Causes of poverty

Causes of poverty are changing trends in a country’s economy. Associated with the lack of education, high divorce rate, a culture of poverty, overpopulation, epidemic diseases such as AIDS and malaria[1] and environmental problems such as lack of rainfall.[2][3]

Extreme weather may be a cause of poverty in many countries. Drought, rainfall and flooding are some of the biggest causes of poverty by weather. When natural disasters do not gain media attention raising money becomes more difficult. This is made worse when governments spend money in the capitals instead of the poorest areas which need it most.[4]

Almost 50 percent of people in the world today live on less than $2.50 per day.[5]

In a BBC discussion, Tony Blair stated that the cause of poverty is inequality of opportunity.[6]

Causes of global poverty

The International Food Study Institute had a brief on a collection of extensive studies that analyzed the causes of poverty, analyzing household data and reviewing empirical research in 20 countries. They found that some of the major causes of poverty were the inability of poor households to invest in property and education, limited access to credit, in some cases these instances produce more poverty via inherited poverty. The systematic exclusion of ethnic minorities, scheduled castes, tribes, women and people with disabilities and health issues. Persistence of poverty is partially attributed to these classes not having access to institutions and markets.[7]

War and violence may be some of the primary causes of poverty.[8] Political violence and organized crime have affected 39 countries since 2000, in those countries the poverty level is twice that of non-violent countries. These two items, poverty and violence may also feed themselves. When asked why young people joined gangs and rebel groups in half a dozen countries, two thirds of the respondents said that unemployment was their main reason, only one tenth cited a belief in the cause.[9]

Colonialism has been cited as a cause of poverty, this idea is rejected by Walter E. Williams citing that not all post colonial countries have high poverty rates.[10]

Third World countries have low GDP per capita percent taxed, middle income economies have average levels of GDP per capita taxed and developed countries have higher percent GDP per capita taxed.

Places like the Arctic and Antarctic are inhabitable but many people debate how much a role climate plays in Africa's poverty.

Main causes of poverty

Primary causes of poverty

poor management of resources government policies

Historical causes

Primary causes by country

Bangladesh

The causes of poverty in Bangladesh are due to the countries low economy, which leads to the poor being exploited with very low pay, the vast amount of floods that occur and overpopulation.

Canada

The Fraser Institute, a public policy think-tank reported that characteristics increasing Canadians' risk of "experiencing persistent low income" include: "having a physical or mental disability, being part of a lone-parent family, and having less than a high school education."

[15]

Philippines

From 1921 to 2001 food prices increased due to a change in the policies of commodity prices which increased the poverty rate.[16] From 1960 to 2009 slow economic growth has contributed to the persistence of poverty and has also contributed to the non-poor becoming poor. Although poverty has been reduced overall, the inequality of poverty has increased, according to the Asian Development Bank.[17]

United States

Unemployment is the leading cause of poverty within the US. In 1999 and 2005, 71 percent of the families that were below the poverty line did not have any working family members. Among the families below the poverty line that had at least one family member working, low wages and insufficient benefits were also leading causes.[18] In California, poverty in the elderly was reduced with the creation of the social security program.[19] The poverty rate among seniors in the United States is at 9 percent as of 2010.[20] In 1960 the official poverty rate among the elderly was 35 percent.[21] The Netherlands offers a universal pension and leads the world with a 1.7 percent poverty rate among the elderly. Extreme poverty may affect lifespan, and the lack of money via some type of pension system increases the poverty rate among the elderly worldwide.[22] Issues like hunger, illness and thirst are all causes and effects of poverty.

South Africa

One of South Africa's major causes and effects of poverty is unemployment. Unemployment causes families to live in unsanitary conditions because a lack of financial means to improve living conditions. If the parents are unemployed, this can also affect how the child is brought up and what kind of education they receive. This issue has been recognized by the South African government and they have created organisations like the Expanded Public Works Program, also known as the EPWP. This program is an important gateway to labor absorption and provides income for poor families. Poverty stricken people now have the chance to receive income thanks to the jobs that the EPWP provides.[23]

See also

References

  1. ↑ Lusted, Marcia Amidon (2010). Poverty. Edina, Minn.: ABDO Pub. p. 31. ISBN 9781604539578.
  2. ↑ Harrison, Paul (1993). Inside the Third World: The Anatomy of Poverty (3. ed.). New York: Penguin Books. p. 20. ISBN 9780140172171.
  3. ↑ White, Howard; Killick, Tony (2001). African Poverty at the Millennium: Causes, Complexities, and Challenges (1. print. ed.). Washington, D.C.: World Bank. p. 27. ISBN 0821348671.
  4. ↑ McGrath, Matt (16 October 2013). "Extreme weather 'keeps people poor'" – via www.bbc.com.
  5. ↑ "Causes of Poverty — Global Issues". www.globalissues.org. Retrieved 2015-11-02.
  6. ↑ "Why poverty persists in the 21st Century". 26 November 2012 – via www.bbc.co.uk.
  7. ↑ Ahmed,, Akhter U.; Hill, Ruth Vargas; Smith, Lisa C.; Frankenberger, Tim (October 2007). "Characteristics and causes of severe poverty and hunger" (PDF). 7 International Food Policy Research Institut: 4. Archived from the original (PDF) on August 12, 2011. Retrieved 15 July 2015.
  8. ↑ "Root Causes of Violent Conflict in Developing Countries." BMJ: British Medical Journal. 324: 342–345. 2002. doi:10.1136/bmj.324.7333.342. PMC 1122271. PMID 11834564.
  9. ↑ "The economics of violence". The Economist. 16 April 2011. Retrieved 23 July 2015.
  10. ↑ Williams, Walter. "Poverty Is Easy to Explain". The Freeman. Retrieved 23 July 2015.
  11. ↑ Thomas Pogge on Global Poverty
  12. ↑ Shah, Anup. "Causes of Poverty". globalissues.org. Retrieved 14 July 2015.
  13. ↑ Bhattacharyya, Sambit (2016-05-19). "The Historical Origins of Poverty in Developing Countries". doi:10.1093/oxfordhb/9780199914050.001.0001/oxfordhb-9780199914050-e-13.
  14. ↑ Factors of Poverty - The Big Five by Phil Bartle, PhD
  15. ↑ Charles Lammam and Hugh MacIntyre (2015). An Introduction to the State of Poverty in Canada. Fraser Institute. https://www.fraserinstitute.org/sites/default/files/an-introduction-to-the-state-of-poverty-in-canada.pdf
  16. ↑ Balisacan, Arsenio M. (October 1995). "Anatomy of Poverty during Adjustment: The Case of the Philippines". Economic Development and Cultural Change. 44 (1): 57. doi:10.1086/452200. ISSN 0013-0079.
  17. ↑ Poverty in the Philippines : causes, constraints, and opportunities. Mandaluyong City, Philippines: Asian Development Bank. 2009. p. 39. ISBN 978-971-561-857-1.
  18. ↑ "What causes poverty?". cpag.org.uk. Child Poverty Action Group. Retrieved 14 July 2015.
  19. ↑ "Social Security is the Most Effective Anti-Poverty Program in the U.S., In One Chart".
  20. ↑ West, Loraine A.; Cole, Samantha; Goodkind, Daniel; He, Wan (June 2014). 65+ in the United States: 2010 (PDF) (Report). U.S. Census Bureau. p. 78. Retrieved 21 March 2017. According to data from the 2011 Current Population Survey (CPS) Annual Social and Economic Supplement (ASEC), 9.0 percent of the population aged 65 and over lived in poverty in 2010.
  21. ↑ "Social Security and the Evolution of Elderly Poverty" (PDF).
  22. ↑ "Poverty among the Elderly" (PDF).
  23. ↑ "Welcome to EPWP". www.epwp.gov.za.
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