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Question

State whether the following statements are true or false.

1. Poverty is an age old problem.

2. India's basic problem is relative poverty.

3. Rapidly rising population is the only cause of poverty in India.

4. The concept of 'poverty line' differs from country to country.

5. There is no poverty in urban areas.

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Solution

1. The statement is absolutely true.
Explanation- Poverty has been an age old phenomenon in India. It refers to a situation where an individual is unable to fulfill even the basic necessities of life such as food, clothing and shelter. Due the underdeveloped nature of our economy a large section of the population remained in a state of poverty. Overtime although poverty has declined to some extent but still remains a serious problem.

2. The statement is false.
Explanation- The basic problem of India is absolute poverty and not relative poverty. In India a large section of the population is not able to fulfill even the basic necessities for sustenance of life. As per the findings of NSSO, the numbers of absolute poor in India in 2004-05 were 21.8% of the total population.

3. No, the statement is false.
Explanation-
The rapidly rising population is one of the major causes of poverty in India however, it not the sole one. There are other causes of poverty as well that prevail in India such as illiteracy, inflation, inequality, underdevelopment, slow growth rate and much more. All these factors majorly contribute towards poverty.

4. Yes, the statement is true.
Explanation-
The poverty line refers to the cut- off point in terms of per capita expenditure incurred by the people to buy the basic needs of life. The people lying below this cut-off point are considered as poor. As every nation is endowed with different resources and human population, this cut-off point differs for every nation. Thus, the concept of poverty line differs from country to country.

5. The given statement is false.
Explanation-
Poverty is a phenomenon which exists in both urban and rural areas. In urban areas, the people who are unable to consume at least 2100 calories per day are considered as urban poor. Such people live in slums under unhygienic conditions and are exposed to various kinds of pollutions and social problems. Thus, poverty exists in urban areas as well.

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