Causes Of Poverty Essay

The causes of poverty comprise varying trends in a country’s economy. Some of the major causes of poverty are the inability of poor households to invest in property and education. People who live in poverty are not able to afford to send their children to school. Due to the absence of access to education, there will be lack of job opportunities. Therefore, the jobs that will supply little or no pays continue to increase. This will act as a barrier for the economy, limiting an access to an income to support families and to engage in daily activities. Another problem is the lack of access to health education services. This leads to high rates of teenage pregnancy and larger families. When the families become larger, the risk of poverty increases

In some countries, women are paid lower wages than men who are performing the same line of work. Also in some developing countries, women are expected to take on child rising and are constrained from seeking employment. This inequality creates a drawback for women where it hinders opportunity for more income for the household. Also inequality between the rich and the poor will affect social cohesion and lead to problems such as increasing war and violence which will strain the economy, create safety issues and also face food shortages in some countries. These can occur unexpectedly and can cause everlasting effects on the economy therefore these issues are more difficult to overcome.

Another factor that can cause poverty is the environmental factor. The main problem for this is deforestation. With deforestation, the agricultural economy of a nation loses its strength as forest products industry is a huge part of the economy in both developed and developing countries. In developing countries almost three billion people rely on wood for heating and cooking. Today, developed countries continue to utilize timber for building houses. Deforestation can lead to people losing jobs, governments losing money, and eventually this all leads to poverty within the nation. (borgen project,

Moreover, the inability of finding a well-paying job, unemployment and/or underemployment is high. Also the restriction of free trade result for poverty. . For example, almost half of the budget of the European Union goes to agricultural subsidies, mainly to large farmers and agribusinesses, which form a powerful lobby. Japan gave 47 billion dollars in 2005 in subsidies to its agricultural sector, nearly four times the amount it gave in total foreign aid. The US gives 3.9 billion dollars each year in subsidies to its cotton sector, including 25,000 growers, three times more in subsidies than the entire USAID budget for Africa’s 500 million people. ("Poverty - New World Encyclopedia", 2017) This contributes to the increase in price for the consumers, and minimizes competition and