Wealth Index TFR Lowest 3.17 Second 2.45 Middle 2.07 Fourth 1.84 Highest 1.54 Total 2.18
Which among the following is/are correct about the information?
1. The divisions of Wealth Index in the NFHS-4 can be called 'quartiles'.
2. The information given in the table can be presented as a pie chart.
3. The Wealth Index was calculated in NFHS-4 by asking about the per capita income.
4. Each of the higher divisions of the Wealth Index had lower TFR than the previous (or lower) division.
Select the correct answer using the code given below.
Statement 1 is INCORRECT: The Wealth Index is divided into five equal categories (Lowest, Second, Middle, Fourth, Highest), each representing $20\%$ of the population. In statistics, dividing a population into five equal groups is called quintiles, not quartiles (which would mean four groups).
Statement 2 is INCORRECT: A pie chart is used to show proportions or parts of a single whole where all slices add up to $100\%$ or a total absolute sum. A Total Fertility Rate (TFR) represents the average number of children born to a woman. Summing up or pie-charting individual TFR values across different economic groups is mathematically meaningless.
Statement 3 is INCORRECT: The NFHS does not calculate the Wealth Index using income or expenditure data. Instead, it is computed using household assets (e.g., ownership of consumer goods like a television, bicycle, or car, housing characteristics, and access to drinking water and sanitation facilities) via a Principal Component Analysis (PCA).
Statement 4 is CORRECT: Looking closely at the data trend in the table:
Lowest: $3.17$
Second: $2.45$ (Lower than $3.17$)
Middle: $2.07$ (Lower than $2.45$)
Fourth: $1.84$ (Lower than $2.07$)
Highest: $1.54$ (Lower than $1.84$)
Only Statement 4 is correct.
Only 4