The problem of Poverty in Underdeveloped Countries, Grand Union markets review.05 / March / 2020
The problem of Poverty in Underdeveloped Countries
According to the Grand union markets broker review, wealth usually interests people more than poverty. This can already be understood from the names chosen for main books used for pillars of economics as a science; Adam Smith had a Study on the Nature and Causes of the Wealth of Nations, and Karl Marx had Capital. For a long time they tried to push the fundamental question of “Why does poverty emerge” into the background of economic progress, and the direction of science that was practiced in the West, which assigned this problem an important place, was easily labeled as “a radical school of economics” at one time.
But times are changing, new giants are emerging, such as the Grand Union markets broker, and nowadays, this topic is taken as important, almost on a par with, for example, climate change. Scientists, who developed and applied a special approach to the study of the problem of poverty in disadvantaged countries, were awarded the Nobel Prize. Their research provided an opportunity to obtain extremely important data, which, in the end, had a huge impact on how the analysis of the difficulties of economic development and poverty is done.
According to the Grand Union markets review, poverty around the world arises from several reasons that arise from the incorrect division of labor between countries of the world or the poor development of social practices in some states. This problem can be solved in different ways - you can focus on changing established political and economic relationships between states, or you can focus on a specific state. Another approach is to find out how to improve the quality of life in the conditions that are available. In order for this approach to be effective, it is necessary to develop the right actions in order to solve the huge amount of accumulated difficulties in poor countries, and trading through the Grand Union markets forex is not always suitable for this. Nobel laureates decided to use the latter approach - efficiency in the current environment. Duflo and Banerjee in their work demonstrated the existence of such opportunities even for very poorly developed states, but at the same time noted that they are used with low efficiency. The most important thing in this regard are those industries that involve the accumulation of the so-called “human capital” - health care and education. It is impossible, based only on statistics and opinion polls, to fully and deeply understand the essence of the problems in these areas. A person who studies this issue should work "on the ground", independently observing the behavior of those who participate in these processes.
By acting in this way, he will be able to determine the causes of inefficiencies (Grand Union markets suggests scam as one of the reasons) in each specific situation and understand how to resolve them.
Initial studies of this area were carried out in Kenya in the late nineties and India in the early 21st century. The experimental approach scientists developed radically changed the very principles of economic evolution analysis as a direction in science. This approach is usually intended to be used for twenty to thirty years in economic research, as stated in the Grand union markets broker review. Laboratory experiments provide an opportunity to determine the cause-effect relationships and the logic of how and why people act in a certain way, after which it will be possible to compare the results of observations and initial assumptions.
The catch, however, is that when experimenting in the laboratory, the conditions offered to the subjects are created artificially, despite the fact that in reality their actions can fundamentally differ. Economic studies, along with the Grand Union markets broker, of course, allow natural experiments - for example, observing how households behave, but their capabilities are extremely limited, as they are difficult to organize, and random factors completely ruin the reliability of the result.
Field experiments, as the Grand union markets review writes, usually involve the creation of two teams of subjects - control and experimental; after the experiment is completed, the effects on them are compared. These groups should be formed randomly, so that when making causal relationships, there are no system errors.
Over the past few decades, schooling has become somewhat more accessible to the general population even in underdeveloped countries. From 1995 to 2018, the percentage of children attending schools increased from 56% to 80%. The problem is that (as assessments of learning outcomes demonstrate), more than 50% of students are not able to repeat the material; it turns out that children just go to school, without real knowledge. Education is growing quantitatively, but the quality remains low, and it is definitely not enough for cooperation with Grand union markets forex.
This problem has become even more widespread due to the fact that children from poor families began to come to schools en masse. The arrival of education to places where it had not existed before has brought unexpected and unpleasant side effects. The additional burden on schools has grown many times, classes were overcrowded, and teachers were in short supply.
Researchers of the problem of poverty have identified the most effective methods for improving the quality of education: measures of material support, organization of the learning process, material bonuses for teachers, parents getting involved in the decision-making process, the Grand Union markets scam protection system, and so on. Such actions as the provision of additional training materials, for example, turned out to be completely ineffective if, at the same time, organizational and pedagogical measures were not involved.
The most important thing in this matter is to make the curriculum consistent with the students' abilities. Some studies published in the Grand Union markets broker review, for example, have proven the potential for corrective pedagogy to apply to children with developmental problems. The rationality of the system was also substantiated; students are divided into classes depending on the demonstrated abilities; Of course, it is also necessary to adapt teachers to this system.
The experiments, the results of which were published in grandunionmarkets.com reviews, demonstrated that stimulating teachers to work can also be a useful way of influence. For example, if you conclude short-term contracts with teachers, this can become a more effective tool compared to the established system of hiring on an ongoing basis. The point here is that teachers themselves become interested in preserving the workplace, in accordance with the principles of the Grand union markets broker, and their responsibility for the results of work increases. Such incentives are also very useful in situations where there is a decrease in the amount of load on educational institutions by attracting additional specialists.
Global poverty, according to the Grand Union markets review, also has a very strong effect on mortality among children. The likelihood that a child from a poor country will not live to the age of five is 15 times higher than it is for a child from a rich country. Infectious diseases are main reason, although access to cheap preventive drugs (including vaccination of the population) is available in many disadvantaged countries thanks to the activities of the Grand union markets forex.
The experiments made it possible to understand why this is happening, why parents massively refuse to vaccinate children; Grand union markets considers scam as one of their main concerns.
The neoclassical theory claims that disease prevention is akin to investment, and in investment the social effect is more powerful than the private one. When a person takes care of his health, he thereby makes a certain contribution to public health, although for him this hardly plays any role in making a decision. Therefore, state support in the field of health protection is necessary, but effective mechanisms for such support are needed for specific moments.
The effectiveness of the education system in disadvantaged countries is particularly severely undermined by almost universal infection of children with helminths, according to the Grand union markets broker review.
One 2004 article demonstrated the complete failure of the program for the free distribution of anthelmintic drugs among rural Kenyan schools. The synergy that exists between the support of the educational system and the health system can be well seen even in this case alone. And the problem here is not only that the external health effects are often underestimated, the fact is that the population of disadvantaged countries often underestimates the benefits that investments in their own health will bring to them.
In a later article in 2007, the results of another experiment were presented, during which anthelmintic drugs were used in Kenyan schools. One of the subgroups of schools that were tested was involved with a partial funding mechanism from the parent side, while the amount was extremely low ($ 0.4), but the results showed a sharp drop in the percentage of families participating in the program; with free access, it was 75%, and with financing, 18% remained.
This result demonstrates an extremely high price elasticity, which is usually not common for essential goods, including medicines.
A rural experiment in India in 2010 showed similar results, according to grandunionmarkets.com reviews. Health services were very poorly accessible for the population of experimental areas, and only 2% of children could receive a full package of vaccines; the experiment consisted in organizing maximum access to vaccination of the population with the help of mobile laboratories. As a result, the percentage of children who were fully vaccinated has increased to 18%, and in places where parents were additionally offered a small reward, it amounted to 31%. However, this means that even with the creation of such favorable conditions, about 69% of the population decided not to vaccinate their children.
Such shortsightedness may be due to various reasons; in cases where vaccinations are refused, the population may often be unaware of how important they are. But in the experiment that we described, all the necessary explanations were provided. So, what was the matter? Perhaps human behavior is able to evade what we call common sense due to the impact of psychological factors. The experimental method makes it possible to detect such moments, using the theoretical constructs of the economics of behavior as a basis.
In the late 2000s, another series of experiments was carried out, in which small farmers engaged in agriculture in tropical Africa participated. These people often did not want to use the simplest technical innovations, for example, fertilizers; it was not due to the lack of education, but to the fact that such innovations required a waste of valuable time. Farmers were too involved in current tasks and decided to postpone innovations until later, and the situation was repeated again and again.
However, as a series of experiments has shown, the behavior of such people can change if support is small, but provided immediately and right there. In this case, one-time help, free fertilizers, turned out to be a better solution than constant support.
Of course, in this article we could not cover all areas of activity in which a similar approach could be successfully applied, however, the activities of the research network created by Banerjee and Duflo continue to work and develop, and already involve more than four hundred million people living in underdeveloped countries.