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Indian EconomyMediumAsked in: SSC GD Constable · 16 Jan 2023, Shift 4

What is the term used for people who regularly move in and out of the poverty line?

  1. A.Occasionally poor
  2. B.Usually Poor
  3. C.Chronic poor
  4. D.Churning poor

Correct answer

D. Churning poor

Explanation

The correct answer is D, churning poor. In the standard classification the churning poor are those whose consumption crosses the poverty line and falls back below it again and again, the typical cases being small and marginal farmers and casual labourers whose earnings depend on the season. Option A is wrong because the occasionally poor are usually above the line and slip below it only now and then, for example after an illness or a crop failure, so their movement is not regular. Option B is wrong because the usually poor are below the line most of the time and form part of the chronic poor rather than the group that moves in and out. Option C is wrong because the chronic poor, made up of the always poor and the usually poor, stay below the line year after year and are precisely the group that does not move across it.

Read the full article: Poverty and Unemployment in India: Concepts and PYQs

Practice Questions

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Q1.Indian EconomyAsked in: SSC GD Constable · 11 Jan 2023, Shift 2Easy

Which of the following organisations conducts the sample surveys for calculating the poverty line in India?

  1. A.Ministry of Finance
  2. B.RBI
  3. C.CSO
  4. D.NSSO
Show answer
Correct answer: D. NSSO

The National Sample Survey Office carries out the large household surveys of consumption expenditure from which the number of people below the poverty line is worked out, and it now functions within the National Statistical Office under the Ministry of Statistics and Programme Implementation.

Q2.Indian EconomyEasy

A situation in which more workers are engaged in a job than are actually required, so that withdrawing some of them does not reduce output, is called

  1. A.Frictional unemployment
  2. B.Disguised unemployment
  3. C.Cyclical unemployment
  4. D.Structural unemployment
Show answer
Correct answer: B. Disguised unemployment

Here the extra workers appear to be employed but their marginal contribution to output is close to zero, which is why the condition is called disguised or hidden; the classic Indian example is a family farm on which several members work a plot that two could manage.

Q3.Indian EconomyEasy

Under the Mahatma Gandhi National Rural Employment Guarantee Act, how many days of wage employment are guaranteed to a rural household in a financial year?

  1. A.50
  2. B.75
  3. C.100
  4. D.150
Show answer
Correct answer: C. 100

The Act, passed in 2005, gives every rural household whose adult members volunteer to do unskilled manual work a legal right to one hundred days of wage employment in a financial year, and if work is not provided within the prescribed period the applicant becomes entitled to an unemployment allowance.

Q4.Indian EconomyMedium

The expert group that in 2009 recommended dropping the calorie norm as the anchor of the poverty line was headed by

  1. A.D. T. Lakdawala
  2. B.Suresh Tendulkar
  3. C.C. Rangarajan
  4. D.Y. K. Alagh
Show answer
Correct answer: B. Suresh Tendulkar

The Tendulkar expert group reported in 2009, moved away from the calorie anchor, used a mixed reference period for consumption and brought private spending on health and education into the basket, which raised the estimated share of the poor.

Q5.Indian EconomyMedium

The calorie norm originally used to draw the rural poverty line in India was

  1. A.2,100 calories per person per day
  2. B.2,400 calories per person per day
  3. C.1,800 calories per person per day
  4. D.3,000 calories per person per day
Show answer
Correct answer: B. 2,400 calories per person per day

The task force of 1979 fixed the rural line at the consumption expenditure needed to obtain 2,400 calories a day, on the ground that rural work involves more physical labour.