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Theories on the causes of poverty are the foundation upon which poverty reduction strategies are based. While in developed nations poverty is often seen as either a personal or a structural defect, in developing nations the issue of poverty is more profound due to the lack of governmental funds.
There are behavioral, structural and political theories on the causes of poverty: "Behavioral theories concentrate on individual behaviors as driven by incentives and culture. Structural theories emphasize the demographic and labor market context, which causes both behavior and poverty.
Poverty is a state or condition ... Neuroscientists have documented the impact of poverty on brain structure and ... while other theories like ...
Attributions for poverty is a theory concerned with what people believe about the causes of poverty. These beliefs are defined in terms of attribution theory , which is a social psychological perspective on how people make causal explanations about events in the world. [ 1 ]
This helps to explain why the culture of poverty tends to endure from generation to generation as most of the relationships the poor have are within that class. [32] The "culture of poverty" theory has been debated and critiqued by many people, including Eleanor Burke Leacock (and others) in her book The Culture of Poverty: A Critique. [33]
It is often reluctant to divide explanations into "structural" and "cultural," because of the increasingly questionable utility of this old distinction. [8] An example of this is discussed by critical race theorist Gloria Ladson-Billings (2017). She observed the culture of poverty theory used to explain why some urban schools are unsuccessful.
Dependency theory is the idea that resources flow from a "periphery" of poor and exploited states to a "core" of wealthy states, enriching the latter at the expense of the former. A central contention of dependency theory is that poor states are impoverished and rich ones enriched by the way poor states are integrated into the "world system".
Common topics include growth theory, poverty and inequality, human capital, and institutions. [4] Unlike in many other fields of economics, approaches in development economics may incorporate social and political factors to devise particular plans. [5] Also unlike many other fields of economics, there is no consensus on what students should ...