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Q.

Which of the following is an example of relative poverty?

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a

A person who has access to basic necessities but cannot afford luxury items

b

A person who lives in a small apartment in a high-cost urban area

c

A person who lives in a country where the average income is much lower than the global average

d

A person who cannot afford to buy food or shelter

answer is B.

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Detailed Solution

A person who lives in a small apartment in a high-cost urban area. Relative poverty is a measure of poverty that is relative to the overall standard of living in a society. It is based on the idea that people who fall below a certain income threshold are not able to participate fully in the economic and social life of their society. This can include people who are not able to afford the same level of housing, healthcare, education, or other essential services as others in their society. In this case, the person living in a small apartment in a high-cost urban area may be considered relatively poor, even if they have access to basic necessities, because they are not able to afford the same standard of living as others in their community.

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