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Poverty is the state of having few material possessions or little income. Poverty can have diverse social, economic, and political causes and effects. When evaluating poverty in statistics or economics there are two main measures: ''
absolute poverty Extreme poverty, deep poverty, abject poverty, absolute poverty, destitution, or penury, is the most severe type of poverty, defined by the United Nations (UN) as "a condition characterized by severe deprivation of basic human needs, includ ...
'' compares income against the amount needed to meet basic personal needs, such as food, clothing, and
shelter Shelter is a small building giving temporary protection from bad weather or danger. Shelter may also refer to: Places * Port Shelter, Hong Kong * Shelter Bay (disambiguation), various locations * Shelter Cove (disambiguation), various locat ...
; '' relative poverty'' measures when a person cannot meet a minimum level of
living standards Standard of living is the level of income, comforts and services available, generally applied to a society or location, rather than to an individual. Standard of living is relevant because it is considered to contribute to an individual's quality ...
, compared to others in the same time and place. The definition of ''relative poverty'' varies from one country to another, or from one society to another. Statistically, , most of the world's population live in poverty: in PPP dollars, 85% of people live on less than $30 per day, two-thirds live on less than $10 per day, and 10% live on less than $1.90 per day (extreme poverty). According to the World Bank Group in 2020, more than 40% of the poor live in conflict-affected countries. Even when countries experience economic development, the poorest citizens of middle-income countries frequently do not gain an adequate share of their countries' increased wealth to leave poverty. Governments and non-governmental organizations have experimented with a number of different policies and programs for poverty alleviation, such as electrification in rural areas or housing first policies in urban areas. The international policy frameworks for poverty alleviation, established by the
United Nations The United Nations (UN) is an intergovernmental organization whose stated purposes are to maintain international peace and security, develop friendly relations among nations, achieve international cooperation, and be a centre for harmonizi ...
in 2015, are summarized in Sustainable Development Goal 1: "No Poverty". Social forces, such as gender, disability,
race and ethnicity An ethnic group or an ethnicity is a grouping of people who identify with each other on the basis of shared attributes that distinguish them from other groups. Those attributes can include common sets of traditions, ancestry, language, history, ...
, can exacerbate issues of poverty—with women, children and minorities frequently bearing unequal burdens of poverty. Moreover, impoverished individuals are more vulnerable to the effects of other social issues, such as the environmental effects of industry or the impacts of climate change or other natural disasters or
extreme weather events Extreme weather or extreme climate events includes unexpected, unusual, severe, or unseasonal weather; weather at the extremes of the historical distribution—the range that has been seen in the past. Often, extreme events are based on a locat ...
. Poverty can also make other social problems worse; economic pressures on impoverished communities frequently play a part in deforestation,
biodiversity loss Biodiversity loss includes the worldwide extinction of different species, as well as the local reduction or loss of species in a certain habitat, resulting in a loss of biological diversity. The latter phenomenon can be temporary or permanent, de ...
and ethnic conflict. For this reason, the UN's Sustainable Development Goals and other international policy programs, such as the international recovery from COVID-19, emphasize the connection of poverty alleviation with other societal goals.


Definitions and etymology

The word ''poverty'' comes from the old (Norman) French word ''poverté'' (Modern French: ''pauvreté),'' from Latin ''paupertās'' from ''pauper'' (poor). There are several definitions of poverty depending on the context of the situation it is placed in, and usually references a state or condition in which a person or community lacks the financial resources and essentials for a certain standard of living.
United Nations The United Nations (UN) is an intergovernmental organization whose stated purposes are to maintain international peace and security, develop friendly relations among nations, achieve international cooperation, and be a centre for harmonizi ...
: Fundamentally, poverty is a denial of choices and opportunities, a violation of human dignity. It means lack of basic capacity to participate effectively in society. It means not having enough to feed and clothe a family, not having a school or clinic to go to, not having the land on which to grow one's food or a job to earn one's living, not having access to credit. It means insecurity, powerlessness and exclusion of individuals, households and communities. It means susceptibility to violence, and it often implies living in marginal or fragile environments, without access to clean water or sanitation. World Bank: Poverty is pronounced deprivation in well-being, and comprises many dimensions. It includes low incomes and the inability to acquire the basic goods and services necessary for
survival Survival, or the act of surviving, is the propensity of something to continue existing, particularly when this is done despite conditions that might kill or destroy it. The concept can be applied to humans and other living things (or, hypotheti ...
with dignity. Poverty also encompasses low levels of health and education, poor access to clean water and sanitation, inadequate physical security, lack of voice, and insufficient capacity and opportunity to better one's life. European Union (EU): The European Union's definition of poverty is significantly different from definitions in other parts of the world, and consequently policy measures introduced to combat poverty in EU countries also differ from measures in other nations. Poverty is measured in relation to the distribution of income in each member country using relative income poverty lines. Relative-income poverty rates in the EU are compiled by the
Eurostat Eurostat ('European Statistical Office'; DG ESTAT) is a Directorate-General of the European Commission located in the Kirchberg quarter of Luxembourg City, Luxembourg. Eurostat's main responsibilities are to provide statistical information to ...
, in charge of coordinating, gathering, and disseminating member country statistics using European Union Survey of Income and Living Conditions (EU-SILC) surveys.


Measuring poverty


Absolute poverty

Absolute poverty, often synonymous with 'extreme poverty' or 'abject poverty', refers to a set standard which is consistent over time and between countries. This set standard usually refers to "a condition characterized by severe deprivation of basic human needs, including food, safe drinking water, sanitation facilities, health, shelter, education and information. It depends not only on income but also on access to services."UN declaration at World Summit on Social Development in Copenhagen in 1995 Having an income below the poverty line, which is defined as an income needed to purchase basic needs, is also referred to as ''primary proverty''. The "dollar a day" poverty line was first introduced in 1990 as a measure to meet such standards of living. For nations that do not use the US dollar as currency, "dollar a day" does not translate to living a day on the equivalent amount of local currency as determined by the exchange rate. Rather, it is determined by the purchasing power parity rate, which would look at how much local currency is needed to buy the same things that a dollar could buy in the United States. Usually, this would translate to having less local currency than if the exchange rate was used as the United States is a relatively more expensive country. From 1993 through 2005, the World Bank defined absolute poverty as $1.08 a day on such a purchasing power parity basis, after adjusting for inflation to the 1993 US dollar and in 2008, it was updated as $1.25 a day (equivalent to $1.00 a day in 1996 US prices) and in 2015, it was updated as living on less than US$1.90 per day, and ''moderate poverty'' as less than $2 or $5 a day. Similarly, 'ultra-poverty' is defined by a 2007 report issued by International Food Policy Research Institute as living on less than 54 cents per day. The poverty line threshold of $1.90 per day, as set by the World Bank, is controversial. Each nation has its own threshold for absolute poverty line; in the United States, for example, the absolute poverty line was US$15.15 per day in 2010 (US$22,000 per year for a family of four), while in India it was US$1.0 per day and in China the absolute poverty line was US$0.55 per day, each on PPP basis in 2010. These different poverty lines make data comparison between each nation's official reports qualitatively difficult. Some scholars argue that the World Bank method sets the bar too high, others argue it is too low. There is disagreement among experts as to what would be considered a realistic poverty rate with one considering it "an inaccurately measured and arbitrary cut off". Some contend that a higher poverty line is needed, such as a minimum of $7.40 or even $10 to $15 a day. They argue that these levels would better reflect the cost of basic needs and normal life expectancy. One estimate places the true scale of poverty much higher than the World Bank, with an estimated 4.3 billion people (59% of the world's population) living with less than $5 a day and unable to meet basic needs adequately.
Philip Alston Philip Geoffrey Alston is an Australian international law scholar and human rights practitioner. He is John Norton Pomeroy Professor of Law at NYU Law School, New York University School of Law, and co-chair of the law school's Center for Human ...
, a UN special rapporteur on extreme poverty and human rights, stated the World Bank's international poverty line of $1.90 a day is fundamentally flawed, and has allowed for "self congratulatory" triumphalism in the fight against extreme global poverty, which he asserts is "completely off track" and that nearly half of the global population, or 3.4 billion, lives on less than $5.50 a day, and this number has barely moved since 1990. Still others suggest that poverty line misleads as it measures everyone below the poverty line the same, when in reality someone living on $1.20 per day is in a different state of poverty than someone living on $0.20 per day. Other measures of absolute poverty without using a certain dollar amount include the standard defined as receiving less than 80% of minimum caloric intake whilst spending more than 80% of income on food, sometimes called ultra-poverty.


Relative poverty

Relative poverty views poverty as socially defined and dependent on social context. It is argued that the needs considered fundamental is not an objective measure and could change with the custom of society. For example, a person who cannot afford housing better than a small tent in an open field would be said to live in relative poverty if almost everyone else in that area lives in modern brick homes, but not if everyone else also lives in small tents in open fields (for example, in a
nomadic tribe A nomad is a member of a community without fixed habitation who regularly moves to and from the same areas. Such groups include hunter-gatherers, pastoral nomads (owning livestock), tinkers and trader nomads. In the twentieth century, the popu ...
). Since richer nations would have lower levels of absolute poverty, relative poverty is considered the "most useful measure for ascertaining poverty rates in wealthy developed nations" and is the "most prominent and most-quoted of the EU social inclusion indicators". Usually, relative poverty is measured as the percentage of the population with income less than some fixed proportion of median income. This is a calculation of the percentage of people whose family household income falls below the Poverty Line. The main poverty line used in the OECD and the European Union is based on "economic distance", a level of income set at 60% of the median household income. The United States federal government typically regulates this line to three times the cost of an adequate meal. There are several other different income inequality metrics, for example, the Gini coefficient or the Theil Index.


Other aspects

Rather than income, poverty is also measured through individual basic needs at a time.
Life expectancy Life expectancy is a statistical measure of the average time an organism is expected to live, based on the year of its birth, current age, and other demographic factors like sex. The most commonly used measure is life expectancy at birth ...
has greatly increased in the developing world since World War II and is starting to close the gap to the developed world.
Child mortality Child mortality is the mortality of children under the age of five. The child mortality rate, also under-five mortality rate, refers to the probability of dying between birth and exactly five years of age expressed per 1,000 live births. It en ...
has decreased in every developing region of the world. The proportion of the world's population living in countries where the daily per-capita supply of
food energy Food energy is chemical energy that animals (including humans) derive from their food to sustain their metabolism, including their muscular activity. Most animals derive most of their energy from aerobic respiration, namely combining the carbohyd ...
is less than decreased from 56% in the mid-1960s to below 10% by the 1990s. Similar trends can be observed for literacy, access to clean water and electricity and basic consumer items. Poverty may also be understood as an aspect of unequal social status and inequitable social relationships, experienced as social exclusion, dependency, and diminished capacity to participate, or to develop meaningful connections with other people in society. Such social exclusion can be minimized through strengthened connections with the mainstream, such as through the provision of
relational care Practical theology is an academic discipline that examines and reflects on religious practices in order to understand the theology enacted in those practices and in order to consider how theological theory and theological practices can be more full ...
to those who are experiencing poverty. The World Bank's "Voices of the Poor", based on research with over 20,000 poor people in 23 countries, identifies a range of factors which poor people identify as part of poverty. These include abuse by those in power, dis-empowering institutions, excluded locations, gender relationships, lack of security, limited capabilities, physical limitations, precarious livelihoods, problems in social relationships, weak community organizations and discrimination. Analysis of social aspects of poverty links conditions of scarcity to aspects of the distribution of resources and power in a society and recognizes that poverty may be a function of the diminished "capability" of people to live the kinds of lives they value. The social aspects of poverty may include lack of
access to information Access may refer to: Companies and organizations * ACCESS (Australia), an Australian youth network * Access (credit card), a former credit card in the United Kingdom * Access Co., a Japanese software company * Access Healthcare, an Indian BPO se ...
, education, health care, social capital or political power.
Relational poverty Relational may refer to: Business * Relational capital, the value inherent in a company's relationships with its customers, vendors, and other important constituencies * Relational contract, a contract whose effect is based upon a relationship of ...
is the idea that societal poverty exists if there is a lack of human relationships. Relational poverty can be the result of a lost contact number, lack of phone ownership, isolation, or deliberate severing of ties with an individual or community. Relational poverty is also understood "by the social institutions that organize those relationships...poverty is importantly the result of the different terms and conditions on which people are included in social life" In the United Kingdom, the second Cameron ministry came under attack for their redefinition of poverty; poverty is no longer classified by a family's income, but as to whether a family is in work or not. Considering that two-thirds of people who found work were accepting wages that are below the living wage (according to the Joseph Rowntree Foundation) this has been criticised by anti-poverty campaigners as an unrealistic view of poverty in the United Kingdom.


Secondary poverty

Secondary poverty refers to those that earn enough income to not be impoverished, but who spend their income on unnecessary pleasures, such as
alcoholic beverage An alcoholic beverage (also called an alcoholic drink, adult beverage, or a drink) is a drink that contains ethanol, a type of alcohol that acts as a drug and is produced by fermentation of grains, fruits, or other sources of sugar. The con ...
s, thus placing them below it in practice. In 18th- and 19th-century Great Britain, the practice of
temperance Temperance may refer to: Moderation *Temperance movement, movement to reduce the amount of alcohol consumed *Temperance (virtue), habitual moderation in the indulgence of a natural appetite or passion Culture * Temperance (group), Canadian dan ...
among Methodists, as well as their rejection of gambling, allowed them to eliminate secondary poverty and accumulate capital. Factors that contribute to secondary poverty includes but are not limited to: alcohol, gambling, tobacco and drugs.


Variability

Poverty levels are snapshot pictures in time that omits the transitional dynamics between levels. Mobility statistics supply additional information about the fraction who leave the poverty level. For example, one study finds that in a sixteen-year period (1975 to 1991 in the US) only 5% of those in the lower fifth of the income level were still at that level, while 95% transitioned to a higher income category. Poverty levels can remain the same while those who rise out of poverty are replaced by others. The transient poor and chronic poor differ in each society. In a nine-year period ending in 2005 for the US, 50% of the poorest quintile transitioned to a higher quintile.


Global prevalence

According to Chen and Ravallion, about 1.76 billion people in developing world lived ''above'' $1.25 per day and 1.9 billion people lived ''below'' $1.25 per day in 1981. In 2005, about 4.09 billion people in developing world lived above $1.25 per day and 1.4 billion people lived below $1.25 per day (both 1981 and 2005 data are on inflation adjusted basis). The share of the world's population living in absolute poverty fell from 43% in 1981 to 14% in 2011. The absolute number of people in poverty fell from 1.95 billion in 1981 to 1.01 billion in 2011. The economist
Max Roser Max Roser (born 1983) is an economist and philosopher who focuses on large global problems such as poverty, disease, hunger, climate change, war, existential risks, and inequality. He is the founder and director of the research publication Ou ...
estimates that the number of people in poverty is therefore roughly the same as 200 years ago. This is the case since the world population was just little more than 1 billion in 1820 and the majority (84% to 94%) of the world population was living in poverty. According to one study the number of people worldwide living in absolute poverty fell from 1.18 billion in 1950 to 1.04 billion in 1977. According to another study, the number of people worldwide estimated to be starving fell from almost 920 million in 1971 to below 797 million in 1997. The proportion of the developing world's population living in extreme economic poverty fell from 28% in 1990 to 21% in 2001. Most of this improvement has occurred in East and South Asia. In 2012 it was estimated that, using a poverty line of $1.25 a day, 1.2 billion people lived in poverty. Given the current economic model, built on
GDP Gross domestic product (GDP) is a monetary measure of the market value of all the final goods and services produced and sold (not resold) in a specific time period by countries. Due to its complex and subjective nature this measure is ofte ...
, it would take 100 years to bring the world's poorest up to the poverty line of $1.25 a day. UNICEF estimates half the world's children (or 1.1 billion) live in poverty. The World Bank forecasted in 2015 that 702.1 million people were living in extreme poverty, down from 1.75 billion in 1990. Extreme poverty is observed in all parts of the world, including developed economies. Of the 2015 population, about 347.1 million people (35.2%) lived in Sub-Saharan Africa and 231.3 million (13.5%) lived in South Asia. According to the World Bank, between 1990 and 2015, the percentage of the world's population living in extreme poverty fell from 37.1% to 9.6%, falling below 10% for the first time. During the 2013 to 2015 period, the World Bank reported that extreme poverty fell from 11% to 10%, however they also noted that the rate of decline had slowed by nearly half from the 25 year average with parts of sub-saharan Africa returning to early 2000 levels. The World Bank attributed this to increasing violence following the
Arab Spring The Arab Spring ( ar, الربيع العربي) was a series of anti-government protests, uprisings and armed rebellions that spread across much of the Arab world in the early 2010s. It began in Tunisia in response to corruption and econom ...
, population increases in Sub-Saharan Africa, and general African inflationary pressures and economic malaise were the primary drivers for this slow down. Many wealthy nations have seen an increase in relative poverty rates ever since the
Great Recession The Great Recession was a period of marked general decline, i.e. a recession, observed in national economies globally that occurred from late 2007 into 2009. The scale and timing of the recession varied from country to country (see map). At t ...
, in particular among children from impoverished families who often reside in substandard housing and find educational opportunities out of reach. It has been argued by some academics that the
neoliberal Neoliberalism (also neo-liberalism) is a term used to signify the late 20th century political reappearance of 19th-century ideas associated with free-market capitalism after it fell into decline following the Second World War. A prominent fa ...
policies promoted by global financial institutions such as the IMF and the World Bank are actually exacerbating both inequality and poverty. In East Asia the World Bank reported that "The poverty headcount rate at the $2-a-day level is estimated to have fallen to about 27 percent
n 2007 N, or n, is the fourteenth letter in the Latin alphabet, used in the modern English alphabet, the alphabets of other western European languages and others worldwide. Its name in English is ''en'' (pronounced ), plural ''ens''. History ...
down from 29.5 percent in 2006 and 69 percent in 1990." The People's Republic of China accounts for over three quarters of global poverty reduction from 1990 to 2005, which according to the World Bank is "historically unprecedented". China accounted for nearly half of all extreme poverty in 1990. In Sub-Saharan Africa extreme poverty went up from 41% in 1981 to 46% in 2001, which combined with growing population increased the number of people living in extreme poverty from 231 million to 318 million. Statistics of 2018 shows population living in extreme conditions has declined by more than 1 billion in the last 25 years. As per the report published by the world bank on 19 September 2018 world poverty falls below 750 million. In the early 1990s some of the transition economies of Central and Eastern Europe and Central Asia experienced a sharp drop in income. The
collapse of the Soviet Union The dissolution of the Soviet Union, also negatively connoted as rus, Разва́л Сове́тского Сою́за, r=Razvál Sovétskogo Soyúza, ''Ruining of the Soviet Union''. was the process of internal disintegration within the Sov ...
resulted in large declines in GDP per capita, of about 30 to 35% between 1990 and the through year of 1998 (when it was at its minimum). As a result, poverty rates tripled, excess mortality increased, and life expectancy declined. By 1999, during the peak of the poverty crisis, 191 million people were living on less than $5.50 a day. In subsequent years as per capita incomes recovered the poverty rate dropped from 31.4% of the population to 19.6%. The average post-communist country had returned to 1989 levels of per-capita GDP by 2005, although as of 2015 some are still far behind that. According to the World Bank in 2014, around 80 million people were still living on less than $5.00 a day. World Bank data shows that the percentage of the population living in households with consumption or income per person below the poverty line has decreased in each region of the world except Middle East and North Africa since 1990:


Characteristics

The effects of poverty may also be causes as listed above, thus creating a "poverty cycle" operating across multiple levels, individual, local, national and global.


Health

One-third of deaths around the world—some 18 million people a year or 50,000 per day—are due to poverty-related causes. People living in developing nations, among them women and children, are over represented among the global poor and these effects of severe poverty. Those living in poverty suffer disproportionately from hunger or even
starvation Starvation is a severe deficiency in caloric energy intake, below the level needed to maintain an organism's life. It is the most extreme form of malnutrition. In humans, prolonged starvation can cause permanent organ damage and eventually, ...
and disease, as well as lower
life expectancy Life expectancy is a statistical measure of the average time an organism is expected to live, based on the year of its birth, current age, and other demographic factors like sex. The most commonly used measure is life expectancy at birth ...
. According to the World Health Organization,
hunger In politics, humanitarian aid, and the social sciences, hunger is defined as a condition in which a person does not have the physical or financial capability to eat sufficient food to meet basic nutritional needs for a sustained period. In the ...
and malnutrition are the single gravest threats to the world's public health and malnutrition is by far the biggest contributor to
child mortality Child mortality is the mortality of children under the age of five. The child mortality rate, also under-five mortality rate, refers to the probability of dying between birth and exactly five years of age expressed per 1,000 live births. It en ...
, present in half of all cases. Almost 90% of maternal deaths during childbirth occur in Asia and sub-Saharan Africa, compared to less than 1% in the developed world. Those who live in poverty have also been shown to have a far greater likelihood of having or incurring a disability within their lifetime. Infectious diseases such as malaria and tuberculosis can perpetuate poverty by diverting health and economic resources from investment and productivity; malaria decreases GDP growth by up to 1.3% in some developing nations and AIDS decreases African growth by 0.3–1.5% annually. Studies have shown that poverty impedes cognitive function although some of these findings could not be replicated in follow-up studies. One hypothesised mechanism is that financial worries put a severe burden on one's mental resources so that they are no longer fully available for solving complicated problems. The reduced capability for problem solving can lead to suboptimal decisions and further perpetuate poverty. Many other pathways from poverty to compromised cognitive capacities have been noted, from poor nutrition and environmental toxins to the effects of stress on parenting behavior, all of which lead to suboptimal psychological development. Neuroscientists have documented the impact of poverty on brain structure and function throughout the lifespan. Infectious diseases continue to blight the lives of the poor across the world. 36.8 million people are living with HIV/AIDS, with 954,492 deaths in 2017. Poor people often are more prone to severe diseases due to the lack of health care, and due to living in non-optimal conditions. Among the poor, girls tend to suffer even more due to gender discrimination. Economic stability is paramount in a poor household; otherwise they go in an endless loop of negative income trying to treat diseases. Often when a person in a poor household falls ill it is up to the family members to take care of them due to limited access to health care and lack of health insurance. The household members often have to give up their income or stop seeking further education to tend to the sick member. There is a greater opportunity cost imposed on the poor to tend to someone compared to someone with better financial stability. Substance abuse means that the poor typically spend about 2% of their income educating their children but larger percentages of alcohol and tobacco (for example, 6% in Indonesia and 8% in Mexico).


Hunger

Rises in the costs of living make poor people less able to afford items. Poor people spend a greater portion of their budgets on food than wealthy people. As a result, poor households and those near the poverty threshold can be particularly vulnerable to increases in food prices. For example, in late 2007 increases in the price of grains led to food riots in some countries. The World Bank warned that 100 million people were at risk of sinking deeper into poverty. Threats to the supply of food may also be caused by drought and the
water crisis Water scarcity (closely related to water stress or water crisis) is the lack of fresh water resources to meet the standard water demand. There are two types of water scarcity: physical or economic water scarcity. Physical water scarcity is where ...
.
Intensive farming Intensive agriculture, also known as intensive farming (as opposed to extensive farming), conventional, or industrial agriculture, is a type of agriculture, both of crop plants and of animals, with higher levels of input and output per unit of ag ...
often leads to a vicious cycle of exhaustion of soil fertility and decline of
agricultural yields In agriculture, the yield is a measurement of the amount of a crop grown, or product such as wool, meat or milk produced, per unit area of land. The seed ratio is another way of calculating yields. Innovations, such as the use of fertilizer, the c ...
. Approximately 40% of the world's
agricultural land Agricultural land is typically land ''devoted to'' agriculture, the systematic and controlled use of other forms of lifeparticularly the rearing of livestock and production of cropsto produce food for humans. It is generally synonymous with bot ...
is seriously degraded. In
Africa Africa is the world's second-largest and second-most populous continent, after Asia in both cases. At about 30.3 million km2 (11.7 million square miles) including adjacent islands, it covers 6% of Earth's total surface area ...
, if current trends of
soil degradation Soil retrogression and degradation are two regressive evolution processes associated with the loss of equilibrium of a stable soil. Retrogression is primarily due to soil erosion and corresponds to a phenomenon where succession reverts the land to ...
continue, the continent might be able to feed just 25% of its population by 2025, according to United Nations University's Ghana-based Institute for Natural Resources in Africa. Every year nearly 11 million children living in poverty die before their fifth birthday. 1.02 billion people go to bed hungry every night. According to the
Global Hunger Index The Global Hunger Index (GHI) is a tool that attempts to measure and track hunger globally as well as by region and by country, prepared by European NGOs of Concern Worldwide and Welthungerhilfe. The GHI is calculated annually, and its results ...
, Sub-Saharan Africa had the highest child malnutrition rate of the world's regions over the 2001–2006 period.


Mental health

A psychological study has been conducted by four scientists during inaugural Convention of Psychological Science. The results find that people who thrive with financial stability or fall under low socioeconomic status (SES) tend to perform worse cognitively due to external pressure imposed upon them. The research found that stressors such as low income, inadequate health care, discrimination, and exposure to criminal activities all contribute to mental disorders. This study also found that children exposed to poverty-stricken environments have slower cognitive thinking. It is seen that children perform better under the care of their parents and that children tend to adopt speaking language at a younger age. Since being in poverty from childhood is more harmful than it is for an adult, it is seen that children in poor households tend to fall behind in certain cognitive abilities compared to other average families. For a child to grow up emotionally healthy, the children under three need "A strong, reliable primary caregiver who provides consistent and unconditional love, guidance, and support. Safe, predictable, stable environments. Ten to 20 hours each week of harmonious, reciprocal interactions. This process, known as attunement, is most crucial during the first 6–24 months of infants' lives and helps them develop a wider range of healthy emotions, including gratitude, forgiveness, and empathy. Enrichment through personalized, increasingly complex activities". In one survey, 67% of children from disadvantaged
inner cities The term ''inner city'' has been used, especially in the United States, as a euphemism for majority-minority lower-income residential districts that often refer to rundown neighborhoods, in a downtown or city centre area. Sociologists sometim ...
said they had witnessed a serious assault, and 33% reported witnessing a homicide. 51% of fifth graders from New Orleans (median income for a household: $27,133) have been found to be victims of violence, compared to 32% in Washington, DC (mean income for a household: $40,127). Studies have shown that poverty changes the personalities of children who live in it. The
Great Smoky Mountains Study The Great Smoky Mountains Study is a longitudinal study led by William Copeland (professor) from Duke University Medical Center that started in 1993 and ended in 2003. It followed 1,420 children from western North Carolina. Participants were interv ...
was a ten-year study that was able to demonstrate this. During the study, about one-quarter of the families saw a dramatic and unexpected increase in income. The study showed that among these children, instances of behavioral and emotional disorders decreased, and conscientiousness and agreeableness increased.


Education

Research has found that there is a high risk of educational underachievement for children who are from low-income housing circumstances. This is often a process that begins in primary school. Instruction in the US educational system, as well as in most other countries, tends to be geared towards those students who come from more advantaged backgrounds. As a result, children in poverty are at a higher risk than advantaged children for retention in their grade, special deleterious placements during the school's hours and not completing their high school education. Advantage breeds advantage. There are many explanations for why students tend to drop out of school. One is the conditions in which they attend school. Schools in poverty-stricken areas have conditions that hinder children from learning in a safe environment. Researchers have developed a name for areas like this: an ''urban war zone'' is a poor, crime-laden district in which deteriorated, violent, even warlike conditions and underfunded, largely ineffective schools promote inferior academic performance, including irregular attendance and disruptive or non-compliant classroom behavior. Because of poverty, "Students from low-income families are 2.4 times more likely to drop out than middle-income kids, and over 10 times more likely than high-income peers to drop out." For children with low resources, the risk factors are similar to others such as juvenile delinquency rates, higher levels of teenage pregnancy, and economic dependency upon their low-income parent or parents.Huston, A. C. (1991). Children in Poverty: Child Development and Public Policy. Cambridge: Cambridge University Press. Families and society who submit low levels of investment in the education and development of less fortunate children end up with less favorable results for the children who see a life of parental employment reduction and low wages. Higher rates of early childbearing with all the connected risks to family, health and well-being are major issues to address since education from preschool to high school is identifiably meaningful in a life. Poverty often drastically affects children's success in school. A child's "home activities, preferences, mannerisms" must align with the world and in the cases that they do not do these, students are at a disadvantage in the school and, most importantly, the classroom.Solley, Bobbie A. (2005). When Poverty's Children Write: Celebrating Strengths, Transforming Lives. Portsmouth, NH: Heinemann, Inc. Therefore, it is safe to state that children who live at or below the poverty level will have far less success educationally than children who live above the poverty line. Poor children have a great deal less healthcare and this ultimately results in many absences from school. Additionally, poor children are much more likely to suffer from hunger, fatigue, irritability, headaches, ear infections, flu, and colds. These illnesses could potentially restrict a student's focus and concentration. In general, the interaction of gender with poverty or location tends to work to the disadvantage of
girl A girl is a young female human, usually a child or an adolescent. When a girl becomes an adult, she is accurately described as a '' woman''. However, the term ''girl'' is also used for other meanings, including ''young woman'',Dictionar ...
s in poorer countries with low completion rates and social expectations that they marry early, and to the disadvantage of
boy A boy is a young male human. The term is commonly used for a child or an adolescent. When a male human reaches adulthood, he is described as a man. Definition, etymology, and use According to the ''Merriam-Webster Dictionary'', a boy is "a ...
s in richer countries with high completion rates but social expectations that they enter the labour force early. At the
primary education Primary education or elementary education is typically the first stage of formal education, coming after preschool/kindergarten and before secondary school. Primary education takes place in ''primary schools'', ''elementary schools'', or first ...
level, most countries with a completion rate below 60% exhibit
gender disparity Sex differences in humans have been studied in a variety of fields. Sex determination occurs by the presence or absence of a Y in the 23rd pair of chromosomes in the human genome. Phenotypic sex refers to an individual's sex as determined by the ...
at girls' expense, particularly poor and rural girls. In Mauritania, the adjusted gender parity index is 0.86 on average, but only 0.63 for the poorest 20%, while there is parity among the richest 20%. In countries with completion rates between 60% and 80%, gender disparity is generally smaller, but disparity at the expense of poor girls is especially marked in Cameroon, Nigeria and Yemen. Exceptions in the opposite direction are observed in countries with pastoralist economies that rely on boys' labour, such as the Kingdom of Eswatini, Lesotho and Namibia.


Shelter

The geographic concentration of poverty is argued to be a factor in entrenching poverty. William J. Wilson's "concentration and isolation" hypothesis states that the economic difficulties of the very poorest African Americans are compounded by the fact that as the better-off African Americans move out, the poorest are more and more concentrated, having only other very poor people as neighbors. This concentration causes social isolation, Wilson suggests, because the very poor are now isolated from access to the job networks, role models, institutions, and other connections that might help them escape poverty.
Gentrification Gentrification is the process of changing the character of a neighborhood through the influx of more affluent residents and businesses. It is a common and controversial topic in urban politics and planning. Gentrification often increases the ec ...
means converting an aging neighborhood into a more affluent one, as by remodeling homes. Landlords then increase rent on newly renovated real estate; the poor people cannot afford to pay high rent, and may need to leave their neighborhood to find affordable housing. The poor also get more access to income and services, while studies suggest poor residents living in gentrifying neighbourhoods are actually less likely to move than poor residents of non-gentrifying areas. Poverty increases the risk of homelessness. Slum-dwellers, who make up a third of the world's urban population, live in a poverty no better, if not worse, than rural people, who are the traditional focus of the poverty in the developing world, according to a report by the United Nations. There are over 100 million street children worldwide. Most of the children living in institutions around the world have a surviving parent or close relative, and they most commonly entered orphanages because of poverty. It is speculated that, flush with money, for-profit orphanages are increasing and push for children to join even though demographic data show that even the poorest extended families usually take in children whose parents have died. Many child advocates maintain that this can harm children's
development Development or developing may refer to: Arts *Development hell, when a project is stuck in development *Filmmaking, development phase, including finance and budgeting *Development (music), the process thematic material is reshaped *Photographi ...
by separating them from their families and that it would be more effective and cheaper to aid close relatives who want to take in the orphans.


Utilities


Water and sanitation

As of 2012, 2.5 billion people lack access to sanitation services and 15% practice
open defecation Open defecation is the human practice of defecating outdoors ("in the open") rather than into a toilet. People may choose fields, bushes, forests, ditches, streets, canals, or other open spaces for defecation. They do so either because they d ...
. The most noteworthy example is Bangladesh, which had half the GDP per capita of India but has a lower mortality from diarrhea than India or the world average, with diarrhea deaths declining by 90% since the 1990s. Even while providing latrines is a challenge, people still do not use them even when available. By strategically providing pit latrines to the poorest, charities in Bangladesh sparked a cultural change as those better off perceived it as an issue of status to not use one. The vast majority of the latrines built were then not from charities but by villagers themselves. Water utility subsidies tend to subsidize water consumption by those connected to the supply grid, which is typically skewed towards the richer and urban segment of the population and those outside informal housing. As a result of heavy consumption subsidies, the price of water decreases to the extent that only 30%, on average, of the supplying costs in developing countries is covered. This results in a lack of incentive to maintain delivery systems, leading to losses from leaks annually that are enough for 200 million people. This also leads to a lack of incentive to invest in expanding the network, resulting in much of the poor population being unconnected to the network. Instead, the poor buy water from water vendors for, on average, about 5 to 16 times the metered price. However, subsidies for laying new connections to the network rather than for consumption have shown more promise for the poor.


Energy


Prejudice and exploitation

Cultural factors, such as discrimination of various kinds, can negatively affect productivity such as
age discrimination Ageism, also spelled agism, is discrimination against individuals or groups on the basis of their age. The term was coined in 1969 by Robert Neil Butler to describe discrimination against seniors, and patterned on sexism and racism. Butler defi ...
, stereotyping, discrimination against people with physical disability,Filmer, D. (2008), "Disability, poverty, and schooling in developing countries: results from 14 household surveys", ''The World Bank Economic Review'', 22(1), pp. 141–163 * Yeo, R. (2005)
Disability, poverty and the new development agenda
, Disability Knowledge and Research, UK Government, pp. 1–33
gender discrimination Sexism is prejudice or discrimination based on one's sex or gender. Sexism can affect anyone, but it primarily affects women and girls.There is a clear and broad consensus among academic scholars in multiple fields that sexism refers primar ...
, racial discrimination, and caste discrimination. Children are more than twice as likely to live in poverty as adults. Women are the group suffering from the highest rate of poverty after children, in what is referred to as the
feminization of poverty Feminization of poverty refers to a trend of increasing inequality in living standards between men and women due to the widening gender gap in poverty. This phenomenon largely links to how women and children are disproportionately represented wit ...
. In addition, the fact that women are more likely to be caregivers, regardless of income level, to either the generations before or after them, exacerbates the burdens of their poverty. Those in poverty have increased chances of incurring a disability which leads to a cycle where
disability and poverty The world's poor are significantly more likely to have or incur a disability within their lifetime compared to more financially privileged populations. The rate of disability within impoverished nations is notably higher than that found in more de ...
are mutually reinforcing.
Max Weber Maximilian Karl Emil Weber (; ; 21 April 186414 June 1920) was a German sociologist, historian, jurist and political economist, who is regarded as among the most important theorists of the development of modern Western society. His ideas prof ...
and some schools of
modernization theory Modernization theory is used to explain the process of modernization within societies. The "classical" theories of modernization of the 1950s and 1960s drew on sociological analyses of Karl Marx, Emile Durkheim and a partial reading of Max Weber, ...
suggest that cultural
values In ethics and social sciences, value denotes the degree of importance of something or action, with the aim of determining which actions are best to do or what way is best to live (normative ethics in ethics), or to describe the significance of dif ...
could affect economic success. However, researchers have gathered evidence that suggest that values are not as deeply ingrained and that changing economic opportunities explain most of the movement into and out of poverty, as opposed to shifts in values.Kerbo, Harold. 2006. ''Social Stratification and Inequality: Class Conflict in Historical, Comparative, and Global Perspective'', 6th edition. New York: McGraw-Hill. A 2018 report on poverty in the United States by UN special rapporteur
Philip Alston Philip Geoffrey Alston is an Australian international law scholar and human rights practitioner. He is John Norton Pomeroy Professor of Law at NYU Law School, New York University School of Law, and co-chair of the law school's Center for Human ...
asserts that caricatured narratives about the rich and the poor (that "the rich are industrious, entrepreneurial, patriotic and the drivers of economic success" while "the poor are wasters, losers and scammers") are largely inaccurate, as "the poor are overwhelmingly those born into poverty, or those thrust there by circumstances largely beyond their control, such as physical or mental disabilities, divorce, family breakdown, illness, old age, unlivable wages or discrimination in the job market." Societal perception of people experiencing economic difficulty has historically appeared as a conceptual dichotomy: the "good" poor (people who are physically impaired, disabled, the "ill and incurable," the elderly, pregnant women, children) vs. the "bad" poor (able-bodied, "valid" adults, most often male). According to experts, many women become victims of trafficking, the most common form of which is prostitution, as a means of survival and economic desperation. Deterioration of living conditions can often compel children to abandon school to contribute to the family income, putting them at risk of being exploited. For example, in Zimbabwe, a number of girls are turning to sex in return for food to survive because of the increasing poverty. According to studies, as poverty decreases there will be fewer and fewer instances of violence.


Poverty reduction

Various poverty reduction strategies are broadly categorized based on whether they make more of the basic human needs available or whether they increase the disposable income needed to purchase those needs. Some strategies such as building roads can both bring access to various basic needs, such as fertilizer or healthcare from urban areas, as well as increase incomes, by bringing better access to urban markets. In 2015 all UN Member States adopted the 17 Sustainable Development Goals as part of the 2030 Agenda for sustainable development. Goal 1 is to "end poverty in all its forms everywhere". It aims to eliminate extreme poverty for all people measured by daily wages less than $1.25 and at least half the total number of men, women, and children living in poverty. In addition, social protection systems must be established at the national level and equal access to economic resources must be ensured. Strategies have to be developed at the national, regional and international levels to support the eradication of poverty.


Increasing the supply of basic needs


Food and other goods

Agricultural technologies such as
nitrogen fertilizer A fertilizer (American English) or fertiliser (British English; see spelling differences) is any material of natural or synthetic origin that is applied to soil or to plant tissues to supply plant nutrients. Fertilizers may be distinct from ...
s, pesticides, new seed varieties and new irrigation methods have dramatically reduced food shortages in modern times by boosting yields past previous constraints. Goal 2 of the Sustainable Development Goals is the elimination of hunger and undernutrition by 2030. Before the Industrial Revolution, poverty had been mostly accepted as inevitable as economies produced little, making wealth scarce. Geoffrey Parker wrote that "In
Antwerp Antwerp (; nl, Antwerpen ; french: Anvers ; es, Amberes) is the largest city in Belgium by area at and the capital of Antwerp Province in the Flemish Region. With a population of 520,504,
and
Lyon Lyon,, ; Occitan: ''Lion'', hist. ''Lionés'' also spelled in English as Lyons, is the third-largest city and second-largest metropolitan area of France. It is located at the confluence of the rivers Rhône and Saône, to the northwest of th ...
, two of the largest cities in western Europe, by 1600 three-quarters of the total population were too poor to pay taxes, and therefore likely to need relief in times of crisis." The initial industrial revolution led to high economic growth and eliminated mass absolute poverty in what is now considered the developed world.Great Depression
, Encyclopædia Britannica
Mass production Mass production, also known as flow production or continuous production, is the production of substantial amounts of standardized products in a constant flow, including and especially on assembly lines. Together with job production and batc ...
of goods in places such as rapidly industrializing China has made what were once considered luxuries, such as vehicles and computers, inexpensive and thus accessible to many who were otherwise too poor to afford them. Even with new products, such as better seeds, or greater volumes of them, such as industrial production, the poor still require access to these products. Improving road and transportation infrastructure helps solve this major bottleneck. In Africa, it costs more to move fertilizer from an African seaport inland than to ship it from the United States to Africa because of sparse, low-quality roads, leading to fertilizer costs two to six times the world average.
Microfranchising Microfranchising is a business model that applies elements and concepts of traditional franchising to small businesses in the developing world. It refers to the systemization and replication of micro-enterprises. Microfranchising is broadly defined ...
models such as door-to-door distributors who earn commission-based income or
Coca-Cola Coca-Cola, or Coke, is a carbonated soft drink manufactured by the Coca-Cola Company. Originally marketed as a temperance drink and intended as a patent medicine, it was invented in the late 19th century by John Stith Pemberton in Atlan ...
's successful distribution system are used to disseminate basic needs to remote areas for below market prices.


Health care and education

Nations do not necessarily need wealth to gain health. For example, Sri Lanka had a
maternal mortality rate Maternal death or maternal mortality is defined in slightly different ways by several different health organizations. The World Health Organization (WHO) defines maternal death as the death of a pregnant mother due to complications related to pre ...
of 2% in the 1930s, higher than any nation today. It reduced it to 0.5–0.6% in the 1950s and to 0.6% today while spending less each year on
maternal health Maternal health is the health of women during pregnancy, childbirth, and the postpartum period. In most cases, maternal health encompasses the health care dimensions of family planning, preconception, prenatal, and postnatal care in order to ens ...
because it learned what worked and what did not. Knowledge on the cost effectiveness of healthcare interventions can be elusive and educational measures have been made to disseminate what works, such as the
Copenhagen Consensus Copenhagen Consensus is a project that seeks to establish priorities for advancing global welfare using methodologies based on the theory of welfare economics, using cost–benefit analysis. It was conceived and organized around 2004 by Bjørn Lom ...
. Cheap water filters and promoting hand washing are some of the most cost effective health interventions and can cut deaths from
diarrhea Diarrhea, also spelled diarrhoea, is the condition of having at least three loose, liquid, or watery bowel movements each day. It often lasts for a few days and can result in dehydration due to fluid loss. Signs of dehydration often begin wi ...
and pneumonia. Strategies to provide education cost effectively include
deworming Deworming (sometimes known as worming, drenching or dehelmintization) is the giving of an anthelmintic drug (a wormer, dewormer, or drench) to a human or animals to rid them of helminths parasites, such as roundworm, flukes and tapeworm. Pur ...
children, which costs about 50 cents per child per year and reduces non-attendance from
anemia Anemia or anaemia (British English) is a blood disorder in which the blood has a reduced ability to carry oxygen due to a lower than normal number of red blood cells, or a reduction in the amount of hemoglobin. When anemia comes on slowly, t ...
, illness and malnutrition, while being only a twenty-fifth as expensive as increasing school attendance by constructing schools. Schoolgirl absenteeism could be cut in half by simply providing free
sanitary towel A menstrual pad, or simply a pad, (also known as a sanitary pad, sanitary towel, sanitary napkin or feminine napkin) is an absorbent item worn by women in their underwear when menstruating, bleeding after giving birth, recovering from gynecolo ...
s. Fortification with micronutrients was ranked the most cost effective aid strategy by the Copenhagen Consensus. For example,
iodised salt Iodised salt (American and British English spelling differences#-ise, -ize (-isation, -ization), also spelled iodized salt) is table salt mixed with a minute amount of various salts of the element iodine. The ingestion of iodine prevents iodine ...
costs 2 to 3 cents per person a year while even moderate
iodine deficiency Iodine deficiency is a lack of the trace element iodine, an essential nutrient in the diet. It may result in metabolic problems such as goiter, sometimes as an endemic goiter as well as congenital iodine deficiency syndrome due to untreated c ...
in pregnancy shaves off 10 to 15 IQ points. Paying for school meals is argued to be an efficient strategy in increasing school enrollment, reducing absenteeism and increasing student attention. Desirable actions such as enrolling children in school or receiving vaccinations can be encouraged by a form of aid known as conditional cash transfers. In Mexico, for example, dropout rates of 16- to 19-year-olds in rural area dropped by 20% and children gained half an inch in height. Initial fears that the program would encourage families to stay at home rather than work to collect benefits have proven to be unfounded. Instead, there is less excuse for neglectful behavior as, for example, children stopped begging on the streets instead of going to school because it could result in suspension from the program.


Housing

The right to housing is a human right. Policy incentives such as
Housing First Housing First is a policy that offers unconditional, permanent housing as quickly as possible to homeless people, and other supportive services afterward. It was first discussed in the 1990s, and in the following decades became government policy ...
emphasize that other basic needs are easier to be met when housing is first guaranteed.


Removing constraints on government services

Government revenue can be diverted away from basic services by corruption. Funds from aid and natural resources are often sent by government individuals for money laundering to overseas banks which insist on bank secrecy, instead of spending on the poor. A
Global Witness Global Witness is an international NGO established in 1993 that works to break the links between natural resource exploitation, conflict, poverty, corruption, and human rights abuses worldwide. The organisation has offices in London and Washin ...
report asked for more action from Western banks as they have proved capable of stanching the flow of funds linked to terrorism. Illicit capital flight, such as corporate tax avoidance, from the developing world is estimated at ten times the size of aid it receives and twice the debt service it pays, with one estimate that most of Africa would be developed if the taxes owed were paid. About 60 per cent of illicit capital flight from Africa is from transfer mispricing, where a subsidiary in a developing nation sells to another subsidiary or shell company in a
tax haven A tax is a compulsory financial charge or some other type of levy imposed on a taxpayer (an individual or legal entity) by a governmental organization in order to fund government spending and various public expenditures (regional, local, or ...
at an artificially low price to pay less tax. An
African Union The African Union (AU) is a continental union consisting of 55 member states located on the continent of Africa. The AU was announced in the Sirte Declaration in Sirte, Libya, on 9 September 1999, calling for the establishment of the Africa ...
report estimates that about 30% of sub-Saharan Africa's GDP has been moved to tax havens. Solutions include corporate "country-by-country reporting" where corporations disclose activities in each country and thereby prohibit the use of tax havens where no effective economic activity occurs. Developing countries' debt service to banks and governments from richer countries can constrain government spending on the poor. For example, Zambia spent 40% of its total budget to repay foreign debt, and only 7% for basic state services in 1997. One of the proposed ways to help poor countries has been debt relief. Zambia began offering services, such as free health care even while overwhelming the health care infrastructure, because of savings that resulted from a 2005 round of debt relief. Since that round of debt relief, private creditors accounted for an increasing share of poor countries' debt service obligations. This complicated efforts to renegotiate easier terms for borrowers during crises such as the COVID-19 pandemic because the multiple private creditors involved say they have a fiduciary obligation to their clients such as the pension funds. The World Bank and the International Monetary Fund, as primary holders of developing countries' debt, attach structural adjustment
conditionalities In political economy and international relations, conditionality is the use of conditions attached to the provision of benefits such as a loan, debt relief or bilateral aid. These conditions are typically imposed by international financial institu ...
in return for loans which are generally geared toward loan repayment with
austerity Austerity is a set of political-economic policies that aim to reduce government budget deficits through spending cuts, tax increases, or a combination of both. There are three primary types of austerity measures: higher taxes to fund spend ...
measures such as the elimination of state subsidies and the privatization of state services. For example, the World Bank presses poor nations to eliminate subsidies for fertilizer even while many farmers cannot afford them at market prices. In Malawi, almost 5 million of its 13 million people used to need emergency food aid but after the government changed policy and subsidies for fertilizer and seed were introduced, farmers produced record-breaking corn harvests in 2006 and 2007 as Malawi became a major food exporter. A major proportion of aid from donor nations is tied, mandating that a receiving nation spend on products and expertise originating only from the donor country. US law requires food aid be spent on buying food at home, instead of where the hungry live, and, as a result, half of what is spent is used on transport.
Distressed securities fund A vulture fund is a hedge fund, private-equity fund or distressed debt fund, that invests in debt considered to be very weak or in default, known as distressed securities. Investors in the fund profit by buying debt at a discounted price on a ...
s, also known as ''vulture funds'', buy up the debt of poor nations cheaply and then sue countries for the full value of the debt plus interest which can be ten or 100 times what they paid. They may pursue any companies which do business with their target country to force them to pay to the fund instead. Considerable resources are diverted on costly court cases. For example, a court in Jersey ordered the Democratic Republic of the Congo to pay an American speculator $100 million in 2010. Now, the UK, Isle of Man and Jersey have banned such payments.


Reversing brain drain

The loss of basic needs providers emigrating from impoverished countries has a damaging effect. As of 2004, there were more Ethiopia-trained doctors living in Chicago than in Ethiopia. Proposals to mitigate the problem include compulsory government service for graduates of public medical and nursing schools and promoting medical tourism so that health care personnel have more incentive to practice in their home countries. It is very easy for Ugandan doctors to emigrate to other countries. It is seen that only 69% of the health care jobs were filled in Uganda. Other Ugandan doctors were seeking jobs in other countries leaving inadequate or less skilled doctors to stay in Uganda.


Preventing overpopulation

Poverty and lack of access to birth control can lead to population increases that put pressure on local economies and access to resources, amplifying other economic inequality and creating increase poverty. Better education for both men and women, and more control of their lives, reduces population growth due to family planning.World Bank. 2001. ''Engendering Development – Through Gender Equality in Right, Resources and Voice.'' New York: Oxford University Press. According to United Nations Population Fund (UNFPA), those who receive better education can earn money for their lives, thereby strengthening economic security.


Increasing personal income

The following are strategies used or proposed to increase personal incomes among the poor. Raising farm incomes is described as the core of the antipoverty effort as three-quarters of the poor today are farmers. Estimates show that growth in the agricultural productivity of small farmers is, on average, at least twice as effective in benefiting the poorest half of a country's population as growth generated in nonagricultural sectors.


Income grants

A
guaranteed minimum income Guaranteed minimum income (GMI), also called minimum income (or mincome for short), is a social-welfare system that guarantees all citizens or families an income sufficient to live on, provided that certain eligibility conditions are met, typicall ...
ensures that every citizen will be able to purchase a desired level of basic needs. A
basic income Universal basic income (UBI) is a social welfare proposal in which all citizens of a given population regularly receive an unconditional transfer payment, that is, without a means test or need to work. It would be received independently of an ...
(or
negative income tax In economics, a negative income tax (NIT) is a system which reverses the direction in which tax is paid for incomes below a certain level; in other words, earners above that level pay money to the state while earners below it receive money, as ...
) is a system of social security, that periodically provides each citizen, rich or poor, with a sum of money that is sufficient to live on. Studies of large cash-transfer programs in Ethiopia, Kenya, and Malawi show that the programs can be effective in increasing consumption, schooling, and nutrition, whether they are tied to such conditions or not. Proponents argue that a basic income is more economically efficient than a minimum wage and unemployment benefits, as the minimum wage effectively imposes a high marginal tax on employers, causing losses in efficiency. In 1968, Paul Samuelson, John Kenneth Galbraith and another 1,200 economists signed a document calling for the US Congress to introduce a system of income guarantees. Winners of the Nobel Prize in Economics, with often diverse political convictions, who support a basic income include Herbert A. Simon,
Friedrich Hayek Friedrich August von Hayek ( , ; 8 May 189923 March 1992), often referred to by his initials F. A. Hayek, was an Austrian–British economist, legal theorist and philosopher who is best known for his defense of classical liberalism. Haye ...
, Robert Solow, Milton Friedman,
Jan Tinbergen Jan Tinbergen (; ; 12 April 19039 June 1994) was a Dutch economist who was awarded the first Nobel Memorial Prize in Economic Sciences in 1969, which he shared with Ragnar Frisch for having developed and applied dynamic models for the analysis of ...
,
James Tobin James Tobin (March 5, 1918 – March 11, 2002) was an American economist who served on the Council of Economic Advisers and consulted with the Board of Governors of the Federal Reserve System, and taught at Harvard and Yale Universities. He de ...
and James Meade. Income grants are argued to be vastly more efficient in extending basic needs to the poor than subsidizing supplies whose effectiveness in poverty alleviation is diluted by the non-poor who enjoy the same subsidized prices. With cars and other appliances, the wealthiest 20% of Egypt uses about 93% of the country's fuel subsidies. In some countries, fuel subsidies are a larger part of the budget than health and education. A 2008 study concluded that the money spent on in-kind transfers in India in a year could lift all India's poor out of poverty for that year if transferred directly. The primary obstacle argued against direct cash transfers is the impractically for poor countries of such large and direct transfers. In practice, payments determined by complex iris scanning are used by war-torn Democratic Republic of Congo and Afghanistan, while India is phasing out its fuel subsidies in favor of direct transfers. Additionally, in aid models, the famine relief model increasingly used by aid groups calls for giving cash or cash vouchers to the hungry to pay local farmers instead of buying food from donor countries, often required by law, as it wastes money on transport costs.


Economic freedoms

Corruption often leads to many
civil service The civil service is a collective term for a sector of government composed mainly of career civil servants hired on professional merit rather than appointed or elected, whose institutional tenure typically survives transitions of political leaders ...
s being treated by governments as employment agencies to loyal supporters and so it could mean going through 20 procedures, paying $2,696 in fees, and waiting 82 business days to start a business in
Bolivia , image_flag = Bandera de Bolivia (Estado).svg , flag_alt = Horizontal tricolor (red, yellow, and green from top to bottom) with the coat of arms of Bolivia in the center , flag_alt2 = 7 × 7 square p ...
, while in Canada it takes two days, two registration procedures, and $280 to do the same. Such costly barriers favor big firms at the expense of small enterprises, where most jobs are created. Often, businesses have to bribe government officials even for routine activities, which is, in effect, a tax on business.Krugman, Paul, and Robin Wells. ''Macroeconomics''. 2. New York City: Worth Publishers, 2009. Print. Noted reductions in poverty in recent decades has occurred in China and India mostly as a result of the abandonment of
collective farming Collective farming and communal farming are various types of, "agricultural production in which multiple farmers run their holdings as a joint enterprise". There are two broad types of communal farms: agricultural cooperatives, in which member- ...
in China and the ending of the
central planning A planned economy is a type of economic system where investment, production and the allocation of capital goods takes place according to economy-wide economic plans and production plans. A planned economy may use centralized, decentralized, parti ...
model known as the
License Raj The Licence Raj or Permit Raj (''rāj'', meaning "rule" in Hindi) was the system of licences, regulations, and accompanying red tape, that hindered the set up and running of businesses in India between 1947 and 1990. Up to 80 government agencie ...
in India. The World Bank concludes that governments and feudal elites extending to the poor the right to the land that they live and use are 'the key to reducing poverty' citing that land rights greatly increase poor people's wealth, in some cases doubling it. Although approaches varied, the World Bank said the key issues were security of tenure and ensuring land transactions costs were low. Greater access to markets brings more income to the poor. Road infrastructure has a direct impact on poverty. Additionally, migration from poorer countries resulted in $328 billion sent from richer to poorer countries in 2010, more than double the $120 billion in official aid flows from OECD members. In 2011, India got $52 billion from its
diaspora A diaspora ( ) is a population that is scattered across regions which are separate from its geographic place of origin. Historically, the word was used first in reference to the dispersion of Greeks in the Hellenic world, and later Jews afte ...
, more than it took in foreign direct investment.


Financial services

Microloans, made famous by the
Grameen Bank Grameen Bank ( bn, গ্রামীণ ব্যাংক) is a microfinance organisation and community development bank founded in Bangladesh. It makes small loans (known as microcredit or "grameencredit") to the impoverished without requiri ...
, is where small amounts of money are loaned to farmers or villages, mostly women, who can then obtain physical capital to increase their economic rewards. However, microlending has been criticized for making hyperprofits off the poor even from its founder,
Muhammad Yunus Muhammad Yunus (born 28 June 1940) is a Bangladeshi social entrepreneur, banker, economist and civil society leader who was awarded the Nobel Peace Prize for founding the Grameen Bank and pioneering the concepts of microcredit and microfinan ...
, and in India,
Arundhati Roy Suzanna Arundhati Roy (born 24 November 1961) is an Indian author best known for her novel '' The God of Small Things'' (1997), which won the Booker Prize for Fiction in 1997 and became the best-selling book by a non-expatriate Indian author. ...
asserts that some 250,000 debt-ridden farmers have been driven to suicide. Those in poverty place overwhelming importance on having a safe place to save money, much more so than receiving loans. Additionally, a large part of microfinance loans are spent not on investments but on products that would usually be paid by a checking or savings account. Microsavings are designs to make savings products available for the poor, who make small deposits. Mobile banking uses the wide availability of mobile phones to address the problem of the heavy regulation and costly maintenance of saving accounts. This usually involves a network of agents of mostly shopkeepers, instead of bank branches, would take deposits in cash and translate these onto a virtual account on customers' phones. Cash transfers can be done between phones and issued back in cash with a small commission, making
remittance A remittance is a non-commercial transfer of money by a foreign worker, a member of a diaspora community, or a citizen with familial ties abroad, for household income in their home country or homeland. Money sent home by migrants competes wit ...
s safer.


Reversing wealth concentration

Oxfam, among others, has called for an international movement to end extreme wealth concentration arguing that the concentration of resources in the hands of the top 1% depresses economic activity and makes life harder for everyone else—particularly those at the bottom of the economic ladder. And they say that the gains of the world's billionaires in 2017, which amounted to $762 billion, were enough to end extreme global poverty seven times over.


Perspectives


Economic theories

The cause of poverty is a highly ideologically charged subject, as different causes point to different remedies. Very broadly speaking, the socialist tradition locates the roots of poverty in problems of distribution and the use of the
means of production The means of production is a term which describes land, labor and capital that can be used to produce products (such as goods or services); however, the term can also refer to anything that is used to produce products. It can also be used as an ...
as capital benefiting individuals, and calls for redistribution of wealth as the solution, whereas the
neoliberal Neoliberalism (also neo-liberalism) is a term used to signify the late 20th century political reappearance of 19th-century ideas associated with free-market capitalism after it fell into decline following the Second World War. A prominent fa ...
school of thought holds that creating conditions for profitable private investment is the solution. Neoliberal think tanks have received extensive funding, and the ability to apply many of their ideas in highly indebted countries in the
global South The concept of Global North and Global South (or North–South divide in a global context) is used to describe a grouping of countries along socio-economic and political characteristics. The Global South is a term often used to identify region ...
as a condition for receiving emergency loans from the International Monetary Fund. The existence of inequality is in part due to a set of self-reinforcing behaviors that all together constitute one aspect of the
cycle of poverty In economics, a cycle of poverty or poverty trap is caused by self-reinforcing mechanisms that cause poverty, once it exists, to persist unless there is outside intervention. It can persist across generations, and when applied to developing cou ...
. These behaviors, in addition to unfavorable, external circumstances, also explain the existence of the
Matthew effect The Matthew effect of accumulated advantage, Matthew principle, or Matthew effect, is the tendency of individuals to accrue social or economic success in proportion to their initial level of popularity, friends, wealth, etc. It is sometimes summar ...
, which not only exacerbates existing inequality, but is more likely to make it multigenerational. Widespread, multigenerational poverty is an important contributor to civil unrest and political instability. For example, Raghuram G. Rajan, former governor of the Reserve Bank of India and former chief economist at the International Monetary Fund, has blamed the ever-widening gulf between the rich and the poor, especially in the US, to be one of the main fault lines which caused the financial institutions to pump money into
subprime mortgages The United States subprime mortgage crisis was a multinational financial crisis that occurred between 2007 and 2010 that contributed to the 2007–2008 global financial crisis. It was triggered by a large decline in US home prices after the coll ...
—on political behest, as a palliative and not a remedy, for poverty—causing the
financial crisis of 2007–2009 Finance is the study and discipline of money, currency and capital assets. It is related to, but not synonymous with economics, the study of production, distribution, and consumption of money, assets, goods and services (the discipline of fin ...
. In Rajan's view the main cause of the increasing gap between high income and low income earners was lack of equal access to higher education for the latter. A data based scientific empirical research, which studied the impact of dynastic politics on the level of poverty of the provinces, found a
positive correlation In statistics, correlation or dependence is any statistical relationship, whether causal or not, between two random variables or bivariate data. Although in the broadest sense, "correlation" may indicate any type of association, in statistics ...
between dynastic politics and poverty; i.e. the higher proportion of dynastic politicians in power in a province leads to higher poverty rate. There is significant evidence that these political dynasties use their political dominance over their respective regions to enrich themselves, using methods such as graft or outright bribery of legislators. Many scholars and public intellectuals argue that, throughout most of human history, extreme poverty was the norm for roughly 90% of the population, with only the emergence of
industrial capitalism Capitalism is an economic system based on the private ownership of the means of production and their operation for profit. Central characteristics of capitalism include capital accumulation, competitive markets, price system, private pr ...
in the 19th century lifting masses of people out of it. This narrative is advanced by, among others,
Martin Ravallion Martin Ravallion (19 March 1952 – 24 December 2022) was an Australian economist. He was the inaugural Edmond D. Villani Professor of Economics at Georgetown University, and had previously been director of the research department at the World ...
,
Nicholas Kristof Nicholas Donabet Kristof (born April 27, 1959) is an American journalist and political commentator. A winner of two Pulitzer Prizes, he is a regular CNN contributor and an op-ed columnist for ''The New York Times''. Born in Chicago, Kristof was ...
, and
Steven Pinker Steven Arthur Pinker (born September 18, 1954) is a Canadian-American cognitive psychologist, psycholinguist, popular science author, and public intellectual. He is an advocate of evolutionary psychology and the computational theory of mind. P ...
. Some academics including Dylan Sullivan and
Jason Hickel Jason Edward Hickel (born 1982) is an economic anthropologist whose research focuses on ecological economics, global inequality, imperialism and political economy. He is known for his books ''The Divide: A Brief Guide to Global Inequality and ...
have challenged this contemporary mainstream narrative on poverty, arguing that extreme poverty was not the norm throughout human history, but emerged during "periods of severe social and economic dislocation," including high European feudalism and the apex of the Roman Empire, and that it expanded significantly after 1500 with the emergence of colonialism and the beginnings of capitalism, stating that "the expansion of the capitalist world-system caused a dramatic and prolonged process of impoverishment on a scale unparalleled in recorded history." Sullivan and Hickel assert that only with the rise of
anti-colonial Decolonization or decolonisation is the undoing of colonialism, the latter being the process whereby imperial nations establish and dominate foreign territories, often overseas. Some scholars of decolonization focus especially on independence m ...
and socialist political movements in the 20th century did human welfare begin to see significant improvement.


Environmentalism

Important studies such as the
Brundtland Report __NOTOC__ ''Our Common Future'', also known as the Brundtland Report, was published on October 1987 by the United Nations through the Oxford University Press. This publication was in recognition of Gro Harlem Brundtland's, former Norwegian Prime M ...
concluded that poverty causes environmental degradation, while other theories like environmentalism of the poor conclude that the global poor may be the most important force for sustainability. Either way, the poor suffer most from environmental degradation caused by reckless exploitation of natural resources by the rich. This unfair distribution of environmental burdens and benefits has generated the global environmental justice movement. A report published in 2013 by the World Bank, with support from the
Climate & Development Knowledge Network The Climate and Development Knowledge Network (CDKN) works to enhance the quality of life for the poorest and most vulnerable to climate change. CDKN does this by combining research, advisory services and knowledge management in support of local ...
, found that climate change was likely to hinder future attempts to reduce poverty. The report presented the likely impacts of present day, 2 °C and 4 °C warming on agricultural production, water resources, coastal ecosystems and cities across Sub-Saharan Africa, South Asia and South East Asia. The impacts of a temperature rise of 2 °C included: regular food shortages in Sub-Saharan Africa; shifting rain patterns in South Asia leaving some parts under water and others without enough water for power generation, irrigation or drinking; degradation and loss of reefs in South East Asia, resulting in reduced fish stocks; and coastal communities and cities more vulnerable to increasingly violent storms. In 2016, a UN report claimed that by 2030, an additional 122 million more people could be driven to extreme poverty because of climate change. Global warming can also lead to a deficiency in water availability; with higher temperatures and CO2 levels, plants consume more water leaving less for people. By consequence, water in rivers and streams will decline in the mid-altitude regions like Central Asia, Europe and North America. And if CO2 levels continue to rise, or even remain the same, droughts will be happening much faster and will be lasting longer. According to a 2016 study led by Professor of Water Management, Arjen Hoekstra, four billion people are affected by water scarcity at least one month per year.


Spirituality

Among some individuals, poverty is considered a necessary or desirable condition, which must be embraced to reach certain spiritual, moral, or intellectual states. Poverty is often understood to be an essential element of
renunciation Renunciation (or renouncing) is the act of rejecting something, especially if it is something that the renunciant has previously enjoyed or endorsed. In religion, renunciation often indicates an abandonment of pursuit of material comforts, in t ...
in religions such as
Buddhism Buddhism ( , ), also known as Buddha Dharma and Dharmavinaya (), is an Indian religion or philosophical tradition based on teachings attributed to the Buddha. It originated in northern India as a -movement in the 5th century BCE, and gra ...
, Hinduism (only for monks, not for lay persons) and Jainism, whilst in Christianity, in particular Roman Catholicism, it is one of the evangelical counsels. The main aim of giving up things of the materialistic world is to withdraw oneself from sensual pleasures (as they are considered illusionary and only temporary in some religions—such as the concept of dunya in Islam). This self-invited poverty (or giving up pleasures) is different from the one caused by economic imbalance. Some Christian communities, such as the Simple Way, the Bruderhof, and the
Amish The Amish (; pdc, Amisch; german: link=no, Amische), formally the Old Order Amish, are a group of traditionalist Anabaptist Christian church fellowships with Swiss German and Alsatian origins. They are closely related to Mennonite churche ...
value voluntary poverty; some even take a vow of poverty, similar to that of the traditional Catholic orders, in order to live a more complete life of discipleship.
Benedict XVI Pope Benedict XVI ( la, Benedictus XVI; it, Benedetto XVI; german: link=no, Benedikt XVI.; born Joseph Aloisius Ratzinger, , on 16 April 1927) is a retired prelate of the Catholic church who served as the head of the Church and the sovereig ...
distinguished "poverty ''chosen''" (the poverty of spirit proposed by Jesus), and "poverty ''to be fought''" (unjust and imposed poverty). He considered that the moderation implied in the former favors solidarity, and is a necessary condition so as to fight effectively to eradicate the abuse of the latter. As it was indicated above the reduction of poverty results from religion, but also can result from solidarity.


Charts and tables


See also

*
Accumulation by dispossession Accumulation by dispossession is a concept presented by the Marxist geographer David Harvey. It defines neoliberal capitalist policies that result in a centralization of wealth and power in the hands of a few by dispossessing the public and priv ...
*
Aporophobia Aporophobia (from the Spanish ''aporofobia'', and this from the Ancient Greek ἄπορος (''áporos''), 'without resources, indigent, poor,' and φόβος (''phobos''), 'hatred' or 'aversion') are negative attitudes and feelings towards pove ...
*
Bottom of the pyramid The bottom of the pyramid, bottom of the wealth pyramid or the bottom of the income pyramid is the largest, but poorest socio-economic group. In global terms, this is the 2.7 billion people who live on less than $2.50 a day. Management schol ...
*
Environmental racism Environmental racism or ecological apartheid is a form of institutional racism leading to landfills, incinerators, and hazardous waste disposal being disproportionally placed in communities of colour. Internationally, it is also associated with ...
* Food bank * Income disparity *
International development International development or global development is a broad concept denoting the idea that societies and countries have differing levels of economic or human development on an international scale. It is the basis for international classifications ...
*
International inequality International inequality refers to inequality between countries, as compared to global inequality, which is inequality between people across countries. International inequality research has primarily been concentrated on the rise of internati ...
* Involuntary unemployment *
Juvenilization of poverty The term juvenilization of poverty is one used to describe the processes by which children are at a higher risk for being poor, suffer consistent and long-term negative effects due to deprivation (physical, mental, and psychological), and are dispr ...
*
List of countries by percentage of population living in poverty Countries by percentage of population living in poverty, as recorded by World Bank and other sources. Methodology "Poverty" is defined as an economic condition by the lack of both money and basic necessities needed to live successfully, s ...
* Millennium Development Goals *
Poverty trap In economics, a cycle of poverty or poverty trap is caused by self-reinforcing mechanisms that cause poverty, once it exists, to persist unless there is outside intervention. It can persist across generations, and when applied to developing cou ...
* Redistribution of income and wealth * Social programs * Social safety net *
United Nations Millennium Declaration On 8 September 2000, following a three-day Millennium Summit of world leaders gathered in New York at the headquarters of the United Nations, the UN General Assembly adopted some 60 goals regarding peace; development; environment; human rights; t ...
*
World Poverty Clock The World Poverty Clock is a tool to monitor progress against poverty globally, and regionally. It provides real-time poverty data across countries. Created by the Vienna-based NGO, World Data Lab, it was launched in Berlin at the re:publica con ...


References


Citations


Sources

*


Further reading

* Allen, Robert C. 2020.
Poverty and the Labor Market: Today and Yesterday.
" Annual Review of Economomics. * Atkinson, Anthony. ''Poverty in Europe'' 1998 * * Banerjee, Abhijit & Esther Duflo, Poor Economics: A Radical Rethinking of the Way to Fight Global Poverty (New York: PublicAffairs, 2011) * Bergmann, Barbara
"Deciding Who's Poor"
,
Dollars & Sense ''Dollars & Sense'' is a magazine focusing on economics from a progressive perspective, published by Dollars & Sense, Inc, which also publishes textbooks in the same genre. ''Dollars & Sense'' describes itself as publishing "economic news and ana ...
, March/April 2000 * Betson, David M. & Warlick, Jennifer L. "Alternative Historical Trends in Poverty." ''American Economic Review'' 88:348–51. 1998. * Brady, David "Rethinking the Sociological Measurement of Poverty" ''Social Forces'' 81#3 2003, pp. 715–751 Online in Project Muse. * Buhmann, Brigitte, et al. 1988. "Equivalence Scales, Well-Being, Inequality, and Poverty: Sensitivity Estimates Across Ten Countries Using the Luxembourg Income Study (LIS) Database." Review of Income and Wealth 34:115–142. * * Danziger, Sheldon H. & Weinberg, Daniel H. "The Historical Record: Trends in Family Income, Inequality, and Poverty." pp. 18–50 in ''Confronting Poverty: Prescriptions for Change,'' edited by Sheldon H. Danziger, Gary D. Sandefur, and Daniel. H. Weinberg. Russell Sage Foundation. 1994. * Firebaugh, Glenn. "Empirics of World Income Inequality." ''American Journal of Sociology'' (2000) 104:1597–1630. in JSTOR * Gans, Herbert J.
"The Uses of Poverty: The Poor Pay All"
, Social Policy, July/August 1971: pp. 20–24 * Gordon, David M. ''Theories of Poverty and Underemployment: Orthodox, Radical, and Dual Labor Market Perspectives.'' 1972. * Haveman, Robert H. ''Poverty Policy and Poverty Research.'' University of Wisconsin Press 1987 * Haymes, Stephen, Maria Vidal de Haymes and Reuben Miller (eds).
The Routledge Handbook of Poverty in the United States
.'' Routledge, 2015. . * Iceland, John ''Poverty in America: a handbook'' University of California Press, 2003 * * McEwan, Joanne, and Pamela Sharpe, eds. ''Accommodating Poverty: The Housing and Living Arrangements of the English Poor, c. 1600–1850'' (Palgrave Macmillan; 2010) 292 pages; scholarly studies of rural and urban poor, as well as vagrants, unmarried mothers, and almshouse dwellers. * * * Paugam, Serge. "Poverty and Social Exclusion: a sociological view." pp. 41–62 in ''The Future of European Welfare'', edited by Martin Rhodes and Yves Meny, 1998. * * Prashad, Vijay. ''The Poorer Nations: A Possible History of the Global South.''
Verso Books Verso Books (formerly New Left Books) is a left-wing publishing house based in London and New York City, founded in 1970 by the staff of ''New Left Review''. Renaming, new brand and logo Verso Books was originally known as New Left Books. The ...
, June 2014. * Pressman, Steven, ''Poverty in America: an annotated bibliography.'' Metuchen, NJ: Scarecrow Press, 1994 * Robinson, Marilynne, "Is Poverty Necessary? An idea that won't go away", '' Harper's Magazine'', vol. 338, no. 2029 (June 2019), pp. 25–33. "To bring up the subject of providing a better life is to lean too far left, to flirt with socialism.... 'Why... do wages tend to a minimum which will give but a bare living?' A short answer would be: because they can.... Insofar as the public is barred from taking a central role in society, we lose wisdom to stealth, stupidity, parochialism." * Rothman, David J., (editor). ''The Almshouse Experience'' (Poverty U.S.A.: the Historical Record). New York: Arno Press, 1971. Reprint of Report of the committee appointed by the Board of Guardians of the Poor of the City and Districts of Philadelphia to visit the cities of Baltimore, New York, Providence, Boston, and Salem (published in Philadelphia, 1827); Report of the Massachusetts General Court's Committee on Pauper Laws (published in oston? 1821); and the 1824 Report of the New York Secretary of State on the relief and settlement of the poor (from the 24th annual report of the New York State Board of Charities, 1901). * Roy, Arundhati, ''Capitalism: A Ghost Story'', Haymarket Books, 2014, . * Sen, Amartya, ''Poverty and Famines: An Essay on Entitlement and Deprivation'', Oxford,
Clarendon Press Oxford University Press (OUP) is the university press of the University of Oxford. It is the largest university press in the world, and its printing history dates back to the 1480s. Having been officially granted the legal right to print books ...
, 1981. * Sen, Amartya, ''Development as Freedom'', New York, Knopf, 1999. * Smeeding, Timothy M., O'Higgins, Michael & Rainwater, Lee. ''Poverty, Inequality and Income Distribution in Comparative Perspective.'' Urban Institute Press 1990. * Smith, Stephen C., ''Ending Global Poverty: a guide to what works'', New York: Palgrave Macmillan, 2005 * * Wilson, Richard & Pickett, Kate. ''The Spirit Level'', London: Allen Lane, 2009
World Bank: "Can South Asia End Poverty in a Generation?"
* World Bank,
World Development Report 2004: Making Services Work For Poor People"
2004


External links


Addressing Global Poverty
from th
Dean Peter Krogh Foreign Affairs Digital Archives

Data visualizations of the long-run development of poverty and list of data sources on poverty
on 'Our World in Data'.
Islamic Development Bank

Luxembourg Income Study
Contains a wealth of data on income inequality and poverty, and hundreds of its sponsored research papers using this data.
Organization for Economic Cooperation and Development
Contains reports on economic development as well as relations between rich and poor nations.
OPHI
Oxford Poverty & Human Development Initiative (OPHI) Research to advance the human development approach to poverty reduction.
Transparency International
Tracks issues of government and corporate corruption around the world.
United Nations
Hundreds of free reports related to economic development and standards of living in countries around the world, such as the annual ''Human Development Report.''
US Agency for International Development
USAID is the primary US government agency with the mission for aid to developing countries.
World Bank
Contains hundreds of reports which can be downloaded for free, such as the annual ''World Development Report.''
World Food Program
Associated with the United Nations, the World Food Program compiles hundreds of reports on hunger and food security around the world.
Why poverty
Documentary films about poverty broadcast on television around the world in November 2012, then will be available online.
Annual income of richest 100 people enough to end global poverty four times over
'' Oxfam International,'' 19 January 2013.
Contains estimates on the number of people living in poverty in selected countries from 1973 to 1985

Contains information on poverty in 1980

Contains estimates on trends in global extreme poverty since 1820

Contains estimates on global poverty in 1975

Summary of Human Development Report 2014
by the '' United Nations Development Programme''
Making Poverty History
by
Vijay Prashad Vijay Prashad is an Indian Marxist historian and commentator. He is an executive-director of Tricontinental: Institute for Social Research, the Chief Editor of LeftWord Books, and a senior non-resident fellow at Chongyang Institute for Finan ...
for '' Jacobin.'' 10 November 2014. {{Authority control Aid Development economics