What is the relationship between poverty and inequality?

Economics Poverty Questions



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What is the relationship between poverty and inequality?

The relationship between poverty and inequality is that poverty is often a consequence of inequality. Inequality refers to the unequal distribution of resources, opportunities, and wealth within a society. When there is a high level of inequality, it often leads to a higher incidence of poverty. This is because those who have less access to resources and opportunities are more likely to be trapped in poverty. Additionally, inequality can perpetuate poverty by limiting social mobility and creating barriers for individuals to escape poverty. Therefore, addressing inequality is crucial in reducing poverty and promoting economic and social development.