”If we want to know how much the distribution of Ethiopia would need to change to reduce the share in poverty to Denmark’s level we can read it off the two parameters that describe the distribution – the average level of income and the inequality of those incomes.
Ethiopia has a much lower average income: an increase of average incomes is called economic growth and to increase the average from $3.30 per day to $55 would mean that Ethiopia would need to increase its income 16.7-fold (because $55 is 16.7-times higher than $3.30).8 [. . .] A more than 16-fold increase in average incomes is certainly not easy to achieve, but it is also not impossible. The average income in Denmark grew by more than that over the last few generations, and such growth is not rare in recent economic history.
[. . .] The minimum necessary growth to reduce global poverty to the level of poverty in Denmark is 410%.10
An increase by 100% would mean that the size of the economy would double. A 410% increase is therefore a 5.1-fold increase of the global economy.
Or put differently, a world economy with substantially less poverty is at a minimum 5-times bigger than today’s global economy.”
OurWorldinData also wrote something like this and had a visualization too
https://ourworldindata.org/poverty-minimum-growth-needed
They also write
”If we want to know how much the distribution of Ethiopia would need to change to reduce the share in poverty to Denmark’s level we can read it off the two parameters that describe the distribution – the average level of income and the inequality of those incomes.
Ethiopia has a much lower average income: an increase of average incomes is called economic growth and to increase the average from $3.30 per day to $55 would mean that Ethiopia would need to increase its income 16.7-fold (because $55 is 16.7-times higher than $3.30).8
[. . .]
A more than 16-fold increase in average incomes is certainly not easy to achieve, but it is also not impossible. The average income in Denmark grew by more than that over the last few generations, and such growth is not rare in recent economic history.
[. . .]
The minimum necessary growth to reduce global poverty to the level of poverty in Denmark is 410%.10
An increase by 100% would mean that the size of the economy would double. A 410% increase is therefore a 5.1-fold increase of the global economy.
Or put differently, a world economy with substantially less poverty is at a minimum 5-times bigger than today’s global economy.”