Poverty orderings: A graphical illustration

This note graphically illustrates the power of various poverty ordering con ditions. Using the Kolm three-person simplex, we are able to show that (1) for a fixed poverty line the power may be increased as higher degrees of st ochastic dominance are considered, (2) for a single but variable poverty li ne the power is reduced as the line increases, and (3) for a range of pover ty lines the power of the third degree ordering condition may be reduced to that of the second degree if the lower bound poverty line is arbitrarily c lose to zero.