Wealth and Poverty - Essay Example

From this study it is clear that underdeveloped nations are those that have poor systems of governance, economic as well as welfare of the people. These countries have poorly developed infrastructure that is essential for economic development, in addition, their education system does not play a major role in empowering its people to be innovative and creative, for this reason, its people live in poverty.According to the report wealth can be defined as the plentiful or abundance of valuable resources and possessions that can be exploited by an individual or a country.

An individual, community, region or country having these resources is said to be wealthy, however, the lack of awareness about the availability of these resources and means to exploit them can leave an individual or that party being dependant. Poverty, in contrast to wealth, means a general scarcity, in this case, it may refer to an individual or state as well. Poverty, just as wealth can also be defined according to the context in which it is being derived, however; there are two main approaches to this issue, it can be absolute or relative poverty.

Absolute poverty can be described as a situation where people in a certain place have minimal or no access to the basic requirements of life, which are; food, shelter and clothing. On the other hand, relative poverty refers to the situation where people are completely barred from taking part in what is considered as a normal and acceptable standard of life in a community or society in general.