High Quality Content by WIKIPEDIA articles! Percentage points (pp) are the unit for the arithmetic difference of two percentages. Consider the following hypothetical example: in 1980, 40 percent of the population smoked, and in 1990 only 30 percent smoked. We can thus say that from 1980 to 1990, the incidence of smoking decreased by 10 percentage points even though smoking did not decrease by 10 percent (actually it decreased by 25 percent) ? percentages indicate ratios, not differences. Statements such as "between 1980 and 1990, the smoking rate decreased twice as much as the lung cancer rate" are ambiguous: it is not clear whether percentages or percentage points are being compared.