Chapter 6: Poverty and Inequality

In 2015, poverty has affected 736 million people around the world. “22,000 people die every day due to poverty-related causes; 1.4 billion people live on less than US$1.25 per day, 1.8 million children die each year due to diarrhea, and 400 million children lack access to safe water” (Keller, 2015).

Poverty is more than a local problem; it is a global problem. It is important to understand how poverty is defined and how can poverty be eliminated or reduced. There is an assumption that poverty only impacts developing countries or that it is a developing country problem. Due to constant research and the United Nation Sustainable Development Goal proposal; poverty is a global problem. Relaying on the national poverty line is often difficult because it is different for every country. Many countries are facing difficulty in pinpointing what is the meaning of poverty and finding ways to reduce or eliminate poverty in their country. This chapter reviews the different types of poverty, challenges impacted by poverty due to inequality and lack of poverty measures.