GROUP 6- It is often noted that the absolute measure of poverty provides

program and policy analysts with the best understanding of the state of
poverty in the Caribbean. Evaluate this notion using relevant Caribbean
examples

In other words the question states that the absolute measure of poverty allows for the
collection of adequate information in order for various officials such as policy makers,
economists (government sector) to best deal with the level of poverty in the Caribbean.

The term poverty is defined as the lack of command over economic resources or
the inability to achieve an acceptable standard of living. Poverty is caused by a
variety of factors such as: gender inequality, lack of access to credit and the lack of
available jobs as well as over population just to name a few. Absolute poverty
refers to the poor who are unable to attain food (in sufficient quantities to satisfy
their basic nutritional requirements) and non- food items (such as clothing and
shelter) necessary for survival. The absolute concept of poverty refers to a standard
of living defined in absolute terms. In this case, poverty is usually measured by the
value in real terms of a given level of goods ensuring some form of minimum
subsistence. Measuring the level of poverty in a society at a given time can be
determined in order to inform policies and programs intended to reduce, alleviate
and ultimately eradicate poverty. In an attempt to reduce poverty specific attention
could be placed on the reduction of teenage pregnancy, avoidance of the
withdrawing of children from schools and a reduction in family size.

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According to Mustapha 2009, the absolute measure of poverty has customarily
been estimated by employing the use of poverty line. A poverty line may be
defined as the monetary value placed on a hypothetical basket of food and nonfood items that are deemed necessary for existence. People whose income levels
fall below this line are categorized as poor. This refers to the basic items that are
needed for survival; a persons wants would not come into play.
Conflict Theorists posits that poverty results from the failure of the state to allocate
resources equitably. They view poverty from several different angles such as: the
labour market, the stratification system and capitalism. In the labour market there
is an increase demand for skilled workers therefore the unemployed and under
employed tend not to meet these requirements and are unable to command high
wages, hence they remain in poverty.The concept of poverty is related to class.
There is the underclass which consists of the retired elderly people, the physically
challenged and single parent families, which because of their low status their
opportunities for better- paid employment are limited. Additionally, it is to the
advantage of the owners of production to ensure that poverty exists as it allows
them to maintain the capitalists system and maximize profits.

In a gleaner article titled, Caribbean Poverty Levels Down UN Report August 27, 2014, states
that the United Nations says poverty in the Caribbean has been reduced by almost a half. It
means that about 6 million people have been lifted out of poverty in recent years. A New United
Nations Development Program report says poverty levels from 2000-2012 fell from 41.7% to
25% of the population. However, despite the progress it warned that some 200 million people or
37. 8% of the population remains vulnerable. The UNDP has called for more investment in social
protection programs. It calculates poverty with living with less than $4 US per day. Similarly, in
a lecture by Professor Compton Bourne in 2005, the President of the Caribbean Development
Bank it was stated that, poverty reduction is an almost universal objective. It finds expression in
the strategies and programs of multilateral institutions, national governments, bilateral aid
agencies and regional and sub-regional development banks. It is the first of the 8 millennium
development goals for improving human welfare stated by the United Nations General Assembly
in 2000. In the Caribbean poverty reduction is the overarching objective in the Caribbean
Development Bank Strategic Plan 2000-2004 and will remain a central objective in the strategic
plan 2005-2009. (EXPLAIN ARTICLES)

**POVERTY LINE
Grenada in 1999 showed a poverty level of 22.5 % using the absolute index, 12.1 % using the
food only index, and 18.7 % using the basic needs, while for Jamaica the figures for 1997 were
10.5%, 6.2 %and 17.1 % respectively. Similarly, an article from the gleaner published on March
26th, 2014 titled Jamaicas poverty rating worsens, states that some 1.1 million Jamaicans
are living below the poverty line. Dr. Alanzo Smith, a member of the American Counseling

Association said that poverty stems from a break down in family structure, lack of education and
economics and is one of the reasons the human development index, a report used to measure
development through various means ranked Jamaica 86th out of 187 countries with an alarming
poverty rate. Jamaica was ranked 79 in 2011 but since 2013 has moved up to 86 which means
that as far as poverty is concerned we are getting worse.

With that said, we disagree with the notion. Although the absolute measure of poverty has been
used to implement programs in Jamaica, such as: Path, NHF and the National Poverty
Eradication program, we conclude that the absolute measure of poverty is subjective in nature.
How does one determine what a specific person needs for survival? A persons nutritional need
varies with age, work activities and other related variables. Also the absolute measure of poverty
is insensitive to the intensity of poverty. In other words, the absolute measure of poverty does not
take into account the difference in income and consumption between the poor and the poverty
line. Additionally, it does not take into the account the severity of poverty, which refers to the
distribution of those below the poverty line. In other words, it may fail to measure the proportion
of the poor relative to those who are not as poor.