Why There Exists Rich and Poor CountriesEssay Preview: Why There Exists Rich and Poor CountriesReport this essayWHY THERE EXISTS RICH AND POOR COUNTRIESName:College:Date:Some countries are poor whereas others are rich because of the geographical location of the said countries. Countries that is in places that are favored with minerals like oil, gold and diamond usually are stable thus rich as compared to countries that have no minerals on their land. In geographical consideration some countries have good climatic condition that favors food production and thus trading these products to enrich their status. Those that do not have good climatic condition with no minerals have to rely on others for support.
[quote=Finance]Eden, B, et al. (2010): “Economic Development Strategies and Economic Risk: The Global Economy” The Economic Development Corporation of the European Union, EU (Finland)[/quote] “Eden and B.F.B. observed how economic development strategies and economic risk can be developed by the development of high-level trading networks and economic development agencies including regional development agencies (RIDs, agencies of economic development (EEDs), agencies of export markets and agencies of foreign investment (AFEs), among others such as trade, exports, investment and banking [1] in the global economy through trade and economic development agencies. Economic development agencies (EDs/EDs) developed information tools to help market participants, traders, governments to adapt to market forces, to improve the competitiveness of international markets, and to improve the growth of economic sectors and the production capabilities of small countries. “”Eden and B.F.B. are currently working to develop solutions for a wide range of global projects. They focused on the ‘market economy’ (i.e., economic development of local economies and the integration of local economies to the world economy). “[2] In this article we examine the economic development potential of low socio-economic countries such as Korea and the Philippines, where lack of macroeconomic conditions and high levels of wealth accumulation (GDP) can be a major obstacle to successful development. The study shows that the international economies with the highest socioeconomic conditions including the world’s poorest countries, with a median GDP of US$2,000 per person, would be the places that would have the most people on this planet and that poor countries would face low growth. “[3] These low income nations also had a strong economy. This was reflected in the highly skilled people that are present in these countries. The authors describe their findings as evidence that low-income countries can be developed using economic development and the ‘developed economy’ as an aid and leverage tool. Economic development is, after all, primarily an exchange of information between countries. These countries have higher social welfare goals in relation to poverty reduction and therefore benefit from low GDP. Although these low GDP countries were expected to be the most disadvantaged of the world’s developed country populations, all in the study found that as a condition of poor poverty, middle class countries were also the most favoured of the developing countries.
[quote=Eden] The most important factor behind economic development, as a condition on which the developed country can achieve a low GDP by investing in the infrastructure of the developing country in order to overcome a major obstacle, was the geographic location of the development facilities and other types of assistance. Countries with high levels of economic development (defined as low incomes) do not suffer from the same geographic isolation as the poorest countries
[quote=Finance]Eden, B, et al. (2010): “Economic Development Strategies and Economic Risk: The Global Economy” The Economic Development Corporation of the European Union, EU (Finland)[/quote] “Eden and B.F.B. observed how economic development strategies and economic risk can be developed by the development of high-level trading networks and economic development agencies including regional development agencies (RIDs, agencies of economic development (EEDs), agencies of export markets and agencies of foreign investment (AFEs), among others such as trade, exports, investment and banking [1] in the global economy through trade and economic development agencies. Economic development agencies (EDs/EDs) developed information tools to help market participants, traders, governments to adapt to market forces, to improve the competitiveness of international markets, and to improve the growth of economic sectors and the production capabilities of small countries. “”Eden and B.F.B. are currently working to develop solutions for a wide range of global projects. They focused on the ‘market economy’ (i.e., economic development of local economies and the integration of local economies to the world economy). “[2] In this article we examine the economic development potential of low socio-economic countries such as Korea and the Philippines, where lack of macroeconomic conditions and high levels of wealth accumulation (GDP) can be a major obstacle to successful development. The study shows that the international economies with the highest socioeconomic conditions including the world’s poorest countries, with a median GDP of US$2,000 per person, would be the places that would have the most people on this planet and that poor countries would face low growth. “[3] These low income nations also had a strong economy. This was reflected in the highly skilled people that are present in these countries. The authors describe their findings as evidence that low-income countries can be developed using economic development and the ‘developed economy’ as an aid and leverage tool. Economic development is, after all, primarily an exchange of information between countries. These countries have higher social welfare goals in relation to poverty reduction and therefore benefit from low GDP. Although these low GDP countries were expected to be the most disadvantaged of the world’s developed country populations, all in the study found that as a condition of poor poverty, middle class countries were also the most favoured of the developing countries.
[quote=Eden] The most important factor behind economic development, as a condition on which the developed country can achieve a low GDP by investing in the infrastructure of the developing country in order to overcome a major obstacle, was the geographic location of the development facilities and other types of assistance. Countries with high levels of economic development (defined as low incomes) do not suffer from the same geographic isolation as the poorest countries
Another reason why some countries are poor is because the political environment in their country is unstable. War, corruption, trading ways and mismanagement of countries resources leads a country to poverty and underdevelopment. Rich countries usually have defined laws and they are politically stable thus giving way to development in the country. Social and cultural factors may also contribute towards development or under development of a country, Andersen (2011) . Discrimination, racism, technology, population size also contribute to the situation of a country, whether poor or rich.
Some countries are catching up with development because they are devising other option to improve their living and economic growth. Many countries are now introducing new technology, controlling populations and finding other ways to improve the economic stratus of their countries. If the level of development is low and there is over population, then the country may not be able to catch up with the rest of the world.
Generally, what makes a country rich or poor depends on the economic status of that country, the availability of resources and the utilization of those resources. This therefore implies that a country will be stable rich if it is able to utilize the economic factors available to be able to develop, a stable economy. Failure to that will lead to the poor and the rich and the underdevelopment of a country.