Poor Economics: A Radical Rethinking of the Way to Fight Global Poverty

Sunday, January 28, 2018

Lots of people today are interested to know why the global poverty is so persistent. Why all the measures which are being taken to fight global poverty do not give the desired result? Why is this issue still shaking the modern society?

There are lots of questions, and if your curious mind is trying to find the answers to those questions, there is good news. You are not alone. Lots of politicians, economists, and sociologists are working on solving such issues as global poverty. They have managed to achieve some results; however, those are not enough to fight global poverty.

To find an effective solution we need to change our attitude to the problem as a whole and to start using innovative methods if traditional ones have proven to be ineffective.

Picture of the Global Poverty

Global poverty is a serious problem

What is global poverty? How come that some countries are getting richer, while others are still at the same level of economic and political development? Of course, there are reasons and consequences, but there are some common features which can be seen in different regions of the world. Those issues should be tackled carefully, with a deep analysis of the phenomenon of global poverty. If you are interested in the ways of reducing global poverty and developing economics, there is a good read for you.

The book written by the professors of economics Abhijit V. Banerjee and Esther Duflo is called “Poor Economics: A Radical Rethinking of the Way to Fight Global Poverty”. In this book, the authors present their vision of poverty in the modern world and suggest possible solutions to fight global poverty. Listen to the summary at Blinkist.

First of all, it is necessary to question our vision of poverty and the lifestyle of the poor. We need to look deeper into their beliefs and life views to understand how to help them. There is a myth that poor people are not able to think rationally about financial resources. That is a common misconception which prevents from helping more people struggling to find money to survive. Poor people can be as rational as any other members of society. For this reason, it is important to analyze their needs and wants carefully to find the most effective solution to this issue, instead of blaming the poor for being poor.

That is why, before you decide to take the first step to help the poor you should look deeper into their life circumstances and their vision of the situation to understand them better.

All Great Things Start Small

We must work together and start small to fight global poverty effectively

It is believed that to fight global poverty, we must have lots of resources. However, as the authors of the book “Poor Economics” emphasize, small steps should be taken first.

Helping the poor does not necessarily have to start with global actions on a huge scale. It is known that great things start small. It is just another myth that global poverty can only be fought if you act big, invest huge amounts of money and use lots of resources. It is all about the way you look at these issues, your attitude to it and your knowledge of the nature of poverty.

It is like a disease. You can not treat it properly if you do not know the prehistory of it and all the details observed previously. No single pill can be taken to get rid of this disease. The same can be said about global poverty. It is an issue which requires a complex solution and careful analysis. 

Action Plan to Fight the Global Poverty

So, what shall we start with, if we are thinking of helping to reduce the global poverty?

Firstly, it is necessary to do research, deep analysis of the situation and circumstances which lead to the global poverty. Secondly, it is vital to start with education. That is the most important tool to fight global poverty. It is not only about literacy and numeracy but about teaching people how to make decisions, how to think rationally, how to use their creativity and open up the capacity of their mind.

It is about giving the people from the underdeveloped countries an opportunity to think wider, to see the world of opportunities, to broaden their horizons and to give hope to those who seem to be hopeless. The process of fighting the global poverty should start with educating people, letting them understand the reasons for their current position in life and the ways their problems can be tackled.

So, what can you do to fight global poverty?

Fighting global poverty together

Many organizations are working on solving the problems of the poor from different regions of the world. If you genuinely want to help, it is worth trying to get in touch with those organizations. People who work there are real professionals who have a good understanding of what the global poverty is and the mindset of the poor people. Listen to the book at Audible.

Don’t be too shy to get involved; the world needs more engaged and motivated people.