Economics

National Income and Poverty Measurement

1,163 Questions

National income and poverty measurement involves calculating economic indicators like GDP, the Gini coefficient, and the Human Development Index. These metrics help gauge economic health, inequality, and poverty levels within a country. Practice these economics questions to understand the statistical methods used in macroeconomic analysis.

GDP calculationEconomic inequality indicesPoverty line conceptsNational income methods

National Income and Poverty Measurement Questions

Multiple choice economics parameters (indicators) of development human development and human development index (hdi) hdi dynamic of human development

The formula to calculate human development index is:

  1. Human Development = $\dfrac{Actual\ value - Minimum\ value}{Maximum\ value - Minimum\ value}$
  2. Human Development = $\dfrac{Actual\ value + Minimum\ value}{Maximum\ value - Minimum\ value}$
  3. Human Development = $\dfrac{Maximum\ value - Minimum\ value}{Maximum\ value + Minimum\ value}$
  4. Human Development = $\dfrac{Actual\ value - Minimum\ value}{Actual\ value + Minimum\ value}$
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

The HDI is calculated using a normalization formula: (Actual Value - Minimum Value) / (Maximum Value - Minimum Value). This scales each indicator between 0 and 1.

Multiple choice economics parameters (indicators) of development human development and human development index (hdi) hdi dynamic of human development

HDI takes into account ___________ variables of human development.

  1. three

  2. five

  3. two

  4. one
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Human Development Index is a measure of human development over the years which includes three aspects which are per capita income for evaluating the utility which people get from different products, life expectancy which measures the progress made in health and nutrition and educational levels. 

Multiple choice economics parameters (indicators) of development human development and human development index (hdi) hdi dynamic of human development

____________, which is used as a variable to measure knowledge aspect of HDI, is the number of years of schooling that a child of school entrance age can expect to receive.

  1. Mean years of education

  2. Expected years of schooling

  3. Expected level of education

  4. Expected years of education
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Expected years of schooling is defined as the number of years of schooling that a child of school entrance age can expect to receive if prevailing patterns of age-specific enrollment rates stay the same.

Multiple choice economics parameters (indicators) of development human development and human development index (hdi) hdi dynamic of human development

The knowledge aspect of HDI takes in to account ______________.

  1. Mean years of schooling

  2. Expected years of schooling

  3. Both A & B

  4. Neither A nor B
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

The knowledge dimension of the HDI is measured by two indicators: Mean years of schooling (for adults) and Expected years of schooling (for children).

Multiple choice economics parameters (indicators) of development human development and human development index (hdi) hdi dynamic of human development

Mean years of schooling, which is used as a variable to measure knowledge aspect of HDI, is the average number of years of education received by adults aged ________ and above.

  1. 18

  2. 21

  3. 25

  4. 16
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Mean years of schooling is calculated as the average number of years of education received by people aged 25 and older, based on educational attainment levels.

Multiple choice economics parameters (indicators) of development human development and human development index (hdi) hdi dynamic of human development

High human development group includes the countries with a HDI value of _______.

  1. 0.8 and above

  2. 0.5 and above

  3. less than 0.5

  4. same as above
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

According to the Human Development Report classification, countries with an HDI value of 0.8 and above are categorized as having very high human development.

Multiple choice economics parameters (indicators) of development human development and human development index (hdi) hdi dynamic of human development

Which of these is/are not component of HDI index?

  1. Knowledge

  2. Longevity

  3. Income

  4. Health
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation
Health is not a component of HDI Index..
HDI stands for Human Development Index. It can be defined as a statistic composite index of human development indicators, like, life expectancy, education, per capita income, etc. HDI helps to rank countries.
Multiple choice economics parameters (indicators) of development human development and human development index (hdi) hdi dynamic of human development

For measuring human well-being which of this index is used?

  1. Retail price index.

  2. Gini index.

  3. HDI.

  4. CPI.
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

For measuring human well-being, HDI( Human Development index ) is used.HDI stands for Human Development Index. It can be defined as a statistic composite index of human development indicators, like, life expectancy, education, per capita income, etc. HDI helps to rank countries.

Multiple choice economics parameters (indicators) of development human development and human development index (hdi) hdi dynamic of human development

 ________ is not a dimension of Human Development Index.

  1. Per Capita income

  2. Education

  3. Life expectancy

  4. Moral value
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Moral value is not a dimension of Human Development Index. HDI stands for Human Development Index. It can be defined as a statistic composite index of human development indicators, like, life expectancy, education, per capita income, etc. HDI helps to rank countries.

Multiple choice economics parameters (indicators) of development human development and human development index (hdi) hdi dynamic of human development

The Human Development Index (HDI) as a measure of development has evolved recently. It includes the indicators _________.

  1. per capita income for evaluating satisfaction derived from the essential products and services and to focus on employment levels.

  2. life expectancy, a social indicator, to measure progress made in health and nutrition and infant mortality

  3. educational levels attained

  4. all of the above.
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Human Development Index is a measure of human development over the years which includes per capita income for evaluating the utility which people get from different products, life expectancy which measures the progress made in health and nutrition and educational levels. 

Multiple choice economics dynamic of human development development indices various development indexes social development

A statistical tool used to measure a country's overall achievement in its social and economic dimensions. 

  1. GDP

  2. Per capita income

  3. Human development index

  4. None
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

  • A statistical tool used to measure a country's overall achievement in its social and economic dimensions is Human Development Index.
  • The Human Development Index (HDI) gives a statistical idea of life expectancy, education, and per capita income indicators, which are used to rank countries.

Multiple choice economics dynamic of human development development indices various development indexes social development

Which of the following are considered while calculating Human Development Index?

  1. Life expectancy for health

  2. Expected years of schooling for Education

  3. Per capita income for standard of living

  4. All of the above
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

The Human Development Index (HDI) is a composite statistic of life expectancy, education (mean years of schooling and expected years of schooling), and per capita income indicators.

Multiple choice economics dynamic of human development development indices various development indexes social development

In order to measure the quality of human life, the United Nations Development Programme has formed a criterion known as ________.

  1. Human Development Index

  2. National Income Distribution Index

  3. Per capita income

  4. Resource index
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

The Human Development Index (HDI) is a composite statistic of life expectancy, education, and per capita income indicators, which are used to rank countries into four tiers of human development.

Multiple choice economics dynamic of human development development indices various development indexes social development

The average life expectancy, educational achievement and standard of living is called _________.

  1. Happiness Index

  2. Human Development Index

  3. Pricing Index

  4. None of the above
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

The Human Development Index (HDI) is a composite statistic of life expectancy, education, and per capita income indicators, which are used to rank countries into four tiers of human development.

Multiple choice economics dynamic of human development development indices various development indexes social development

Balanced growth means __________.

  1. The growth of the different segments of economy in a harmonious manner

  2. Equal percentage growth in out put

  3. A balanced rise in the resources allocated

  4. Natural growth rate of different segments of economy
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

The different segments of economy comprise of primary, secondary and tertiary or service sectors. Economic growth should be balanced. It should be balanced in terms of sustainability, less inflation and harmony in the development of different segments. 

Thus, balanced growth refers to the growth of different segments of the economy in a harmonious manner.

Thus, the correct answer is A.