Difference Between Poverty and Inequality

Inequality is concerned with the full distribution of wellbeing; poverty is focused on the lower end of the distribution only – those who fall below a poverty line (McKay, 2002). Inequality can be viewed as inequality of what, inequality of whom and inequality over what time horizon (McKay, 2002).

1. What is poverty and income inequality?
2. What is the difference between poverty and income inequality quizlet?
3. What are the impacts of inequality and poverty?
4. What are the 3 different types of inequality?
5. What are the 5 reasons for income inequality?
6. What is wrong with inequality?

What is poverty and income inequality?

Income inequality: Income is defined as household disposable income in a particular year. ... Poverty rate: The poverty rate is the ratio of the number of people (in a given age group) whose income falls below the poverty line; taken as half the median household income of the total population.

What is the difference between poverty and income inequality quizlet?

what is the difference between poverty and income inequality? Poverty applies to the condition of people who cannot afford the necessities of life. Economic inequality refers to the disparity between those with higher and lower incomes.

What are the impacts of inequality and poverty?

This in turn leads to 'the intergenerational transmission of unequal economic and social opportunities, creating poverty traps, wasting human potential, and resulting in less dynamic, less creative societies' (UNDESA, 2013, p. 22). Inequalities can also have a negative impact on almost all in society.

What are the 3 different types of inequality?

There are three main types of economic inequality:

• Income Inequality. Income inequality is the extent to which income is distributed unevenly in a group of people. Income. ...
• Pay Inequality. A person's pay is different to their income. Pay refers to payment from employment only. ...
• Wealth Inequality.

What are the 5 reasons for income inequality?

5 reasons why income inequality has become a major political issue

• Technology has altered the nature of work. ...
• Globalization. ...
• The rise of superstars. ...
• The decline of organized labor. ...
• Changing, and breaking, the rules.

What is wrong with inequality?

Studies show that although inequality might spur on competition, there's also a strong link between inequality and violence, incarceration, drug abuse, obesity, teenage pregnancy, and mental health issues.