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Poverty measurement in the U.S., Europe, and developing countries

2010, Journal of Policy Analysis and Management

Abstract
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This paper discusses the inadequacies of the current poverty measurement in the United States, advocating for an updated approach in light of changing economic conditions and spending patterns. It compares the U.S. poverty measure to methods used in Europe and developing countries, emphasizing the need for a more comprehensive assessment that includes in-kind transfers and tax impacts on family resources. Recommendations from an expert panel highlight practical measures for improving poverty statistics, urging a shift towards a more symmetric understanding of poverty thresholds and available resources.