Economics XI Content
Types of Poverty
Poverty is a situation in which people cannot fulfill their basic needs.
Types of poverty
1. Absolute Poverty
2. Relative Poverty
1. Absolute Poverty:
Absolute poverty refers to a situation which individuals are unable to attendant necessities of life such as food, cloth, shelter, safe drinking water, health facilities, primary education etc.
In other word, it is a situation in which the level of income of the people is so low that they cannot afford must of their basic needs.
2. Relative poverty:
Relative poverty is the situation in which a person has enough income to sustain the life but the income and living standard is lower compared to rest of the community. It is also the condition of less income in a country compare to the worldwide income average income.