Indian Economy chapter practice

Poverty & Unemployment MCQs

Practise 81+ Poverty & Unemployment MCQs for UPSC Prelims in Indian Economy, including 27+ previous year questions. The sample set below is shown with correct answers and explanations.

81
questions
27
PYQs
12
visible samples

Sample Poverty & Unemployment questions

12 sample questions are shown here; sign up free to practise all 81.

Q1Indian EconomyPoverty & UnemploymentPYQ 2026

Consider the following statements about Multidimensional Poverty Index (MPI): 1. MPI is calculated using Alkire-Foster methodology. 2. MPI calculated by NITI Aayog has a total of twelve indicators. 3. Maternal Health and Bank Account are common indicators in the MPI of NITI Aayog and MPI of United Nations Development Programme (UNDP). Which of the statements given above is/are correct?

  • A1 and 2 onlyCorrect
  • B1, 2 and 3
  • C1 and 3 only
  • D2 only

Explanation

UPSC provisional key: (A), Series A question 100. Both MPIs use the Alkire–Foster approach, and India’s national MPI has 12 indicators across health, education and living standards. Maternal Health and Bank Account are India-specific additions to the global framework’s ten indicators, so statement 3 is false.

Sources: UPSC provisional answer key · NITI Aayog: National Multidimensional Poverty Index, Progress Review 2023 · NITI Aayog: National MPI Baseline Report, methodology

Why the other options are incorrect
Option B

Statements 1 and 2 are correct, but statement 3 confuses India’s additions with globally shared indicators. The national MPI adds Maternal Health and Bank Account to reflect national priorities.

Option C

The methodology statement is correct, but the claimed common indicators are not. This option also omits the correct count of 12 indicators in NITI Aayog’s national MPI.

Option D

The twelve-indicator count is correct but incomplete as an answer. The national MPI also follows the Alkire–Foster method, which combines the share of people who are multidimensionally poor with their average intensity of deprivation.

Q2Indian EconomyPoverty & UnemploymentPYQ 2024

The Pradhan Mantri Surakshit Matritva Abhiyan is aimed primarily at:

  • AProviding crop insurance to pregnant women in rural areas
  • BEnsuring quality antenatal care for pregnant women on fixed daysCorrect
  • CProviding only institutional delivery incentives
  • DSubsidizing nutrition for anganwadi workers

Explanation

Correct. PMSMA focuses on assured, quality antenatal care for pregnant women, often through designated monthly outreach.

Why the other options are incorrect
Option A

It has nothing to do with crop insurance.

Option C

Institutional delivery incentives are associated more closely with Janani Suraksha Yojana.

Option D

Anganwadi worker subsidies are not the main focus of this programme.

Q3Indian EconomyPoverty & UnemploymentPYQ 2024

The Total Fertility Rate (TFR) of an economy refers to:

  • AThe number of births per thousand population in a year
  • BThe birth rate minus death rate
  • CThe number of children a couple actually has
  • DThe average number of children a woman is expected to bear over her reproductive spanCorrect

Explanation

Correct. TFR estimates the average number of live births a woman would have over her reproductive years under prevailing age-specific fertility rates.

Why the other options are incorrect
Option A

This describes crude birth rate, not TFR.

Option B

That is a measure related to natural increase, not fertility rate.

Option C

TFR is a demographic average per woman, not a count per couple actually observed.

Q4Indian EconomyPoverty & UnemploymentPYQ 2024

With reference to the Pradhan Mantri Shram Yogi Maandhan (PM-SYM) Yojana, consider the following statements: 1. It is meant for unorganized sector workers. 2. Entry is available only within a specified age band. 3. It promises a minimum assured pension after attaining the specified age. Which of the statements given above are correct?

  • A1 and 2 only
  • B2 and 3 only
  • C1 and 3 only
  • D1, 2 and 3Correct

Explanation

Correct. PM-SYM is a contributory pension scheme for unorganized workers, with entry subject to an age band and a minimum pension promise on attaining the eligible age.

Why the other options are incorrect
Option A

Statement 3 is also correct because the scheme provides a minimum assured pension on satisfying the conditions.

Option B

Statement 1 is also correct because PM-SYM targets unorganized workers.

Option C

Statement 2 is also correct because the scheme has an entry-age window.

Q5Indian EconomyPoverty & UnemploymentPYQ 2023

In India, the criticism that the public health system has been too curative-oriented implies that it has relatively under-emphasized:

  • AHospitals and medical colleges
  • BPreventive and primary health careCorrect
  • CClinical specialization
  • DPrivate insurance reimbursement

Explanation

Correct. The criticism is that prevention, public health and primary care have often not received proportionate attention compared with treatment-focused care.

Why the other options are incorrect
Option A

Hospitals and medical colleges are part of the curative system and are not what has been under-emphasized in this criticism.

Option C

Clinical specialization belongs to the curative side rather than the neglected preventive side.

Option D

Insurance reimbursement is not the core of this public health criticism.

Q6Indian EconomyPoverty & UnemploymentPYQ 2023

The Anaemia Mukt Bharat strategy addresses anaemia through a mix of interventions such as:

  • AIron-folic acid supplementation, deworming and behaviour change communicationCorrect
  • BOnly cash transfers to State Governments
  • CTrade tariff reduction on pulses alone
  • DReplacing immunization with food coupons

Explanation

Correct. Anaemia Mukt Bharat uses a package approach including supplementation, testing, deworming and behavioural interventions.

Why the other options are incorrect
Option B

The programme is not limited to budgetary transfers alone.

Option C

Diet diversification matters, but the strategy is far broader than tariff changes on one commodity.

Option D

Immunization is not replaced by food coupons under this strategy.

Q7Indian EconomyPoverty & UnemploymentPYQ 2023

Janani Suraksha Yojana was launched mainly to:

  • AProvide pension to elderly women in rural areas
  • BPromote institutional delivery and reduce maternal and neonatal mortalityCorrect
  • COffer free college education to girls
  • DInsure only private hospitals against medical negligence

Explanation

Correct. JSY is a safe motherhood intervention intended to encourage institutional deliveries, especially among poorer households.

Why the other options are incorrect
Option A

The scheme is not an old-age pension programme.

Option C

It is not an education scholarship scheme.

Option D

It does not operate as malpractice insurance for hospitals.

Q8Indian EconomyPoverty & UnemploymentPYQ 2022

With reference to the Self-Help Group (SHG) programme in India, consider the following statements: 1. It was originally initiated by the State Bank of India. 2. In an SHG, all members of the group take joint responsibility for a loan that any individual member takes. 3. Regional Rural Banks and Scheduled Commercial Banks support SHGs. How many of the above statements are correct?

  • AOnly one
  • BOnly twoCorrect
  • CAll three
  • DNone

Explanation

Correct. Statement 1 is incorrect because the SHG-Bank Linkage Programme was pioneered by NABARD, not SBI. Statements 2 (joint liability) and 3 (RRBs and scheduled commercial banks support SHGs) are correct.

Why the other options are incorrect
Option A

Statements 2 and 3 are both correct, so more than one statement is correct.

Option C

Statement 1 is incorrect because the programme was initiated by NABARD, not SBI.

Option D

Statements 2 and 3 are correct.

Q9Indian EconomyPoverty & UnemploymentPYQ 2022

In India, which institution compiles information on industrial disputes, closures, retrenchments and lay-offs?

  • ACentral Statistics Office
  • BDepartment for Promotion of Industry and Internal Trade
  • CLabour BureauCorrect
  • DNational Technical Manpower Information System

Explanation

Correct. The Labour Bureau under the Ministry of Labour and Employment compiles data on industrial disputes, closures, retrenchments and lay-offs.

Why the other options are incorrect
Option A

CSO deals with national statistical compilations but not specifically industrial disputes and lay-off data.

Option B

DPIIT handles industrial policy, not labour dispute data compilation.

Option D

NTMIS deals with technical manpower information, not industrial dispute statistics.

Q10Indian EconomyPoverty & UnemploymentPYQ 2022

Which of the following best describes the Ayushman Bharat Digital Mission?

  • AA mission to create a digital health ecosystem with health IDs and interoperable recordsCorrect
  • BA scheme to universalize crop insurance
  • CA replacement for all State medical councils
  • DA programme restricted only to private hospitals in metros

Explanation

Correct. ABDM aims to build a digital health architecture with unique health IDs, registries and interoperable health records.

Why the other options are incorrect
Option B

It has nothing to do with crop insurance.

Option C

It does not abolish State medical councils.

Option D

The mission is broader and not confined to private metro hospitals.

Q11Indian EconomyPoverty & UnemploymentPYQ 2021

With reference to casual workers in India, which one of the following statements is correct?

  • AThey automatically get the same social security benefits as permanent workers in every case
  • BThey are often vulnerable because employment is uncertain and social security coverage is limitedCorrect
  • CThey cannot be employed in agriculture
  • DTheir wages are always fixed by Parliament directly

Explanation

Correct. Casual work is typically characterized by uncertainty of employment, irregular wages and weaker access to formal social security.

Why the other options are incorrect
Option A

Casual workers do not automatically receive universal parity in social security benefits.

Option C

Casual labour is common in agriculture and many other sectors.

Option D

Wages are determined through multiple mechanisms, not directly by Parliament in every case.

Q12Indian EconomyPoverty & UnemploymentPYQ 2019

With reference to the Maternity Benefit (Amendment) Act, 2017, consider the following statements: 1. It provides for three months of leave each before and after delivery. 2. Establishments with fifty or more employees must have a creche facility. 3. Women with two or more children get reduced maternity leave entitlements. Which of the statements given above is/are correct?

  • A1 and 2 only
  • B2 only
  • C3 onlyCorrect
  • D1, 2 and 3

Explanation

Correct. Under the 2017 Amendment, women with two or more children receive only 12 weeks of maternity benefit instead of 26 weeks. Statement 1 is wrong because total leave is 26 weeks (not split as three months pre and post).

Why the other options are incorrect
Option A

Statement 1 is incorrect; the Act provides 26 weeks for the first two children, not three months each. The creche threshold is 50 employees, but the number of permitted visits is four, not unlimited.

Option B

Statement 2 is broadly correct about creche requirements, but statement 3 is also correct regarding reduced entitlements.

Option D

Statement 1 is incorrect regarding the leave structure.

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How many Poverty & Unemployment MCQs are available for UPSC Prelims practice?
PrelimsAI currently has 81+ Poverty & Unemployment MCQs under Indian Economy. This page shows 12 sample questions in full.
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27+ questions in this chapter are tagged as UPSC Prelims PYQs. PYQs are prioritised in the visible sample set when available.
Do these Poverty & Unemployment questions include explanations?
Yes. The 12 visible sample questions show the correct option and explanation on this page.
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