Poverty Incidence and Subsistence

Poverty and Subsistence Incidences are computed by determining the proportion of the
population and the families whose income are below the poverty and food threshold. Poverty
incidence is the proportion of the population with per capita income less than the per capita
threshold. The poverty and subsistence indices for 2013 significantly decreased indicating an
improvement in the proportion of the population that is below the poverty line.
The estimated poverty and subsistence incidences in the Philippines for 2006, 2009,
2012 and 2013 are presented in Figure 3.

33
Percent Population

35

30

25

20

15

10

28.8 28.6 27.9

14.2 10.7
 2006 2009 2012 2013

Poverty and subsistence incidence based on the

Legend: = Poverty Incidence Family Income and Expenditures Survey (FIES)
and the Annual Poverty Indicator Survey (APIS).
= Subsistence Incidence
Source: Philippines Statistics Authority

Figure 3. The estimated poverty and subsistence incidence in the Philippines

for 2006, 2009, 2012 and 2013

Depth of Poverty
Income Gap
Income Gap measures the average income required by the poor in order to get out of
poverty (expressed: relative to the poverty threshold). Income gap is a measure of the depth of
poverty. In 2013, on average, families below the poverty line needed 27.24 % of the poverty
threshold or an additional monthly income of Ph p 2,638.00 to get out of poverty. This was the
slight decrease from 2012’s income gap which requires an income of Ph p 2,740.00 in order to
overtake the poverty line.
The income gap in the Philippines for 2006, 2009, 2012 and 2013 is presented in a line
graph in Figure 4.
 34

30.5

30

29.5

29

28.5

28 Column2

27.5

27

26.5

26
2006 2009 2012 2013

Income gap in the Philippines for 2006, 2009, 2012 and 2013 based on the results from the Annual
Poverty Indicator Survey (APIS).

Source: Philippine Statistical Authority (PSA)

Figure 4. Income gap in the Philippines covering the period

from 2006, 2009, 2012 & 2013