EU’s “at-risk-of-poverty or social exclusion” (AROPE) metric—are defined and calculated, plus how India and other developed countries compare:
---
1. EU: "At-Risk-of-Poverty or Social Exclusion" (AROPE)
Definition & Components:
AROPE stands for At-Risk-of-Poverty or Social Exclusion. It includes individuals experiencing at least one of these three situations:
1. At risk of poverty: Equivalised disposable income below 60% of the national median income (after social transfers).
2. Severe material and social deprivation: Unable to afford at least 7 out of 13 essential items.
3. Very low work intensity: Adults aged 18–64 (with some exceptions) living in households where combined working time was 20% or less of the potential in the previous year.
Individuals are counted just once even if they meet multiple criteria .
Calculation Method:
AROPE = (Number of people meeting at least one of the three criteria) ÷ (Total population) × 100
Methodologically rigorous, it uses weighted data and is updated annually .
EU-wide Figures for 2024:
93.3 million people were at risk of poverty or social exclusion, equivalent to 21.0% of the EU population—a slight decline from 21.3% in 2023 .
Among children under 18, the rate was 24.2% in 2024 .
---
2. What About India?
India measures poverty differently, using both monetary and multidimensional approaches:
a) Monetary Poverty (World Bank)
At the $3.65/day (PPP) poverty line: Declined from 61.8% in 2011–12 to 28.1% in 2022–23 .
At the extreme poverty line (~$1.90–$2.15/day PPP): Falls dramatically—from 27.1% in 2011–12 to around 5.3% in 2022–23, lifting nearly 270 million people out of extreme poverty .
A State Bank of India report projects further reduction to 4.6% in 2024 .
Wikipedia notes extreme poverty dropped to as low as 0.8% by 2019, with ongoing improvements through 2022–23 .
b) Multidimensional Poverty (MPI)
Assesses deprivation across health, education, and living standards.
India’s MPI fell from 53.8% in 2005–06 to about 16.4% in 2019–21, with a further decline to 15.5% in 2022–23 .
National MPI by NITI Aayog indicates a drop from 24.8% in 2015–16 to roughly 14.9% by 2019–21 .
Summary for India:
Metric Approx. Value (2022–23)
Extreme poverty (WWB, ~$1.90–$3/day PPP) ~5.3%
Poverty at $3.65/day PPP ~28.1%
Multidimensional poverty (WB MPI) ~15.5%
National MPI (NITI Aayog) ~14.9%
---
3. Other Developed Countries (Brief Outlook)
While each country defines poverty differently, most wealthy nations commonly use relative income poverty (e.g., income below 50–60% of national median) and sometimes incorporate elements like material deprivation or access to services. Detailed comparisons would require country-specific data.
---
Why Different Methods Matter
EU’s AROPE is relative, combining income, deprivation, and labor participation—highlighting who may be left behind despite social transfers.
India’s measures are often absolute, based on fixed poverty lines (international or national), or multidimensional, emphasizing broader deprivation across essential criteria.
TL;DR Insights
EU (2024): 21% of population at risk of poverty or social exclusion (AROPE).
India (2022–23):
Extreme poverty: ~5.3% of the population.
Broader poverty (at $3.65/day): ~28%.
Multidimensional poverty: ~15%.
Other developed countries: Generally use relative poverty thresholds; many provide detailed reports similar to Eurostat.
No comments:
Post a Comment