The Dramatic Decline in World Poverty

Investors Busniness Daily ^ | 10/09/2015 | MARIAN L. TUPY

[expat_panama]

Despite the recent recession in the West, absolute poverty is continuing to retreat in fast-growing developing countries. The escape from poverty that was once limited to the industrialized countries of the West is also happening in "the rest."

Unfortunately, many people remain unaware of the dramatic decline in global poverty, let alone the reasons for it.

According to an announcement released this week by the World Bank, "less than 10% of the world's population will be living in extreme poverty by the end of 2015."

The bank has "used a new income figure of $1.90 per day to define extreme poverty, up from $1.25. It forecasts that the proportion of the world's population in this category will fall from 12.8% in 2012 to 9.6%."

True, come the New Year, some 700 million human beings will still live in absolute poverty.

But let us put this in proper context. Grinding poverty was the norm for most ordinary people throughout human history. As recently as 1980, the World Bank estimated that 50% of the global population lived in absolute poverty.

Even in the most economically advanced parts of the world, life used to be miserable until relatively recently.

At the end of the 18th century, to give one example, France had the fourth highest standard of living of any country in the world, behind the U.S., Great Britain and the Netherlands.

Bleak Existence

Yet, 10 million of France's 23 million people relied on some sort of public or private charity to survive, and 3 million were full-time beggars.

Before the industrial revolution, people on farms, including children, spent their lives engaged in back-breaking manual labor and consumed most of the calories they produced.

There was little time or energy for learning and relaxation. Few people ever left their native villages...

[expat_panama]

Here's a related source from HumanProgress the thinktank Tupy edits (http://humanprogress.org/blog/dramatic-decline-world-poverty):

This week the World Bank released new data on world poverty, and projects it to fall to a record low of 9.6 percent in 2015. The graph below shows the dramatic decline of global poverty over the past few decades.

Using updated methodology, the World Bank recalculated poverty figures back to 1990. The new data track closely with previous Bank figures, which I use in the graph to show the fall in poverty since the early 1980s when 43 percent of the world’s population was extremely poor. The record on poverty reduction is consistent with the unprecedented progress that humanity has made around the world in the whole range of indicators of well-being, and which researchers and others can explore at HumanProgress.org.

The drop in poverty also coincides with a significant increase in global economic freedom, beginning with China’s reforms some 35 years ago and the globalization that followed the collapse of central planning in the late 1980s and early 1990s. As we celebrate this achievement and strive for further progress, we should not lose sight of the central role that voluntary exchange, freedom of choice, competition and protection of property play in ending privation. 

[Cringing Negativism Network]

America really, really needs to worry less about “globalism” and pay a lot more attention to how Americans are doing.

Just saying.

[Tonytitan]

In other news, the number of reported unicorn sightings worldwide is on pace to double the number of reported UFO sightings by mid-2016.

[bert]

cell phones and vast communications are responsible

[expat_panama]

 

 

It's a beautiful Monday morning as futures see stocks nudging up +0.07% and metals soaring +0.64%  --remember last week ended w/ stocks up in fading volume w/ metals to new highs!  No econ reports to confuse things plus lots of econ threads:

• It’s Getting Harder To Move Beyond A Minimum-Wage Job
• Lower gas prices means no Social Security increase next year (Or V.A., federal retirees, etc.)
• Treasury Sells 3-Month Bills At 0% Yield For First Time Ever
• Big Turn-Out For Berlin Anti-TTIP Demonstration (Free Trade Deal)
• Global Financial Wars — What’s Going On?
• Buried in the Fed minutes is another downgrade to the U.S. economy
• Nearly 1,000 People Move From Blue States to Red States Every Day. Here’s Why.
• Obama Wisely Declines to Start a War on Meat
• IT’S OVER: The 'unicorn' era comes to a screeching halt in Silicon Valley

[expat_panama]

America really, really needs to worry less about “globalism” 

Agreed, I'll forget about it if you're willing to drop this non-stop "globalism" nonsense once and for all so I can get back to drinking my imported coffee like the founding fathers intended. 

[Rodamala]

Like Global Warming, it's all thanks to a lack of pirates:

Damned Ninjas.

[expat_panama]

cell phones and vast communications are responsible

--or if not, they sure have contributed.  Even in Panama there are very remote areas w/ no roads, no electricity, folks live w/ dirt floors and get water from a stream but they got cell phones and internet.  This (along w/ transportation costs plummeting) has changed human kind big time for the better.

[Cringing Negativism Network]

Haha.

Buy American.

[expat_panama]

Huh. That’s why Gore invented the internet, to make more pirating music and stop global warming.

[Mrs. Don-o]

+1

[VTenigma]

Poverty is down because of the third world invasion of capitalistic welfare societies. When the momentum ends look for poverty to rise to unprecedented levels.

[grania]

Poverty is down because of the third world invasion of capitalistic welfare societies. When the momentum ends look for poverty to rise to unprecedented levels

Your comments have me thinking. It does seem there's a "reset" for the global population, and it does not involve much opportunity for a middle class. Will it be the elite, beneath them those government workers who implement their initiatives, and everyone else living at a survival level, not all that much beyond poverty? Will our economic lives, and thus everything else, be under government control? Will we have adequate food, housing, safety, medical care, recreational needs, but not much else? Is that what the deliberate destruction of civilizations is about? Make us willing to trade freedom for security?

I try to imagine what that future will be like. Can't say it's preferable to the bad ol' days.

[VTenigma]

My picture of the future is bleak and I weep for my sons. That said, there are yet enough patriots to wrest our political system back from the communists if they have the will but it will not be bloodless. There is no political solution.

[Tonytitan]

HAHAHAHAHAHA!!! ROFLMAO!!!

[Tonytitan]

There is no political solution

You're absolutely right! The solution is this:

2nd Chronicles 7:14 "...if my people, which are called by my name, shall humble themselves, and pray, and seek my face, and turn from their wicked ways; then will I hear from heaven, and will forgive their sin, and will heal their land".

[Chickensoup]

It does seem there’s a “reset” for the global population, and it does not involve much opportunity for a middle class. Will it be the elite, beneath them those government workers who implement their initiatives, and everyone else living at a survival level, not all that much beyond poverty? Will our economic lives, and thus everything else, be under government control? Will we have adequate food, housing, safety, medical care, recreational needs, but not much else? Is that what the deliberate destruction of civilizations is about? Make us willing to trade freedom for security

__________________

I have and posted for quite a while that we seem to be going feudal. Large amount of serf, mostly in servant class. very small middle class, and a tiny elite class that owns all. out side of protections of the elite it would be very dangerous with highwaymen and murders. People would enslave themselves to the elite for protection and food.

[central_va]

My "family" plan costs $200 per month. How is it goat humpers in Afghan can afford cellar service?

Methinks Americans are getting screwed.

[central_va]

Agreed, I'll forget about it if you're willing to drop this non-stop "globalism" nonsense once and for all so I can get back to drinking my imported coffee like the founding fathers intended.

Agricultural products ( and minerals too ) and manufactured products are different beasts. All of the founders were protectionist when it came to manufacturing.

[Flintlock]

Yeah.
Now practically ANYBODY, ANWHERE, can fork up the $$$ to come here (or Europe, natch) get in, and MOOCH off of the welfare system.

Now ain’t that special??