Class IX, NCERT (CBSE) Economics
Textbook Exercise Questions-Answers
Q.1: Describe how the poverty line is estimated in India.
Ans: In India poverty line is measured or calculated considering the following factors required for subsistence: 1. Minimum level of food requirement,
4. Fuel and Light
5. Education and
6. Medical requirement etc.
These physical quantities are multiplied by their prices. The present formula for food requirement is based on the desired calorie requirement. On the basis of these calculations in 1999 - 2000, the poverty line in the rural areas was fixed Rs.328 per capita per month and in urban areas, it was Rs.454. People earning more than this amount were considered above the poverty line and earning less than this amount were considered as living below the poverty line. Q.2: Do you think that present methodology of poverty estimation is appropriate? Ans: The present methodology of poverty estimation does not look appropriate. It only takes one factor in view and that is the economic factor. Moreover it considers about a “minimum” subsistence level of living rather than a “reasonable” level of living. Poverty has many dimensions. It is no longer confined to economic factors alone. With development, the definitions of what constitutes poverty also changes. Its concept has broadened to human poverty. A few persons may have been able to feed themselves but if they are without education, without shelter, without health-care, without job security, without self-confidence, without social equality, they are considered poor. If poverty is to be removed in real sense and the people are to be brought above the poverty line, not only that we need to increase their income but also, we have to provide the people with education, shelter, health-care, job-security, respect, dignity all. Therefore, the present methodology of poverty estimation needs to be modified and broadened in order to make it an appropriate method. Q.3: Describe poverty trends in India since 1973.
Ans: As per the data given in the book there is a substantial decline in poverty ratio in India from 55 percent in 1973 to 36 percent in 1993. There was further decline from 36 percent in 1993 to 26 percent in 2000. Although the number of poor people remained stable (about 320 million) in the earlier two decades (1973 to 1993), there was significant reduction in the number of the poor to about 260 million till 2000. If the present trend continues, the people below poverty line may come down to less than 20 percent in the next few years. Q.4: Discuss the major reasons for poverty in India.
Ans: There are various reasons for poverty in India which are outlined below - (1) Prolonged Colonial Administration
The policies of British Colonial government shattered the Indian economy so much that it could not be revived until the 1980s. (2) Unabated Population Growth
The failures to promote both the required economic growth and population control have been the main cause of poverty today. (3) Illiteracy
Illiteracy is also an important cause of poverty in our country. (4) Disparity in the Ownership of Land-holdings
The unequal distribution of land, lack of land resources and failure in the proper implementation of land reform policies have been the major causes of poverty in rural areas. (5) Unemployment
Lack of job security and unemployment are other causes.
(6) Widening Inequalities of Income
This is a feature of high poverty. Money has been concentrating in fewer hands, thus rendering a majority of people poor. (7) Slow Growth of Employment Opportunities
Despite the implementation of various employment generating programmes our government has failed to provide the necessary employment opportunities. (8) Socio-cultural Factors
In order to fulfill social obligations such as marriage etc....