A Mint analysis based on inflation and consumption statistics shows that the answer to this question is not so simple. The India Human Development Survey data shows that 55% of India’s richest people (top 5%) were living in urban areas and the rest were in rural areas. Similarly, 85% of India’s poorest people (bottom 5%) were living in rural areas. Also Read: WPI inflation rises to 3.74% in AugustFor example, the share of food consumption for urban rich is 23.35% and rural rich is 40.95%. While a sharp decline in vegetable price inflation might have brought this gap down in August, food inflation worries top concerns about the rise in prices of major commodities.

Source: Mint September 19, 2016 07:18 UTC