: How poverty is decreasing and income inequality increasing at the same time?

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: How poverty is decreasing and income inequality increasing at the same time?

In: Economics

4 Answers

Anonymous 0 Comments

They are measuring two different things. Poverty measurements are related to a clear poverty line and how many people are above/below it. Income inequality is a relative measurement asking how far apart the lowest and the highest are.

Imagine that you were running a race against Usain Bolt – you would be moving forward in the race (poverty decreasing) **and** he would be putting distance between you (income inequality) simultaneously.

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