Economics - 0455 CIE

Poverty

Bayani Gaba-gaba

Poverty is one of the deepest problems economics tries to solve. But before you can tackle it you have to be clear about what it means, because being poor in one of the world's richest countries is a very different thing from the extreme poverty that threatens survival in the poorest. Economists draw a sharp line between the two.

In this lesson you will learn the difference between absolute and relative poverty and explore the main causes of poverty: unemployment, low wages, illness, age and environmental factors. Understanding these causes is the first step to designing policies that can break the cycle of poverty.

Manufura

difference between absolute poverty and relative poverty
unemployment
low wages
illness
age
environmental factors

Takardar Darasi

Reducing poverty is a central aim of economic development. But poverty has many causes, and they reinforce one another: poor health makes it hard to work, lack of work means low income, and low income worsens health. Pinning down what poverty is and what drives it lets you judge which policies might actually break that cycle, which is exactly what examiners want you to be able to do.

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Nazarin Darasi

Barka da kammala darasi akan Poverty. Yanzu da kuka bincika mahimman raayoyi da raayoyi, lokaci yayi da zaku gwada ilimin ku. Wannan sashe yana ba da ayyuka iri-iri Tambayoyin da aka tsara don ƙarfafa fahimtar ku da kuma taimaka muku auna fahimtar ku game da kayan.

Za ka gamu da haɗe-haɗen nau'ikan tambayoyi, ciki har da tambayoyin zaɓi da yawa, tambayoyin gajeren amsa, da tambayoyin rubutu. Kowace tambaya an ƙirƙira ta da kyau don auna fannoni daban-daban na iliminka da ƙwarewar tunani mai zurfi.

Yi wannan ɓangaren na kimantawa a matsayin wata dama don ƙarfafa fahimtarka kan batun kuma don gano duk wani yanki da kake buƙatar ƙarin karatu. Kada ka yanke ƙauna da duk wani ƙalubale da ka fuskanta; maimakon haka, ka kallesu a matsayin damar haɓaka da ingantawa.

Absolute poverty refers to a situation where people: A. earn less than the national average B. cannot afford the basic necessities for survival C. own no luxury goods D. pay no taxes Answer: B
Relative poverty is measured by comparing a person's income to: A. a fixed global poverty line B. the average income in their society C. the price of food D. the minimum wage abroad Answer: B
Which of the following is a cause of poverty? A. high wages B. full employment C. illness and poor healthcare D. rapid economic growth Answer: C
A person can be in relative poverty but not absolute poverty when they: A. cannot afford food B. earn below the average but can meet basic needs C. live in a low-income country D. have no income at all Answer: B
A drought that destroys crops causes poverty mainly because it: A. raises wages B. reduces farmers' income and food supplies C. increases employment D. lowers prices Answer: B