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poverty
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poverty

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In Zwelitsha, Eastern Cape Province, South Africa, unemployment is high, families are large, and the standard of living is low. Many people live in poverty, and as there is a high birth rate and large proportion of young people, the problem is likely to intensify in the future as the growing population seek food, housing, and employment.

Condition in which the basic needs of human beings (shelter, food, and clothing) are not being met. Over one-fifth of the world's population was living in extreme poverty in 1995, of which around 70% were women. Nearly 13.5 million children under five die each year from poverty-related illness (measles, diarrhoea, malaria, pneumonia, and malnutrition). In its annual report, the UN Children's Fund (UNICEF) said that 600 million children continue to live in poverty. There are different definitions of the standard of living considered to be the minimum adequate level (known as the poverty level). The European Union (EU) definition of poverty is an income of less than half the EU average (£150 a week in 1993). By this definition, there were 50 million poor in the EU in 1993.

Absolute and relative poverty

Absolute poverty, where people lack the necessary food, clothing, or shelter to survive, can be distinguished from relative poverty, which has been defined as the inability of a citizen to participate fully in economic terms in the society in which he or she lives. In many countries, absolute poverty is common and persistent, being reflected in poor nutrition, short life expectancy, and high levels of infant mortality. It may result from a country's complete lack of resources, or from unequal distribution of wealth.

Inequality on the increase

During the 1980s, the world's poorest 20% of people saw their share of global income reduced from 1.7% to 1.4%. In 1994, at least 1.1 billion people were subsisting on a cash income of less than $1 a day. Their total assets came to no more than $400 billion, compared with the $200 billion assets of the world's 160 billionaires.

The US poverty rate fell from 13.7% in 1996 to 13.3% in 1997, according to a report released in September 1998 by the US Census Bureau. The new figure is the same as that of 1989, before the country suffered a recession. The report shows that 35.6 million Americans lived in poverty in 1997. Poverty is considered to be an income of $12,802 for a family of three or $16,400 for a family of four. The median family income in the USA in 1997 was $36,005, a rise of 1.9% over the previous year.

According to the US Department of Agriculture report of October 1999, 3.5% of US households were found to be hungry and 6.2% were at near-hunger levels. The report covered the period from 1996 until 1998; it also found that families in 11 southern and western states face a significantly greater risk of going hungry.

World Summit 1995

A plan for eradicating global poverty, creating full employment, and countering social injustice was approved at a United Nations World Summit on Social Development in Copenhagen, Denmark, in March 1995. It urged industrialized nations to reduce the debt burdens of developing countries and to allocate 20% of foreign aid to basic social needs.

Cancellation of debt in low-income countries

The British government announced in late December 1999 that it would write off hundreds of millions of pounds owed to Britain by the world's poorest countries, in a move to relieve debt and poverty in the developing world.



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