Practicing Success

Target Exam

CUET

Subject

Economics

Chapter

Indian Economic Development: Poverty

Question:

The dotted lines in the graph mentioned below indicate the poverty line. According to you, this graph will fall under which of the following category?

Options:

Churning poor

Transient poor

Usually poor

Chronic poor

Correct Answer:

Transient poor

Explanation:

There are many ways to categorize 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 (for example casual workers) are grouped together as the chronic poor. Another group is the churning poor who regularly move in and out of poverty (for 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 following graph will help you understand better: