Блажиєвська Д.В. ................................................................................................................ 107
БОЖХОНАДАГИ КОРРУПЦИЯГА ҚАРШИ КУРАШИШ БЎЙИЧА ХАЛҚАРО
ТАЖРИБА
Раҳимов С.А. ......................................................................................................................... 109
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SECTION 1.
ECONOMIC THEORY, MACRO- AND REGIONAL ECONOMY
Artem Khovrat
graduate of the Faculty of Computer Science
Kharkiv National University of Radio Electronics, Ukraine
Scientific supervisor: Valentyna Kyriy
candidate of Economic Sciences, PhD, associate professor
of the Department of Economic Сybernetics and Management of Economic Security
Department, associate Professor of the Department of Software Engineering (part time)
Kharkiv National University of Radio Electronics, Ukraine
TOOLS FOR REDUCING GLOBAL POVERTY
Currently, according to the World Bank, more than 700 million people live in extreme
poverty [1], ie have less than $ 2 a day. This is especially noticeable in countries with weak
economies and those prone to military conflict, in particular in Africa and the Middle East. People,
there have a lot of problems with basic necessities: from medicines to food and drinking water.
And all this is happening despite the steady growth of the world economy. So the logical question
is, what are the causes of this problem and how can it be solved?
Let's start with the interpretation of the very concept of poverty, which will be used later.
The fact is that there are many ways to collect and analyze data, and this determines the difference
between certain indicators.
Poverty [2] is a social situation characterized by the lack of the necessary material means to
lead a full (according to the norms accepted by society) life. It can manifest itself in hunger, limited
access to education, social discrimination, isolation, and so on.
Regarding statistics, it was decided to use the information on extreme poverty, which is
studied by a large number of international organizations, including the World Bank [1]. According
to them, the percentage of the population in a state of "extreme poverty" is the highest in
Madagascar (82%). It is followed by Burundi (78%) and Congo (77%).
In absolute terms, the largest number of people in extreme poverty in India is 21% of the
population, but it is almost 300 million people. For example, at the same time for the whole of
sub-Saharan Africa, this figure is about 400 million.
Having got acquainted with a situation, we can pass actually to consider the reasons for such
condition and means of struggle against it.
According to the UN, there are several main causes of the current state of poverty:
Lack of access to education;
Insufficient access to clean water and nutritious food;
Lack of access to work;
Limited capacity of governments.
Let's look at each of these reasons separately. And let's start with education.
Of course, not everyone without education lives in extreme poverty. But most of the
extremely poor have no education. According to UNESCO, there are many barriers that prevent
children from attending school, and the following should be singled out::
Urgent need for labour from children;
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Not able to buy accompanying goods for training;
The presence of a discriminatory component in society.
It is worth noting that, according to UNESCO, 171 million people can be lifted out of
extreme poverty if they leave school with at least basic reading skills. And with full secondary
and higher education, world poverty can be halved.
Let's move on to the next reason - lack of food and water.
According to the United Nations, more than 2 billion people do not have access to clean
water at home, [3] with more than 800 million suffering from hunger. And in fact, it is quite a
problematic situation. If you do not get enough nutrients, the human body begins processes of
behaviour change that provoke poverty.
The next and no less important reason is the limited or lack of work. This is especially
noticeable in parts of the developing world. Reduced access to productive land (often due to
conflict, overpopulation or climate change) and overexploitation of resources such as fish or
minerals are putting increasing pressure on many traditional livelihoods. An example is the already
mentioned Democratic Republic of the Congo, most of whose population lives in rural
communities.
The final, but not the last, reason is the limited capacity of governments.
If people in the United States have access to a variety of welfare programs, some
governments are unable to provide this type of assistance to their citizens - and sometimes the lack
of this support leads to a state of "extreme poverty."
After understanding the reasons, we can move on to the tools of influence. Let's start with
global economic growth.
According to statistics [4] during the twentieth century, due to the growth of world GDP,
the number of poor was able to decrease by 50 million.
In contrast to the 75% of humanity who lived in extreme poverty in 1820, we have
in 2015 - about 10%. Such a significant improvement in indicators usually indicates an
improvement in the situation, but it should be understood that we are talking about relative rather
than absolute indicators. Thus, the population of the Earth as of 1820 was about 1 billion people,
at the same time as of 2015 about 7 billion. Thus, in contrast to 750 million in 1820, we have about
700 million in 2015. This generally confirms the positive trend, although not as significant.
However, the question arises: how exactly to realize such global growth?
After analyzing the causes, we can identify the following ways to solve the problem of
poverty, in particular:
Carrying out a liberal reform of the education system, which would allow involving various
groups in the population, including the poorest. Combined with the introduction of compulsory
secondary education. Among the more specific examples are free schools, which at the expense
of the state provide all the necessary funds for both independent and collective learning. Or so-
called education benefits, where public funds are provided directly to families with the ability to
spend them only in this area.
Upgrading or conducting a sewer system with the installation of quality filters. This will
provide access to clean water to all residents of the country. Also, already at the local level, it is
possible to integrate drinking points into the civilian landscape, as is done in some parts of our
state.
Introduction of the practice of "edible aid". This is when people who submit documents to
prove their poverty status will be provided with special food baskets, which can be both direct
food and funds by analogy with the education system. Another way, however similar, is to create
special "budget" places to eat, where food is either free or cheap enough. The implementation of
the practice of such places can be seen, for example, in South Korea.
Construction of cheap housing and providing people with a mortgage loan to buy it. It is
worth noting that at the moment we are not talking about the creation of so-called "communal",
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which were popular in the twentieth century, but rather about compact homes, made on the
example of Asian countries, as you can see on the slide. In fact, they are more environmentally
friendly and cheaper, and modern construction technologies make it possible to create similar
housing for any climate.
Investing in agricultural development, in particular in so-called "small farms", in other
words in individual. This practice has shown its viability in the example of China, which began in
the late `70s and continues to this day. Among the specific manifestations of the investment may
be the creation of "sharing" agricultural implements for various purposes, from shovels to
combines.
Establishment or renewal of sanitary and epidemiological control bodies, which would
monitor compliance with all necessary standards. You can say that similar structures exist today.
This is true, but they should be combined with the provision of public or rather public utilities for
cleaning certain areas. This can also be considered in the synthesis with more modern methods -
the creation of a "base of garbage dumps". That is maps where all polluted places of the country
or the city will be specified. And the opening of such a base will give everyone the opportunity to
clean up their own garbage and help with this problem.
An extreme, but not the last way to overcome the problem of poverty, maybe the creation
of a large information system to help the poor. This can be a crowdfunding application that
currently exists for fundraising for food, or just an application with requests for more specific
help, such as cleaning ponds or repairing broken roofs.
Actually, such government systems can be used to raise funds for the global upgrade of
certain necessary systems. In addition, it is possible to provide for the so-called tax for the poor,
but only when a certain level of income is reached, which can be called "above average". This will
improve the poverty situation without increasing the budget deficit, even in countries that do not
have significant funds.
After analyzing the state and causes of poverty in the world, it can be noted that in order to
take significant steps to address this problem, it is necessary to implement programs of "rapid and
sustainable economic growth" in areas such as health, education or nutrition. Combined with
modern information technology, this will make it possible to reduce the number of poor people
several times in the near future.
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