Q

Q 1. What is meant by poverty ? Distinguish between absolute and relative poverty.

Poverty refers to a situation where one is unable to fulfill the basic requirements such food, clothing, housing, etc. for the sustenance of life. 

 

Absolute Poverty- Absolute poverty is the one which is expressed in terms of income needed to sustain the basic necessities of life such as food, clothing and shelter. Those who are not able to earn a minimum amount of income required for survival are known as absolute poor. 

whereas

Relative Poverty-  Relative poverty refers to the poverty of one set of people in relation to the other. In other words, it implies the poverty of one class in relation to other classes, regions or countries. The class of people having low standard of living are treated as poor in (in relative terms) comparison to the other class of people having high standard of living.

Regards