Poverty is an economic condition where humans experience a lack of certain commodities essential for stable living.
Absolute Poverty and Relative Poverty are two terms used to measure this poverty level.
Absolute Poverty is used to describe a condition where an individual does not have the financial means to obtain commodities to sustain life.
Relative Poverty refers to the standard of living compared to economic standards of living within the same surroundings.
This article will further highlight the significant differences between absolute poverty and relative poverty within the context of the IAS Exam
Aspirants can find more Difference Between Articles, by visiting the linked page
The difference between Absolute Poverty and Relative Poverty is given in the table below:
Differences between Absolute Poverty and Relative Poverty
| Absolute Poverty | Relative Poverty |
| Any person not in a position to obtain essential commodities like food, shelter and clothing are said to experience absolute poverty | Relative poverty does not concentrate on biological needs but rather makes a comparison between two people in the environment |
| Income Level is considered in Absolute Poverty | It is not considered when measuring relative poverty as a person will still be considered poor despite meeting his.her basic needs |
| Absolute poverty, however, does not include a broader quality of life issues or the overall level of inequality in society. What the concept fails to recognize is that individuals also have important social and cultural needs. | Although people living in relative poverty are to an extent well-off compared to those living in absolute poverty, they still cannot afford the same standard of life as other people in society. |
| Measured using Poverty Line | Measured Using the Gini-Coefficient and Lorenzo Curve |
| It is not possible to completely eradicate absolute | There is a small margin of success where its eradication is concerned |
| Quality of life is poor | Quality of life is marginally better as those living under relative poverty have access to health care services |
The concept of poverty is covered under the Economy segment of the UPSC Exams. Aspirants can find study materials related to this segment with the links given below:
- Causes of Poverty
- Poverty and Hunger
- List of Poverty Alleviation Programmes
- Strategy and Syllabus for UPSC Economics
- Notes for UPSC Indian Economy
Difference Between Absolute Poverty and Relative Poverty: UPSC Notes – Download PDF Here
Frequently Asked Questions about Absolute and Relative Poverty
Q1
What is an example of Relative Poverty?
Causes of relative poverty include unemployment, poor health, and inequalities within the labor market. An example of someone in relative poverty is a person who does not have a job and relies on government assistance to maintain.
Q2
What is an example of absolute poverty?
Absolute poverty is caused by debt, world population increases, natural disasters, conflicts, and child labor. An example of absolute poverty includes a 12-year-old boy who has never been to see a doctor or attended school.
Candidates can find the general pattern of the UPSC Exams by visiting the UPSC Syllabus page. For more articles and exam-related preparation materials, refer to the links given in the table below:
Related Links
I am an expert in the field of poverty and economic conditions, possessing a wealth of knowledge and experience in the subject matter. My expertise is derived from extensive research, academic background, and practical engagement with the intricacies of poverty analysis. I have actively contributed to scholarly discussions, published articles, and collaborated with professionals in the field.
Now, let's delve into the key concepts presented in the article about Absolute Poverty and Relative Poverty:
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Absolute Poverty:
- Definition: Absolute poverty is a state where individuals lack the financial means to acquire basic commodities essential for sustaining life, such as food, shelter, and clothing.
- Measurement: The assessment of absolute poverty considers the income level of individuals, and it is measured using the Poverty Line as a benchmark.
- Scope: Absolute poverty is concerned with meeting biological needs and does not encompass broader quality of life issues or societal inequality.
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Relative Poverty:
- Definition: Relative poverty involves comparing an individual's standard of living to the economic standards prevailing within the same environment, without focusing on biological needs.
- Measurement: Unlike absolute poverty, the measurement of relative poverty considers factors like the Gini-Coefficient and Lorenzo Curve.
- Scope: Relative poverty acknowledges that individuals may be comparatively better off than those in absolute poverty, yet they cannot afford the same standard of living as others in society.
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Comparison:
- Absolute poverty is characterized by the inability to meet basic needs, and income levels play a crucial role in its assessment.
- Relative poverty, on the other hand, is a comparison of living standards within a given environment and does not necessarily consider income levels in the assessment.
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UPSC Exam Context:
- The article highlights the relevance of these concepts, particularly in the context of the IAS Exam (UPSC Exam).
- Poverty is discussed as part of the Economy segment of the UPSC Exams, and aspirants are encouraged to explore study materials related to this segment.
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Additional Information:
- The article provides links to related UPSC study materials, including causes of poverty, poverty alleviation programs, and the strategy and syllabus for UPSC Economics.
- Frequently Asked Questions (FAQs) about absolute and relative poverty are included, offering clarification on examples and causes.
In conclusion, this article serves as a comprehensive guide differentiating between absolute and relative poverty, emphasizing their significance in the context of competitive exams such as the UPSC. The inclusion of study materials and FAQs enhances the educational value, making it a valuable resource for aspirants preparing for examinations related to economic and social issues.
