what is the cycle of poverty? In economics, the cycle of poverty is the ‘set of factors or events by which poverty, once started, is likely to continue unless there is outside intervention’.”
Nobody wants to live in poverty, and the majority of people who do so were compelled to do so by outside factors beyond their control, such as job loss, health problems, or the loss of the primary breadwinner due to divorce or death. Poverty is dangerous because it spirals out of control quickly. “
What Is The Cycle Of Poverty?
Poverty can be defined as a state of living in which a person or people lack the financial resources necessary to live above the standard of what is seen as socially acceptable. People frequently become impoverished or are born into it as a result of events beyond their control. Poverty can not be explained without understanding the poverty cycle definition. What does the poverty cycle entail? One typical form of poverty is cyclical poverty. It occurs when people are born into poverty and it is passed down from one generation to the next. Many factors, such as a lack of resources, inadequate education, not being able to meet their basic needs, etc., increase the likelihood that poor children will stay in poverty as adults.
Poverty
Poverty doesn’t have a set, absolute numerical value. The definition of poverty varies from country to country, culture to culture, neighborhood to neighborhood, etc. Living below what is considered to be a socially acceptable level of wealth in that particular culture, country, or environment is generally a sign of poverty.
Absolute Poverty
Absolute poverty is a type of poverty classified by a lack of basic needs, such as shelter and food, being met. Not everyone who is poor is homeless. Absolute poverty is not something that all people who are poor experience. In many countries around the world, absolute poverty is widespread.
Generational Poverty
From one generation to the next, the poverty cycle frequently persists. The following hypothetical situation serves as an illustration of generational poverty:
Trisha, a single teen mother who lives below the poverty line with her parents, gives birth to a girl. Trisha and her newborn baby’s parents struggle to support her. To help her parents support her and her child, Trisha drops out of high school and accepts a job paying the minimum wage. They rely on food stamps, which are insufficient for them to buy wholesome, nourishing food. Trisha starts having health issues because she isn’t eating well. As her medical expenses mount, she is caring for her infant and paying all of her bills with the money she earns at her minimum wage job. She continues to work for minimum wage as she ages because she doesn’t have the education required to hold a different type of job. Trisha’s child will be born into an underprivileged neighborhood with little access to medical care or a good education, and she will grow up to face the same challenges that her mother and grandparents did. She will struggle to find the resources she needs to escape poverty. The phrase “breaking the cycle” can be harmful and misleading. It implies that if someone puts in the necessary effort, breaking the cycle is simple. Contrary to popular belief, it is challenging to escape the poverty cycle because it is so strong.
What Causes Individuals To Become Mired In A Cycle Of Poverty?
Let’s use the example of three women from different generations of a single family to demonstrate how the poverty cycle imprisons people in the real world. This family’s story has been created to illustrate how the poverty cycle can harm and ensnare people for generations, these experiences are a reality for millions of people.
Halima’s mother, Sara, is unable to afford to send her to school after Halima loses her father when she was a baby. Due to her lack of education and the drought her village is experiencing, Halima won’t be able to find employment when she’s older.
Sara, Halima’s mother, desires that she get married in order for her to have a secure future and receive support. Halima weds a villager from her village who has little education, but he also has trouble finding work, so the couple is forced to live in poverty.
Halima soon becomes pregnant and gives birth to a lovely daughter that she names Aaliyah. Aaliyah is born malnourished, which causes health issues for the rest of her life because of their village’s food shortages and lack of income.
To collect water, Halima must travel a long distance, and the rest of her time is spent caring for her ill child. With each new child Halima has, it gets more difficult to give them enough to eat, drink, and have access to medicine. The kids have to fetch water and help around the house from a young age because the family can’t afford to send them to school.
Due to her learning disabilities and lack of education, Aaliyah will have a difficult time finding employment when she is older. She marries, then has kids. They live in poverty. The cycle continues.
Although it is a desperate trap, the poverty cycle is not unbreakable.
We have the tools to break it, and it can be done.
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How To Break The Cycle Of Poverty?
Hope exists for ending the cycle of poverty. Canada’s World Vision supports children in some of the world’s most vulnerable communities by working in more than 50 nations.
Education
Making sure kids receive an education is one of the biggest steps toward eradicating poverty. Education can help any child gain access to opportunities that would be otherwise tightly closed. The risk of exploitation and early marriage is higher for children who are not in school. As adults, their income is expected to be significantly lower. This limits their own children’s opportunities and perpetuates the cycle of poverty.
Even the most fundamental education, which consists of reading, writing, and math, can open doors to futures that would otherwise be closed.
Adults with even a basic education are better able to manage a business; for instance, they can maintain accurate records and get loans to fund business expansion. They have the ability to read potential business partners’ letters and respond in writing.
Girls who continue their education are less likely to get married young, which benefits their general health and wellbeing. They can raise an entire generation by teaching their kids more skillfully.
Economic Empowerment
Although ending the cycle of poverty is a difficult process, one thing consistently stands out. The most significant factor affecting a child’s financial situation is her family.
In order to help families break the cycle of poverty, World Vision works to improve the economic well-being of individual households. People whose businesses are prospering hire others to assist them, breaking the cycle of poverty for other families. The entire community is eventually lifted.
People are empowered by World Vision in four ways:
- Microfinance
- Savings groups
- Market/value chain development
- Training small business owners
We give people the tools they need to launch their own businesses, develop good saving practices, and advance their farming practices by using these methods. This in turn enables them to support their families.
Conclusion
What is the cycle of poverty?
Once a child is born into a poor family, the cycle of poverty begins. These families are frequently stuck in the poverty cycle due to a lack of resources or a lack of ability to create opportunities for themselves. The phenomenon of poor families become impoverished for at least three generations is known as the “cycle of poverty.”
