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Is there any inflationary effect to the $1.25/day figure that has been used since the 1980s? It's not clear from the article whether it's adjusted for inflatio

by quan 11y ago

Is there any inflationary effect to the $1.25/day figure that has been used since the 1980s? It's not clear from the article whether it's adjusted for inflation.

marincounty 11y ago
I couldn't find any correlation to inflation. I put in $2.00 in the calculator, and the millions of people in poverty came close to doubling. Maybe I'm missing something?
- meow_mix 11y ago
  When I put $2.00 into the calculator it only showed me 2011. Maybe I'm missing something? I wish they would elaborate on the calculations on the site
- hliyan 11y ago
  Who is down-voting all the inflation related questions? This shouldn't have to be explained to someone with downvote-level karma, but disagreeing with a comment's point of view is not a good reason to downvote it.
meow_mix 11y ago
I'm a bit confused about that as well. What's worse is that the background papers that the world bank website references seem to all 404: http://web.worldbank.org/WBSITE/EXTERNAL/EXTDEC/EXTRESEARCH/EXTPROGRAMS/EXTPOVRES/EXTPOVCALNET/0,,contentMDK:21869487~menuPK:5314882~pagePK:64168445~piPK:64168309~theSitePK:5280443,00.html#Background_Papers http://web.worldbank.org/WBSITE/EXTERNAL/EXTDEC/EXTRESEARCH/...
- guiraldelli 11y ago
  Better luck here: https://wdronline.worldbank.com/handle/10986/6781 https://wdronline.worldbank.com/handle/10986/6781
guiraldelli 11y ago
I came here to ask the same thing. Taking in consideration they use the US$1.25/day measurement since 1981 [1], today this value should be US$3.28/day [2] (based on US inflation between 1981 and 2015). Given that, I'd love to know the real value. Maybe it is still a positive perspective, but I think it'd be more realistic (or, at least, accurate). :-) [1] http://iresearch.worldbank.org/PovcalNet/index.htm?1 http://iresearch.worldbank.org/PovcalNet/index.htm?1 [2] http://www.usinflationcalculator.com/ http://www.usinflationcalculator.com/
- ceras 11y ago
  It's already inflation-adjusted.
  - meow_mix 11y ago
    Where did you find that out ceras?
    - roymurdock 11y ago
      Go to the site linked in the article: http://iresearch.worldbank.org/PovcalNet/index.htm?1 http://iresearch.worldbank.org/PovcalNet/index.htm?1 See column titled "Pov.line (PPP$/day)" Click on column title to bring up this text: http://iresearch.worldbank.org/PovcalNet/Docs/dictionary.html#PL http://iresearch.worldbank.org/PovcalNet/Docs/dictionary.htm... And there they give you the definition of PPP, aka purchasing power parity, and tell you they are using 2005 rates of consumption.
meow_mix 11y ago
Further, none of the cited sources seem to be past 2008...
Taren 11y ago
Apperently it started at $1, was raised to $1.25 in 2008 an now they are planning for $1.90 which'd likely skyrocket absolute poverty numbers.
evanpw 11y ago
The threshold is inflation-adjusted: http://iresearch.worldbank.org/PovcalNet/index.htm?0,6 http://iresearch.worldbank.org/PovcalNet/index.htm?0,6
roymurdock 11y ago
"PPP" refers to Purchasing Power Parity. The default option is the PPP rates for consumption in 2005 estimated by the World Bank’s Development Data Group. So yes, it does account for inflation, assuming equal inflation across whatever basket of goods was chosen as the reference point for PPP. https://en.wikipedia.org/wiki/Purchasing_power_parity https://en.wikipedia.org/wiki/Purchasing_power_parity

by quan 11y ago

Is there any inflationary effect to the $1.25/day figure that has been used since the 1980s? It's not clear from the article whether it's adjusted for inflation.

marincounty 11y ago

I couldn't find any correlation to inflation. I put in $2.00 in the calculator, and the millions of people in poverty came close to doubling. Maybe I'm missing something?

meow_mix 11y ago
When I put $2.00 into the calculator it only showed me 2011. Maybe I'm missing something? I wish they would elaborate on the calculations on the site
hliyan 11y ago
Who is down-voting all the inflation related questions? This shouldn't have to be explained to someone with downvote-level karma, but disagreeing with a comment's point of view is not a good reason to downvote it.

meow_mix 11y ago

I'm a bit confused about that as well. What's worse is that the background papers that the world bank website references seem to all 404: http://web.worldbank.org/WBSITE/EXTERNAL/EXTDEC/EXTRESEARCH/EXTPROGRAMS/EXTPOVRES/EXTPOVCALNET/0,,contentMDK:21869487~menuPK:5314882~pagePK:64168445~piPK:64168309~theSitePK:5280443,00.html#Background_Papers http://web.worldbank.org/WBSITE/EXTERNAL/EXTDEC/EXTRESEARCH/...

guiraldelli 11y ago
Better luck here: https://wdronline.worldbank.com/handle/10986/6781 https://wdronline.worldbank.com/handle/10986/6781

guiraldelli 11y ago

I came here to ask the same thing. Taking in consideration they use the US$1.25/day measurement since 1981 [1], today this value should be US$3.28/day [2] (based on US inflation between 1981 and 2015). Given that, I'd love to know the real value. Maybe it is still a positive perspective, but I think it'd be more realistic (or, at least, accurate). :-) [1] http://iresearch.worldbank.org/PovcalNet/index.htm?1 http://iresearch.worldbank.org/PovcalNet/index.htm?1 [2] http://www.usinflationcalculator.com/ http://www.usinflationcalculator.com/

ceras 11y ago
It's already inflation-adjusted.
- meow_mix 11y ago
  Where did you find that out ceras?
  - roymurdock 11y ago
    Go to the site linked in the article: http://iresearch.worldbank.org/PovcalNet/index.htm?1 http://iresearch.worldbank.org/PovcalNet/index.htm?1 See column titled "Pov.line (PPP$/day)" Click on column title to bring up this text: http://iresearch.worldbank.org/PovcalNet/Docs/dictionary.html#PL http://iresearch.worldbank.org/PovcalNet/Docs/dictionary.htm... And there they give you the definition of PPP, aka purchasing power parity, and tell you they are using 2005 rates of consumption.

meow_mix 11y ago

Further, none of the cited sources seem to be past 2008...

Taren 11y ago

Apperently it started at $1, was raised to $1.25 in 2008 an now they are planning for $1.90 which'd likely skyrocket absolute poverty numbers.

evanpw 11y ago

The threshold is inflation-adjusted: http://iresearch.worldbank.org/PovcalNet/index.htm?0,6 http://iresearch.worldbank.org/PovcalNet/index.htm?0,6

roymurdock 11y ago

"PPP" refers to Purchasing Power Parity. The default option is the PPP rates for consumption in 2005 estimated by the World Bank’s Development Data Group. So yes, it does account for inflation, assuming equal inflation across whatever basket of goods was chosen as the reference point for PPP. https://en.wikipedia.org/wiki/Purchasing_power_parity https://en.wikipedia.org/wiki/Purchasing_power_parity