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|INDICATOR 1: Proportion of the population below the international poverty line|
|Why this indicator? What will it measure and provide information for?
This is a globally used indicator that measures the share of the population living in households with per-capita consumption or income that is below the international poverty line. Reduction of poverty is a major objective in many countries and one of the SDG targets (Target 1.1 By 2030, eradicate extreme poverty for all people everywhere, currently measured as people living on less than $1.90 a day)
|What Sustainable Development Goal is the indicator connected to?
SDG Goal 1, indicator 1.1.1: Proportion of population below International poverty line disaggregated by sex, age group, employment status and geographical location (urban/rural)
|Definitions and key terms
Poverty: Households with per-capita consumption or income that is below the international poverty line of US$1.90 (updated by the World Bank in October 2015 from $1.25 to $1.90, using 2011 prices, applying the new 2011 purchasing power parity (PPP) conversion factors). Poverty lines across countries vary in terms of their purchasing power, with richer countries tending to adopt higher standards of living in defining poverty. But to consistently measure global absolute poverty in terms of consumption, we need to treat two people with the same purchasing power over commodities the same way—both are either poor or not poor—even if they live in different countries.
|Data and information required to calculate the indicator
* Numerator: the number of persons living in households below the poverty line (disaggregated by sex, age and employment status)
* Denominator: the total number of persons (disaggregated by the same sex, age and employment status groups)
|Suggested method for data collection
* Primary data sources: household surveys
* Secondary data analysis, from World Bank, ILO, UN and government statistics.
* For more information: http://www.worldbank.org/en/topic/measuringpoverty
* Qualitative methods such as focus group discussions and key informants interviews should supplement the quantitative data collection to provide a better understanding of barriers to decreasing rates of poverty.
* Alternate measures: The Progress out of Poverty Index (PPI) has been developed by the Grameen Foundation as a simple to use tool, based on 10 questions that a household member can answer in 5 to 10 minutes, to compute whether a household is likely to be below the poverty line. There are PPIs for 45 countries – see http://www.progressoutofpoverty.org/.
|Possible data sources
* Primary data collection: household surveys, using standard questionnaires (as applied by national statistics agencies)
* Secondary data, living Standard Measurement Surveys (LSMS) and Social Dimensions of Adjustment (SDA) surveys in sub-Saharan Africa (funded by World Bank)
|Resources needed for data collection
Quantitative data can be obtained household surveys carried out by National Statistics Offices and others. Qualitative research on CARE’s contribution will require resources and possibly the support of a research or evaluation partner. Significant resources for household surveys would need to be included in the monitoring and evaluation plan and budgeted for, should CARE collect quantitative data (which would be rare).
|Reporting results for this indicator: number of people for which the change happened
* A change in the percentage of people living in households below the international poverty line.
* An analysis of how CARE contributed to this change.
|Questions for guiding the analysis and interpretation of data (explaining the how and why the change happened, and how CARE contributed to the change)
* What have been the main changes in poverty levels over the life of this project? Were there important differences in changes in poverty levels by gender, age, social or employment status or other factors?
* How has CARE contributed to the change? What were CARE's main strategies for contributing to this change?
* Have there been any changes in legislation, practice or Government programs (e.g. Social Protection) that have influenced the results? What other factors explain the change?
* At the country level, comparisons over time may be affected by such factors as changes in survey types or data collection methods. The use of PPPs rather than market exchange rates ensures that differences in price levels across countries are taken into account. However, it cannot be categorically asserted that two people in two different countries, living below US$1.90 a day at PPP, face the same degree of deprivation or have the same degree of need. This poverty line is not appropriate for high-income economies and may not be appropriate for upper-middle income countries.
* Changes in poverty levels are likely to be influenced by many different factors, beyond those affected by CARE & our partners’ programs. Careful interpretation of data, and triangulation with other sources, is needed to avoid overstating our contribution to changes.