To read the chart below, choose your annual income on the y-axis and then use the blue 2013-line and the red 2003-line to find the corresponding share of the world population living with less than that income on the x-axis. You were likely born into a very lucky family!!
Extreme Poverty has Drastically Reduced
While many people think extreme poverty has gotten worse, that is happily not true! As can be seen from the figure below, 84% of the global population used to live in extreme poverty compared to the ~8% today. The second figure shows that even though the world population has multiplied, the number of people living in extreme poverty has declined. Still, there are 735 million people living in extreme poverty, so there is work to be done!
Progress by Region
There has been remarkable improvements in reducing poverty around East Asia and the Pacific (i.e China), where poverty rates went from 81% in 1981 to 2.3% in 2015.
However, there are still 750 million people in extreme poverty broken down as follows:
Economic Progress and Poverty
China’s tremendous economic growth and their tremendous reduction in poverty are connected. In fact, in this chart you can see that for a given country, when GDP grows, the poverty rate tends to decreases. For example, as countries like India, Brazil, Indonesia, and China got richer, the share of their population living in extreme poverty has fallen. To learn more about this