Economics of Poverty

In the year of 2024

  • 10,000 children under the age of 18 die every day from malnutrition.
  • 15,000 adults 18 years of age and older die of malnutrition every day.
  • Over 800 million people live in absolute poverty.
  • Approximately 32 armed conflicts are happening presently.
  • Many of these countries geographically are situated in a POVERTY TRAP.

Poverty Trap

Many of these countries are geographically landlocked, with high birth rates and a lack of high-quality education for the whole population. In turn, these societies are without high-quality education. A domino effect of lack of research and development causes few opportunities for R&D due to a lack of individual, corporate investment, and low domestic tax base. For many of these societies, corruption at the elite political and economic governance levels contributes to the poverty trap.

Individual and corporate wealth can help the economy if economic growth exceeds inflation. However, many of these unfortunate poverty-stricken countries have extremely high inflation, and such inflation decreases the value of a currency. However, to fight high inflationary costs, many of these countries fall into a trap of a high surplus of currency, which inflates the currency too little or no additional wealth to be created.

More from Numerous Narratives
All posts