What is a poverty line, and how are poverty lines calculated?

Relative poverty is a household income below a certain percentage, typically 50% or 60%, of that country’s median income. This measurement takes into consideration the subjective cost of participating in everyday life. For example, plumbing is a necessity in some places; without plumbing, a person could be considered impoverished. But, in other regions, plumbing is a luxury. Relative poverty is helpful for considering income inequality within a country.

What is multidimensional poverty?

Multidimensional poverty acknowledges that poverty isn’t solely about income. Even if a person’s income is above the poverty line, their family may still not have basic services such as electricity, access to clean water, sanitation, and education. Continue reading “What is a poverty line, and how are poverty lines calculated?” »

+ Read more…