End poverty in all its forms everywhere
Definitions of poverty
Poverty may be defined as either absolute or relative:
- Absolute poverty or destitution refers to the lack of means necessary to meet basic needs such as food, clothing and shelter. Absolute poverty refers to a set standard, which is consistent over time and between countries. First introduced in 1990, the international dollar-a-day poverty line measured income poverty with respect to a line that reflects the standards of absolute poverty in the world’s poorest countries. The World Bank defined the new international poverty line as USD 1.25 a day in 2008; and in October 2015 they reset it to USD 1.90 a day.
- Relative poverty takes into consideration individual social and economic status compared to the rest of society. Relative poverty views poverty as socially defined and dependent on social context, hence relative poverty is a measure of income inequality. Usually, relative poverty is measured as the percentage of the population with income less than some fixed proportion of the median income. People are poverty stricken when their income, even if adequate for survival, falls markedly behind that of their community. Individuals can be said to be living in poverty when they lack the resources to obtain the types of diet, participate in the activities and have the living conditions and amenities that are customary, or at least widely encouraged or approved, in the societies to which they belong. The main poverty line used in the European Union is based on "economic distance", a level of income set at 60 percent of the median household income.
- Extreme poverty does not entail just having unsatisfied material needs or being undernourished. It is often accompanied by a degrading state of powerlessness. Even in democratic and relatively well governed countries, poor people have to accept daily humiliations without protest. Often, they cannot provide for their children and have a strong sense of shame and failure. When trapped in poverty, people lose hope of ever escaping from the cycle of hard work for which they often have nothing to show beyond their bare survival. Extreme poverty is a global challenge: it can be observed in all parts of the world, including developed economies.

























