Poverty Reduction Position Paper

Poverty Reduction Position Paper
Name:
Course Name:
Course Instructor:
Date of Submission:
Poverty Reduction Position Paper
This paper talks about poverty reduction. How can rich countries help in eradicating poverty in developing countries and in constantly fighting countries? How can these poor countries learn to fight poverty on their own with the help they get from well-wishers and donations from international bodies?
Poverty reduction is the process of promoting economic growth in the poor people and nations that will permanently change their life and poverty line. The state of a person or a certain group of people not having or having very little to means of surviving on things such as food, school, shelter, clothing and medical is called poverty. Poverty reduction is a way of enabling the poor to fed themselves and create wealth that will see poverty line between the poor countries or the struggling countries compared to developed countries drop (Journal of Developing Societies).
Economic development in most of the poor countries is constrained by poor or limited economic freedoms. This makes it harder for individuals who are willing to invest to jump in. extending property rights especially land to the poor stirs economic liberation.
Causes of poverty
Food dumping
Food help to poor countries leads to poverty when issued wrongly. Food aid is destructive to the recipient nation when it is not offered in an emergency, the donated food in a time of no emergency to the poor country leads to farmers in the recipient nation to sell their products at a subsidized price, as they cannot compete successfully. These pushes those in poor state to poverty line due to losses incurred as the giant companies from developed countries take over the market. Many poor countries are dependent on farming, and food aid from rich countries leads to food dumping in these nations. Most of the rich nations use these so called food aid to dominate these countries which are rich in minerals.
Corruption
Corruption in developing countries is the main disease that is holding poverty high, almost in every poor country there has been a case on leaders embezzling public funds and aid meant for medical facilities, infrastructure and many other development or projects that may see poverty reduced. With also the aid from developed countries, these stolen project funds are hidden in developed countries’ bank accounts and investments.
Tax heavens and tax avoidance
Billions of dollars are tax avoided through illegal practices that are mostly supported by a group of corrupt individuals in a government office. These hidden dollars if would go through the right way they level of poverty could reduce as the governments could have enough money to fund projects on their own without outside help. Tax avoidance undermines democracy.
Fo...