Impacts of Policies on Poverty. Relative Poverty Lines

Bellù, Lorenzo Giovanni and Liberati, Paolo (2005): Impacts of Policies on Poverty. Relative Poverty Lines. Published in: EASYPol : online resources for policy making www.fao.org/easypol (November 2005): pp. 1-13.

Abstract

This module illustrates how to define “relative” poverty lines, i.e. poverty lines based on approaches that consider the welfare position of each individual or household in relation to the welfare position of other individuals or households belonging to the same community. In particular, the module, after emphasizing the importance of the relative poverty concept in policy work, discusses two methods to define relative poverty lines: a) the “income levels” method; and b) the “income positions” method. It also shows in what these methods differ, and how they can be made operational, by means of step-by-step procedures and examples. In policy work, relativist concepts of poverty are widely used.

• Item Type: MPRA Paper
• Language: English
• Keywords: policy impact analysis welfare indicator household income household expenditure relative poverty concept policy analysis poverty lines inequality analysis
• Subjects: D - Microeconomics > D3 - Distribution > D31 - Personal Income, Wealth, and Their Distributions; E - Macroeconomics and Monetary Economics > E6 - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook > E64 - Incomes Policy ; Price Policy; I - Health, Education, and Welfare > I3 - Welfare, Well-Being, and Poverty > I32 - Measurement and Analysis of Poverty

References

FAO EASYPol: online resources for policy making www.fao.org/easypol