I’m sure you’ve seen the maps showing the distribution of wealth and poverty around the world. They’re often used to illustrate how unequal the world is, with a few wealthy countries at the top and a large number of poor countries at the bottom.
But what do these maps really tell us? And what are the implications for us as individuals and as a society?
The History of the World Bank’s PovcalNet
The World Bank’s PovcalNet is a global poverty monitoring system that provides estimates of poverty rates in developing countries. It was established in 1999 and has been used to track progress towards the Millennium Development Goals (MDGs), which were adopted by world leaders in 2000.
The MDGs include poverty reduction as a key goal, and PovcalNet provides data on the poverty headcount ratio, which is the percentage of people living on less than $1.90 per day. This poverty line is based on the cost of a basic basket of goods and services that is necessary to meet basic needs.
The Data Behind the Maps
The data used to create the maps of wealth and poverty around the world comes from a variety of sources, including the World Bank, the International Monetary Fund, and the United Nations. These sources collect data on a variety of economic indicators, such as GDP per capita, income distribution, and poverty rates.
Problems with the Maps
There are a number of problems with the maps of wealth and poverty around the world. One problem is that they are often based on outdated data. The World Bank’s PovcalNet data, for example, is only updated once a year, and it can take several years for new data to be incorporated into the maps.
Another problem is that the maps often do not take into account the distribution of wealth within countries. A country may have a high average income, but that does not mean that everyone in the country is wealthy. In fact, in many countries, there is a large gap between the rich and the poor.
Solutions
There are a number of things that can be done to address the problems with the maps of wealth and poverty around the world. One is to update the data more frequently. Another is to use more detailed data that takes into account the distribution of wealth within countries.
Finally, it is important to remember that the maps are just a snapshot of a particular point in time. The situation can change quickly, and it is important to keep track of the latest data in order to get an accurate picture of the global distribution of wealth and poverty.
The maps of wealth and poverty around the world are a reminder of the great inequality that exists in the world today. They are also a call to action for us to do more to help those who are less fortunate.
