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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.
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 ]
Marxists believe the structural nature of society (which is the cause of poverty) has to be changed to remedy poverty in society. [6] Conversely, critics to this perspective, like Milton Friedman postulated that under the socialist perspective, the suppression of individual rights and that of a free market economy can result in political ...
Human development theory is a theory which uses ideas from different origins, such as ecology, sustainable development, feminism and welfare economics. It wants to avoid normative politics and is focused on how social capital and instructional capital can be deployed to optimize the overall value of human capital in an economy.
The culture of poverty emerges as a key concept in Michael Harrington's discussion of American poverty in The Other America. [9] For Harrington, the culture of poverty is a structural concept defined by social institutions of exclusion that create and perpetuate the cycle of poverty in America. [9] Chicago ghetto on the South Side, May 1974
In sociology, social psychology (also known as sociological social psychology) studies the relationship between the individual and society. [1] [2] Although studying many of the same substantive topics as its counterpart in the field of psychology, sociological social psychology places relatively more emphasis on the influence of social structure and culture on individual outcomes, such as ...
This theory has been explored by Ruby K. Payne in her book A Framework for Understanding Poverty. In this book she explains how a social class system in the United States exists, where there is a wealthy upper class, a middle class, and the working poor class. These classes each have their own set of rules and values, which differ from each other.
The welfare trap (aka the welfare cliff, unemployment trap, or poverty trap in British English) theory asserts that taxation and welfare systems can jointly contribute to keep people on social insurance because the withdrawal of means-tested benefits that comes with entering low-paid work causes there to be no significant increase in total income.