Meaning and Causes of Poverty

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  • Q1

    Consider the following statements and identify the wrong one.

    Marks:1
    Answer:

    Indian government uses weekly per capita expenditure as proxy for income of household to identify the poor.

    Explanation:

    Indian government uses monthly per capita expenditure as proxy for income of household to identify the poor. This mechanism is helpful in identifying the poor as a group to be taken care of by the government.

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  • Q2

    _______________ was the first to use the concept of poverty line in India.

    Marks:1
    Answer:

    Dadabhai Naoroji

    Explanation:

    Dadabhai Naoroji (the Grand Old man of India) was the first to use the concept of poverty line. He used the menu for a prisoner and used appropriate prevailing prices to arrive at what may be called ‘Jail Cost of Living’.

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  • Q3

    When we compare the incomes of different people, and we find that some people are poorer than others, it is called ______________.

    Marks:1
    Answer:

    Relative poverty

    Explanation:

    When we compare the incomes of different people, and we find that some people are poorer than others, it is called relative poverty.

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  • Q4

    The definition which simply defines the condition where the level of income of a country is so low that its people cannot meet even their minimum consumption requirements to maintain their health and work efficiency, it is called ________________.

    Marks:1
    Answer:

    Absolute poverty

    Explanation:

    When the level of income of a country is so low that its people cannot meet even their minimum consumption requirements to maintain their health and work efficiency, it is called absolute poverty. In India nearly 25% population is absolutely poor.

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  • Q5

    ____________ implies lack of necessities of material well-being.

    Marks:1
    Answer:

    Income poverty

    Explanation:

    The United nations development programme (UNDP) has distinguished between two types of poverty. One is income poverty which implies lack of necessities of material well-being. And the other is human poverty which signifies the denial of opportunities for living a tolerable life.

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