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Question
How inequality of income and asset distribution are responsible for poverty?
How inequality of income and asset distribution are responsible for poverty?
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Answer:
Most of the time poverty gets perpetuated due to income inequality and inequality in asset distribution. Income inequality happens when the wealth is concentrated in the hands of the few people. Due to income inequality the purchasing power of people gets reduced. People will find it difficult to meet basic needs of their life like food, shelter, and clothing. People won’t be able to meet other basic needs like health, education, etc. When the income is less and if people have health issues, then it further slips them into poverty.
Answer:
Most of the time poverty gets perpetuated due to income inequality and inequality in asset distribution. Income inequality happens when the wealth is concentrated in the hands of the few people. Due to income inequality the purchasing power of people gets reduced. People will find it difficult to meet basic needs of their life like food, shelter, and clothing. People won’t be able to meet other basic needs like health, education, etc. When the income is less and if people have health issues, then it further slips them into poverty.
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