1. Poverty: Elements of Historical Definition

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1.Poverty Elements of Historical Definition

• 19th -20th centuries

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Oxford English Dictionary The condition or
quality of being poor.     The condition of
having little or no wealth or material
possessions indigence, destitution, want (in
various degrees) Deficiency, lack, scantiness,
dearth, scarcity smallness of amount.   Want of
or deficiency in some property, quality, or
ingredient the condition of being poorly
supplied with something (of soil, etc.) the
condition of yielding little, unproductiveness.
  Poor condition of body leanness or feebleness
resulting from insufficient nourishment, or the
like.    III. 8. attrib. and Comb., as
poverty programme U.S., a programme or policy
designed to alleviate poverty poverty trap, a
situation in which an earned increase to a low
income is offset by the consequent loss of
means-tested state benefits
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The OED indicates that in the English
language, concepts of poverty from the 14th
century onward stress the idea of lack, absence,
deficiency, and ALSO more specific framing of
poverty as market income poverty gt
having little or no wealth.


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Creating a measure for market income poverty

• Benjamin Rowntree formalized a market-based
  measurement definition in the early 1900s, when
  he established the concept of poverty line.
• Poverty Line gt the income level beneath which
  a person cannot buy goods and services that
  constitute a socially acceptable minimum standard
  of living.

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Poverty lines can be set at any level appropriate
for the purpose at hand.

• Higher lines designate higher minimum living
  standards lower lines, lower minimum standards.
• The Millennium Development Goal line of
  US1/day at 1985 US prices put about 1.3 billion
  people in poverty in 1990.

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The CONCEPT of a poverty line depicting
a global minimum standard for a socially
acceptable minimum standard of living for the
whole world came into existence only after 1945.
This GLOBAL conceptualization of POVERTY as an
object of measurement EVERYWHERE is a feature of
WORLD ORDER in the later 20th century.
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Concept gt Measure gt Policy

• The original CONCEPT of poverty guiding
  MEASUREMENT and POLICY was nationality.
• The modern problem of poverty, hence the idea of
  a poverty line, appeared FIRST inside
  territories of national state authority,
• where NATIONAL norms prevailed, NATIONAL
  governments made policy, and NATIONAL elites and
  institutions debated policy options.

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Conceptualizing Poverty, Nationally

• In England, the IRISH famine and mounting URBAN
  poverty became prominent features of public life,
  in the 1840s, when the first modern studies of
  poverty appeared, one influential study by
  Fredrick Engels, Karl Marxs close associate.
• Modern ideas about socialism appeared at this
  time, to express the demand that the STATE
  protect the poor from poverty induced by early
  industrial capitalism (in England).
• The Irish famine followed by INDIAN famines in
  1870s brought to light massive VULNERABILITY to
  catastrophe among poor people living under the
  authority of the BRITISH EMPIRE
• From the 1870s, PROTECTING AGAINST FAMINE became
  official government policy in much of Europe and
  also in British India.

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Increasing Inequality Made Poverty a Pressing
Problem

• As economic growth accelerated under industrial
  capitalism, in the nineteenth century, states
  took more interest in the poverty problem.
• Growing inequality generated demands to address
  poverty, in England and also in British India.

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Nationalism and Socialism

• Nationalism in British India and Socialism in
  Europe both made strong claims that states had
  the responsibility to protect the poor from
  calamity.
• These claims became political challenges to
  states based on support for English national
  business interests promoting laissez faire market
  policies.

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Revolution and Depression

• The Russian Revolution (1917) provided a real
  socialist option and model for national movements
  in Asia, including British India.
• The Great Depression (1929-1934) forced states to
  take responsibility for protecting whole national
  populations against severe market fluctuations.

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Poverty Line and Cold War

• The mid-20th century made concepts of poverty
  more political
• First by introducing TWO conflicting meanings
  for the POVERTY LINE, one associated with
  capitalism, the other, with socialism.
• Second by giving INEQUALITY (measured around the
  poverty line) two meanings, with the same
  conflicting associations.

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Poverty Lines Entitlement in Socialism and
Welfare States

• Under socialism and in welfare states, the
  poverty line marked an income level below which
  people became entitled to STATE provisioning of
  goods and services that people could not buy.
• The assumption here is that the state is at the
  very least the provider of LAST RESORT of
  necessary goods and services for citizens.

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Market Entitlement

• By contrast, the market economy by itself
  provides no such last resort entitlement
• Amartya Sen defines entitlements of three kinds
  (Poverty and Famines)
• 1. Self-Production (as on peasant farm)
• 2. Personal Property (legal ownership)
• 3. Exchange (purchase for money)

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Shifting Paradigms

• After 1970, the socialist and welfare definitions
  of poverty entitlement became less politically
  popular in many states.
• This trend accelerated with the dismantling of
  many socialist regimes and state policies.
• The NATIONAL STATE became less active as
  guarantor of ENTITLEMENTS for the poor.

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Meanings of Inequality

• INEQUALITY (measured around the poverty line) had
  also acquired two meanings, with the same
  conflicting associations.
• In market-based capitalism, it retained its
  meaning as UNEQUAL WEALTH among disparate
  individuals.
• Under socialism, it acquired the meaning of
  UNEQUAL POWER over the distribution of goods and
  services among social classes.

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UNEQUAL WEALTH among individuals became more
broadly defined over time. Kanbur et al,
Laderchi et al

• Poverty
• income insufficiency (market buying power)
• lack of access (to goods and services in general
  provisioning, not just market, e.g. courts,
  welfare programs, family, community)
• lack of assets (ownership, social capital, to use
  to acquire necessities, or to produce, e.g. land,
  animals, credit)
• lack of capacity to do things (abilities),
• lack of entitlement (rights to resources),
• Hence insecurity, vulnerability (lack of
  protection, safety), lack of prospects or
  opportunities (e.g. education), hence poverty
  outcomes (symptoms) gtlack of health, food,
  shelter, hunger, disease, early death, misery, etc

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Implications of viewing poverty as UNEQUAL WEALTH
among disparate individuals

• The fact that non-poor people have what poor
  people do not have is irrelevant to poverty.
• Income inequality is just a ranking of
  attributions, from greater to lesser, from wealth
  to poverty.
• Targeting poverty can mean provisioning,
  providing, or endowing the poor with means to
  ends (i.e. money or jobs to buy food) or with
  ends directly (e.g. food, housing, shelter, etc).
  

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By contrastThe UNEQUAL POWER concept of
INEQUALITYmakes poverty an outcome of
inequality.

• This approach considers lack or insufficiency
  of wealth (by any definition) the outcome of
  denial
• it applies the active verb meaning of
  deprivation,
• indicating that things people need are taken
  away, deprived,
• BECAUSE poor people do not have the power to
  sustain themselves.
• A lack of empowerment, in this view, is not just
  a lack, but a loss, as in disempowerment or
  oppression (an active reduction of prospects and
  freedom of action).

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So when we see poverty as UNEQUAL POWER among
social classes.

• The fact that non-poor people have what poor
  people do not have is very relevant to poverty.
• Wealth inequality represents the production of
  poverty by the systematic use of power to provide
  wealth to some groups and not others.
• Targeting poverty can mean removing obstacles to
  their empowerment, including a reduction of the
  power of the non-poor poor to accumulate wealth.

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Concept ltgt Measure ltgt Policy

• The DEFINITION of poverty is thus a complex,
  changing process.
• In which concepts and measures derive from policy
  orientations,
• which are in turn formed within a changing world
  environment,
• where people in state, regions, and localities
  engage poverty as a problem today.

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2.Poverty in Global Frames

• Since 1945

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From International to Global Poverty

• Conflicting meanings of POVERTY LINE,
  ENTITLEMENT, and INEQUALITY became part of
  international policy dispute and conflict after
  1945,
• When for the first time, THE WHOLE WORLD of
  Poverty became an object of policy attention.

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From International to Global Poverty

• Poverty remains fundamentally national
• Concepts, Measures, and Policies differ from
  state to state.
• Statistics remain state products.
• State politics still determine state policies.
• But the international system has become more and
  more powerful as a context for state activities.

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From International to Global Poverty

• A World Development Regime came into being after
  1945
• The World Bank, IMF, United Nations agencies,
  GATT/WTO, and major donor countries set the
  tone for development
• These organizations actively shifted the POVERTY
  paradigm away from that of welfare/ socialism
  toward that of market/capitalism

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Universal Norms, Concepts

• The Universal Declaration of Human Rights was the
  first of many UN documents to formulate
  standards, norms, and concepts for all member
  states.
• Member states eventually embraced almost all the
  world population.
• The Millennium Development Goals are now the most
  GLOBALLY influential statements about POVERTY

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Poverty as a global problem

• Though policies focus on individual countries,
• each operates inside a global regime
• composed of states and inter-state organizations
  that set the tone for the dominant operative
  matrix of
• CONCEPT gt MEASURE gt POLICY

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National Poverty, Global Inequality

• The following slides indicate
• PERCAPITA GDP for each national territory (total
  product/total population) is the measure of
  global inequality
• people in poor countries are the global majority
• people in the richest countries, which set the
  tone for global development, are a small minority
• most of the worlds poor live in Asia.
• poverty correlates with life expectancy (among
  other quality of life variables

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Wealth inequality is life inequality (Based on
1996 UNICEF data)
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3.Measuring Poverty

• Institutions and practices

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Spatial frames for approaching poverty
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Concept ltgt Measure ltgt Policy

• Policy orientations shape concepts and measures
• Concepts and measures influence from policy
  orientations
• Policy orientations take shape inside a changing
  world environment,
• where people in state, regions, and localities
  engage poverty as a problem.

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A Matrix of Interactions in the Politics of
Knowledge About Poverty

• Policy orientations inform policy within
  structured institutional settings
• These settings tend toward self-justification,
• They structure research, interpretation,
  explanation accordingly
• Concepts, measures, and analysis rarely operate
  free of institutional structures.
• We all operate within structured conceptual
  limitations that said, we can proceed

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From definition to measurement basic problems
(Laderchi)

1. The space of poverty what is possible now
   under current conditions or what is possible
   under altered conditions.
2. Universality do definitions translate or move
   across contexts.
3. Subjective versus Objective Values, Judgments,
   and Agency
4. Setting Poverty Line Dividing Poor and Non-Poor
5. Units of analysis e.g. person, family, area,
   population
6. Multidimensionality how to evaluate elements
7. Time month, year, lifetime, or longer
8. Do measures explain?

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Four Approaches(Laderchi)

• MONETARY Measure (MM)
• CAPABILITY Approach (CA)
• SOCIAL EXCLUSION (SE)
• PARTICIPATORY METHOD (PM)

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Definitions and Practical Benefits

• Monetary Measure
• Poverty line cuts ranked income groups by level
  at which money income insufficient to acquire
  necessary goods and services

• Parsimony
• Statistics
• Objectivity
• Translatable
• Economic Theory
• Levels of Scale

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Definitions and Practical Benefits

• CAPABILITY
• Poverty line distinguishes people without
  freedom to live a valued life, denied capacity
  to realize human potential

• Multidimensional
• Substantive
• Adaptable
• Non-Utilitarian
• Ethical Theory Economics (HDI)

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Definitions and Practical Benefits

• SOCIAL EXCLUSION
• Poverty line separates groups marginalized and
  deprived of basic social assets

• Relativity
• Agency
• Dynamics (process)
• Non-Individualistic
• Multi-dimensional

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Definitions and Practical Benefits

• PARTICIPATORY APPROACH
• Poverty line defined by people themselves

• Sensitive
• Contextual
• Voice
• Democracy
• Relativity

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Which measure is best?

• Money measure is ubiquitous
• Its practical benefits attract most support
• Its theoretical attachment to economic theory
  implies explanatory and thus predictive power for
  policy makers
• But diversity of measures better captures
  realities of poverty
• and

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large discrepancies in those defined as poor
according to different methods mean that one
cannot rely on the monetary indicators to
identify those in other types of poverty, nor
conversely.-- Laderchi et al.
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Poverty Elements and Orientations

• The diversity of definitions emerges from
  entanglements among technical analysts,
  institutions, and poverty issues.
• Definitions of poverty do not emerge
  independently of theories, ideologies,
  statistical methods, and analytical procedure
  that inform policy, but rather inside them.

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Specialist orientations and prior commitments
generate definitions, procedures, priorities

• Human Rights
• Education
• Environment
• Law
• Housing
• Sanitation
• Health Care

• Gender
• Nationalism
• Globalization
• Economics
• Anthropology
• Cultural Studies
• Etc etc

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World Bank, World Development Report, 2000/1,
Attacking Poverty. Introduction.

• Poverty is multidimensional it includes
  inadequate food, shelter, health, education
  vulnerability to disease, dislocation, disaster
  and often mistreatment by state and society.
• Poor people live without fundamental freedoms of
  action and choice that the better-off take for
  granted. (capabilities, rights?)
• The experience of multiple deprivations is
  intense and painful. The Voices of the Poor
  study, which informs this report, gives a
  first-hand glimpse of poverty. (participatory
  approach)
• Of the worlds 6 billion people, 2.8 billion
  almost half live on less than 2 a day, and 1.2
  billion a fifth live on less than 1 a day,
  with 44 percent living in South Asia. (monetary
  poverty)
• In rich countries, less than 1 in 100 children
  die before age 5 while in the poorest
  countries, as many as 20 do. In rich countries,
  lt5 children lt 5 yrs old are malnourished in
  poor countries, as many as 50 ? ten times the
  percentage.
• (Inequality, comparison, as definition of poverty)

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Poverty Measurement and Analysis
Suresh Babu International Food
Policy Research Institute
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What is Poverty?

• Poverty is welfare level below a reasonable
  minimum.
• Poverty has various dimensions
• Income poverty
• Security poverty
• Education poverty
• Health Nutrition Poverty
• Multiple deprivation
• Poor peoples perception of poverty level

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What do we mean by Poverty?

• The primary focus is on individuals or groups
  suffering from multiple deprivations

Education poor
Core Poor
Health Poor
Security Poor
Income Poor
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Poverty Lines and Poverty Measurement

• Two Issues in Generating Poverty Estimates
• Fixing a poverty line Identification
• Measuring poverty Aggregation

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Methods of Fixing Poverty Lines

• Cost-of-basic-needs method (Food-share method)
• Cost of basic food needs
• Cost of basic non-food needs
• Food-energy method
• Expenditure level that meets the food energy
  requirement
• Based on calorie-income relationships
• Fitting and tracing calorie-expenditure graph

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Cost-of-Basic-Needs Method

• Total Poverty Line Z
• ZZF ZN
• ZF Food Poverty Line
• ZNNon-food Poverty Line

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How to calculate the Food Poverty Line

• Calculate average household (HH) size
• Find minimum requirement of daily per-capita
  calories for WHO
• Find the typical food bundle of the relative poor
  HH
• Calculate the calories of this food bundle
• Determine the cost of this food bundle
• WHOs average minimum
• ZF calorie requirement
• calories in average food bundle for
• relatively poor HH

Cost of the average food bundle

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How to Calculate the Non-food Poverty Line

• Find typical Household (HH) on the food poverty
  line.
• Calculate the non-food expenditures of the HH.
• xF per capita expenditures on food
• XN per capita expenditure on non-food
• X total per capita expenditure
• ZN E XNxF ZF for the poor
• (Non-food poverty line is the per capita
  non-food expenditure level when the per capita
  food expenditure level is equal to the food
  poverty line)
• ZN E XNx ZF for the ultra (extreme)
  poor
• (The non-food poverty line is given by the
  per capita non-food expenditure when the total
  expenditure is equal to the food poverty line.
  The food poverty line in essence becomes the
  total poverty line for the ultra poor)
• Z ZF ZN

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Minimum daily caloric requirements by sector and
gender
Urban
Rural
Age categories
Male
Female
Male
Female
0 to 1 year
820
820
820
820
gt1 to 2 years
1,150
1,150
1,150
1,150
gt2 to 3 years
1,350
1,350
1,350
1,350
gt3 to 5 years
1,550
1,550
1,550
1,550
gt5 to 7 years
1,850
1,750
1,850
1,750
gt7 to 10 years
2,100
1,800
2,100
1,800
gt10 to 12 years
2,200
1,950
2,200
1,950
gt12 to 14 years
2,400
2,100
2,400
2,100
gt14 to 16 years
2,600
2,150
2,600
2,150
gt16 to 18 years
2,850
2,150
2,850
2,150
gt18 to 30 years
3,150
2,500
3,500
2,750
gt30 to 60 years
3,050
2,450
3,400
2,750
gt60 years
2,600
2,200
2,850
2,450
Source
Caloric requirements are from WHO (1985, Tables
42 to 49).
Notes
Requirements used are for men weighing 70
kilograms and for women weighing 60 kilograms.
Urban
individuals are assumed to need 1.8 times the
basal metabolic rate (BMR), while rural
individuals are assumed
to need 2.0 times the average BMR. Children under
one year of age are assigned the average caloric
need of
children either 36, 69, or 912 months old.
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Poverty lines and spatial price indexes by region
Food poverty line
Reference poverty line
Ultra poverty line
Relative price index
Region
Metropolitan
50.18
129
.19
75.36
1.000
101
.72
Lower urban
45.94
67.52
0.787
Lower rural
44.29
85
.38
0.661
64.71
Upper urban
101.36
45.19
0.785
67.51
82.81
Upper rural
40.36
53.37
0.641
Notes
Poverty lines are monthly, per capita figures in
Egyptian pounds. The Metropolitan poverty line
is used as a
base line to create the relative price index,
which is simply the ratio of each region's
reference poverty line to
the base line.
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Issues in the Poverty Line

• Does a poverty line exists?
• Can it be used is it well accepted?
• Are international standards for setting poverty
  lines accepted in all countries?
• Can we use the same poverty line throughout a
  country?
• Can the nutritional basket underlying the poverty
  line be derived from surveys?

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Measures of Poverty

• Incidence of Poverty poverty rate
• Use the headcount rate to calculate the poverty
  rate of the of population below the poverty
  line
• Depth of Poverty how far a person is below the
  poverty line
• Poverty Gap aggregation of depth of poverty
• Poverty Severity aggregation with weights

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Head-count Index of Poverty

• Proportion of population whose consumption (y) is
  less than the poverty line Z
• Y1, Y2,..Z, ..Yn
• 
  q
• H q/n
• H Head-count index
• q number of poor
• n size of the population
• Eg if n100 q50 then H0.5 or 50
• Problems
• Insensitive to the depth of poverty
• H will not change when a poor persons welfare
  changes if he/she remains below the poverty line

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Example of the Head-count Index Calculation

• Income of 4 individuals in a sample 1,2,3,4
• Poverty Line Z 3.0
• H q/n 3/4 0.75 or 75

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Head-count of Absolute Poverty for Bangladesh
Year Sector BBS Graph Fitting Method Ahmed et al. (1991) Ravallion Sen (1994) Rahman Haque (1988) Hossain Sen (1992) Sen Islam (1993) Muqtada (1986)
1973/ 1974 Rural Urban 82.9 81.4 (5.6) - - 65.3 62.5 71.3 n.a. n.a. 63.2 55.9 37.8
1981/ 1982 Rural Urban 73.8 66.0 71.8 65.3 - 79.1 50.7 65.3 n.a n.a. 48.4 -
1983/ 1984 Rural Urban 57.0 66.0 n.a. n.a. 53.8 40.9 49.8 39.5 50.0 n.a. n.a. 42.6 -
1985/ 1986 Rural Urban 51.0 56.0 51.6 66.8 45.9 30.8 47.1 29.1 41.3 n.a. n.a. 30.6 -
1988/ 1989 Rural Urban 48.0 44.0 - 49.7 35.9 - 43.8 n.a. n.a. 33.4 -
1991/ 1992 Rural Urban 50.0 46.8 - 52.9 33.6 - - - -
 
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Poverty Gap Index (PGI)

• Aggregate short-fall of the poor relative to the
  poverty line Z
• Y1, Y2,, Yq Yq ? Z
• Poorest Least poor
• q
• PG 1/n S (Z-Yi)/Z mean proportionate
• i1 poverty gap across the
• whole
  population (zero gap
• for the
  nonpoor)

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Example of Poverty Gap Calculation
Income of4 individuals in a sample
1,2,3,4 Poverty line Z 3 n4 PG (3-1)/3
(3-2)/3/4 (2/3)
(1/3)/4
(3/3)/4 ¼ or
0.25 Poverty gap index does not capture
differences in severity of poverty.
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Why?

• Region A (1,2,3,4)
• Region B (2,2,2,4)
• Poverty line Z 3
• HA 0.75 HB 0.75
• PGA 0.25 PGB 0.25
• Poverty gap will be unaffected by an income
  transfer from a poor person to another poor
  person who remains below the poverty line

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Squared Poverty Gap Index (SPG)

• Mean of the squared proportionate poverty gap
• Reflects severity of poverty
• Sensitive to the distribution among the poor
• q
• SPG 1/n S (Z-Yi)/Z2
• i1
• Eg Region A (1,2,3,4) Region B (2,2,2,4)
  with Z3
• SPGA 0.14 SPGB
  0.08
• Poverty in region A gt Poverty in region B

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Poverty AnalysisIncome/Consumption Poverty
Profile

• Correlates poverty with
• Gender
• Age
• Residential location
• Ethnic characteristics
• Income source
• Employment sources
• Share of food/ non food consumption
• Education outcomes
• Malnutrition outcomes

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Qualitative Analysis of Poverty

• Role of informal sector?
• Social analysis of poverty?
• Institutional analysis of poverty reducing
  institutions
• Intra-household distribution of resources

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Use of Qualitative Methods

• Subjective meaning of poverty
• Intra-household dimensions of poverty
• Poor peoples priorities for action
• Social, political, and cultural factors, gender
  roles, and traditional beliefs
• Participants help in designing household surveys
• Assess the validity of HHS results at local level

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Income or Consumption?

• Consumption reflects income as well as past
  savings, access to credit markets, and seasonal
  variation in income
• No records of income or seasonal fluctuations
• Large informal sectors
• Consumption data helps in deriving the poverty
  line

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Measuring Income/ Consumption Poverty

• Household data availability tools
• Measurement of income poverty
• Quantitative analysis tools
• Qualitative analysis tools
• Income poverty dynamics tools

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Data Needs for Poverty Analysis

• National level data
• National accounts GDP, consumption, savings,
  investment, imports, exports, etc.
• Ministry of Finance, Central Statistical Agency
• Budgets, price surveys, and data collection
• Monthly, quarterly, and yearly

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Data Needs for Poverty Analysis cont.

• Local level data
• Consumer and producer prices, climatic data,
  availability and use of markets and services
• CSA, local service providers, regional
  departments
• Price and market surveys
• Monthly, yearly

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Data Needs for Poverty Analysis cont.

• Household Individual level data
• Household income, consumption, employment,
  assets, production, demography, etc.
• CSA, sectoral ministries, NGOs, academics
• Household survey, rapid assessments, monitoring
  and evaluation
• Yearly, 2-3 years, every 5 years

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Data Sources for Poverty Analysis

• Administrative data
• Population Census
• Household surveys LSMS, IE, Labor, DHS, RRA
• Qualitative and Participatory Assessments
  ethnographic, village studies, beneficiary
  assessments, etc.

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Types of Household Surveys

• Single-topic surveys
• Multi-topic surveys
• Census data
• Poverty monitoring surveys
• Times series data
• Panel data sets

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THE END

• continuations
• nutrition and poverty
• markets and poverty

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HOW to TACKLE POVERTY GLOBALLY Before the 1970s,
the general assumption internationally was that
GOVERNMENTS were responsible to PROTECT people
against calamitous vulnerability, to provide
SAFETY and SUSTENANCE, which would not otherwise
be available.

Since then, the IDEA THAT ECONOMIC GROWTH based
primarily if not solely on asset allocations in
the MARKET could END POVERTY or even curtail it
massively has become increasingly popular.
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Changing Parameters of Policy gt Concept gt
Measure

• THE NATIONAL STATE has thus lost its formerly
  presumed role as guarantor of basic welfare
  entitlements for the poor.
• A global POLICY orientation that promotes the
  CONCEPT of market-driven ECONOMIC GROWTH has
  generated new efforts to measure its impact on
  wealth and inequality.

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Global Trends indicate growing productivity,
wealth, and inequality

• ratios of per capita income between rich and poor
  countries increased more than six-fold between
  1870 and 1985, as income levels dispersed over an
  ever-widening range of variation and rich and
  poor economies clustered on either end of a
  broader spectrum.
• Today, inequality is increasing. The gap between
  the richest and poorest countries is growing.
  The poorest of the poor are an ever-larger
  proportion of the world population.
• Absolute poverty increased in the 1990s most
  dramatically in Africa, where an average
  household now consumes 20 less than 25 years
  ago.
• From Divergence, Big Time, by Lant Pritchett (a
  World Bank report)

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Markets and Poverty

• It appears that in general
• Market-based economic development DOES generate
  increasing WEALTH
• but also ALLOWS for (if it does not generate)
  increasing inequality,

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Markets Are Pragmatic

• The following slide indicates that investors
  would tend to avoid risky economic environments.
• Many of which would also be poor.
• Left to itself, therefore, the market would not
  define poverty as a problem.

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As a result of investor logics non-market
mechanisms remain critically important for our
GLOBAL DEVELOPMENT REGIME to target poverty as
a global problem in each individual country
where poverty is prevalent as measured by
global standards.