Question

Which of the following statements about poverty is/are correct?

• A. Poverty represents the minimum amount of income that is required to satisfy one's basic needs.
• B. Social indicators are considered while estimating poverty line.
• C. People who fall below the poverty line are considered to be poor.
• D. People who spend less than ₹1000 per person per month for consumption in rural areas are considered as poor.

Answer 1

Answer: (A), (C)

People who fall below the poverty line are considered to be poor.

Poverty line represents the minimum level of income required to satisfy our basic needs like food, shelter, education, healthcare, and clothing.

According to data from 2011–12, people who spend less than ₹816 per person per month in rural areas for their consumption are considered as poor in India. Similarly, people who spend less than ₹1,000 per person per month for consumption in urban areas are considered as poor.