Munich Personal RePEc Archive

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.

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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.

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