Which of the following measures the percentage of a country's population living below the poverty line?

Correct option is D

The correct answer is (D) Poverty Headcount Ratio

Explanation:

• The Poverty Headcount Ratio measures the percentage of a country's population living below the poverty line. It is a commonly used indicator to assess the level of poverty in a country or region.
• This ratio is calculated by dividing the number of people living below the poverty line by the total population, then multiplying by 100 to get the percentage.

Information Booster:

• The poverty line is typically defined based on income thresholds, which may vary by country or organization, such as the World Bank's international poverty line of $1.90 per day.
• The Poverty Headcount Ratio helps in tracking progress in poverty alleviation and is often used by governments and international organizations.

Additional Knowledge:

• Option A: Unemployment Rate
• The unemployment rate measures the percentage of people in the labor force who are actively seeking but unable to find employment, not the poverty level.
• Option B: Human Development Index (HDI)
• The HDI is a composite index that measures human development based on health, education, and standard of living, but it does not directly measure poverty.
• Option C: Gini Coefficient
• The Gini Coefficient measures income inequality within a country, not the percentage of the population below the poverty line.