Apedia Logo Apedia
Join

Choose Language

Select your preferred reading language
🇬🇧
English
✔
🇮🇳
हिन्दी
✔
✕
Full View
Economy
Poverty and Inclusion
EN हिंदी
✕
UPSC Prelims 2019 Paper-1 📅 02 Jun, 2019

In a given year in India, official poverty lines are higher in some States than in others 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 State to State
Result Summary
Logo

APEDIA

UPSC Prelims
2019 • 02 Jun, 2019 • Paper-1
In a given year in India, official poverty lines are higher in some States than in others because
Correct Answer
price levels vary from State to State
Poverty Line Methodology: In India, the poverty line is fundamentally estimated based on the monetary value required to purchase a specific minimum consumption ......
Ref/Book : UPSC Prelims 2019
Ref. Subject Economy
Chapter -
Ref. Topic Poverty and Inclusion
Pg. No -
💡 Analysis & Explanation
Poverty Line Methodology ▼
In India, the poverty line is fundamentally estimated based on the monetary value required to purchase a specific minimum consumption basket of essential goods and services (food, clothing, shelter, etc.).
State Discrepancies ▼
Because the retail prices of these essential commodities fluctuate significantly across different geographical regions due to inflation, transport costs, and local taxes, the monetary threshold to afford the exact same basket is higher in states with higher price levels.
Conclusion ▼
The variation in absolute price levels is the direct mathematical reason for differing state-specific poverty lines.
← Prev
24 / 100
Next →