Lecture 5: Implications of Globalisation: Economic development and poverty

Question 1

What is the global poverty count?

Answer 1

• US $1.90

Question 2

PPP

Answer 2

Purchasing Power Parity

• Goods and services should cost about the same in all countries when measured in a common currency
• Is the exchange rate that equates that price of a basket of identical traded goods and services in two countries