Measuring poverty using an absolute income scale like the poverty line can be misleading because

Question

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Absolute income scales like the poverty line only take into account cash income and do not consider the value of in-kind transfers like food stamps, housing subsidies, and Medicaid. These programs can have a significant impact on the standard of living of low-income individuals and families, but are not reflected in income measures alone. This can lead to an underestimation of the actual material deprivation experienced by those living in poverty.

Measuring Poverty Using an Absolute Income Scale Like the Poverty