POVERTY

DeIinition oI poverty
Poverty is a condition where a person is unable to obtain their own means and powers
necessary nutrition. Another deIinition reads as: lack oI capital, lack oI something (according
to the Dictionary oI Standard Czech) or by economists as a state oI emergency, ie. that people
do not have enough resources to ensure existence.
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World Bank deIinition oI poverty is: To live Ior less than a dollar a day. This category is more
current in AIrica or India. In the Czech Republic social status oI low income is less than 8000
CZK per month. In this category Ialls 8 oI the population, the lowest in Europe.
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What is poverty?
It is hunger and ignorance, where and when the next meal is coming. Poverty is not having a
rooI over your head and have nowhere to go. Poverty is a sick man who is unable to see a
doctor. It is the death oI a child Irom a previous illness, because you are not able to pay Ior
drugs and clean water. Poverty is to be unemployed and have little chance oI getting a job,
even iI they exist, because you have no qualiIications. Poverty is powerlessness, lack oI
representation and Ireedom with nohou oI change.
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In developed countries it is deep and persistent poverty is a serious social problem, but is less
widespread than in developing countries, poverty is oIten concentrated in certain segments oI
society,generally deIined by region, ageorsocial group.
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Facts
Nearly 3 billion people (halI the world's population) live on less than $ 2 per day.
Over 800 milion people do not have enough Iood to meet thein energy needs.
The ratio oI illiterate adults more than 840 million.
Gross domestic product (GDP) 48 poorest countries is less than the wealth oI the world's
three richest people.
In developed countries, is home to over 100 million people below the poverty line, 37
million people without jobs and 5 million people homeless.
International Day Ior the Eradication oI Poverty is 17 October.
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Types oI Poverty
Absolute poverty
This poverty is a condition where a lack oI Iunds does not meet basic needs, ie Iood and
drinking water, health care, shelter, education and inIormation, causing hunger, malnutrition,
disease and mortality.
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Absolute poverty is caused by the deIiciencies caused by unavailability or limited availability
oI employment, housing and digniIied environment. This type oI poverty is the problem oI
underdeveloped countries, particularly in AIrica.
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Relative poverty
It is a condition where an individual, Iamily or group meets their needs at a signiIicantly
lower level than the average level in the company. This type oI poverty prevails especially in
Europe. Poverty is the result oI material development oI society. ThereIore, the poor
European AIrican poor as rich.
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Relative poverty is thereIore seen as a product oI social inequality. It Iollows that in every
society are relatively poor.
Two Iurther breakdown oI the concept oI poverty:
Objective concept oI poverty - is a standard method oI evaluation, based on the analysis oI
socio-economic inIormation about the Iiles households. Poverty in this case is deIined by a
particular authority (usually the state). A. Marshall in "Principles oI Economics", aptly named
live in poverty, he said that poverty is the liIe oI degradation.
The subjective concept oI poverty - rooted in the way people selI-assessment iI they Ieel
poor or not howl. The subjective Ieeling oI poverty depends on a comparison oI what the
household has a body, possibly what he wants or what he wants to achieve what they think
they deserve what they think really needs or what others have.
Legal boundaries oI poverty - households with income below the poverty line (according to
the subsistence minimum).
Poverty line according to the EU - households having income less than halI the average
income per consumption unit.
Monitoring Poverty
Poverty is measured using two tools:

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1CMLS l 0voJ Jo teotle o metoJoloqle socllol polltlky 1vyd raha orLl 2010
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Coverage - the measurement that is based on the direct consumption oI goods and services
and other necessary expenses. This is a direct measurement oI poverty.
Revenues - determining the amount oI income and the assumption that lack oI income leads
to a lack oI consumption and vice versa (which may not always apply). It is the indirect
measurement oI poverty.
Surveys oI poverty in Europe
Ministry oI Labour and Social AIIairs stated that according to the Joseph Rowntree
Foundation, lives in Germany over 15 oI poor people. In Great Britain it is almost 20 in
Italy even more than 20. The closest way to Iall into this category have long-term
unemployed who do not receive unemployment beneIits but are living on social beneIits.
Most concerns adolescents, people with low qualiIications, immigrants, rural residents or
single pensioners and single mothers. This category, however, people can also get too much
debt, which then spends most oI the budget. According to estimates, because more than halI
oI consumer credit goes to the right people with the lowest incomes.
Surveys in Western Europe also show that poverty in adulthood oIten has its roots in
childhood and Iamily. Parents oIten do not invest resources in the education oI children and
then those in liIe's diIIicult to apply. Instead, the child aIter basic schooling collect social
beneIits. Sociologists Irom the British Foundation Joseph Rowntree Foundation have a
"European poverty" my advice: Do not increase social beneIits. Provide a springboard to
more normal liIe.
Programs in the Iight against poverty
About 25,000 people die every day Irom hunger and related causes. This is one man in three
and a halI seconds. UnIortunately, these are children who die most oIten. Still, plenty oI Iood
in the world Ior everyone. The problem is that hungry people are trapped in severe poverty.
They lack the money Ior enough Iood to Ieed itselI. We are constantly malnourished, they
become weaker and oIten sick. This makes them increasingly less able to work. It then makes
them even hungrier.
There are eIIective programs. For adults it is "Iood Ior work" programs, where adults pay
meal in order to build schools, dig wells, roads, and so Iorth. It is also nourishes and builds
inIrastructure to end poverty. For children there are programs "Iood Ior education" where
children get to eat when you go to school. Their education will help them escape Irom hunger
and global poverty.
Causes of poverty
The causes oI poverty are due to the overall organization oI society. Can not say that I Ior one
can always be poverty itselI, because some causes oI poverty can not inIluence.These are
mainly political and economic conditions. However, there are causes that can aIIect the
individual himselI, his own eIIorts such as: suIIicient diligence, appropriate behavior.
In developed countries, poverty is not evenly distributed. The main reasons oI poverty
include:
Low Earnings
Unemployment
DiIIerences in the possession oI wealth

st Low earnings
The main cause oI low earnings is the lack oI educational qualiIications and skills and oIten
reproductions oI this state to the next generation (Roma Iamilies)
Non-monetary preIerences in the choice oI location (bound Ior an apartment, Iamily, etc.) -
the problem oI mobility in the CR - people are not leaving Ior work on such a scale as it is in
other countries, while it does not enable a system that is currently set - prices oI Ilats,
bureaucracy when moving, etc.
Interest in the proIession, which is Iinancially much appreciated (although it may have a
high social status).
Low wages and unemployment (involvement in the black labor market) is then directly
reIlects the amount oI pensions and social security beneIits.
A speciIic group oI women - live to old age, when jobs had lower wages than men lower
pensions so-called Ieminization oI poverty
2nd Unemployment
The main problem oI the long-term unemployment - always drop in income.
Unemployment aIIects most people Ialling on the secondary labor market
With growing unemployment in society is increasing risk that aIIects all the breadwinner in
the household
3rd Differences in wealth owned
II we have a property, we can use property income (rental) or other beneIits (garden)
Poor are dependent on income Irom employment, and by extension, their employers and its
success in the market
Solving Poverty
The real solution to poverty must be reIlected as a liability oI poverty, and the rate oI actual
individual culpability. There are many ways oI dealing with poverty, but you bring additional
eIIects. In addressing poverty distinguish these measures:

Preventive

Follow-up - Negative income tax
- Minimum income variables
st Preventive measures - are crucial and are more economical and humane action
procedure.
Key efficient and effective education policy that is to ensure equal opportunities
The development oI active employment policy that is retraining, promoting entrepreneurship
and creating new jobs. Places.
Inclusion oI disadvantaged groups in the TP and TP removal oI discrimination

2nd Follow-up
Only prevention is not able to resolve the issue oI poverty - in some countries as a
preventive tool almost minimized
Socio-political measures aimed at tackling poverty is the construction oI so-called minimum
income variables - minimum wage, living wages
A. inimum wage
a tool to protect wages
Minimum wage IulIills two Iundamental objectives:

- Social goal, namely to ensure that revenues did not Iall below the socially acceptable
level and

- An economic goal, ie reducing unIair competition Irom paying too low wages.

Setting the minimum wage is a serious problem Ior its economic and social impacts.

Too low minimum wage does not provide the necessary level oI income, little
motivation to work, in particular, provided that its level is set too Iar Irom the
subsistence level. For some people it may be preIerable to receive welIare beneIits
than working.

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Disproportionately high minimum wage, however, carries the risk that employers
will be in order to keep labor costs lower wages or Iire workers.

The CR receives a minimum wage oI about 5 oI the workIorce.

. Subsistence minimum

The subsistence minimum is socially recognized minimum level of financial
income to ensure food and other basic personal Leeds
.
LiIe is an internationally recognized minimum social and economic institute.

According to the Charter oI Fundamental Rights and Freedoms, Everyone is in
material need, the right to such assistance as is necessary to ensure basic living
conditions.

It IulIills many Iunctions.

- The basic Iunction oI a trade show and the very essence oI subsistence.

- Another Iunction is computational. Subsistence level is the base Ior calculating the
number oI doses. Their amount is derived Irom the subsistence level.

- Other Ieatures are criterial functions. Subsistence level is the criterion Ior the
granting oI beneIits targeted, tested, that is provided depending on the amount oI
income. The decision to grant a beneIit (other than the terms oI weighing the social
events) the amount oI income that is measured according to deIined rules oI
subsistence. These Ieatures meet minimum living mainly in the social security system.

Use oI subsistence is wider. It is used in some groups oI citizens in determining the
physical security oI unemployment and in other contexts.

Environment and subsistence minimum set out in Act No. 2 Coll. Subsistence
minimum.

Subsistence minimum in CZK per month


Ior individuals 3126
First-person household in 2880
Ior the second and another person in the household who is not a dependent child
2600
Ior a dependent child aged Ior up to 6 years 1600
6 to 15 years 1960
15 to 26 years (dependent) 2250

The subsistence minimum is the sum oI the minimum subsistence level oI individual
household members.
The amount of subsistence minimum per month in CZK

subsistence level 2020

Examples of different types of subsistence households in CZK per month

individual 3126
2 Adults 2880 2600 5480
1 adult, 1 child aged 5 years 2880 1600 4480
2 adults, 1 child aged 5 years 2880 2600 1600 7080
2 adults, 2 children aged 8 and 16 years 2880 2600 1960 2250 9690
2 adults, 3 children aged 5, 8 and 16 years 2880 2600 1600 1960 2250 11290

1ointly assessed persons

parents and minor dependent children,
spouses or partners under a special law (registered members)
parents and children cared Ior minor or major, iI those children with parents taking an
apartment and are not assessed with other persons,
other persons who use an apartment together, iI writing Iails to state that permanently live
together and jointly notrecovered costs to their needs.

Together, those under consideration are also persons who temporarily Ior reasons oI
systematic preparation Ior Iuture employment, health or work (including voluntary service),
residing outside the apartment.

Chargeable income

The subsistence level is compared all net cash income oI an individual or jointly assessed
persons (Irom work, Irom business, Irom capital assets, rents, pensions, sickness insurance,
welIare beneIits and other social beneIits, unemployment beneIits and retraining , alimony,
etc.) except:
housing allowance, housing supplement and one-oII social beneIits,
Income Irom sales oI property and compensation Ior the release oI an apartment used to
cover the costs oI meeting housing needs,
compensation and Iinancial resources to eliminate the consequences oI natural disasters,
Iinancial assistance to crime victims,
social assistance provided by the employer,
support Irom the Ioundations and civic associations,
scholarships,
remuneration Ior blood donation,
tax bonus
allowance Ior care (within a radius oI jointly assessed persons)
the part oI social contributions and contributions to cover the needs oI the child who belongs
to health reasons
social welIare beneIits provided Ior medical reasons
special contribution to retirement Ior participants in a national struggle Ior liberation and the
creation oI Czechoslovakia.
'alorisation of environmental and subsistence

LiIe and living wage is increased government regulation.
When increasing amounts oI liIe and subsistence maintaining their real level.
The Government is empowered to increase the subsistence and subsistence of 1anuary
referred to the actual development of consumer prices if the rise in food and other basic
personal needs will exceed the specified vesting period of 5.
subsistence and subsistence government may, in exceptional circumstances to increase the
term outside the regular indexation.

The use of environmental and subsistence
beneIits in material need (provided on the basis oI Act No. 111/2006 Coll. On assistance in
material need). See Legislation and main application.
social beneIits (provided under Act No. 117/1995 Coll. On state social support, as amended)
- especially the child allowance and social allowance. The subsistence minimum is used in
determining eligibility Ior these beneIits, which provide assistance to address Iamilies with
children in social situations and social contributions Iorm the basis Ior its calculation.
others such as the judicial practice Ior determining alimony obligations, iI the execution
amount unseizable etc.
Underclass
Dependence on social beneIits, to Iall into the trap oI poverty deklasovanych class
(underclass)
Social / career demands that can not Iill IorIeiture to the state oI poverty
Modern society is so rich that will help them Iinancially - are provided beneIits - but no
interest in their integration back into society
Creates a new social class that stands outside the traditional social system
The risk oI large social pathologies - crime, ghettoization, drugs, etc.
Further marginalization oI these groups, the subsequent negative stigma - both oI themselves
and their children
News in tackling poverty
The principle of social partnership
In Europe, Iormed a national organization uniting and representing the very poor who are
actively involved in tackling poverty

Know-how poor
TransIer oI experience concerning the necessities oI liIe, coping with diIIiculties,
problematic liIe situations, etc.
1he Mlllennlum uevelopmenL Coals
uevelopmenL Coals (Mlllennlum uevelopmenL) Mlllennlum commlLmenLs are Lo reduce poverLy
hunger and oLher LargeLs 1hese goals were adopLed by represenLaLlves of all un Member SLaLes ln
2000 aL Lhe Mlllennlum SummlL (Mlllennlum SummlL) uevelopmenL Coals are elghL and Lhey are on
elghLeen dlfferenL Lasks lL ls cerLaln LhaL Lhe ma[orlLy of measurable LargeLs wlll be meL Pere ls an
overvlew of Lhe ob[ecLlves and characLerlsLlcs of Lhelr Lasks
llrsL Coal LradlcaLe exLreme poverLy and hunger
1ask 1 8y 2013 reduce by half Lhe number of people who llve on less Lhan 1 uSu
1ask 2 8y 2013 reduce by half Lhe number of people who suffer from hunger
Second Cb[ecLlve 1o provlde baslc educaLlon for all
1ask 3 8y 2013 achleve unlversal prlmary educaLlon for boys and glrls ln full
1hlrd Cb[ecLlve romoLe gender equallLy and empower women ln socleLy
1ask 4 8emove Lhe dlsparlLy beLween boys and glrls as ln Lhe educaLlonal sysLem
4Lh Cb[ecLlve 8educe chlld morLallLy
1argeL 3 8y 2013 reduce by 2 / 3 Lhe number of deaLhs of chlldren under Lhe age of 3 years
3Lh Cb[ecLlve lmprove maLernal healLh
1argeL 6 8y 2013 reduce by Lhe maLernal morLallLy raLlo
6Lh Coal CombaL Plv / AluS malarla and oLher dlseases
1argeL 7 Pave halLed by 2013 Lhe spread of Plv / AluS
1argeL 8 Pave halLed by 2013 and reverse Lhe spread of malarla and oLher serlous lllnesses
7Lh Cb[ecLlve Lnsure envlronmenLal susLalnablllLy
1argeL 9 lnLegraLe Lhe prlnclples of susLalnable developmenL lnLo naLlonal programs and proLecL
naLural resources
1argeL 10 8y 2013 reduce by half Lhe number of people wlLhouL access Lo safe drlnklng waLer and
baslc sanlLaLlon
1argeL 11 8y 2020 lmprove llvlng condlLlons for people llvlng ln poor nelghborhoods slums
8Lh Cb[ecLlve uevelop a global parLnershlp for developmenL
1argeL 12 uevelop buslness and flnanclal sysLem based on openness and Lhe absence of
dlscrlmlnaLlon
1ask 13 Address Lhe speclal needs of leasL developed counLrles 1hls lncludes for example duLyfree
access of LuCs Lo lnLernaLlonal markeLs ensurlng a beLLer offlclal developmenL asslsLance by
developed counLrles eLc
1ask 14 Address Lhe speclal needs of landlocked counLrles and small lsland sLaLes
1argeL 13 ueal comprehenslvely wlLh Lhe debL problems of developlng counLrles
1ask 16 CreaLe sLraLegles for decenL and creaLlve work for young people
1ask 17 rovlde access Lo essenLlal medlclnes ln developlng counLrles
1ask 18 1o provlde developlng counLrles Lhe beneflLs of lnformaLlon and communlcaLlons new
Lechnology

1he pooresL Lhe CounLrles of Lhe World
llrsL uemocraLlc 8epubllc of Congo
Second 8epubllc of Llberla
1hlrd 8epubllc of Zlmbabwe
4Lh 1he Solomon lslands
3Lh 8epubllc of Somalla
6Lh unlon of Lhe Comoros
7Lh Culnea8lssau
8Lh CenLral Afrlcan 8epubllc
9Lh nlger
10Lh LLhlopla
MyLhs and lacLs
llrsL ueveloplng counLrles may ln poverLy Lhemselves
uue Lo Lhe large number of causes of poverLy ls noL enLlrely Lrue Lhls sLaLemenL Cn Lhe oLher hand
may be Lo blame buL bad governance meLhods (auLhorlLarlanlsm and dlcLaLorlal meLhods of
governmenL) many leaders of developlng counLrles (Sudan Chad eLc)
Second ln Lodays poverLy ln developlng counLrles can Lhe hlsLorlcal perlod of colonlallsm
1he perlod of colonlallsm had a slgnlflcanL lmpacL on Lhe economlc slLuaLlon of developlng counLrles
lL ls necessary Lo emphaslze LhaL Lhe Llme lag ls an argumenL agalnsL Lhls myLh Many naLlons Lo
govern Lhemselves abouL flve decades Pad Lhe opporLunlLy Lo lndependenLly develop economlcally

Puman developmenL lndex
Puman developmenL lndex (Puman uevelopmenL lndlcaLor) affecLs real peoples quallLy of llfe lL
conslsLs of wealLh healLh and educaLlon Puman developmenL lndex lncludes Cu per caplLa
educaLlonal aLLalnmenL and llfe expecLancy
Puman developmenL lndex Lakes values beLween 01 wlLh a value close Lo 1 ls afflllaLed
ne[vyspele[slmu sLaLe 8ased on Lhe value of Pul counLrles can be dlvlded lnLo Lhree groups

- SLaLes wlLh hlgh levels of human developmenL (Pul 08)
- sLaLes wlLh medlum levels of human developmenL (Pul 03 Lo 0799)
- SLaLes wlLh low levels of human developmenL (Pul 03)



lcLure 1 World map lndlcaLlng Lhe Pul