Poverty' the reasons for rising gap between rich and poor of the world'

 

Poverty' the reasons for rising gap between rich and poor of the world'
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Abstract
  Whereas poverty elicits strong emotions, it remains a negative entity that cannot be determined empirically therefore, it is meaningless. There are many kinds of poverty like financial, material, moral, spiritual, psychological and, physical poverty. Poverty is seen as an interlocking experience. Poor people are in the informal, insecure part of the society. Most development assistance focuses on the formal system. People not currently considered poor can become poor, while those at some milder level of poverty can move to extreme poverty due to a number of reasons. This includes political unrest, loss of income and insecurity
This paper explores the contribution of globalization towards poverty eradication and exhaustively discuses poverty and the reasons for the constant widening of the gap between the rich and the poor. 








Contents
1.0 Introduction	4
1.1 Problem Statement	5
2.0 Literature Review	6
2.1 Welfare state, origins, Seebohm Rowntree	6
2.2 Impact of Globalization on poverty	7
3.0 Methodology	9
4.0 Conclusion	10
5.0 Recommendations	11
References	13















1.0 Introduction
Poverty is a complex word that is interpreted differently by different people from different geographical domiciles and in different social and economic circumstances. Many definitions of poverty major with food insecurity, uncertainties about a secure source of livelihood. Other factors like dependency and lack of freedom of expression also contribute to the definition. It is the depravation of a certain physical need. Poverty is a wide spread problem that is affecting many people globally. There are many causes of poverty which include political instability, unemployment, underemployment, and rural urban migration, unpredictable weather changes causing famine and drought, poor, farming methods, inadequate infrastructure, alcoholism and unequal distribution of resources.
 	When a person is reduced to poverty he or she cannot afford the basics of life. As a result poor people are denied literacy, good nourishment and good health. Poor people are held down by multiple disadvantages; Material and social deprivation, physical insecurity and powerlessness (Shah 2008, p.1).  Job opportunities are limited and this contributes to the winding up the poverty gap between the poor and the rich in the society.




1.1 Problem Statement
The reasons for rising gap between rich and poor of the world despite the global opportunities worldwide













2.0 Literature Review
To some people poverty means the lack of food, shelter and clothing. To others it may mean lack of money to buy basic needs. Also others would mean to lack luxuries that make life more comfortable. However, the level depends on the general standards of the people in a country. ‘The developing world is poorer than we thought, but no less successful in the fight against poverty’ (Chen 2008, P.4). Whereas poverty elicits strong emotions, it remains a negative entity that cannot be determined empirically therefore, it is meaningless. There are many kinds of poverty like financial, material, moral, spiritual, psychological and, physical poverty.
2.1 Welfare state, origins, Seebohm Rowntree 
Welfare state means that the state has the responsibility of caring for its citizens. This reduces poverty since most of their needs are catered for. Absence of welfare state impacts the poor people in a negative way leading to great human suffering. The poor cannot help themselves nor does the state help them. Social reforms should lay the foundations of welfare state. This ensures that the government bears the responsibility of caring for its citizens. The national poverty line as defined by Rowntree comprises of food, clothing, rent, light and fuel, personal and household sundries.
Poverty can result from natural difficulties and conditions established by mankind, secondary poverty as a result of industrialization, the existence of great law where “For unto every one that hath shall be given, and he shall have abundance: but from him that hath not, even that which he hath shall be taken away”, and sheer carelessness of the working class (Walker 1897, p. 12). According to Walker, moral and mental disease contributes to poverty and people should be taught on how to become sensible, morally and mentally upright beings. 
In his bid to define poverty, Rowntree 1951, p. 1, proposed two poverty definitions: primary and secondary. Primary poverty is where people live in absolute poverty and cannot afford to meet minimal daily needs. Secondary poverty means that the total earnings of a person can only meet the minimum basic requirements sufficiently. Rowntree 1951, p.15, measures poverty line using minimum expenditure on basic needs such as a balanced diet, clothes and the a