Text Box: $30,000 pa = Least realistic cost of living for a typical family unit = convenient criteria for 'absolute' poverty Text Box: Households

Text Box: 10,000

Text Box: High Average Incomes Distribution Median Income = $70,000 Relative Poverty Line = $35,000 18% in 'relative' poverty 13% in 'absolute' poverty

 

Text Box: Relative poverty measures (ie where a 'poverty' level is set at (say) 50% of median income) do not always give a realistic outcome. The diagram shows that with a low average income distribution no family might be seen to be in 'relative' poverty though (say) 80% might be in 'absolute' poverty. The income \/s cost figures used here are to illustrate a point - rather than be realistic. Text Box: Low Average Incomes Distribution Median Income = $15,000 Relative Poverty Line = $7500 0% in 'relative' poverty 80% in 'absolute' poverty