It’s easy to fall into the trap of categorizing people as either “rich” or “poor”. In reality, most people are somewhere in the middle. Their basic needs — food, water, shelter, etc. — are met.
To help build a more accurate view of how people live and how their lives change as they get more money, we prefer to divide the world into four income levels.
Level 1 is made up of people who earn less than $2 a day and live in extreme poverty.
At Level 2, people earn between $2 and $8 a day. Almost half the world’s population lives at this income level.
Level 3 is made up of people who live on between $8 – $32 per day.
The richest billion people on earth live at Level 4, where their income is more than $32 a day