Question

How do direct cash transfer schemes contribute to poverty alleviation?

• A. By reducing government expenditure on subsidies
• B. By providing direct financial support to low-income households
• C. By focusing only on urban development
• D. By discouraging social welfare programs

Answer 1

Answer:

B. By providing direct financial support to low-income households

Direct cash transfer schemes, such as Pradhan Mantri Kisan Samman Nidhi (PM-KISAN), contribute to poverty alleviation by providing direct financial support to low-income households. These transfers improve the purchasing power of the poor, help them meet their basic needs, and reduce economic vulnerability.