Measures of Poverty, Absolute-Income-Based

The measurement of economic welfare is an important tool in tackling poverty, and one of the most common ways of determining the economic welfare of groups and individual is through the use of absolute-income-based measures of poverty. There are a number of economic indicators currently in use based on income, and these have proven useful in evaluating poverty, formulating poverty-alleviation policies, and making comparisons between different societies. Despite the widespread use of income-based indicators, in recent years the focus has shifted from assessing poverty by merely looking at income to a multidimensional view that considers other factors related to poverty, such as vulnerability, discrimination, social exclusion, lack of access to services, and social capital.

The accurate measurement of poverty is essential to determine the extent of ...