5 DIFFERENCES BETWEEN ABSOULUTE POVERTY AND RELATIVE POVERTY

Here are five differences between absolute poverty and relative poverty:
Definition: Absolute poverty refers to a condition where individuals lack the basic necessities for survival, such as food, shelter, and clean water, meanwhile, relative poverty is a condition where individuals are poor in comparison to others in their society, even if their basic needs are met.
Measurement: Absolute poverty is measured using a fixed threshold, often based on the income needed to meet basic living standards, meanwhile, relative poverty is measured by comparing an individual’s income or resources to the median income of the society they live in.
Scope: Absolute poverty is a universal concept that applies uniformly across different countries and cultures, meanwhile, relative poverty varies depending on the economic conditions and standards of living in a particular society or country.
Focus: Absolute poverty focuses on the minimum level of income or resources required for physical survival, meanwhile, relative poverty focuses on social inequality and the distribution of wealth within a community or nation.
Examples: A person living on less than $1.90 per day is considered to be in absolute poverty according to the World Bank's international poverty line, meanwhile, a person earning significantly less than the average income in a wealthy society but who still has access to basic needs may be considered to be in relative poverty.