Question : Assertion (A): Self-Help Groups (SHG) primarily target the rural underprivileged. Reason (R): The official banking system is inaccessible to the rural poor on a long-term basis.
Option 1: Both Assertion (A) and Reason (R) are true and Reason (R) is the correct explanation of Assertion (A).
Option 2: Both Assertion (A) and Reason (R) are true and Reason (R) is not the correct explanation of Assertion (A).
Option 3: Assertion (A) is true but Reason (R) is False
Option 4: Assertion (A) is False but Reason (R) is true.
Correct Answer: Both Assertion (A) and Reason (R) are true and Reason (R) is the correct explanation of Assertion (A).
Solution : The primary idea behind SHGs is to give the poor access to financial resources by grouping the rural poor, particularly women, into modest Self Help Groups. They also offer timely loans without collateral at a reasonable interest rate. As official banking system is inaccessible to the rural poor on a long-term basis. Hence option a is the correct answer.
Question : Assertion (A): Nutrient-based criteria are insufficient to identify the poor. Reason (R): It does not distinguish between the extremely poor and the other poor; instead, it lumps all the poor together.
Question : Assertion (A): "Churning poor" and "occasionally poor" are included in the transient poor group. Reason (R): Both "always poor" and "usually poor" fall under the concept of chronic poverty.
Question : Assertion (A): The minimum calorie intake is higher in rural areas. Reason (R): Hard-working population is found to be higher in rural areas
Question : Assertion: A standard based on calories is insufficient to identify the impoverished. Reason: It does not distinguish between the extremely poor and the other poor; instead, it lumps all the poor together.
Question : Assertion (A): A new business is likely to have lesser goodwill. Reason (R): Goodwill is an intangible asset.
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