Compare the method used by the United Nations to measure of global poverty, to the method...

Compare the method used by the United Nations to measure of global poverty, to the method used to measure U.S poverty rate

Expert Solution

MEASURING GLOBAL POVERTY- ( UNITED NATIONS)

1- The most common method to measure global poverty is to calculate the headcount index. The headcount index of poverty calculates the number of poor as a proportion of the total population.

2- Conducting the surveys in order to collect information on household income which, when divided by the number of household members, gives a per capita measure of income.

3- Setting up a global poverty line i.e deciding the level of minimum income globally. if the person lies below that level of income then he is considered poor or below the poverty line.

4- more than one measures are used by the united nations in order to measure the global poverty in order to find out the best outcomes but these measure sometimes create controversies because different methods give different datas.

MEASURING US POVERTY RATE-

In united states the income of the person or the family is compared to the set standards by the government or the economics departments and the income standards are set. If the income of the person or the family lies below that set standard then the person or the family is said to be poor.

The poverty rate is measured as the percentage of the persons lying below the set income standards to the total income earning population.

The U.S. Census Bureau is the government agency in charge of measuring poverty. To do so, it uses two main measures, the official poverty measure and the Supplemental Poverty Measure.-:

Official poverty measure (OPM) compares pre-tax cash income against a threshold that is set at three times the cost of a minimum food diet in 1963 and adjusted for family size.
Supplemental Poverty Measure or SPM provides an alternative view of poverty in the United States that better reflects life in the 21st century, including contemporary social and economic realities and government policy

Rahul Sunny answered 2 years ago

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