Relative poverty describes a situation where people lack the resources to maintain the average standard of living in their society. While they may have enough money to survive physically, they cannot afford the services or goods that are commonly enjoyed by most citizens.

Unlike absolute poverty, which focuses on basic survival needs, relative poverty is measured by comparing a person’s income to the rest of the population.

Key points:

• It is usually measured as a percentage of the median income, often between 50% and 60%.
• It emphasizes that poverty is about more than just food and shelter; it affects social inclusion, personal dignity, and access to equal opportunities.
• Governments often use this measure to set rules for welfare and financial support programs.