Discuss the differences between the concepts of poverty (relative and absolute poverty) and social exclusion and why the distinction might be important for the provision of welfare.

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Discuss the differences between the concepts of poverty (relative and absolute poverty) and social exclusion and why the distinction might be important for the provision of welfare.

In order to discuss the differences between both the variations of poverty and social exclusion I will first define them (focusing briefly on history and measurement, as how something is  measured is derived largely from how it is defined) to illustrate how they differ theoretically, before concentrating on how they diverge as social problems. I will then address why the distinction (or possibly the lack of it) between the concepts is important in terms of welfare.

          As a social policy issue poverty has existed since the codification of the Poor Laws in the latter part of the sixteenth century, and although it`s existence is ubiquitous the definition of poverty has always been somewhat convoluted, with several different ideas providing the standard throughout the nineteenth and twentieth century (Alcock, 2008).  It has been suggested this problem stems from poverty being predominantly a moral term as opposed to a descriptive one (Piachaud, 1981), as the subjective nature of morality makes it relatively impossible to quantify.

          The earliest prevalent definition is absolute poverty (also known as subsistence poverty), a term used by Rowntree in Poverty: a Study of Town Life (1901), which details and collates the research he conducted surveying the poor in York. This explanation suggests that a person must be unable to procure essential resources (such as food, water, health care and shelter) to be experiencing poverty, and those that were unable to do so were living below the ‘poverty line’. It was the cost of these necessities that was used as a measurement, and due to the narrow scope of household income as a qualifier the definition was criticized as overly simplistic (Alcock, 2008). This also appears to be a primary differentiator between absolute and relative poverty, and indeed social exclusion, as absolute poverty is the only one to be measured in purely financial terms.

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          The next definition popularised is that of relative poverty, in essence, ‘Our needs and enjoyments spring from society; we measure them therefore by society and not by the objects of their satisfaction. Because they are of a social nature, they are of a relative nature’ (Marx, K. as cited in Mclellan, 2000). It is linked primarily with the work of Townsend, who (after undertaking initial research in which he too equated poverty with low income) recognized household income as an insufficient measure of poverty and expanded upon it to include the diet, social activities, ...

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