Chapter-Poverty

Important MCQ questions for Class 11 Economics Chapter-Poverty

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MCQ Questions set-1 for chapter-Poverty class 11 Economics 

Economics - MCQ on POVERTY

Class XI

Q.1. National Rural Employment Guarantee Scheme became operative from –

i) 2003,

ii) 2004,

iii) 2005,

iv) 2006

Answer:

(ii)

2006.

Expln. In August’2005, the Parliament passed this new Act to provide guaranteed wage employment to every household whose adult volunteer is to do unskilled manual work for a minimum of 100 days in a year.

Q.2. In Urban areas poverty line has been defined on the basis of the minimum nutritional requirements of –

i) 2100,

ii) 1850,

iii) 2300,

iv) 2000 calories.

Answer:

(i)

2100.

Expln. 2100 Calories for the urban population is a lower estimation criterion for defining poverty line if compared to that of 2400 calories in rural areas.

This difference in minimum calorie requirement exists because the nature of work for rural and urban population demands different level of physical labour.

Q.3. About –

i) 26,

ii) 20,

iii) 25,

iv) 18

percent of India’s total population lives below the line of poverty.

Answer:

(i)

26.

Expln. This ‘head count ratio’ i.e. the number of people below poverty line as a ratio estimated of 26% has been accounted on the basis of consumption expenditure data in 1999-2000 by NSSO.

Q.4. National Food for Work Programme was launched on November 14 – i) 2004,

ii) 2000,

iii) 2006,

iv) 2002.

Answer:

(i)

2004.

Expln. ‘Food for Work’ is a poverty alleviation programme which aims at providing employment in a manner where earning money is not emphasized but ensuring minimum required food for all in the household is important.

Q.5. One example of Churning poor is –

i) Casual workers,

ii) Seasonal workers,

iii) Small businessmen,

iv) Beggars.

Answer:

(ii)

seasonal workers.

Expln. As the seasonal workers regularly move in and out of poverty because of the nature of their employment, they are known as churning poor.

Q.6. Over –

i) 75,

ii) 60,

iii) 80,

iv) 70

percent of Indians were engaged in agriculture throughout the British Raj period.

Answer:

(iv)

70.

Expln. The main economic activity of India being agriculture and as there was not any important industrial or service sector development in the country in the British period, the maximum portion of the population i.e. 70% was engaged in agricultural activities to maintain their livelihoods.

Q.7. Govt. policies have failed to address the vast majority of –

i) Poor,

ii) Vulnerable,

iii) Unemployed,

iv) Wage worker

Group of people who are living on or just above the poverty line.

Answer:

(ii)

vulnerable.

When measuring poverty and formulating poverty alleviation programmes, government policies take into account of only those who are strictly poor or whose source of income are undoubtedly low because of any social reason. This ‘vulnerable’ section of the population who are not declared poor by NSSO but lives a life not better in any way than the poor are always deprived of all the facilities provided by the government.

Q.8. Children between the age group 2-14 are given free cooked food in school. This is known as –

i) PDS,

ii) MDM,

ii) BPL,

iv) APL.

Answer:

(ii)

MDM.

Expln. MDM or Mid Day Meal programme is a food security measure under which the children between the age group of 2-14 are given free cooked food in school.

Q.9. The level of poverty in India is –

i) 26.1%,

ii) 34%,

iii) 25%,

iv) 54%

Answer:

(i)

26.1%

Expln. Though this percentage was much higher in 1960’s but since early 1990’s after the introduction of several drastic growth oriented measures the trend of poverty took a downward turn and it is quite low as 26.1% as per the latest data.

Q.10.Percentage of people below poverty line are known as –

i) Absolute poor,

ii) Relative poor,

iii) Head count ratio,

iv) Churning poor.

Answer:

(iii)

Head count ratio.

Expln. Head count ratio is a way to estimate relative poverty in a country.

Q.11.Poorest of the poor in India are known as –

i) BPL section,

ii) Schedule castes,

iii) Vulnerable section,

iv) Antyodaya.

Answer:

(iv)

Antyodaya.

Expln. The initial Five Year Plans emphasised on the upliftment of the poorest of poor i.e. the Antyodayas in our country.

Q.12.Scholars identify poor on the basis of their –

i) Occupation and ownership of assets,

ii) Monthly expenditure pattern,

iii) Level of education,

iv) Caste they belong to.

Answer:

(i)

occupation and ownership of assets.

Expln. These two are basically the main indicating factors of a household’s income and consumption expenditure pattern.

Q.13.i) Shaheen Rafi Khan,

ii) Pundit Jawaharlal Nehru,

iii) Amartya Sen,

iv) Dadabhai Naoroji –

was the first to discuss the concept of poverty line.

Answer:

(iv)

Dadabhai Naoroji.

Q.14.The poorest state of India is –

i) Bihar,

ii) Orissa,

iii) West Bengal,

iv) Uttar Pradesh.

Answer:

(ii)

Orissa.

Expln. According to the 1999-2000 data, half of Orissa’s total population lives below poverty line. The success in reducing the number of BPL people is marginal in this large state.

Q.15.The urban poor in India are largely the over flow of the rural poor in search for –

i) land assets for farming,

ii) Their lost relatives,

iii) Employment,

iv) Education.

Answer:

(iii)

employment.

Expln. The growing number of rural population and limited land resources for farming activities create huge unemployment in the local village areas. The landless agricultural labourers are left with no other options but to migrate in urban areas in search of employment opportunities and a livelihood.

Q.16.A steep rise in the price of food grains and other essential products is caused by –

i) Inflation,

ii) Low capital formation,

iii) Low GDP,

iv) Good amount of export.

Answer:

(i)

inflation.

Expln. Inflation in an economy causes lower relative value for its currency, leading to price rise in domestic market.

Q.17.Self-help groups get money through the programme named –

i) Prime Minister’s Rozgar Yojna,

ii) Gram Samridhdhi Yojna,

iii) SGRY,

iv) Swarnajayanti Gram Swarozgar Yojna.

Answer:

(iv)

Swarnjayanti Gram Swarozgar Yojna ( SGSY).

Expln. Earlier, under self employment programmes, financial assistance was given to families or individuals. But under SGSY, banks and government provide partial financial assistance to different self-help groups.

Q.18.the ratio of people falling below poverty line to the total population is expressed as –

i) Head count ratio,

ii) Relative poverty,

iii) Poverty ratio,

iv) Percentage poor.

Answer:

(iii)

poverty ratio.

Expln. It is the ratio just to know the fact that what percentage of total population is lying below the poverty line.

Q.19.Security furnished by the society to its members against risk through appropriate organization is termed as –

i) Social welfare,

ii) Risk reduction measure,

iii) Social need,

iv) Social security.

Answer:

(iv)

Social Security.

Expln. Poverty alleviation measures comprise of this scheme i.e. to provide ‘social security’ to the poor and vulnerable section of the population in both urban and rural areas.

Q.20.The economic trap where poor are always poor and rich are always rich is known as –

i) Vicious circle of poverty,

ii) Vicious cycle of poverty,

iii) Vicious trap of poverty,

iv) Vicious system of poverty.

Answer:

(i)

vicious circle of poverty.

Expln. Due to inefficient resource management system any economy faces problems like low productivity, lesser production, low capital formation, low income and low standard of living, leading t into the vicious circle of poverty.

Q.21.The mean income of the population distribution measured by the difference of one’s income from mean income is called –

i) distribution parameter

ii) public distribution system

iii) population distribution

iv) none of the above

Answer:

(i)

distribution parameter.

Expln. The mean income of the population being the average, is a parameter for determining the income status of the population.

Q.22. i) Population distribution system

ii) Distribution parameter system

iii) Public distribution system

iv) None of the above

- is a system under which fair price shops are set up in villages, towns and backward areas to distribute essential commodities, particularly food grains at subsidized rates.

Answer:

(iii)

Public distribution system.

Expln. This system is in operation through a network of nearly 4.74 lakhs fair-price shops in the country. It is operated under the joint responsibility of central and state governments. This system involves a heavy burden of subsidy as the issue price for BPL families has been kept at half of economic cost.

Q.23. A person who operates his own farm or non-farm enterprise or is independently engaged in a profession or trade is known as -

i) Casual worker,

ii) Independent worker,

iii) Self employed,

iv) Professionals.

Answer:

(iii)

self employed.

Expln. Self employed includes employees, on-account workers and unpaid family workers. In India, the self employed constitute about 60% employees. The largest population of the self employed is engaged in agriculture. The incidence of under-employment is the highest among the self-employed. Therefore, priority should be given to improve their efficiency so that fuller and more productive employment yields them more reasonable incomes.

Q.24. the homeless people who reside on common lands, do not have even two meals a day are called –

i) Poorest of the poor,

ii) Poor,

iii) Vulnerable,

iv) All the above.

Answer:

(i)

poorest of the poor.

Expl. They suffer from chronic hunger. Women, female infants and old people of poor households also fall under this category.

Q.25. The problem of –

i) Absolute poverty,

ii) Relative poverty,

iii) Poverty distribution parameter,

iv) None of the above,

is essentially the problem of inequality of income and asset ownership.

Answer:

(ii)

relative poverty.

Expln. The people with lower income are relatively poor as compared to the people with higher income even they are above the poverty line.

Developer _Goutam

MCQ Questions set-2 for chapter-Poverty class 11 Economics 

Q 1. One of the measures of poverty is

(a) to level of consumption and income.

(b) to level of employment.

(c) to level of income and employment.

(d) to level of economic growth.

Answer:

(a)

Explanation: Poverty has many faces. Poverty has to be looked through a variety of indicators such as levels of income and consumption, social indicators, indicators of vulnerability to risks etc.

Q 2. An example of urban poor is

(a) landless agricultural labourers

(b) cultivators with small land holdings.

(c) rag pickers.

(d) tenant cultivators.

Answer:

(c)

Explanation: Rag picker is an example of urban poor. All other options are example of rural poor

Q 3. One of the reasons for the cause of urban poverty is

(a) slums.

(b) migration from rural to urban areas.

(c) poor infrastructure in urban areas.

(d) globalization.

Answer:

(b)

Explanation: One of the reasons for the cause of urban poverty is the poor infrastructure in urban areas.

Q 4. For defining poverty, people are divided into two categories:

(a) poor and rich.

(b) absolutely poor and rich.

(c) poor and non-poor.

(d) non-poor and chronic poor.

Answer:

(c)

Explanation: For the purpose of defining poverty, we divide people into two categories: Poor and non-poor. The poverty line divides the two.

Q 5. An example of chronic poor is

(a) seasonal workers.

(b) casual workers.

(c) small farmers.

(d) self employed.

Answer:

(b)

Explanation: An example of chronic poor is casual workers. The people who are usually poor but may sometimes have a little more money are grouped as the chronic poor.

Q 6. The group of people, who regularly move in and out of poverty, is an example of

(a) chronic poor.

(b) transient poor.

(c) non poor.

(d) usually poor.

Answer:

(b)

Explanation: The group of people who regularly move in and out of poverty and who are occasionally poor, together are called transient poor.

Q 7. The authority that makes the official data on poverty is

(a) The Planning Commission

(b) National Sample Survey Organisation

(c) The Statistical Department of India

(d) Finance Ministry

Answer:

(a)

Explanation: The official data on poverty is made available to the public by the Planning Commission of India. It is estimated on the basis of data collected by the NSSO.

Q 8. The worst suffers in poor families are

(a) man.

(b) boy.

(c) women.

(d) male infant child.

Answer:

(c)

Explanation: Women, elderly people and female infants are denied equal access to available resources in the family.

Q 9. Land reforms aim at

(a) redistribution of assets in rural areas.
(b) allotment of all land of father to son.
(c) making every piece of land green.
(d) allotting more labour on a small piece of land.

Ans: (a)

Explanation: Land is an important determinant of material well-being. Therefore, the government has attempted to redistribute land to those who do not have any land.

Q 10. Historical reason for poverty in India is

(a) low level of economic development under the British rule.
(b) Indian rulers were very cruel.
(c) historically India was poor.
(d) high level of unemployment.

Answer:

(a)

Explanation: The policies of the colonial government ruined traditional handicrafts and discourage development of industries like textiles.

Q 11. NSSO stands for

(a) National Sample Survey Organization.

(b) National Surety Sect Organization.
(c) National Security System Organization.
(d) National Sympathy Society Organization.

Answer:

(a)

Q 12. “PRADHAN MANTRI GRAMODAYA YOZANA” was launched

(a) for the promotion of education.
(b) for the promotion of health facilities.
(c)toprovide financial assistance to educated unemployed.

(d) to provide assistance to elite businessmen.

Answer:

(c)

Explanation: “PRADHAN MANTRI GRAMODAYA YOZANA” was launched toprovide financial assistance to educated unemployed. Through this scheme the educated unemployed from low-income families in rural and urban areas can get financial help to set up any kind of enterprises that can generate employment.

Q 13. The gap between large and small farmers is exacerbated by

(a) Green Revolution.

(b) White Revolution.

(c) Operation Flood.

(d) Blue Revolution.

Answer:

(a)

Explanation: The Green Revolution has actually widened the gap between the small and large farmers.

Q 14. The major focus of planning in the 50’s and early 60’s was to eradicate poverty by

(a) increasing Gross Domestic Product.

(b) expanding self-employment programmes.

(c) increasing public expenditure on social consumption.

(d) developing the infrastructure.

Answer:

(a)

Explanation: The government’s approach to poverty reduction was of three dimensions. The government had planned to increase in GDP and per capita income as a major strategy to eradicate poverty in the 1950’s and early 60’s.

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