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In a given year in India, official poverty lines are higher in some States than in other because
- a)Poverty rates vary from State to State
- b)Price levels vary from State to State
- c)Gross State Product varies from State to State
- d)Quality of public distribution varies from States to States
Correct answer is option 'B'. Can you explain this answer?
Verified Answer
In a given year in India, official poverty lines are higher in some St...
These poverty lines would vary from State to State because of inter-state price differentials
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In a given year in India, official poverty lines are higher in some St...
Explanation:
Poverty lines are official measures of income level, below which a person is considered poor. Poverty lines vary from country to country and within countries as well. In India, poverty lines differ from state to state due to various factors.
Price Levels vary from State to State:
The cost of living in different states of India is not the same. The cost of essential goods like food, clothing, and shelter varies from state to state. Some states have a higher cost of living, and some states have a lower cost of living. Therefore, the poverty line in each state is different.
Higher poverty lines in some States:
The official poverty line is higher in some states than in others because the price levels are higher in those states. For example, the poverty line in Delhi is higher than in Bihar, as the cost of living in Delhi is higher than in Bihar. The poverty line in Kerala is higher than in Uttar Pradesh, as the cost of living in Kerala is higher than in Uttar Pradesh.
Effects on poverty rates:
Price level variations affect poverty rates in different states. A person who is above the poverty line in one state may be below the poverty line in another state due to the difference in the cost of living. Therefore, poverty rates vary from state to state.
Conclusion
Price levels are one of the significant factors that affect poverty lines and poverty rates in different states of India. It is essential to consider the cost of living while setting the poverty line in each state to provide accurate and efficient measures to alleviate poverty.
Poverty lines are official measures of income level, below which a person is considered poor. Poverty lines vary from country to country and within countries as well. In India, poverty lines differ from state to state due to various factors.
Price Levels vary from State to State:
The cost of living in different states of India is not the same. The cost of essential goods like food, clothing, and shelter varies from state to state. Some states have a higher cost of living, and some states have a lower cost of living. Therefore, the poverty line in each state is different.
Higher poverty lines in some States:
The official poverty line is higher in some states than in others because the price levels are higher in those states. For example, the poverty line in Delhi is higher than in Bihar, as the cost of living in Delhi is higher than in Bihar. The poverty line in Kerala is higher than in Uttar Pradesh, as the cost of living in Kerala is higher than in Uttar Pradesh.
Effects on poverty rates:
Price level variations affect poverty rates in different states. A person who is above the poverty line in one state may be below the poverty line in another state due to the difference in the cost of living. Therefore, poverty rates vary from state to state.
Conclusion
Price levels are one of the significant factors that affect poverty lines and poverty rates in different states of India. It is essential to consider the cost of living while setting the poverty line in each state to provide accurate and efficient measures to alleviate poverty.
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In a given year in India, official poverty lines are higher in some Statesthan in other becausea)Poverty rates vary from State to Stateb)Price levels vary from State to Statec)Gross State Product varies from State to Stated)Quality of public distribution varies from States to StatesCorrect answer is option 'B'. Can you explain this answer?
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