Final answer:
Global poverty is measured by people living under a certain dollar amount per day, with the World Bank setting the absolute poverty threshold at $1.25 a day. Expanded measurements now include living on less than $3.20 and $5.50 a day. This illustrates significant disparities in global wealth, particularly when compared to the higher poverty threshold in the United States.
Step-by-step explanation:
Global poverty and inequality are often characterized by the number of people living on less than a certain dollar amount per day. The World Bank defines absolute poverty as living on less than $1.25 a day. Based on figures from 2011, approximately 17 percent of individuals in the developing world subsisted at or below $1.25 a day, showcasing a decline over the past decades. However, with population growth, this percentage still represents a vast number of people in absolute poverty, specifically around 88 million. Furthermore, nearly 3 billion individuals live on less than $2.50 a day.
In recent years, the World Bank has introduced additional metrics for poverty; living on less than $3.20 a day and on less than $5.50 a day to better identify those who are above the $1.90 extreme poverty line but are still vulnerable. These figures are important indicators of socioeconomic disparities across the globe. For instance, the poverty line in the United States, by comparison, was $20,090 annually for a family of three in 2015, equating to $18.35 per person per day, emphasizing the stark contrast in living standards.
It is essential to recognize that these figures are adjusted for price differences across countries and over time, considering inflation and cost of living differences. Despite such adjustments, a substantial portion of the world's population lives with significantly less purchasing power than those in more affluent countries, particularly in large populations such as China, India, Nigeria, and Egypt.