The $1.90-a-day line is “obscenely low,” and “earning $2 per day doesn’t mean that you’re somehow suddenly free of extreme poverty.” A minimum of $7.40 per day, at least, is necessary for “basic nutrition and normal human life expectancy.”
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Using the percentage of people in poverty is misleading, and we should instead focus on the absolute number of people in poverty, which according to Hickel’s preferred $7.40-a-day line has increased since 1981.
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“The $1.90/day (2011 PPP) line is not an adequate or in any way satisfactory level of consumption; it is explicitly an extreme measure. Some analysts suggest that around $7.40/day is the minimum necessary to achieve good nutrition and normal life expectancy, while others propose we use the US poverty line, which is $15.”
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“Income and consumption does not tell us the whole story about poverty. Poverty is multi-dimensional, and some aspects of human well-being can be obscured by consumption figures.”
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“The present rate of poverty reduction is too slow for us to end $1.90/day poverty by 2030, or $7.40/day poverty in our lifetimes. To achieve this goal, we would need to change economic policy to make it fairer for the world’s majority.”
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