The difference between poverty and inequality

Nowadays, both terms are widely used to talk about social and economic problems that many communities face around the world. Although it seems that they are synonyms, in reality they have different meanings and it is important to know them in order to better understand the situations that arise.

Poverty

Poverty refers to a situation in which a person or family does not have the necessary resources to satisfy their basic needs. These needs include food, shelter, clothing, drinking water, health, education and security.

Absolute poverty is defined by income or consumption below a minimum line necessary to acquire the resources mentioned above. On the other hand, relative poverty refers to a situation in which a person or family has income below the average of the population.

It is important to highlight that poverty not only refers to the lack of economic resources, but also to social exclusion and the lack of development opportunities.

Inequality

Inequality refers to differences in the distribution of income, wealth, power and opportunities between individuals and groups within a society.

Inequality can be economic, social, and political, and can be influenced by factors such as education, gender, race, ethnicity, and geographic location.

What is the difference between the two?

The main difference between poverty and inequality is that poverty refers to the lack of basic resources to satisfy basic needs, while inequality refers to differences in the distribution of resources and opportunities.

It is possible that two people or families are in a situation of poverty, but their level of inequality is different. For example, in a society in which the average income is low, the majority of the population may be poor but without significant inequality. On the other hand, in a society in which the average income is high, there may be people in extreme poverty while others enjoy great wealth and power.

How to tackle poverty and inequality

To address poverty and inequality, a comprehensive approach is necessary that encompasses the elimination of barriers to access to basic resources, social inclusion and strengthening equal opportunities.

It is important to work on policies and programs that promote equal opportunities in areas such as education and the labor market, and that ensure universal access to basic services such as health and housing.

• Equality must also be promoted through fiscal policies that redistribute resources more fairly and equitably, and that tax those with higher incomes and resources more.
• Strengthening citizen participation and democracy can also promote equality in the distribution of power and decision-making.

In summary, poverty and inequality are different problems that require different approaches, but that both they are closely related. Only coordinated and sustained work over time will allow concrete measures to be taken to improve the living conditions of people and communities affected by these problems.