Economy, asked by vimlajain011, 6 months ago

Explain the limitations of poverty line.

Answers

Answered by mohamedapsal
0

Answer:

Historically, poverty and well-being

in the US have been assessed using

income-based measures (i.e., by

applying the official poverty thresholds

to income data reported in surveys).

In theory, income-based measures

capture a household's ability to

purchase the goods and services that

it needs. That is, income is a measure

of a household's resources that can

be used to meet its needs, allowing

for differences in individual tastes and

preferences (income does not prejudge

what expenditures households should

make). Domestic income-based poverty

measures also benefit from the fact that

they draw upon nationally-representative

surveys and administrative data systems

that regularly collect income data. This

allows for longitudinal comparisons of

income trends over time.

Explanation:

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Answered by Anonymous
4

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