Introduction Of Poverty

Introduction

Poverty is general scarcity, or the state of one who lacks a certain amount of material possessions or money. It is a multifaceted concept, which includes social, economic, and political elements. Poverty seems to be chronic or temporary, and most of the time it is closely related to inequality. As a dynamic concept, poverty is changing and adapting according to consumption patterns, social dynamics and technological change. Absolute poverty or destitution refers to the deprivation of basic human needs, which commonly includes food, water, sanitation, clothing, shelter and health care. Relative poverty is defined contextually as economic inequality in the location or society in which people live.

After the industrial revolution,

They are based on the idea that the household is not necessarily equal to the sum of its parts. In other words, individuals within the household may have varying needs and consumption demands. For example, while an adult may require a certain energy diet for subsistence, a child may need much less. In this case, one may not equate the cost of these two individuals in the household. In the same vein, while living alone may cost a set amount, addition of another adult leads to a situation of pooled consumption in which both individuals may share in the use of certain public goods(for example, shelter, food, heating). In this case, adding a person to the household also does not add up to the sum of the two parts. This phenomenon is referred to as economies of scale. Although the OECD equivalence scale is commonly used in the literature, it is important to note that a variety of equivalent scales are available and each may systematically affect the absolute or relative levels of poverty apparent in a given population.23

Although current poverty lines are invaluable in assessing poverty and inequality between households, they are ineffective in capturing disparities within households. As poverty statistics are generally collected through household living standard surveys, the relative needs and consumption patterns of individual members are not adequately taken into account. This can

This method simply asks people how much they need to "make ends meet" using a direct survey question. The monetary values derived from this question can then be compared with actual household income (resources) after appropriate adjustments for house hold size and composition, to derive a subjective poverty line.26 Recent studies have found this subjective poverty line similar to those that are calculated using traditional, "objective" methods.27 If proved to be a robust approach to determine minimum living standards, the MIQ could significantly reduce the time, effort and resources needed to establish poverty lines in the future. It would also allow for more flexible and frequent inter-country and intra-country poverty analyses.

Vulnerability refers to the risk a person or group may have of crossing the poverty line.28-31 It describes the probability of becoming poor and is a function of external shocks and stresses. Some researchers note the dual risks experienced by such groups: that of external threats to livelihood and security (for example, climate, market collapse, etc) and the lack of internal preparedness for times of