In a given year in India, official poverty lines are higher in some States than in others because
- (a) poverty rates vary from State to State
- (b) price levels vary from State to State ✓ UPSC's answer
- (c) Gross State Product varies from State to State
- (d) quality of public distribution varies from State to State
Why the answer is (b)
• India's poverty line is defined as the monthly expenditure needed to buy a fixed basket of goods; since prices differ across States, the same basket costs more in some States than others.
• The Tendulkar and Rangarajan committees therefore fixed State-specific rural and urban poverty lines by adjusting for State price levels — option (b).
• Poverty rates (a) are the outcome, not the basis; Gross State Product (c) and PDS quality (d) do not enter the calculation.
• Hence option (b).
Why the other options are wrong
- (a) poverty rates vary from State to State
- Poverty rates result from the line; they do not determine it.
- (c) Gross State Product varies from State to State
- GSDP is not used to set poverty lines.
- (d) quality of public distribution varies from State to State
- PDS quality does not enter poverty-line calculation.
Asked in the GS Paper I of the UPSC Civil Services Preliminary Examination 2019, held on 2 June 2019. Question and answer key: Union Public Service Commission. Explanation: UPSC Answer Check.