CGD in the News

Why The World Bank Is Changing The Definition Of The Word "Poor" (Vox)

October 07, 2015

From the article: At the United Nations' big gathering in late September, world leaders signed on to an ambitious pledge: "By 2030, eradicate extreme poverty for all people everywhere, currently measured as people living on less than $1.25 a day." But just 10 days later, the goalposts shifted. The World Bank – which is in charge of setting the global poverty line — announced it was raising the line from $1.25 to $1.90 a day.

What gives? The cynical explanation is that the World Bank wants to make it harder to eradicate poverty by widening the definition; the fewer poor people there are, after all, the less there is for the World Bank to do.

Read full article here.