Why Poor Countries Are Poor Essay

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Why Poor Countries Are Poor The question of why poor countries are poor may seem simple and one dimensional at first glance. However, the answer to this question is actually quite intricate, as many interweaving aspects must be observed. Although it is impossible to explain why many countries remain in poverty within just a few pages, I will attempt to touch upon some of the broader factors. A poor country or a low-income economy is defined as a country with a Gross National Product per capita of $765 dollars or less. In 1995, the World Bank claimed that 49 countries fell into this category. Geography, colonialism, industrialization,…show more content…
For example, England is very wealthy and does not have the best land. Its riches come from colonization. Colonialism is one of the biggest reasons many countries are poor. The richest countries in the world all colonized. With the exception of the United States, we can see that all nine nations that make up the G-9 had colonies. Countries that have been colonized centuries ago are still poor to this day because of oppression. Without getting too far in-depth we can see that countries in Africa and Latin America may have had the chance of being very prosperous, but because they were colonized, the few resources that they had were taken. For example, Peru could be a wealthy nation today if it had not been for the Spanish taking their silver. Many countries like Peru are now poor in relation to others because they were not able to benefit from their resources. Most of these countries thrive off of primary goods (i.e. wood, potatoes, wheat, etc.) instead of processed goods (i.e. clothing, plastics, cars, etc.). We can see that Argentina and parts of Brazil are still poor because they export primary goods such as trees instead of processing their resources into processed goods such as paper. Countries that have not been able to industrialize at a fast pace have not been able to prosper. This idea is called Import Substitution Industrialization. Even though
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