Relative Poverty, Absolute Poverty, Social Groups and Structural Reasons - Essay Example

Poverty Introduction Poverty can be defined as a lack of resources that are necessary in fulfilling essential physical needslike nutrition, shelter or clothing which are considered as the standard measure for enjoying ‘good of life.’ Poverty lines are corresponded to costs of consumptions in these basic necessities (Niemietz, 2011). Relative Poverty Relative poverty can be statistically defined as the levels of inequality that are considered in the lower class and lower-middle class. The income distribution of a company stands out as the indicator for relative poverty. Equality among income earners is used to identify comparison over different household types. There is normally a certain type of household that is used as a set of reference. In most cases, a two adult household is common in such a context. An equivalized income with the exception of the reference household type, can be defined as the income that a two adult household requires for its occupants to reach the same standards of living. As for the reference category, an equivalized income is referred to as a nominal income that a household receives (Niemietz, 2011). Under the McClements equivalence scale, if the nominal income of a single household is £X, then the corresponding equivalized income is 1.63*£X. A relative poverty line is defined as a fixed fraction related to the frequent mode of distribution in income. Therefore, households may be considered poor when their incomes are far below the typical income of a certain time and place. The relative poverty rate could be complemented by measuring how far the poor are when paralleled to the poverty line. The relative poverty gap refers to the percentage distance that is between the middle income earners and the low income earners. The strengths and weaknesses of the same are reflected in literature depicting that the poverty line was set at about 50% of the mean income with the median income being 60%. Poverty lines that rely on the mean income are highly sensitive to few high income earners. This makes them less suitable for approximating typical incomes. On the other hand, a poverty line subject to the median is subject to statistical biases (Niemietz, 2011). Absolute Poverty Absolute poverty is a state characterized by extreme deprivation in terms of human wants especially basic needs. Indicators in this section are shown by poverty lines representing fixed levels of purchasing power. It is logical that two individuals having the same income have the potential of enjoying the same living standards in terms of material. Therefore, the absolute poverty line is not necessarily connected to living standards. This is a reflection that the poverty status of an individual is independent of the income of others surrounding him/her. Strengths and weaknesses pertaining to the same show that developed countries’ absolute poverty lines do not have a clear interpretation. Statistically, they may be derived simply by taking the poverty line of a particular year, ensuring it is related to current terms and consequently apply it to concurrent years. A poverty line may also be copied from one country then applied to others and adjust with relation to differences in levels of prices. With both cases, absolute poverty lines are seen not to have interpretation of their own. Absolute poverty lines copied from another country are called quasi absolute (Niemietz, 2011). Social Groups and Structural Reasons The basic assumption on poverty alignment falls on minority ethnic groups such as the black in white population. It is seen that such individuals are mostly paid less as compared to those coming from other ethnic backgrounds. There is also the aspect of how different people approach certain life choices. An example on the same can be derived from Asian women who prefer taking care of the home or family instead of having a job outside this context. (Brady, 2003a). Education Ethnicity, gender and the socio-economic status are the key issues that affect the stated subject hence they also pose as its determinants in terms of experiences and results. Children with a ethnic minority background tend to start primary school with low attainment as compared to those coming from the majority background. However, their progress is tremendous and as such, it paints a different picture by the time the two groups join secondary school. They are observed to have the highest performance overall and tend to be the most successful. It has also been shown that individuals from poor and minority groups tend to attend education colleges more as compared to white children or even those from rich backgrounds. However, it is those of Asian background that have over represented in these institutions (Brady, 2003a). Employment It is important to first note that effective payment of work which can be used as a route out of poverty is portrayed differently across all groups in the society. These differences are originating from different levels in unemployment as well as economic inactivity. It has been observed that scrapping off of poverty through employment is higher in certain ethnic groups. This is well reflected in recruitment, retention, advancement, training, and enhancement of workplace experiences as well as outcomes. It has been realized that there is favoritism for people coming from majority groups as compared to those of minority groups. This is the same for large employers who are hard to discriminate as compared to small and medium enterprises from minority groups. Individuals from minority ethnic groups own very few large companies but still are discriminated because of their background. This also applies when a company is hiring employees regardless of individuals from minority ethnic backgrounds being qualified just like their counterparts from majority ethnic backgrounds (McBride, 2001). With relation to retention and advancing of individuals, ethnicity has not been well substantiated. However, it is evidenced that some minority ethnic groups are over represented in declining industries. This does not rule out the tremendous evidence of women from minority ethnic backgrounds facing barriers when it comes to them entering certain industries or progressing in the same. This is mainly related to the perception that they are incompetent since they come from ethnic groups that are materially poor and are therefore assumed to lack the capacity when it comes to profession. This has led to the assumption that such individuals only work as subordinate staff and the complaints are pinned on black and Asian women not being aggressive enough. With regards to training, reflections on representation of individuals from minority groups in accessing training realized under representation when they studied Black Training and Enterprise Group (McBride, 2001). Enhancement of experiences in workplaces and their outcomes has inclined research to focus on discrimination, tailored employment support, positive action, review of workplace practice, leadership, monitoring as well as accountability. These are some of the initiatives that are being taken into consideration so as to ensure individuals from minority groups are equally treated. This will create greater flexibility in the context of competency frameworks hence allowing foreign work experience as a factor especially for new immigrants. They should also put measures in place with regards to promotion interview practices that support fair treatment across minority ethnic people (Blundell & Etheridge, 2008). In relation to caring, it is important for a family to earn enough to pull it out of poverty. Ethnicity play a major role in the same as it portray in the same using several reasons. The perception held by an ethnic group determines their obligation towards the elderly and children that fall under the dependency category. This explains why Asians live as an extended family comfortably. On the other hand, the black view this as a central obligation. This results into the black and Asians having low incomes since they have some part extended as family income (McBride, 2001). The Work Program This is an improvised framework by the government of the Great Britain mandated to provide personalized support to its clients who are majorly individuals in need of jobs or staying therein. As such, the service providers involved are provided with freedom with regards on who and how to support the program participants and at the same time meeting minimum standards. The program is partly funded by the referred European Social Fund (Brine, 2001). Marx (Swain, 2012) argues that there are different kinds of human relations that control participants in a particular context therefore posing as determinants to results. This is despite the fact that these individuals are naturally belonging together; humanity. The Work Program seeks to distabilise this context through its initiatives that will ensure most immigrants have the same right to jobs, work and education. inadequate consideration of letting mother nature take its course will will cause an imbalance to the humanity. Hence, it must not be allowed. (Swain, 2012). Political Attempts It is evident that with the reflection of future generations, what is currently defined as the standards of living will be highly viewed as inadequate. The government has therefore put measures in place that ensure individual growth is related to low as well as simple taxes, monetary stability, open markets both internationally and locally, free labor markets, limited but light statutory regulation and sound legal institutions not to mention the proficient rule of law (Blanchflower & Oswald, 2004). The government also seeks to have disincentives against forming joint households since it is one of the ways used to get partners out of poverty. This is made possible by ensuring personal allowances are tax free and transferable between the partners. The education system is also seen to fail students coming from poor backgrounds not to mention leaving large groups of students without the précised skills that are required for modern labor market. Therefore, the government has initiated a program where schools will develop choice models that will allow fundings to follow the pupils to the point of private schools. (Blanchflower & Oswald, 2004). Conclusion It is evident that poverty can be categorized into different levels. However, the same is more inclined to individuals from minor ethnic groups. This affects their well-being in terms of education, socio-economic status as well as caring for the dependants. List of References Blanchflower, D & Oswald, A 2004, ‘Well-being over time in Britain and the USA,’ Journal of Public Economics, vol. 88, pp. 1359–86. Blundell, R & Etheridge B 2008, ‘Consumption, income and earnings inequality in the UK,’ Institute for Fiscal Studies and University College London: London. Brady, D 2003a, ‘Rethinking the sociological measurement of poverty,’ Social Forces, vol. 81, no. 3, pp. 715–52. Brine, J 2001, The European social fund and the EU: flexibility, growth, stability, Sheffield Academic Press: Sheffield. McBride, M 2001, ‘Relative-income effects on subjective wellbeing in the cross-section,’ Journal of Economic Behavior and Organization, vol. 45, pp. 251–78. Niemietz, K 2011, A New Understanding of Poverty: Poverty Measurement and Policy Implications, The Institute of Economic Affairs: London. Swain, D 2012, Alienation: an introduction to Marxs theory, Bookmarks: London. Read More