The first poverty index was created by Arthur Okun and was equal to the sum of inflation and unemployment rates to give an idea of the US economy.
The higher the index, the more distress ordinary citizens experience.
Recently, it has expanded to include other economic indicators, such as interest rates on bank loans.
The unhappiness index is considered a convenient but inaccurate indicator. There are several circumstances where it may not accurately reflect economic hardship.
Recently, variations in the original poverty index have become popular as a means of assessing the overall health of the national economy.