Quality of life

Question 1

What causes poverty?

Answer 1

Income too small to meet basic needs.
Equally distributed economic resources - still too small.
Economic freedom limited.
E.g. 2005 - 277 million within LDCs were on less than $1 per day.

Question 2

Why does it look like poverty is falling?

Answer 2

High pop. rate - actual number in extreme poverty has increased over the long term.

Question 3

What is the difference in poverty between African and Asian countries?

Answer 3

374 million Africans income less than $2 per day.

203 million Asians income less than $2 per day.

Question 4

What are LECs dependent on?

Answer 4

External finance -aid.
Growth is failing to trickle down to the wellbeing of the population.
2006 - net aid payment $28 billion - bilateral/multilateral aid mostly funding social infrastructure/services.
2006 - aid share of education, health, water supply etc. was higher than previous years - MD goals.