Bono, the lead singer for the rock group U2, has hovered in the range of 40-50 years, far below the norm (70-80 formed concerts around the world to raise awareness of years) of the rich, developed nations.
We follow Bono's suggestion to eradicate poverty.
He believes in a closer look at global poverty.
There are many dimensions to global poverty.
Poverty, like beauty, is often in the eye of the beholder.
Americans feel poor if they can't buy a new car, live in a fancy home or take an exotic vacation.
Few people would go hungry or be forced to live in the streets with that much income.
$1,000 per year was needed for that purpose back in 1963.
They asked how much income was needed to purchase basic necessities.
A budget of $3,000 per year would fund a living standard for a U.S. family of four.
Every year prices have gone up.
The price was adjusted as a result.
In 2007, it cost $20,000 to purchase the same basic necessities for a family of four that it cost in 1963.
If you're not paying your own rent or feeding a family, twenty thousand dollars sounds like a lot of money.
It doesn't look generous if you break the budget down.
A third of the budget goes for food.
The portion has to feed four people.
The official U.S. poverty standard is only $4.80 per day for an individual's food.
There is no money in the budget for dining out.
For the whole family, the implied rent money is $600-$700 a month.
35 million Americans were counted as poor by the Census Bureau in 2006 as adjusted for family size.
The Census Bureau said the population was poor.
How poor is the U.S.
Observers criticize the U.S. poverty statistics.
Americans meet the government standard of poverty.
Food stamps can be used like cash to purchase groceries.
The need for cash income is reduced by Medicaid and Medicare paying doctor and hospital bills.
Government rent subsidies, Medicaid benefi ts, stamps, Medicaid benefi and housing allow poor families to have more housing than they can afford.
The in-kind transfers allow poor families to enjoy a higher standard of living.
Adding those transfers to cash incomes would bring the poverty count down.
After counting in-kind transfers, some families aren't necessarily poor.
In America's poor households, telephones, color TVs, dishwashers, clothes dryers, air conditioners, and microwave ovens are commonplace.
America's poor families don't have a lot of problems in everyday living.
Less than 14 percent of people report missing a rent or mortgage payment, and less than 8 percent of people report a food deficiency.
American poverty is not synonymous with homelessness, malnutrition, chronic illness, or even social isolation.
There are problems among America's poverty population, but they don't define American poverty.
Poverty in the rest of the world is different from poverty in America.
The U.S. is a rich nation.
The U.S. GDP per capita is five times larger than the world average.
The World Bank says that over three-fourths of the world's population lives in low-income or lower-middle-income countries.
Haiti, Nigeria, Ethiopia, and other poor nations have lower average incomes.
Most of the people in these nations would be poor.
The thresholds for the World Bank are very low.
Less than $1 per day per person.
Part of the dollar would have to be rented.
The World Bank wasn't defining Bank income standard of "poverty" in the context of American affluence.
$2 per day per person is what they were trying to define.
The World Bank lines were established in 1985 and translated into local currencies based on purchasing power equivalents, not official currency exchange rates.
The World Bank's global poverty lines are adjusted each year for inflation.
On occasion, they are adjusted to reflect changing consumption patterns.
The "$1" standard of 1985 is about $1.50 per day in the U.S. in today's dollars.
That works out to $2,190 per year for a family of four.
The World Bank standard is copyrighted in 1997.
Extreme poverty is defined as global poverty.
Over a billion people are living in extreme poverty.
Extreme poverty concentrations are shown in Figure 37.1 Extreme poverty is alarmingly high in many smaller, less developed nations like Haiti, where average incomes are very low.
Half of the world's extreme poverty can be found in India and China.
Table 37.1 shows that the distribution of poverty is the same.
The poverty threshold is much greater.
Severe poverty afflicts over 80 percent of the population in dozens of nations and even reaches over 90 percent in some.
Few Americans can comprehend the levels of poverty depicted in Figure 37.1 and Table 37.1 Living on less than a dollar 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 800-273-3217 The problems associated with deprivation begin before birth.
Women who are pregnant don't get enough nutrition or medical attention.
Only a third of births in low-income countries are attended by a skilled health worker.
The mother and baby are at risk if something goes wrong.
Most of the children in global poverty are in a state of chronic malnutrition.
In low-income nations, at least 1 out of 10 children will die before they are five years old.
The International Bank allowed it to be used per day.
Reconstruction and Development are supported by the World Bank.
Children are unimmunized to preventable diseases.
There is an AIDS epidemic among both children and adults in the poor nations.
All of these factors contribute to a frighteningly short life expectancy.
Only a small percentage of children from poor households stay in school past the eighth grade.
Women and minority ethnic and religious groups are often excluded from educational opportunities.
In low-income nations, only one out of two women and two out of three men are literate.
Millions of rich and poor villagers are defined by a rigid caste system in India.
There are barriers that block access to health care, education, and jobs for children of poor families in several countries.
Poor nations have inequalities that are more severe than developed nations.
Upward mobility is kept a lid on by economic stagnation.
A rising tide lifts all boats, according to President John F. Kennedy.
Class warfare is intensified by a stagnant economy, with everyone jealously protecting whatever gains they have made.
This is the reality in many low-income nations.
In some of the poorer nations in the world, output grows more slowly than the population, intensifying the competition for resources.
No policy approach can offer a quick solution to global poverty.
The World Bank does not see an end to poverty.
The world's population is expected to grow to over 100 million by 2015.
There will be close to 7 billion people on this planet by the year 2015.
America has its own poverty problems, as well as other domestic concerns.
A poor child in sub-Saharan Africa or Borneo is no less deserving than a poor child in another part of the world.
A child's death in Bangladesh is just as tragic as a child's death in Buffalo, New York.
There are pragmatic concerns.
The seeds of social tension are sown by poverty and inequality.
Potential markets for international trade are limited by poverty.
Human creativity is limited by undeveloped human capital.
The Millennium Poverty Goal should be universally embraced, according to the U.N.
It will be difficult to reach this goal.
The strategies for eliminating global poverty are explored in the following sections.
As a country develops, inequality tends to diminish.
In poor developed countries, the richest tenth of the population typically gets less than 30 percent of the total income.
Permission was given by the International Bank for Reconstruction and the World Bank.
The distribution of income is the FOR WHOM question.
In most poor countries, inequalities loom larger than in the U.S.
The risks of redistribution are often underestimated.
There are nations with the highest concentrations of extreme poverty.
40 percent of that nation's income goes to the other 9 percent of the population.
The households with the lowest incomes would be better off.
There is a downside to direct redistribution.
People won't want to save and invest if savings are taken away.
Zimbabwe's agricultural productivity plummeted after it was broken up in 2000.
Land reforms can reduce inequalities and poverty.
Direct within-nation redistribution is often overstated.
Historically, nations have been forced to reverse land, tax, and property reforms that have slowed economic growth and reduced average incomes.
Poverty can be reduced by reallocating direct government expenditures.
Some poor nations devote a large share of output to the military.
The poor would benefit from more of those resources being put into schools, health services, and infrastructure.
Governments in poor nations tend to neglect rural development in favor of urban development where the government and middle class live.
Rural development and core infrastructure would accelerate poverty reduction if more resources were directed to them.
That's a lot of money.
It would be less than $35 per year per person if it were only distributed to poor households.
The developed nations want to deliver more aid.
The goal of raising foreign sound isn't too ambitious, but it is a larger flow.
"rich" nations are close to this goal.
The United States is the world's largest aid donor, but its aid is only a small part of total output.
The U.N. goal is unlikely to be met soon.
Each of the nearly 3 billion people in global poverty would only get $100 a year in foreign aid.
The figure assumes that all aid is given to the poor in a form that addresses their basic needs.
Private charities and NGOs help with official development assistance.
The Gates Foundation spends $1 billion a year on health care for the poor, focusing on diseases like Malaria, Tuberculosis, and HIV, which can be treated.
Areas of extreme poverty have schools and health clinics run by religious organizations.
Medical care, shelter, and food are provided by the International Red Cross.
Rich nations give a lot of money to poor nations.
The International Bank for Reconstruction and Development is a fraction of donor GDP.
Almost all of the money devoted to health research in this country has been eliminated.
Malaria is worth about $1 billion.
Each year, the world spends money to combat hair loss.
For a long time, that's great.
If we're setting priorities, perhaps we should give more attention to understanding the malaria parasites and rank behind it.
Malaria has set Philanthropy to step in when market forces aren't doing records, infecting more than 400 million people every year.
It is possible to draw in experts.
It can make killing a million people a yearly occurrence.
It can partner 2,000 children every day.
This is the same basic story about yellow fever and the need to do something about it getting better.
January 22, 2007.
Permission was granted for this article to be reproduced.
Additional institutions and incentives may be needed when markets fail to meet basic human needs.
The content of the aid can be as important as the level.
It is possible to improve health conditions more with low-cost immunizations than with high-tech health clinics.
Basic literacy can be more effective if it is taught to a community of young children.
Giving advanced farm equipment may be useless when it needs to be repaired, but donating drought-resistant seeds can be more effective.
Foreign aid and philanthropy alone can't eliminate global poverty.
The entire endowment of the Gates Foundation would only meet the health needs of the poor for a year.
International assistance will never be enough.
This is what growth is all about.
There is a simple prescription for economic growth.
The growth formula has a new meaning in the poorer nations.
Poor nations need the basics of an economy such as water systems, roads, schools, and legal systems.
In his early philanthropic efforts, Bill Gates learned about this.
In 1996 Microsoft donated a computer to a community center in a poor area of South Africa.
Poor nations have different growth-policy priorities than rich nations.
Economic growth can reduce poverty in poor nations.
China, Brazil, Egypt, and Sri Lanka are some of the lower-middle-income nations.
Each percentage point of economic growth increases total income by roughly $55 billion.
The effectiveness of economic growth in reducing poverty has been demonstrated by China.
China has been the world's fastest-growing economy for the last 20 years, with annual GDP growth rates in the 8 to 10 percent range.
Poverty reduction is more difficult in poor nations that have faster population growth.
In some of the least developed nations, population growth is in the range of 1-2 percent.
One of the keys to reducing global poverty is to reduce population growth rates.
Birth control can be part of an antipoverty strategy.
In the least developed nations, contraceptives are almost completely absent.
The richest segments of the population are more likely to use contraceptives.
The use of contraceptives is constrained by limited access, not cultural values.
Tax incentives and penalties were used to limit families to one child.
It is used with permission by the International Bank in many poor countries.
Reducing population growth makes poverty reduction easier, but not certain.
There is a need for human capital development in poor nations.
Women are more likely to be prevented from attending school because of cultural, social, or economic concerns.
Less than one out of six girls completes primary school in Chad.
Most of the poor nations of sub-Saharan Africa have completion rates for girls in the 25 to 35 percent range.
They are destined to remain poor due to lack of skills and physical capital investment.
The quality trap is created by these social practices.
They can't get productive jobs if they don't have adequate education or training.
Women are discouraged from working outside the inequality trap because of this vicious cycle.
These families are extremely poor.
The poor families often need their children to work in order to survive.
Basic health care is a critical part of human capital development in poor nations.
In many poor nations, immunizations against tetanus, diphtheria, and measles are not an exception.
The child immunization rate in the United States is 96 percent.
The main barriers to immunizations are access and education.
Sanitation and water facilities are in short supply.
"Adequate water access" is defined by the World Bank as a protected water source of at least 20 liters per person a day within 1 kilometer of the home dwelling.
A public water pipe a half a mile from one's home is considered adequate for indoor plumbing.
Only three out of four households in low-income nations meet the minimum threshold of water adequacy.
Only a small percentage of households in Afghanistan, Ethiopia, and Somalia have access to water.
One out of three low-income-nation households don't have access to pit latrines or to flush toilets.
Only 6 percent of the population in Ethiopia is so privileged.
Professional health care is hard to find when illness strikes.
There is one doctor for every 180 people in the United States.
There are 2,500 people for every available doctor for low-income nations.
High rates of illness and death are caused by glaring health conditions.
260 of every 1,000 children die in Angola.
The under-five mortality rate is one out of eight.
It's a common problem for the inequality trap.
In the United States and Europe, people take for granted the fact that there are many diseases and parasites in the water.
Malaria and the West Nile virus can be carried by people living in U.S. cities devastated by hurricanes.
There were 10 million child deaths last year.
99 percent of water can't be used to fight infections if their bodies are not strong enough.
Half of the hospital beds in the developing world have access to adequate Sanitation.
One toilet in the West uses more water than it does due to unsafe water and inadequate Sanitation, while many people in the West suffer from preventable diseases.
When poor people are asked what would most improve their Unsafe water and Sanitation is now the single largest cause of deaths in the world and it has been a major threat to the orities.
We should listen to their call.
Jan ally from water-borne diseases such as Eliasson through Monica Lundkrist.
Economic growth depends on access to safe water and sanitation.
The millennium water goal is to reduce the percentage of people without safe water by half.
The toll of AIDS is huge.
Only a small percentage of Americans have HIV.
Life expectancies are low because of these problems.
Only 16 percent of the population live to age 65.
In the United States, life expectancy at birth is 77 years.
59 years is the life expectancy for low-income nations.