gets one US dollar per day is regarded as a poor person. If this standard is converted to Renminbi, then people who earn 2,500 yuan or less in a year in China should be considered as poor people.
The report says that over the past two decades, Chinese farmers’ net income has increased substantially. However, during the same period, the country’s poverty line remains1 relatively2 unchanged. As a result, the ratio of the poverty line to rural net income per capita has kept decreasing and some researchers say that in China, such ratio is the lowest in the world. Faced with the low ratio, some scholars begin to cast doubt on the rationality of China’s poverty line standard. The report says that the poverty line for China’s rural areas might be set at a much low level. According to the report, the state of being poor does not only refer to whether someone has enough food to eat, it also relates to many other issues, such as whether one can wear and live comfortably, whether one has enough money to take the basic transportation to go out, and whether one can enjoy education, medicare, social contacts, etc. The current Chinese poverty line might better be interpreted as the “survival-related poverty line.” It only reflects the income level that the poor should attain3 in order to stay alive. In addition to this, the state should concern itself with the “development-related poverty line” that tells what the minimum income level is for one to get the basic education and medicare. If these factors are taken into consideration, in 2004 and 2005, Chinese rural people’s development-related poverty line might be set at 1,046 yuan and 1,147 yuan, respectively, the report says.
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