Which of the following statements is most accurate A The US

Which of the following statements is most accurate?

A. The U.S. poverty line is based on an absolute concept of poverty, whereas the European Union (EU) poverty line is based on a relative concept.

B.Both U.S. and European Union (EU) poverty lines are based on absolute concepts of poverty.

C.The U.S. poverty line is based on a relative concept of poverty, whereas the European Union (EU) poverty line is based on an absolute concept.

Solution

Answer :- Option A). The U.S. poverty line is based on an absolute concept of poverty, whereas the European Union (EU) poverty line is based on a relative concept.

Explanation :- The problem of poverty can be overcome only when poor people are identified. For this, extent of poverty needs to be worked out. There are two measures to determine the extent of poverty :-

(i). Relative poverty.

(ii). Absolute poverty.

Poverty line in United States of America (USA) is based on an absolute concept of poverty whereas poverty line in European Union (EU) is based on the relative concept of poverty.

Conclusion :- Option A).