How Do You Understand The Costs Of Global Poverty?
• The economic reasons: Currently, over a billion people live on less than $1 per day. They are recipients of large amounts of aid, yet so far the international community has been unable to substantially reduce the prevalence of global poverty. • Foreign Policy Magazine describes the world’s poor as the largest untapped market on earth. • If global poverty is reduced or eliminated, then developed countries can stop receiving aid and and become independent. People will transition from surviving on handouts into consumers, thus becoming new markets for US companies. • Most of the US top trading partners were once recipients of US foreign aid. After WWII, the US used large amounts of foreign aid to prop up the European and Asian economies, Japan and Germany in particular. Today, Japan and Germany are among the US’s main trading partners. • Capitalism has done a good job at benefiting the people with the loudest economic voice. Poor people in rural areas of developing countries have little
