6 Million More Canadians in Poverty Than Previously Thought, Says Study Using New Metrics

A new report shows a hidden level of poverty in Canada, with a quarter of Canadians reporting they cannot buy two or more household necessities. Using a material deprivation index (MDI) rather than the Market Basket Measure (MBM) test of household poverty, authors Michael Mendelson, Geranda Notten, Richard Mattern, and Sofia Seer found that 25 percent of Canadians are living in poverty, six million more than identified in Statistics Canada’s poverty rate data, they said. MBM testing is based on the calculations of a “basket” of goods and services and how much income is required for a family of four to afford it. Families with income below that threshold are considered poor. In comparison, the authors of the MDI report used a list of 11 items identified as a deprivation index, with researchers surveying 4,625 Canadians and measuring their ability to afford the items. The items ranged from clothing and transportation to a diet with protein and the ability to keep one’s home at a comfortable temperature....