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International Relations·Easy

A country is said to have reduced the Poverty Gap Ratio from 2010-11 to 2019-2020. What does it imply?

A country is said to have reduced the Poverty Gap Ratio from 2010-11 to 2019-2020. What does it imply?

Options

  1. a.

    It has less number of people below poverty line in 2019-20 as compared to 2010-11.

  2. b.

    It requires fewer resources in 2019-2020 as compared to that in 2010-11 to eliminate poverty.

    Correct answer
  3. c.

    It requires more resources in 2019-2020 as compared to that in 2010-11 to eliminate poverty.

  4. d.

    More people will fall below poverty line in the near future.

Explanation

• The poverty gap is the ratio which reflects the shortfall in mean income of the BPL households as compared to the income level at which the poverty line is defined.

• Thus, it shows how much resource a country needs to expend in order to alleviate poverty.

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