UPSC Previous Year Question | Prelims GS | 2019

In a given year in India, official poverty lines are higher in some States than in others because

  1. poverty rates vary from State to State
  2. price levels vary from State to State
  3. Gross State Product varies from State to State
  4. quality of public distribution varies from State to State

Answer

Correct Answer

price levels vary from State to State

Explanation

The poverty line is expressed as monthly per capita expenditure required to buy a basket of goods and services, which is priced according to prevailing price levels. Since prices differ across States (and rural/urban areas), the official poverty line differs by State.

Topics: indian economy, poverty and inequality, poverty measurement, state-wise poverty lines