The state of having insufficient financial resources to meet basic needs such as food, shelter, and healthcare, limiting the ability to live a dignified life.

Absolute Poverty

A condition where individuals cannot meet the minimum requirements for survival.

Measurement: Defined by living on less than $1.90 per day (World Bank standard).

Implications: Prevalent in many developing countries, leading to malnutrition, poor health, and high mortality rates due to lack of access to essential resources.

Relative Poverty

A condition where individuals have significantly less income compared to the average in their society.

Measurement: Earning less than 60% of the median income within a country.

Implications: Highlights economic inequality, leading to social exclusion and limited access to opportunities despite basic needs being met.

Addressing Poverty

• Economic Growth: Creating jobs and improving infrastructure.
• Education and Healthcare: Investing in these areas to enhance skills and health.
• Social Programs: Implementing safety nets to support those in need.

Addressing poverty requires tackling both absolute and relative dimensions. Absolute poverty needs urgent attention for basic survival, while relative poverty requires efforts to reduce inequality and promote social inclusion.