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    • Question

      Current Weekly Status (CWS) unemployment in India counts

      a person as employed if they work even 1 hour in a week. How does this affect poverty measurement? 
      A It overestimates poverty Correct Answer Incorrect Answer
      B It underestimates the severity of poverty by ignoring underemployment Correct Answer Incorrect Answer
      C It accurately captures all unemployment Correct Answer Incorrect Answer
      D It only applies to urban areas Correct Answer Incorrect Answer
      E It removes all unemployment Correct Answer Incorrect Answer

      Solution

      A person working 1 hour/week is “employed” by CWS but likely earns very little, remaining poor. Underemployment is hidden, so poverty appears less severe.

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