Correct Answer:
(C)
Household consumption expenditure
Poverty line estimation in India has been based on the consumption expenditure and not on the income levels due to difficulties in assessing incomes of self-employed people, daily wage labourers, large fluctuation in income due to seasonal factors, additional side incomes as well as data collection difficulties in largely rural and informal economy of India. Since households may be able to access credit markets or household savings and thereby smooth their consumption to some degree, consumption expenditures may be able to provide a better basis for determining a household’s actual standard of living. Hence, most of the Poverty Estimation Committees proposed that per capita consumption expenditure or household expenses were the right statistical choice for calculating poverty in India. Incidence of poverty is estimated by the Planning Commission (now NITI Aayog) on the basis of large sample surveys on household consumer expenditure conducted by the NSSO (now NSO)
Ques:
32
Which method is not used to decide the poverty line?
Correct Answer:
(D)
Literacy
Literacy is not used to estimate the poverty line. Other options given in the question are used in various contexts to determine the poverty line.
Ques:
33
In a given year in India, official poverty lines are higher in some States than in others because
Correct Answer:
(B)
Price levels vary from State to State
Suresh Tendulkar Committee computed new poverty lines for rural and urban areas of each State based on the uniform poverty line consumption basket. These poverty lines would vary from State to State because of inter-state price differentials of consumer goods and services included in the poverty line basket. Hence, in a given year in India, official poverty lines are higher in some State than in others because price levels vary from State to State.
Ques:
34
Which of the following fixes the poverty line in India?
Correct Answer:
(D)
Planning Commission (Now Niti Aayog)
Planning Commission was the nodal agency for determining the poverty line at National and State levels in India. From 1 January, 2015 NITI Aayog replaced the Planning Commission and now it is the nodal agency for fixing the poverty line in India.
Ques:
35
Which among the following committee’s recommendations are used for estimating the poverty line in India?
Correct Answer:
(B)
Lakdawala Committee
The estimation of poverty at the National and State level had been done by the erstwhile Planning Commission since the 6th five-year plan. In India, for the determination of poverty level and determination of methodology of poverty, various committees have been constituted from time to time. The important committees (and year of report) are Alagh Committee (1979), Lakadawala Committee (1993), Tendulkar Committee (2009) and C. Rangarajan Committee (2014) etc.
Ques:
36
Which of the following committees was set up in India for identification of BPL families in Urban Areas?
Correct Answer:
(D)
Hashim Committee
The Planning Commission constituted an Expert Group in 2010 under the Chairmanship of Prof. S.R. Hashim for identification of BPL (Below Poverty Line) households in urban areas based on a threefold methodology of residential, social and occupational vulnerabilities.
Ques:
37
Which one of the following indices is most suitable to assess the intensity of poverty in India?
Correct Answer:
(D)
Multi-dimensional Poverty Index
In developing countries like India, the Multi-dimensional Poverty Index (MPI) is the best suitable measure to assess the intensity of poverty. MPI uses health, education and standard of living indicators to determine the degree of poverty experienced by a population. MPI was first time included in the 2010 Human Development Report.
Ques:
38
How do District Rural Development Agencies (DRDAs) help in the reduction of rural poverty in India?
DRDAs act as Panchayati Raj Institutions in certain specified backward regions of the country.
DRDAs undertake area-specific scientific study of the causes of poverty and malnutrition and prepare detailed remedial measures.
DRDAs secure inter-sectoral and inter-departmental coordination and cooperation for effective implementation of anti-poverty programmes.
DRDAs watch over and ensure effective utilization of the funds intended for anti-poverty programmes.
Which of the statement(s) given above is/are correct?
Correct Answer:
(B)
3 and 4 only
Ques:
39
Consider the following statements regarding Public Distribution Systems:
The main objective was to provide essential commodities at subsidized prices.
It was started as a price support program.
Food subsidy is provided by the State Governments.
Which of these statements is/are correct?
Correct Answer:
(B)
1 and 2
In the 1960s, the Public Distribution System (PDS) was started as a price support program. Its main objective was to provide essential commodities at subsidized prices. Food subsidies in India include subsidies given to farmers by way of support prices and purchasing operations of the Food Corporation of India, Consumer subsidies offered by PDS and subsidies to FCI to cover all these costs. Food subsidy is provided by the Government of India. Under the scheme of decentralized procurement, State specific economic cost is determined by the Government of India and the difference between the economic cost so fixed and the Central Issue Prices is passed on to the State as food subsidy.
Ques:
40
Which of the following programme was meant for the eradication of poverty in rural India?
Correct Answer:
(D)
All of the above
Integrated Rural Development Programme (IRDP; 2 October,1980), Training of Rural Youth for Self-Employment (TRYSEM;15 August, 1979) and National Rural Employment Programme (NREP; October, 1980) were started for the eradication of poverty in rural areas.