World Development Indicators 2012

Page 98

International poverty linea

International poverty line in local currency

Tunisia Turkey Turkmenistan Uganda Ukraine Uruguay Venezuela, RB Vietnam West Bank and Gaza Yemen, Rep. Zambia

$1.25 a day

$2 a day

2005

2005

0.9 1.3 5,961.1c 930.8 2.1 19.1 1,563.9 7,399.9 2.7c 113.8 3,537.9

1.4 2.0 9,537.7c 1,489.2 3.4 30.6 2,502.2 11,839.8 4.3c 182.1 5,660.7

PEOPLE

2.8

Poverty rates at international poverty lines

Survey year b

Population below $1.25 a day %

Poverty gap at $1.25 a day %

Population below $2 a day %

Poverty gap at $2 a day %

2000 2007 1993e 2006 2008 2009 f 2005f 2006 2007 1998 2004

2.6 <2 63.5 51.5 <2 <2 13.4 21.4 <2 12.9 64.3

0.5 <0.5 25.8 19.1 <0.5 <0.5 8.2 5.3 <0.5 3.0 32.8

12.8 4.5 85.7 75.6 <2 <2 21.9 48.1 2.5 36.4 81.5

3.0 1.2 44.9 36.4 <0.5 <0.5 11.6 16.3 0.5 11.1 48.3

Survey year b

Population below $1.25 a day %

Poverty gap at $1.25 a day %

Population below $2 a day %

Poverty gap at $2 a day %

2005 2008 1998 2009 2009 2010 f 2006f 2008 2009 2005 2006

<2 <2 24.8 38.0 <2 <2 6.6 16.9 <2 17.5 68.5

<0.5 <0.5 7.0 12.2 <0.5 <0.5 3.7 3.8 <0.5 4.2 37.0

8.1 4.2 49.7 64.7 <2 <2 12.9 43.4 <2 46.6 82.6

1.8 0.7 18.4 27.4 <0.5 <0.5 5.9 13.5 <0.5 14.8 51.8

a. Based on nominal per capita consumption averages and distributions estimated parametrically from grouped household survey data, unless otherwise noted. b. Refers to the year in which the underlying household survey data were collected or, when the data collection period bridged two calendar years, the year in which most of the data were collected. c. Based on purchasing power parity (PPP) dollars imputed using regression. d. Covers urban areas only. e. Based on per capita income averages and distributions estimated parametrically from grouped household survey data. f. Estimated nonparametrically from nominal income per capita distributions based on unit-record household survey data. g. PPP conversion factor based on urban prices. h. Population-weighted average of urban and rural estimates. i. Based on benchmark national PPP estimate rescaled to account for cost-of-living differences in urban and rural areas. j. Estimated nonparametrically from nominal consumption per capita distributions based on unit-record household survey data.

Regional poverty estimates and progress toward

declined from 77 percent in 1981 to 14 percent in

Most of the people who have escaped extreme

the Millennium Development Goals

2008 and the number of people living on less than

poverty remain very poor by the standards of middle-

Global poverty measured at the $1.25 a day pov-

$1.25 a day dropped more than 800 million (fi gure

income countries. The median poverty line for devel-

erty line has been decreasing since the 1980s. The

2.8b). Much of this decline was in China, where the

oping countries in 2005 was $2 a day. The poverty

share of population living on less than $1.25 a day

poverty rate fell from 84 percent to 13 percent,

rate for all developing countries measured at this line

fell almost 10 percentage points, to 43 percent,

leaving about 660 million fewer people poor. Over

fell from nearly 70 percent in 1981 to 43 percent in

in 1990 and then fell about 20 percentage points

the same period the poverty rate in South Asia

2008, but the number of people living on less than

between 1990 and 2008. The number of people liv-

fell from 61 percent to 36 percent (table 2.8c).

$2 a day has remained nearly constant at around

ing in extreme poverty fell from 1.9 billion in 1990

In contrast, the poverty rate fell only slightly in

2.5 billion. The largest decrease, in both number and

to about 1.3 billion in 2008 (figure 2.8a). This sub-

Sub-Saharan Africa—from less than 52 percent in

proportion, occurred in East Asia and Pacific, led by

stantial reduction in extreme poverty over the past

1981 to more than 59 percent in 1993 then down

China. By contrast in Sub-Saharan Africa and South

quarter century, however, disguises large regional

to 47.5 percent in 2008. But the number of people

Asia, particularly India, the number of people living

differences.

living below the poverty line has nearly doubled

on less than $2 a day increased. And globally the

over this period and started declining slightly only

number of people living on $1.25–$2 a day nearly

from 2005 onward.

doubled, to 1.2 billion (see figure 2.8a).

The greatest reduction in poverty occurred in East Asia and Pacifi c, where the poverty rate

While the number of people living on less than $1.25 a day has fallen, the number living on $1.25–$2 a day has increased 2.8a

80

2.5

People living on $1.25–$2 a day, all developing regions

People living on less than $1.25 a day, other developing regions

40 South Asia

People living on less than $1.25 a day, East Asia & Pacific 20

0.5

Sub-Saharan Africa

60

1.5 1.0

2.8b

Share of population living on less than $1.25 a day, by region (percent)

People living in poverty (billions) 3.0

2.0

Poverty rates are falling in all developing regions

People living on less than $1.25 a day, South Asia

People living on less than $1.25 a day, Sub-Saharan Africa

0 1981

1984

1987

1990

Source: PovcalNet, World Bank.

1993

1996

1999

2002

2005

2008

Europe & Central Asia

Middle East & North Africa

Latin America & Caribbean

East Asia & Pacific

0 1981

1984

1987

1990

1993

1996

1999

2002

2005

2008

Source: PovcalNet, World Bank.

2012 World Development Indicators

71


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