Class XII Economic Poverty Test Paper Part I

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Class XII Economic Poverty Test Paper Part I - 2021 ARQ, MCQ , CASE STUDY

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CASE STUDY- 1 The poverty lines refer to a cut-off point that divides people of a region as poor and non-poor. Poverty line cutoff may be determined in the terms of income or in terms of consumption. The percentage of the population below the poverty line is called the headcount ratio. the poverty incidence ratio is the same as the headcount ratio. Headcount ratio refers to the measurement of poverty in the term of number of person below the poverty line, where the poverty line means some cutoff point with respect to the individual consumption expenditure per month. The poverty line usually measured interms of per capita expenditure. Consumption reflects the actual use of goods and service by an individual as well as the type of goods used while income only shows the capacity to purchase. Answer the following Questions: 1. A cut off point dividing people as poor and non poor indicates the number of those who are: *

1 point

absolute poverty

below poverty line

both a and b

none of the above

2. The absolute poverty in India is measured with reference to………. *

1 point

Number of people

Poverty Line

3. Poverty line cut off can be determined in terms of…………….. *

1 point

investment/

consumption

4. Poverty line is measured normally in terms of……………… *

1 point

per capital expenditure

per capital income

CASE STUDY -2 This paragraph talks about economic inequalities in India that have been driven by the employment pattern and changes in labour market, which in turn have been affected by the macroeconomic policies and process as well as forms of social discrimination and exclusion. While many Asian economies have shown indications of rising inequalities in recent decades, the Indian experience is particularly remarkable in the way inequalities have intertwined with economic growth process. structural change and the persistence of the low productivity employment in India are strongly related to following wage shares of national income and growing wage inequality and the close relationship between formal and informal sectors is the sharpest exemplar of this. patterns of social discrimination along with gender and caste line have reinforced tendency to create segmented labour market that offer little incentives for the employers to focus on productivity improvement.1. Why did the government shift its strategy from long term to short term programs to remove unemployment? *

1 point

Short term policies are more effective

Long term policy do not give appropriate response

It is easy to check the progress

All the above

2. Increase in the proportion of casual worker as the proportion of the total work force is known as ________________ *

1 point

informalization

casualization

3. __________is used to measure the concept of relative poverty. *

1 point

number of people living below the poverty line

poverty of people in comparison to other people , region or nation

4. Women participation in rural areas is found to be higher in rural areas as compared with area in India due to which the following reason. *

1 point

Widespread poverty

Male member do not earn sufficient income

Wages level are low in rural areas

all the above.

ASSERTION AND REASON BASED QUESTIONS 1. Assertion(A): The Average per capita daily requirement of 2400 calories in rural areas and 2100 calories in urban areas. Reason (R): Because rural areas people do more labor in comparison to urban areas. that’s why more calories is required in rural areas. *

1 point

both assertion (A)and Reason(R) ARE true and reason (R) is the correct explanation of assertion(A).

Both assertion (a) and reason(R)are true and Reason(R)is not the correct explanationof assertion (A).

Assertion (A) is true but Reason (R) is false.

Assertion (A)is false but reason (R) is true.

2. Assertion(A)absolute poverty is prevalent in developed economics. REASON(R)most developed economics are industrialized economy. *

1 point

both assertion (A)and Reason(R) are true and reason (R) is the correct explanation of assertion(A).

Both assertion (a) and reason(R)are true, and Reason(R)is not the correct explanation of assertion (A).

Assertion (A) is true but Reason (R) is false.

Assertion (A)is false but reason (R) is true

3. Assertion(A): national Food for work programme was launched in 2004 with the objective of creating self-employment opportunities in rural areas. REASON(R): This programme was incorporated in Mahatma Gandhi National Rural Employment Guarantee ACT (MGNREGA) IN 2005. *

1 point

both assertion (A)and Reason(R) ARE true and reason (R) is the correct explanation of assertion(A).

Both assertion (a) and reason(R)are true and Reason(R)is not the correct explanation of assertion (A).

Assertion (A) is true but Reason (R) is false.

Assertion (A)is false but reason (R) is true.

4. Assertion (A)Inflation is the cause of poverty. Reason (R) Inflation (price spiral) erodes real income of the people. Other things remaining constant, price spiral may push certain people below the poverty line. Alternatives: *

1 point

Both Assertion (A) and Reason(R) are true and Reason (R) is the correct 1 explanation of Assertion (A).

Both Assertion (A) and Reason(R) are true and Reason(R) is not the correct explanation of Assertion (A).

Assertion (A) is true but Reason (R) is false.

Assertion (A) is false but Reason(R) are is true.

5. Assertion (A)Poverty can reduce even when income of the poor does not rise. Reason (R) The poor can be offered essentials of life at subsidised prices Alternatives: *

1 point

Both Assertion (A) and Reason(R) are true and Reason (R) is the correct 1 explanation of Assertion (A).

Both Assertion (A) and Reason(R) are true and Reason(R) is not the correct explanation of Assertion (A).

Assertion (A) is true but Reason (R) is false.

Assertion (A) is false but Reason(R) are is true.

6. Assertion (A)Migration lowers poverty. Reason (R) People migrate to those areas which offer better opportunities of employment. Getting employment or getting better employment leads to improvement in the quality of life. It may help people shift above the poverty line. *

1 point

Both Assertion (A) and Reason(R) are true and Reason (R) is the correct 1explanation of Assertion (A).

Both Assertion (A) and Reason(R) are true and Reason(R) is not the correct explanation of Assertion (A).

Assertion (A) is true but Reason (R) is false.

Assertion (A) is false but Reason(R) are is true.

7. Assertion: Although there is a steady decline in poverty over the last two decades but total number of the poor people have remained constant. Reason: There has been a considerable growth in population. *

1 point

Both assertion and reason are true but the reason is the correct explanation of assertion.

Both assertion and reason are true but reason is not the correct explanation of assertion

Assertion is true but reason is false

Assertion is false but reason is true

8. Assertion: Most of small farmer are in deb-trap. Reason: They borrow money from money lenders who charge high rate of interest that push them in to chronic indebtedness. *

1 point

Both assertion and reason are true but the reason is the correct explanation of assertion.

Both assertion and reason are true but reason is not the correct explanation of assertion

Assertion is true but reason is false

Assertion is false but reason is true

9. Assertion (A)Mr. X is relatively richer than Mr. Y. But both can be poor. Reason (R) Mr. X may have higher income than Mr. Y. But, both X and Y may not have enough income to buy the essentials of life. So that, both are poor. *

1 point

Both Assertion (A) and Reason(R) are true and Reason (R) is the correct 1 explanation of Assertion (A).

Both Assertion (A) and Reason(R) are true and Reason(R) is not the correct explanation of Assertion (A).

Assertion (A) is true but Reason (R) is false.

Assertion (A) is false but Reason(R) are is true.

10.Assertion(A): Capital formation is the key to eradicate the poverty in India. Reason (R): Lack of capital implies lack of production capacity.- Low production capacity implies low opportunities of employment. - Low level of employment implies high level of poverty. *

1 point

Both Assertion (A) and Reason(R) are true and Reason (R) is the correct 1 explanation of Assertion (A).

Both Assertion (A) and Reason(R) are true and Reason(R) is not the correct explanation of Assertion (A).

Assertion (A) is true but Reason (R) is false.

Assertion (A) is false but Reason(R) are is true.

MULTIPLE CHOICE QUESTIONS 1. Those who regularly move in and out of poverty are called *

1 point

Chronically poor

Churning poor

Occasionally poor

Transient poor

2. Which of the following is the poverty determination measure? *

1 point

Head Count Ratio

Sen Index

Poverty Gap Index

All of these

3. When was the Task Force on Projections of Minimum Needs and Effective Consumption Demand was formed? *

1 point

1969

1979

1989

1999

4. In 2011-12, poverty line was defined worth ________ as consumption per person a month for rural areas and _______ for urban areas *

1 point

₹816 and ₹1,000

₹1,012 and ₹1,210

₹550 and ₹860

₹860 and ₹673

5. Who conducts the periodical sample survery for estimating the poverty line in India? *

1 point

National Survery Organisation

National Sample Survey Organisation

Sample Survey Organisation

None of the above.

6. Which of the following is not a major reason for the lack of effectiveness of targeted anti-poverty programmes?(A) (B)(C) (D) *

1 point

Lack of proper implementation

Lack of right targeting

Overlapping of schemes

All the above.

7. In which year was MNREGA enacted? *

1 point

2005

2000

1999

1993.

8. The calorie requirement is higher in the rural areas because: *

1 point

they do not enjoy as much as people in the urban areas

food items are expensive

they are engaged in mental work

People are engaged in physical labour

9. Which of the following is an indicator of poverty in India? *

1 point

Income level

Illiteracy level

Employment level

All of these.

10. The most vulnerable social groups for poverty are: *

1 point

Scheduled Tribes

Urban Casual Labourers

Rural Agricultural Labourers

Scheduled Castes.

11. Which one of these is not a cause of poverty in India? *

1 point

Low level of economic development

Migration of people from rural to urban India

Income inequalities

Unequal distribution of land.

12. The poverty has shifted from rural to urban area because of: .

1 point

Migration

In search of employment

In search of alternative employment

Both a and c

Both a and b

Clear selection

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