Monday, July 12, 2010

Relatively absolute poverty

I was trying to learn about this week's countries and saw "Nicaragua is the poorest country in Central America."  Wow, I thought, that must be bad, and it was, with a GDP per capita of $2,800 a year.  But what does that mean?  So I looked up Haiti - poorest in the western hemisphere at $1,300 a year.  Wow, that's really not much... I wonder what the worst of the Eatsern Hemisphere is? Turns out it's a toss-up - Burundi and the Democratic Republic of Congo both have a GDP per capita of $300.  So that's less than a dollar a day.  Less than $4 a day in Haiti.  Just over $7.50 a day in Nicaragua.

The US is $46,400, or more than $127 a day. (Only #11, incidentally.  All stats from the CIA fact book.)

Now, maybe GDP per capita isn't an accurate indicator.  Maybe there are dimensions that it doesn't capture that reflects a less desparate life than these figures seem to say.  But when I think about the fact that I spend more on diet coke alone than $4, I find it hard to really interalize what these numbers mean.

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