6.6. The extent of poverty which is being measured in terms of the incidence of the poor or the "headcount index" has been criticized as an inadequate measure as it ignores the extent to which the poor fall below the poverty line, that is, it is insensitive to the changes in the income structure of the poor. Such measure does not change when a poor family becomes less poor. It remains the same even if a poor household becomes poorer or when a poor family's income improves so long as it remains below the poverty threshold.
6.7. There is a pressing need to directly estimate the non-food basic needs such as housing, education and health by developing standards instead of estimating it through indirect approach by just deriving non-food threshold as the complement of the food expenditure to total expenditure using FIES results.
6.8. The official procedure of constructing poverty profiles tends to yield inconsistent estimates of spatial and intertemporal poverty -- inconsistent in the sense that two persons with the same command over basic consumption needs are not treated the same way. The poverty lines applied for various regions and years imply different levels of living standards, thereby making spatial and intertemporal comparisons somewhat meaningless.17
6.9. The use of income rather than consumption/expenditure in identifying the poor and the non-poor creates conceptual and practical arguments. Current income may overestimate or underestimate current welfare levels. If a person can borrow or use his savings, his welfare level is not constrained by current income 18.
6.10. Some researchers have questioned the validity of using a calorie intake requirement and the formulation of menus at various administrative levels to satisfy this nutritional requirement. Some say that even in the developed countries, about half eat below the average requirement and the method of considering everyone eating below the average requirement as poor grossly exaggerates
17 Balisacan, A. "Poverty and Sectoral Employment During Episodes of Boom and Bust". University of the Philippines, 1996, p. 1.
18 Balisacan, A. and Bacawag, R.T. "Inequality, Poverty and Urban-Rural Growth Linkages". Spatial Development, Land Use and Urban-Rural Growth Linkages in the Philippines. IPDP Project of the National Economic and Development Authority, 1994, p. 107.
