it does not account for government programs that provide non-cash assistance such as Medicaid (health care

for low-income individuals and families) and food aid. Also, low-income families can qualify for federal

housing assistance. (We will discuss these and other government aid programs in detail later in this chapter.)

Should the government adjust the poverty line to account for the value of such programs? Many economists

and policymakers wonder whether we should rethink the concept of what poverty means in the twenty-first

century. The following Clear It Up feature explains the poverty lines set by the World Bank for low-income

countries around the world.

CLEAR IT UP

How do economists measure poverty in low-income countries?
The World Bank sets two poverty lines for low-income countries around the world. One poverty line is set at an

income of $1.90/day per person. The other is at $3.20/day. By comparison, the U.S. 2015 poverty line of $20,090
{"producer": "Prince 14.2 (www.princexml.com)", "file_type": ".pdf", "creationdate": "2022-12-07T14:15:44-06:00", "batch_upload": true, "file_size_mb": 26.99, "creator": "PDFMiner", "title": "Principles of Microeconomics 3e", "file_name": "Microeconomics3e.pdf", "moddate": "2022-12-07T14:23:05-06:00", "upload_timestamp": "2026-02-07T15:37:44.339247", "source_file": "downloads\\business\\economics\\Microeconomics3e.pdf", "uploaded_via": "batch_uploader", "source": "downloads\\business\\economics\\Microeconomics3e.pdf", "file_hash": "830b81f41611ac67a490444dbb5d6aed292224606965b06965b914443c93331a", "total_pages": 597}