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Poverty and Inequality in a Changing Context

Poverty and inequality in a changing context

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a brief overview of the definitions and measurement of poverty and inequality

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Page 1: Poverty and inequality in a changing context

Poverty and Inequality in a Changing Context

Page 2: Poverty and inequality in a changing context

What is poverty? What is inequality?A definition and link

Outline

Assessments of Poverty2.1 Recent changes in global geography of poor

MDG’s post 2015 Macro and micro economic measures

Activity and Discussion4.

1.

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Page 3: Poverty and inequality in a changing context

What is Poverty?

Monetary – Utility, basic needs

Capabilities –Wellbeing, functionings (Sen 1999)

Inequalities – Relative, social exclusion

Participatory – self defined, NGO, CBO

It is possible to define and measure poverty in a variety of ways

Page 4: Poverty and inequality in a changing context

Defining and Assessing Poverty

Measurements can only be done if poverty is clearly defined

This can only be done if we can measure poverty

We must initiate and design policies to impact poverty

Page 5: Poverty and inequality in a changing context

Ways of Measuring PovertyMonetary poverty: Consumption, Poverty line measures: definition of the poverty line, headcount index, poverty severity

Capability: Basic needs, mortality, literacy, water, child malnutrition

Inequality:Income inequality, size distribution, Lorenz curve, Gini coefficient

Participatory: Not yet adapted

Page 6: Poverty and inequality in a changing context

- Most of the world‘s poor now live in middle- income countries (MIC), e.g. India- Shift from LIC (low income) to MICNeed for a new model of development assistanceNo justification to exlude MIC‘s from aid programmes future of MDG after 2015?

New Geography of the Global Poor

Tax evasion is also becoming a big issue

Page 7: Poverty and inequality in a changing context

What are the MDG’s?

Eradicate extreme poverty and hunger

Engaging targets with comprehensible objectives

Achieve universal primary education

Promote gender equality and

empower women

Reduce child mortality

Improve maternal health

Combat HIV/AIDS and other diseases

Ensure environmental sustainability

Global partnership for development

Page 8: Poverty and inequality in a changing context

MACRO ECONOMIC

- Foreign aid eases pressure to mobilize resources within country- Correctives to make existing rules less unfair (aid, repayment)- Need for positive discrimination/ affirmative action- More equal partnership between developed and developing countries- Focus on means rather than ends

- Framework for states to reshape policies in national context- Employment creationPublic provision of services i.e. education, healthcare- Accountability of government people are actors not beneficiaries- Participatory development

MICRO ECONOMIC

MDG’s post 2015A new framework?

Means rather than ends

Page 9: Poverty and inequality in a changing context

1. Read the article and identify the organisation/perspective it is written from

MDG’s from different perspectives

2. Critically evaluate according to these points:

• a) Criticisms/failures• b) Positive points/successes• c) Possible solutions/new ideas

3. Identify the discourse used

4. Feedback

Page 10: Poverty and inequality in a changing context

Any Questions?