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I think in some ways it would make more sense to have as a…

“I think in some ways it would make more sense to have as a poverty level a relative concept and say, the level of poverty is that level of income or that level of consumption below which 10 percent of the people now are.” quote by Milton Friedman
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“I think in some ways it would make more sense to have as a poverty level a relative concept and say, the level of poverty is that level of income or that level of consumption below which 10 percent of the people now are.”

Milton Friedman

About This Quote

This interpretation was drafted with AI assistance. It is one reading of the quote, not the author's own explanation.

Poverty should be defined relative to the population’s distribution, using a percentile threshold to capture those most in need.

In simple terms: Define poverty by income percentile.

Key Takeaway

Use relative thresholds for policy.

Themes

economics poverty measurement policy inequality

Mood

analytical concerned

Type

theoretical policy‑oriented

When to use this quote

  • setting welfare eligibility
  • designing tax credits
  • targeting aid programs

Key Concepts

relative poverty percentile threshold social welfare income distribution

Questions to Reflect On

  • Is a percentile cutoff fair across regions?
  • How do you address cost of living differences?
A Different Perspective

Relative measures can miss absolute deprivation in low‑income societies.

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