The vicious circle of poverty is the trap in which the LDC is too poor to save and therefore it cannot invest and remains poor.

Question

Quizplus · Accepted Answer

The vicious circle of poverty, also known as the poverty trap, is a cycle where poverty leads to a lack of investment, which in turn leads to continued poverty. LDCs often struggle to save and invest due to their economic conditions, which can perpetuate the poverty trap.

The Vicious Circle of Poverty Is the Trap in Which