Measuring Relative Poverty in Iran Using Fuzzy Logic

For measuring poverty and distinguishing the poor from the non-poor, poverty line, Head- Count Ratio, Income – Gap Ratio, Sen index are used. Although these are useful, using fuzzy logic and combining it with given methods can increase the exactness of the indices measuring. For example, based on the method of poverty line, if a person s income is a little above the line he/she is non-poor and a little below the line will be considered poor. The same situation is true of other conditions. Using fuzzy logic can solve the problem. Here, introducing different indices based on fuzzy logic the measuring of poverty in Iran in 1376, 1382, 1388 has been done. Findings have been compared with classical ones. This comparison shows that methods for measuring poverty based on fuzzy logic define poverty meticulously and significantly compared to other methods. Results in two approaches show that poverty indices of 1376 is higher than1382 and poverty in 1382 has been decreased compared to 1376. But the above mentioned indices in 1988 had increase in 1988 again. Poverty in rural areas is more than urban areas by two approaches in all of the investigated years.