Absolute poverty is a condition characterized by a severe deprivation of basic human needs, including food, safe drinking water, sanitation, health, shelter, education and information. It occurs when household income falls below a level necessary to maintain these basic living standards, essentially threatening survival.
Understanding Absolute Poverty
Unlike relative poverty, which defines poverty in relation to the living standards of the majority in a particular society, absolute poverty is a fixed standard across countries and over time. This fixed standard typically represents the minimum resources required for physical survival.
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Key Characteristics:
- Fixed Standard: Measured against a consistent benchmark of minimum requirements.
- Survival Threat: Lack of resources directly impacts physical survival and well-being.
- Cross-Country Comparison: Allows for comparison of poverty levels between different nations.
- Time-Series Analysis: Enables tracking of poverty trends over time using a consistent measure.
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Measuring Absolute Poverty:
- The World Bank defines extreme poverty as living on less than $2.15 per day (2017 PPP). This is a common, although not the only, measure used.
- National poverty lines, based on the cost of a basket of essential goods and services, may also be used to measure absolute poverty within a country.
Examples of Absolute Poverty Conditions
Households experiencing absolute poverty often face:
- Chronic hunger and malnutrition.
- Lack of access to clean water and sanitation, leading to disease.
- Inadequate or non-existent housing.
- Limited or no access to healthcare.
- Lack of educational opportunities.
Why Absolute Poverty Matters
Understanding and addressing absolute poverty is crucial for several reasons:
- Humanitarian Imperative: Alleviating suffering and ensuring basic human rights.
- Economic Development: Poverty hinders economic growth by reducing productivity and human capital.
- Social Stability: Poverty can lead to social unrest and instability.
- Global Health: Poverty contributes to the spread of infectious diseases.
In summary, absolute poverty represents a state of severe deprivation where individuals lack the basic resources necessary for survival, measured against a fixed standard applicable across different countries and time periods. This makes it a critical indicator for tracking progress in global development and addressing fundamental human needs.