The easiest way to quantify child poverty is by setting an absolute or relative monetary threshold. If a family does not earn above that threshold, the children of that family will be considered to live below the poverty line. Absolute poverty thresholds are fixed and generally updated only for price changes, but relative poverty thresholds are developed with reference to the actual income of the population and reflect changes in consumption. The absolute poverty threshold is the money needed to purchase a defined quantity of goods and services, Certain organizations, such as the World Bank and the International Monetary Fund, use the absolute poverty threshold of US$1 a day to measure poverty in developing countries. Since the 1960s, the US has used an absolute poverty threshold adjusted for family size and composition to determine those living in poverty. Europe and many other developed countries use a relative poverty threshold, typically 50% of the countries'
median income. Relative poverty does not necessarily mean the child is lacking anything, but is more a reflection of inequality in society. Child poverty, when measured using relative thresholds, will improve only if low-income families benefit more from economic advances than well-off families. Measurable values were attributed to each indicator and these were used to establish how many children were living in poverty. The values included: heights and weights more than 3 deviations below the international median, children with access only to rivers and other surface water, no access to toilets, no immunisations, no access to medical advice, living in dwellings with more than five people per room, no school attendance and no access to newspapers or other media. Out of a population of 1.8 billion children from developing nations, 56% were below at least one of these measurements. In Sub-Saharan Africa and Southern Asia, this number increased to over 80%, with the rural children from these areas the worst affected. The
Young Lives Project is investigating the changing nature of child poverty by following nearly 12,000 children for 15 years in four countries (Ethiopia, Peru, Vietnam and India), chosen to reflect a wide range of cultural, political, geographical and social contexts. Every three to four years, researchers will collect data on the children and their families health, malnutrition, literacy, access to services and other indicators of poverty. Reports are available for these four countries that comparing the initial data obtained in 2002 with data from 2006. Peru, Vietnam and India have shown economic growth and a reduction in poverty over this time, but large inequalities still exist between rural and urban areas, and among ethnic groups. This is particularly obvious in India, a country with the second largest population of billionaires but also home to 25% of the world's poor. Ethiopia, one of the poorest countries in the world, has also shown slight economic growth and reduction in poverty. Inequalities still exist, with boys more likely to be malnourished than girls and more absolute poverty in rural areas, although relative poverty is higher in urban areas. This data was collected before the 2008 drought and the recent increase in
food prices, which have had a severe impact on the ability of Ethiopia to feed its population.
Capability approach and the Child Development Index Recently, debate among philosophers and theorists on how to define and measure poverty stems from the emergence of the human
capability approach, where poverty is defined by Hi Kos extent of freedoms that a person possesses.
Amartya Sen, the creator of the capability approach, argues that there are five fundamental freedoms that should be available to all humans: political freedoms, economic facilities, social opportunities, transparency guarantees, and protective security. He also suggests that they are all interconnected, where each freedom fosters and/or enhances the others. Therefore, the definition and measurement of poverty in general must extend beyond measurements like per capita GDP, which tools such as the
Human Development Index attempt to accomplish. In light of this, a UK initiative,
Save the Children, has also developed a measurement of child poverty based on measures of capability, called the
Child Development Index (CDI). CDI is an index that combines performance measures specific to children – primary education, child health, and child nutrition – to produce a score on a scale of 0 to 100, with zero being the best with higher scores indicating worse performances. Of the 1.9 billion children in developing nations, 640 million are without adequate shelter; 400 million are without access to safe water; 270 million have no access to health services. More recently in 2021, it is estimated that nearly 11 million children live in poverty in the US, making up almost one-third of all people living in poverty in the country. == Child poverty rate by country ==