Why are some countries still so rich and others so poor

[Gaselemeg]

This is a whole complex of problems that leads to the fact that some countries are poor and others are rich. Of the main ones I'd call error economic policy, financial insolvency and poor governance.

[1714786171]

1714786171

[1714786171]

1714786171

[parazhia]

I think it all depends on how the government organizes and manages its economy. In essence the system of government and its policies will affect economic growth.

[Milliionaiire]

actually it all depends on the leader of the country. if the leader of a country has a goal to advance the country, no matter what happens it will be done for the welfare of its people. if the leader of a country is silent without any definite purpose the country becomes poor

[Windrunner88]

actually it all depends on the leader of the country. if the leader of a country has a goal to advance the country, no matter what happens it will be done for the welfare of its people. if the leader of a country is silent without any definite purpose the country becomes poor

What about the fact that the people choose the leader? Couldn't we say that the leader's views should be a reflection of the population? Or at least of the majority of the population? I guess this would only be applicable in democratic countries. What do you think "silent" leaders do? If they don't have ambitions for the country, then why do they want to be politician? I think it's usually that they have some personal ambitions. They don't care much if the country gets richer, but they do care if they get richer themselves.

[lemazullo]

North and South Korea often serve as an example of the importance of institutions. In a sense they are a natural experiment. These two nations share a common history, culture, and ethnicity. In 1953 these nations were formally divided and governed by very different governments. North Korea is a dictatorial communist nation where property rights and free and open markets are largely absent and the rule of law is repressed. In South Korea, institutions provide strong incentives for innovation and productivity. The results? North Korea is among the poorest nations in the world, while South Korea is among the richest.4

[krasheed11]

Each country has a leader ship and it depends on how they handle their resources.

[mzimino]

While this seems like a simple relationship—if government provides strong property rights, free markets, and the rule of law, markets will thrive and the economy will grow—research suggests that the "institution story" alone does not provide a complete picture. In some cases, government support is important to the development of a nation's economy. Closer inspection shows that the economic transformation in South Korea, which started in the 1960s, was under the dictatorial rule of Park Chung-hee (who redirected the nation's economic focus on export-driven industry), not under conditions of strong property rights, free markets, and the rule of law (which came later).5 South Korea's move toward industrialization was an important first step in its economic development (see South Korea's growth in Figure 2).

[jersti]

Second, international trade is an important part of the economic growth story for most countries. Think about two kids in the school cafeteria trading a granola bar for a chocolate chip cookie. They are willing to trade because it offers them both an opportunity to benefit. Nations trade for the same reason. When poorer nations use trade to access capital goods (such as advanced technology and equipment), they can increase their TFP, resulting in a higher rate of economic growth.7 Also, trade provides a broader market for a country to sell the goods and services it produces. Many nations, however, have trade barriers that restrict their access to trade. Recent research suggests that the removal of trade barriers could close the income gap between rich and poor countries by 50 percent.8

[Latin-Crypto]

Because people from countries which are abused from western countries, are going to this western countries to do the same work for more money. The people that stay in their countries are working for less money and the economy from the country is growing more slowly then the others with more salary.

[SneakyLady]

The same reason people are rich or poor: a combination of circumstance and ver good or very bad decisions. Like usually attracts like, hence stereotypes of populations and countries accomplishing everything or nothing.

[HODLMANIAC]

That's the World's order and I think it won't change 

[Rubyfhyy]

Poor countries suffer from serious corruption, even not, they are difficult to compete with rich countries in technology, education and more.

[azulchzwang]

Herrmann and collaborators replicated the previous results in subject pools in the U.S., Australia, England, Switzerland, Germany, China, and South Korea.  However, when they conducted the identical experiment with subjects in Russia, Ukraine, Belarus, Turkey, Greece, Saudi Arabia, and Muscat, they found that the opportunity to punish other group members had much less ability to stave off a decline in contributions, and that the likely cause was that in those subject pools, punishing cooperators was almost as common as punishing non-cooperators.   As a consequence, subjects in the “bad” subject pools earned less in the experiment than did their counterparts in the “good” ones.

[oannejoannes]

Economic growth of less-developed economies is key to closing the gap between rich and poor countries. Dif­ferences in the economic growth rate of nations often come down to differences in inputs (factors of production) and differences in TFP—the productivity of labor and capital resources. Higher productivity promotes faster economic growth, and faster growth allows a nation to escape poverty. Factors that can increase productivity (and growth) include institutions that provide incentives for innovation and production. In some cases, government can play an important part in the development of a nation's economy. Finally, increasing access to international trade can provide markets for the goods produced by less-developed countries and also increase productivity by increasing the access to capital resources.

[jimbojones3000]

Your all wrong

There are many reasons.. but the main reason is IQ.

Look at the poor countries.. all have low average IQs.

Then to compound the problem.. people with high IQs leave the poor countries and go to the western countries..

Take a look at IQ data - Then take a look at peoples income.. it all matches up perfectly..

[3lyntmy]

With all the technology, healthcare and education why is the world still so divided? With some places being rich while others being torn in wars and crimes, forcing people to hide or become refugees. What are your thoughts on the issue?

No doubt sure is problem from government 

[Beatrix77]

In terms of natural resources, social institutions, and economic governance, each country has different rates of influence. There are 196 countries in the world. 25 of them are very rich, with a per capita income of over $ 100,000 per year. Most of the rest are relatively poor countries and some are very, very poor. All countries more or less are on the road of development. But in poor countries, this is extremely slow. Remarkably, poverty and corruption are correlated and directly influenced. The richest countries in the world are also the least corrupt countries, and the most corrupt countries are also the poorest countries. When corrupt states, they can not collect enough taxes to build one body. Natural resources such as oil, precious metals can be a real problem. Poor countries tend to view them as a trump card. These natural resources are called "amplification effects" by economists. They will help a country with a wealthier institution, but with a bad institution, it will even make it poorer. This is called "resource traps".

[Miusu]

I think we will never know who is the real responsible for it,
 the government or the public.. since the public that vote the leaders more responsibility is on its hand. Wrong law, wrong mindset leads to worst situation.

Never miss FREE Token ---- SOON ----
Twitter | Telegram | Facebook | Instagram | Medium | Website  
------ MIUSU, a new but different state-of-art blockchain ------
Stay informed about next steps, get exclusive news & tell your ideas!

[unesse]

More than two centuries ago, Adam Smith wrote the book that is generally credited with initiating the science of economics. The central question he addressed is contained in its title, An Inquiry into the Nature and Causes of the Wealth of Nations. What is amazing is how prescient Smith was. Almost everything he said 240 years ago is still true today. Modern economic studies are confirming it. Think of an economy as reflecting three fundamental features: capital, labor and what I will call the “efficiency factor.” A country’s stock of capital consists of machinery, buildings, land, etc. Labor consists of the country’s human resources that are used in production. The efficiency factor determines how well the country turns capital and labor into output.

[Jandrei1]

Because of the people and who governs them. Each and every country has its resources and manpower and it will depend on them how to utilize hem.Having a Good leader is a must.