A new way to measure poverty shows the US falling behind Europe
9 hours ago
- #income inequality
- #economic comparison
- #poverty measurement
- The US requires 63 minutes to earn $1 in international dollars, twice the time compared to Germany (26 min), France (31 min), and the UK (34 min), indicating higher average poverty.
- Average poverty is defined as the average time needed to earn $1, a measure sensitive to distribution and inequality.
- Global poverty has declined by 55% since 1990, with the time to earn $1 reducing from half a day to five hours.
- In the US, average poverty has increased since 1990 despite income growth, driven by rising inequality.
- US income inequality, measured by the Gini coefficient, is higher than in European countries, explaining the disparity in poverty trends.