Percentage Point

“Percent” is from Latin “per centum” (by the hundred); “point” marks the unit on a percentage scale. The compound was coined precisely to disambiguate a rise “from 4 percent to 6 percent,” which can be described two very different ways.

  1. noun phrase · /per-SEN-tij POINT/

    The arithmetic difference between two percentages, as opposed to the percentage change between them.

    It fixes one of the most common and consequential number errors in journalism and politics.

    A rate going from 4 percent to 6 percent rose by two percentage points — but by 50 percent — and a headline that says either without the other can mislead.

    The trap is treating a percentage-point change as a percentage change; a 1-point drop in a 2 percent rate is a huge 50 percent cut, while a 1-point drop in a 90 percent rate is barely a ripple.