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The Multidimensional Poverty Index

Description: The Multidimensional Poverty Index (MPI) is an international measure of poverty that considers multiple dimensions of poverty, including health, education, and living standards. This quiz will test your understanding of the MPI and its implications for poverty reduction.
Number of Questions: 10
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Tags: economics economic welfare the multidimensional poverty index poverty measurement
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What is the Multidimensional Poverty Index (MPI)?

  1. A measure of poverty that considers only income

  2. A measure of poverty that considers multiple dimensions of poverty

  3. A measure of poverty that considers only health and education

  4. A measure of poverty that considers only living standards


Correct Option:
Explanation:

The MPI is a measure of poverty that considers multiple dimensions of poverty, including health, education, and living standards. It is designed to capture the different ways that people can experience poverty and to provide a more comprehensive picture of poverty than traditional income-based measures.

What are the three dimensions of poverty considered by the MPI?

  1. Health, education, and living standards

  2. Income, consumption, and assets

  3. Health, education, and employment

  4. Income, health, and education


Correct Option:
Explanation:

The MPI considers three dimensions of poverty: health, education, and living standards. Health is measured by indicators such as child mortality, nutrition, and access to healthcare. Education is measured by indicators such as school enrollment and literacy rates. Living standards are measured by indicators such as access to clean water, sanitation, and electricity.

How is the MPI calculated?

  1. By taking the average of the three dimensions of poverty

  2. By taking the product of the three dimensions of poverty

  3. By taking the sum of the three dimensions of poverty

  4. By taking the minimum of the three dimensions of poverty


Correct Option:
Explanation:

The MPI is calculated by taking the average of the three dimensions of poverty. This means that a person is considered to be multidimensionally poor if they are deprived in at least one-third of the weighted indicators.

What is the global MPI?

  1. A measure of poverty that considers multiple dimensions of poverty for all countries in the world

  2. A measure of poverty that considers only income for all countries in the world

  3. A measure of poverty that considers only health and education for all countries in the world

  4. A measure of poverty that considers only living standards for all countries in the world


Correct Option:
Explanation:

The global MPI is a measure of poverty that considers multiple dimensions of poverty for all countries in the world. It is produced by the United Nations Development Programme (UNDP) and is used to track progress towards the Sustainable Development Goals (SDGs).

What is the relationship between the MPI and income poverty?

  1. The MPI is always higher than income poverty

  2. The MPI is always lower than income poverty

  3. The MPI is sometimes higher and sometimes lower than income poverty

  4. The MPI is unrelated to income poverty


Correct Option:
Explanation:

The relationship between the MPI and income poverty is complex and varies from country to country. In some countries, the MPI is higher than income poverty, while in other countries, the MPI is lower than income poverty. This is because the MPI considers multiple dimensions of poverty, while income poverty considers only income.

What are some of the criticisms of the MPI?

  1. It is too complex and difficult to understand

  2. It is not comparable across countries

  3. It is not sensitive to changes in poverty

  4. It is biased towards certain groups of people


Correct Option:
Explanation:

The MPI has been criticized for being too complex and difficult to understand, for not being comparable across countries, for not being sensitive to changes in poverty, and for being biased towards certain groups of people.

What are some of the strengths of the MPI?

  1. It is a comprehensive measure of poverty

  2. It is comparable across countries

  3. It is sensitive to changes in poverty

  4. It is not biased towards certain groups of people


Correct Option:
Explanation:

The MPI is a comprehensive measure of poverty that considers multiple dimensions of poverty. It is also comparable across countries and is sensitive to changes in poverty. However, it is not without its limitations, such as its complexity and the fact that it can be biased towards certain groups of people.

How can the MPI be used to inform policy?

  1. By identifying the most vulnerable groups of people

  2. By targeting interventions to the most deprived areas

  3. By monitoring progress towards poverty reduction goals

  4. All of the above


Correct Option:
Explanation:

The MPI can be used to inform policy in a number of ways. It can be used to identify the most vulnerable groups of people, to target interventions to the most deprived areas, and to monitor progress towards poverty reduction goals.

What are some of the challenges in using the MPI?

  1. It is difficult to collect data on multiple dimensions of poverty

  2. It is difficult to compare the MPI across countries

  3. It is difficult to use the MPI to inform policy

  4. All of the above


Correct Option:
Explanation:

One of the challenges in using the MPI is that it is difficult to collect data on multiple dimensions of poverty. This is because data on some dimensions of poverty, such as health and education, are often not available or are of poor quality. Additionally, it can be difficult to compare the MPI across countries, as the indicators used to measure poverty may vary from country to country.

What are some of the future directions for the MPI?

  1. Developing new indicators to measure poverty

  2. Improving the comparability of the MPI across countries

  3. Making the MPI more sensitive to changes in poverty

  4. All of the above


Correct Option:
Explanation:

There are a number of future directions for the MPI. These include developing new indicators to measure poverty, improving the comparability of the MPI across countries, and making the MPI more sensitive to changes in poverty.

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