Q. Which of the following helps to measure the Poverty Determination?
a) Poverty Gap Index
b) Head Count Ratio
c) Sen Index
d) All of these
Question from Odisha OCS Paper 1 2024
The correct answer is: d) All of these.
Explanation:
Poverty determination involves assessing the extent and severity of poverty in a population. The following measures are commonly used for this purpose:
1. Poverty Gap Index: This measures the intensity of poverty by calculating the average shortfall of income or consumption from the poverty line. It provides insight into how far below the poverty line the poor are, on average.
2. Head Count Ratio: This is a simple measure that calculates the proportion of the population living below the poverty line. It gives an idea of the prevalence of poverty but does not account for the depth or severity of poverty.
3. Sen Index: This is a more comprehensive measure that combines the Head Count Ratio, Poverty Gap Index, and inequality among the poor. It provides a broader understanding of poverty by considering both its extent and distribution.
Since all these indices contribute to measuring and understanding poverty, the correct answer is “All of these”.