CLASS 9Measuring Poverty and Poverty Measurement

These flashcards cover key vocabulary and concepts related to measuring poverty, including various poverty measures, definitions of families, and sources of income.

Poverty Measurement

The process of assessing the state of poverty using specific criteria and thresholds.

Official Poverty Measure (OPM)

The standard method used by the U.S. Census Bureau to determine poverty status, primarily based on pre-tax cash income.

Threshold

The poverty line set at three times the cost of a minimum food diet in 1963, adjusted annually for inflation.

Family Definition (in OPM)

Persons living together who are related by birth, marriage, or adoption as defined by the official poverty measure.

Consumer Price Index (CPI)

An index that measures the average change over time in the prices paid by consumers for goods and services, used for adjusting the poverty threshold.

Household Income

The total income of a household, which includes cash benefits, but excludes certain forms like noncash benefits.

Near Cash Benefits

Benefits that can’t be turned directly into cash but serve similar purposes, e.g., SNAP, Medicaid.

Earned Income Tax Credit (EITC)

A refundable tax credit for low to moderate-income working individuals and couples, particularly those with children.

Supplemental Poverty Measure (SPM)

An alternative to the OPM that takes into account additional resources and expenses related to poverty.

Economic Need Depth

The extent to which individuals or families fall below the poverty threshold, indicating varying levels of economic hardship.

In-Kind Benefits

Non-cash benefits provided to assist individuals, e.g., food assistance, housing vouchers.

Geographic Adjustments in Poverty Measurement

Adjustments made in poverty thresholds based on varying costs of living, particularly for Alaska and Hawaii.

Modern Family Structures

Contemporary family configurations, such as cohabitors and unmarried partners, that challenge the traditional definition of 'family' in poverty measures.

Cohabitors

Unmarried couples living together, often with children from previous relationships.

Child Poverty

The percentage of children living in households that fall below the poverty threshold.

Work Expenses Impact on Poverty

Out-of-pocket costs incurred by individuals that affect their economic status and are not accounted for in basic poverty calculations.