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Furthermore, poverty hampers a country's economic growth by limiting investments in education and healthcare. Without access to quality education and healthcare services, individuals are unable to acquire the necessary skills to participate in the workforce, leading to a stagnant and unskilled labor pool. Additionally, impoverished communities often lack the resources and infrastructure needed to attract and retain businesses, further hindering economic development. Thus, poverty not only engenders a cycle of deprivation but also drags down the entire economy of a nation, perpetuating a vicious cycle of underdevelopment and inequality.
Whats a good ending to this? How does poverty harm a country's economy? Poverty can affect a country's economy exponentially by lowering overall demand for goods and services, it can negatively impact businesses, resulting in lower production levels and potential job losses. “Crime and corruption are another economic challenge in Mexico and many other Central American countries.” This can also be the cause of economic failure due to greedy and corrupt high ranking officials forcing payments and raising prices.
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