Practicing Success

Target Exam

CUET

Subject

Economics

Chapter

Indian Economic Development: Poverty

Question:

Match the following:

1. Usually poor A. Transient poor
2. Churning poor B. proxy for income of households to identify poor
3. Never poor C. Chronic poor
4. Monthly per capita expenditure D. Non-poor

 

Options:

1- A, 2- C, 3- D, 4- B

1- B, 2- C, 3- D, 4- A

1- C, 2- A, 3- D, 4- B

1- C, 2- A, 3- B, 4- D

Correct Answer:

1- C, 2- A, 3- D, 4- B

Explanation:

There are many ways to categorise poverty. In one such way people who are always poor and those who are usually poor but who may sometimes have a little more money (example: casual workers) are grouped together as the chronic poor. Another group are the churning poor who regularly move in and out of poverty (example: small farmers and seasonal workers) and the occasionally poor who are rich most of the time but may sometimes have a patch of bad luck. They are called the transient poor. And then, there are those who are never poor and they are the non-poor. The government uses Monthly Per Capita Expenditure (MPCE) as a proxy for the income of households to identify the poor