WHY YOU ARE POOR

How people think and get stuck in poverty cycle

Discover the factors for your lack

Neil W. Bustos
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Copyright © 2022 [Neil W. Bustos]. All rights reserved.
 Table of Contents
INTRODUCTION
PART I: EXTERNAL FACTORS WHY ARE YOU POOR
PART II: INTERNAL FACTORS WHY YOU ARE POOR
CONCLUSION
 INTRODUCTION
We live in a world where financial wealth is commonly seen as a
measure of success and happiness. Millions of people around the
world, however, are not capable of attaining this goal. Many of them
are underprivileged and struggle to make ends meet. However, We
often hear the term “you are what you make of yourself”, and for many
of us, this is true. But for an increasing number of individuals, being
poor is not a choice, but a horrible reality.
If you’ve ever felt like you’re caught in a cycle of poverty, you’re not
alone. It’s estimated that over 1.4 billion people around the world live
in extreme poverty, and many of those folks are stuck in a cycle of
poverty that may be hard to escape.
Growing up in poverty may be very traumatic, but it’s crucial to know
that poverty isn’t always a result of personal failure. In actuality, many
folks are born into poverty and don’t have the same access to resources
that affluent people enjoy. From lack of education and work
possibilities to institutional racism and inadequate government
resources, there is a multitude of reasons that could lead to poverty
and economic inequality.
At other times, poverty may also be a result of personal choices, life
events such as a death in the family, bad acts such as taking on too
much debt, making imprudent investments, or spending over one’s
means may lead to financial troubles.
No matter the cause, poverty may have long-term harmful
implications on an individual’s health and well-being. Lack of access to
essentials such as food, shelter, and healthcare may generate physical
and mental health concerns.
While poverty is a multifaceted issue, there is no one-size-fits-all
approach. However, with the perfect combination of knowledge and
labor, it may be minimized and individuals might accomplish financial
success.
In this book, we’ll analyze in detail some of the reasons why so many
folks are struggling to make ends meet. We’ll also examine approaches
that persons in poverty could break the pattern and improve their
circumstances.
PART I: EXTERNAL FACTORS WHY
ARE YOU POOR

Poverty is a problem that plagues the globe and affects individuals of

all ages, colors, and origins. While numerous internal elements
determine why someone may be poor, some external variables affect
poverty levels. These external issues include access to education,
economic policies, proper healthcare, and work possibilities.
Additionally, structural inequality, environmental deterioration, and
lack of access to social safety nets may all lead to poverty.
The reasons why someone may be impoverished may vary
tremendously; some of them are self-inflicted and others beyond
control. None of the causes behind it, poverty may have catastrophic
impacts on someone’s life. With little money, it may be hard to obtain
essentials, and it can lead to sadness, worry, and a loss of self-esteem.
In this part, we will cover the numerous external causes that might
lead to poverty.

1. Economic Conditions

The economic realities of society dictate why some individuals are in

poverty and others are affluent. Economic instability is one of the most
essential aspects to examine while attempting to understand why
someone is poor.
Economic instability happens when a country’s economy is in a state
of flux, resulting in fluctuations in the value of money, inflation, and
other economic upheavals. When economic instability arises, it may
lead to increased costs and lower incomes, making it harder to make
ends meet. This is particularly true for individuals living in poverty,
who frequently lack the means and assistance to withstand the storm.
Economic factors have a crucial part in deciding whether someone is
poor. A person's economic condition is frequently influenced by the
degree of money they make, the amount of debt they have, and their
capacity to access resources to satisfy their fundamental necessities.
When the economic circumstances are weak, it might lead to increased
unemployment rates and lower pay. This implies that it is difficult for
individuals to get work and the earnings they receive are not adequate
to satisfy their basic requirements. This may lead to poverty since
individuals do not have enough money to pay for food, housing, and
other requirements.
Inflation is another issue that may contribute to poverty. Inflation is a
prolonged increase in the prices of goods and services. This implies
that consumers have to pay more for the same things, and over time,
their salaries may not be able to keep up with the growing costs. This
may leave individuals with less money to cover their fundamental
necessities, such as food and shelter, and can lead to poverty.
Debt may also lead to poverty. People with significant amounts of debt
often find it difficult to make ends meet, since they are spending a big
part of their income on paying off loans. This may lead to a cycle of
debt and poverty since they are unable to save or invest in assets that
might help them break out of poverty.
A lack of economic development may also contribute to poverty.
Economic growth refers to a rise in the production of products and
services. When economic growth is poor, it might result in less
employment and lower earnings. This may hinder individuals from
earning enough money to fulfill their fundamental requirements,
resulting in poverty.
Finally, inequality may also lead to poverty. Inequality occurs when
some individuals have more money and resources than others. This
might imply that some individuals have access to greater education
and career prospects, while others are left behind. This may lead to
poverty for people who do not have access to the same resources as
their richer peers.
In conclusion, economic situations may play a key part in deciding
why some individuals are impoverished while others are affluent. Poor
economic circumstances, such as high unemployment, inflation, and a
lack of economic development, may contribute to poverty, while
inequality can prohibit certain individuals from having the same
access to resources as their richer counterparts. To eliminate poverty,
it is vital to guarantee that economic circumstances are healthy and
that inequality is reduced.

2. Political Environment

The political context may play a crucial influence in deciding why an

individual or group of people are impoverished. This is because
politics may alter the economic environment and access to resources,
which are both major variables in poverty.
Political actions may have a direct influence on poverty levels. For
example, a government that adopts measures that minimize poverty
may be credited for lowering poverty levels in the nation. On the other
hand, a government that adopts policies that exacerbate poverty may
be blamed for the growth in poverty.
In addition to legislation, the political climate may also impact the
economic environment. This may be via taxation laws, which can favor
some firms over others, or by subsidies, which can give certain
enterprises an edge over others. These policies may create an uneven
economic environment, making it difficult for certain individuals to
attain economic stability.
Similarly, government expenditure has a direct influence on levels of
poverty. If the government concentrates its expenditure on
infrastructure and investment, it may generate employment and boost
economic development, which can assist in eliminating poverty.
However, if the government commits more funding to the military and
other non-essential expenditures, this may have a severe influence on
poverty levels.
The political context may also influence access to resources. This may
be done via policies that favor some groups or persons over others. For
example, a government may enact laws that grant preferential access
to resources, such as land and credit, to specific groups or people. This
may create an uneven playing field, restricting access to resources for
some and enhancing it for others.
Lastly, the political climate may influence social policy. This may be
via laws that restrict or encourage access to health care, education, and
other social services. These policies may have a crucial impact on
poverty levels since they can decide how much access individuals have
to resources that can help them overcome poverty.
In conclusion, the political environment may play a major influence in
deciding whether an individual or group of people are impoverished.
Policies may impact the economic environment, access to resources,
and social policies, all of which can determine an individual’s or
group’s capacity to overcome poverty. Therefore, it is vital to examine
the political climate while looking at poverty levels.

3. Social Trends
Social patterns have a huge effect on why a person may be
impoverished. A range of social variables, such as education level,
access to economic possibilities, and employment availability, might
play a role in a person’s capacity to attain financial stability.
Education is a crucial aspect that impacts why someone may be
impoverished. Education provides access to higher-paying
occupations and economic prospects, while people with lesser levels of
education are likely to encounter economic disadvantages.
Additionally, persons with lesser levels of education are more likely to
pick occupations with lower earnings, which makes it tougher to save
money and develop wealth.
The tendency of globalization has had a profound influence on
poverty. Globalization has enhanced the movement of capital and
products, which has led to the greater exploitation of workers and
resources, especially in poor countries. This has led to growing poverty
in many nations, while salaries remain low and the cost of living is
high. Additionally, the concentration of wealth in the hands of the few
has led to a growth in income inequality, with the rich growing
wealthier while the poor becoming poorer.
The growth of technology is another aspect that has influenced
poverty. Technology has transformed the way people work, with more
professions being mechanized and needing complicated expertise.
This has contributed to the rising gap between the haves and the have-
nots, as those with the requisite skills and knowledge enjoy the
advantages while others who do not have access to technology or
essential abilities are left behind.
The development of urbanization has been another key influence in
the growth of poverty. Urbanization has increased the concentration of
people in cities, resulting in overpopulation, insufficient housing, and
poor access to essential services. This has led to a rise in poverty, as
metropolitan regions become more stretched and unable to care for
their residents.
Social movements and civil turmoil have also influenced poverty.
Social movements such as the civil rights movement, the women’s
rights movement, and the LGBT rights movement have all contributed
to increasing awareness of the concerns of poverty and economic
inequality. These movements have increased awareness of the
imbalance of resources and opportunities available to various
communities and have placed pressure on governments to address
these concerns.
Access to economic possibilities is another major aspect of why
someone may be impoverished. Those with fewer economic prospects
are more likely to be locked in low-paying employment and unable to
access higher-paying careers or investments. Additionally, persons
with restricted access to economic possibilities are less likely to obtain
essential help, such as financial aid or grants, which makes it more
difficult to get ahead financially.
Job availability may impact why someone may be poor. Many
individuals find it difficult to obtain work that offers a livable wage,
which makes it tough to move out of poverty. Additionally, individuals
who can locate work may discover that their hours or income are not
adequate to fulfill basic requirements. This might lead to financial
instability and make it harder to save money or invest in the future.
Finally, socioeconomic issues such as the cost of living might also
determine why someone may be poor. People living in places with
higher expenses of living are likely to have more difficulties affording
basic requirements, such as food and accommodation. Additionally,
persons residing in places with high expenses of living may be unable
to access higher-paying employment or services, making it harder to
go ahead financially.
Ultimately, societal patterns have a huge effect on why someone may
be poor. Education, access to economic prospects, employment
availability, and the cost of living may all influence a person’s capacity
to reach financial stability. Globalization, technology, urbanization,
and social movements have also all led to a rise in poverty and
inequality. Without addressing these concerns, poverty will continue
to be a big problem in both developed and developing nations but by
understanding how it may impact poverty, people and communities
can work together to build a more fair and prosperous society.

4. Natural Calamities
The influence of natural catastrophes on poverty levels is frequently
neglected but may be far-reaching and long-lasting. Natural
catastrophes such as floods, hurricanes, and earthquakes may have a
severe impact on a nation's economy, leading to increased levels of
poverty.
Natural catastrophes may ruin homes, disrupt livelihoods, and wipe
away funds, leaving people with no means to obtain basic
requirements such as food, water, and shelter. The damage to
infrastructure also inhibits people from accessing services like
healthcare, education, and work opportunities, further entrenching
them in poverty.
Natural disasters may also inflict substantial damage to agriculture,
resulting in food shortages and hunger. Crop losses may cause a rise in
food costs, which might be prohibitive for individuals in poverty.
Furthermore, the loss of agricultural land may substantially diminish
the earnings of farmers, leading to a rise in poverty.
Natural catastrophes may also contribute to a spike in unemployment
if individuals are unable to obtain jobs or locate new ones. This may
further increase poverty levels since individuals are unable to earn
enough money to satisfy their fundamental requirements.
When natural catastrophes hit, it may be expensive to repair or restore
the damage, and the expenses are frequently shared by the
government or the public. In underdeveloped nations, where resources
are already tight, the expense of repairs may be a tremendous burden
on the economy. As a consequence, government money is diverted
away from other sectors such as health, education, and other social
initiatives, to pay for disaster assistance. This leads to limited access to
fundamental services such as healthcare and education, resulting in a
loss in quality of life and a rise in poverty levels.
In addition, natural calamities may contribute to the relocation of
people. People may be compelled to abandon their homes,
employment, and communities and seek sanctuary in other locations.
This displacement may be a significant cause of poverty, since
individuals may not have the wherewithal to start over in a new region.
It may also lead to a disruption of conventional livelihoods, since
individuals may not be able to continue their employment owing to the
destruction of their workplace or the lack of resources in a new area.
Finally, natural catastrophes may create an interruption in services
and commodities, resulting in a rise in the costs of goods and services.
This may have a particularly severe impact on individuals in poverty
since they cannot afford to pay increased costs. have a catastrophic
influence on poverty levels. It is consequently vital to invest in disaster
risk reduction methods to help alleviate the consequences of natural
catastrophes on poverty.

5. Racism and Social Exclusion

Racism and social exclusion have a major influence on why people are
poor. Racism has been used as a tactic to oppress and marginalize
whole groups of people, making them more likely to be impoverished.
African Americans, for example, have endured institutional racism
since the days of slavery, which still undermines their economic
chances and resources now. This racism has been a key factor in the
income difference between African Americans and White Americans.
Social exclusion may also have a substantial influence on why
individuals are poor. Social exclusion is being excluded from particular
social groups and networks. This may lead to individuals feeling
ostracized, alone, and detached from mainstream society, making it
harder to access the resources and opportunities required to attain
economic stability. People who are socially excluded may not have the
same access to education and career possibilities as those who are
included. This may lead to a lack of economic stability and poverty.
When individuals endure racism and social exclusion, they confront a
lack of opportunity and resources that may otherwise be utilized to
better their financial status. This may lead to individuals being unable
to obtain jobs, education, or housing, all of which can contribute to
poverty. Furthermore, racism and social exclusion may contribute to
individuals being hesitant to engage in the economic system, since
they may feel unwanted or unjustly assessed. This may produce a
feeling of pessimism and despair, which can lead to individuals
avoiding any form of financial engagement.
Racism and social exclusion may also have a psychological effect on
individuals. People who suffer racism and social exclusion may feel
alone, inferior, and disempowered, leading to feelings of sadness and
anxiety. This might lead to individuals avoiding activities and chances
that they could utilize to enhance their financial status.
Racism and social exclusion may also contribute to individuals feeling
marginalized and helpless. This may make individuals more willing to
take risks that may further worsen their poverty, such as taking out
high-interest loans or participating in criminal activities. The lack of
access to resources and opportunities, along with feelings of
helplessness may further entrench individuals in poverty.
In conclusion, racism and social exclusion may have a substantial
influence on why individuals are poor. Systemic racism has been a key
factor in the income difference between African Americans and White
Americans. Social exclusion may make it harder for individuals to
access the resources and opportunities required to attain economic
stability. Finally, emotions of marginalization and helplessness may
lead to individuals taking risks that might entrench them in poverty.

6. Failing Health

Failing health may have a dramatic influence on why someone is

impoverished. Poor health may lead to an incapacity to work or may
cause a person to not be able to work as many hours or at a job that
pays them enough to make ends meet. Poor health may also cause
medical expenditures to mount up, leaving a person unable to pay for
their fundamental requirements.
Poor health might make it difficult for someone to engage in the
workforce. Chronic diseases, impairments, or other health difficulties
might make it difficult or impossible to work full-time, or at a job that
pays enough to meet necessities. Additionally, bad health might
prohibit someone from being able to get a job in the first place. For
example, a person with a chronic disease may not be able to find work
that is flexible enough to satisfy their health demands.
Poor health might also contribute to excessive medical expenditures.
Medical costs may mount up rapidly, even for individuals with health
insurance. For people without health insurance, the expenditures
might be substantially greater. Additionally, medical fees might
prohibit someone from being able to prepare for the future or pay for
other required obligations.
Finally, bad health may lead to emotional and mental discomfort,
which can have a major influence on someone's capacity to work and
make ends meet. People with poor health frequently have to struggle
with sadness, anxiety, and other mental health difficulties. These
challenges might make it difficult for someone to concentrate on their
job or to get out of bed and go to work each day.

In summary, declining health may have a substantial influence on why

someone is poor. Poor health may prohibit someone from being able
to work, can lead to expensive medical expenditures, and can create
emotional and mental pain. All of these may make it difficult for
someone to make ends meet, and can contribute to a person's poverty.

7. Death

Death may have a huge influence on why someone may be

impoverished. It might be caused to the death of a key earner in a
family, or the incapacity of a surviving family member to take over the
function of the dead. In certain situations, the loss of a loved one may
create a huge emotional and financial hardship, leading to destitution.
When a major earner dies, the family may not be able to replace that
income or support. This may lead to poverty since the surviving family
members are unable to make ends meet. In other circumstances, there
may be no support structure in place to assist with the extra
expenditures linked with the death, such as funeral fees, hospital bills,
and other obligations. This might put the family in a terrible financial
condition, since they may not have the means to fend for themselves.
The loss of a loved one may also create emotional and psychological
stress, which can lead to poverty. The death of a family member may
induce sadness, melancholy, and worry, which can make it difficult for
someone to obtain and retain a job. This might lead to a drop in
income and induce poverty.
The loss of a loved one may also create a social disturbance, since the
family may have to migrate to another place to find employment or
start a new life. This might lead to a lack of access to resources and
social networks, which can be a hurdle to getting a job and being
financially secure.
Finally, death may generate poverty if the dead leaves behind debts or
other responsibilities that the remaining family members are
accountable for. This might make it tough to manage their money and
can lead to poverty.
In conclusion, death may have a dramatic influence on why someone
may be impoverished. The loss of a major earner, emotional and
psychological stress, social disturbance, and financial burdens may all
contribute to poverty. It is crucial to be aware of these possible
implications of death and to be prepared to assist those impacted.
PART II: INTERNAL FACTORS WHY
YOU ARE POOR
Being poor is a challenging condition to be in. It may be a consequence
of many various circumstances, both external and internal. Internal
variables are those that are under our control, such as our attitude,
beliefs, decision-making, and conduct. Our internal variables form the
basis of how we conduct our lives and maybe huge impacts on our
success or failure.
Another essential internal aspect is our thinking. Our mentality is our
attitude and ideas about ourselves and the world around us. It may
influence our capacity to attain our objectives and to endure when
presented with adversity. If our mind is positive, we are more likely to
succeed because we are more willing to take risks and be enthusiastic
about our possibilities of success. However, if our thinking is negative,
we may feel disheartened and quit quickly.
It is crucial to understand these internal reasons that are impacting
our poverty to generate answers and make progress to move away
from poverty toward a better financial future. This section will address
some of the internal elements that might lead to poverty.

1. Financial Illiteracy

Financial illiteracy is one of the key reasons why many people are
impoverished. Financial illiteracy is characterized as the absence of
information, skills, and comprehension of fundamental financial
concepts, such as budgeting, saving, investing, and debt management.
This lack of understanding leads to poor decision-making, which in
turn leads to poverty.
Financial illiteracy may lead to the incapacity to make good financial
choices. For example, those with insufficient financial understanding
may be unable to look forward and prepare for their future. This might
lead to choices that put them in debt or lead to overspending. Poor
financial choices may lead to a cycle of debt that gets progressively
difficult to break out of.
Financially illiterate people may also be unable to spot attractive
investment possibilities. They may not comprehend how to diversify
their money or how to compare various options. Without the
information to pick the appropriate investments, people may wind up
losing money instead of expanding their fortune.
Another consequence of financial illiteracy is the inability to obtain
financial goods and services. Without a basic grasp of financial goods
and services, consumers may not be able to obtain the resources they
need to better their financial status. This may further worsen financial
troubles and lead to an even deeper cycle of poverty.
Finally, financial illiteracy is a big element in why individuals are
impoverished. People who are unfamiliar with the fundamentals of
financial problems are more prone to make bad financial judgments.
This may lead to a cycle of debt and financial instability that can be
difficult to break out of. Financial literacy is a crucial skill to acquire to
break out of poverty and obtain financial stability.

2. Wrong Mindset About Money

Money is one of the most powerful forces in the world and it is

commonly understood that possessing a certain amount of money may
provide a certain degree of comfort and security to one’s life.
Unfortunately, many individuals have a faulty perspective when it
comes to money and this may be a key contributing cause to why they
stay poor.
Most individuals who are impoverished have a scarcity perspective
regarding money. This implies that they feel there is not enough
money to go around, therefore they hoard whatever they have and
never take chances in investing or developing their fortune. This
thinking leads to a sense of powerlessness and helplessness, which
may keep individuals locked in poverty.
The most prevalent erroneous thinking regarding money is the notion
that it would fix all of our issues. They assume that money would cure
all their issues and enable them to acquire everything they desire. This
is a terrible trap to slip into since it may lead to irresponsible spending
and unwise judgments. It’s vital to remember that money is merely a
tool and it cannot substitute hard work and devotion. Having a good
relationship with money is vital for anybody who wants to be
successful.
Other impoverished individuals have a bad attitude toward money.
They may consider money as the foundation of all evil or something
that only corrupt people utilize. This mentality drives people to shy
away from money, which hinders them from taking advantage of
financial possibilities that may help them move out of poverty.
Another incorrect perspective regarding money is the assumption that
it can purchase happiness. While it’s true that money may purchase
some comforts, it cannot buy real and lasting happiness. People who
adopt this sort of thinking may find themselves always running after
more and more money, never feeling happy.
Finally, another erroneous perspective regarding money is the
assumption that it is the only way to be successful. This is also a
hazardous trap since it may drive individuals to disregard other vital
elements of their life such as their physical health, spiritual welfare,
and relationships. Having a balanced attitude to life is vital to be
successful.
Having an incorrect perspective about money might be a big
contributing element to why someone stays poor. It is crucial to have a
healthy attitude towards money and to recognize that it is merely a
tool, not an end-all answer. The key to overcoming poverty is to have a
good attitude and thinking regarding money. Start by defining realistic
financial objectives and preparing a budget to help you remain on
track. Find strategies to enhance your income, such as taking a second
job or establishing a company. Invest your money in areas that will
build your wealth, such as equities, real estate, and mutual funds.
Finally, money should not be the only thing that motivates you, but
rather something that helps you reach your objectives and aspirations.

3. Entitlement Mentality

In today’s environment, there is an ever-increasing number of

individuals who have formed an entitlement mindset. An entitlement
attitude is something that many individuals suffer from, and it may
have a devastating influence on an individual’s financial welfare. An
entitlement attitude is when a person believes they deserve certain
things without having to put in the effort to achieve them. This might
lead to an ‘it’s all about me’ mentality when the person fails to
understand their role in accomplishing their objectives. It may also
lead to emotions of victimhood, low self-esteem, and a lack of drive
which can have a major influence on why you are poor.

The entitlement mindset is founded in a feeling of entitlement, or the

conviction that one deserves something merely because of their
identity or position. This idea may cause people to behave in ways that
are not in their best interest and can restrict their capacity for
development and achievement. This might lead to a person not
accepting responsibility for their own money. They may assume that
they are entitled to money or belongings that they have not worked for
or earned, and this may lead to a lack of financial planning and
budgeting. Without taking the time to organize their money, the
person may find themselves in a position where they are not able to
pay their obligations or save for the future, resulting in financial
difficulty.
Entitled persons may become arrogant and demanding, expecting
others to do things for them without any work on their side. This may
generate a climate of animosity, as others around the entitled person
will frequently feel taken advantage of and undervalued. This, in turn,
may lead to strained relationships, since people who are feeling taken
advantage of will frequently be less eager to support the entitled
person in the future.
It may also lead to an unrealistic picture of life. The person may
anticipate attaining their objectives without putting in the required
hard effort and devotion. This may lead to emotions of
disappointment when their expectations are not realized, and this can
lead to a sense of despair.
To avoid slipping into the trap of entitlement attitude, it is necessary
to realize your responsibilities when it comes to accomplishing your
financial objectives. It is also crucial to establish reasonable objectives
and expectations and to be prepared to put in the work to accomplish
them. Taking the effort to budget and plan your money will enable you
to remain on track and attain your financial objectives.
Being aware of the hazards of an entitlement attitude will assist you to
avoid sliding into a position where you are impoverished.
Understanding your involvement in reaching your financial objectives
and taking the required efforts to accomplish them will enable you to
have a secure financial future.
Finally, the entitlement attitude may contribute to a sense of poverty.
Those who feel that they are entitled to anything without any effort on
their side will frequently not take the initiative to enhance their
abilities, network, or discover better career prospects. As a
consequence, individuals may be locked in low-paying employment
and never be able to break out of poverty.
4. Laziness

Laziness is a quality that frequently has a bad connotation, yet it may

have a big influence on one’s financial condition. There are indeed
numerous external reasons that might lead to poverty, but it’s fair to
state that idleness is a big role in many situations.
Laziness is a big element in why many individuals are poor. If you are
lazy, you are more likely to be locked in a cycle of poverty. This is
because lazy individuals typically lack the drive and ambition to work
hard, gain new skills, and enhance their life. When someone is lazy,
they are less likely to make the effort to locate a better job, seek an
education, or save money.
Lazy individuals are more inclined to settle for minimal-pay
occupations that provide limited opportunities for upward mobility.
They may be less motivated to hunt for higher-paid positions, take on
occupations with no benefits such as those in the gig economy, or
create their enterprises. They may also be more inclined to submit to
peer pressure and make unwise financial choices which leave them
exposed to financial instability.
When it comes to making money, certain procedures need to be
performed to assure success. These phases involve establishing
objectives, budgeting, planning, and taking regular action. If someone
is lazy, they are less likely to follow these actions and as a
consequence, their income will decrease.
Laziness might also prohibit someone from taking advantage of
educational and financial opportunities. For example, if someone is
too lazy to investigate scholarships or apply for grants, they may lose
out on the possibility to go to college or obtain financial help. Even if
someone has the financial resources to attend school, they may not
have the motivation or drive to push themselves to achieve and make
the most of their education.
The same applies to investment. Such who are lazy may not take the
time to investigate the finest assets and they may not have the
discipline to remain with those investments over the long run. As a
consequence, they may wind up losing money.
In conclusion, laziness may be a primary factor in why someone is
poor. If someone is lazy, they are less likely to take advantage of
financial and educational opportunities, make sensible financial
judgments, and manage their assets properly. All of this may lead to
poverty in the long term.

5. Excuses
From infancy, we are taught that excuses are a negative thing—they
are a show of weakness and a lack of responsibility. But when it comes
to poverty, People frequently create excuses to avoid accepting
responsibility for their actions and decisions. It is also a technique to
escape the hard effort and devotion it takes to attain financial success.
When someone is poor, their living circumstances may sometimes lead
to a broad variety of justifications. For example, they may lack the
appropriate knowledge or skills to acquire a career that pays well, or
they may have suffered from a health crisis or family tragedy that has
emptied their resources. Other justifications can include living in a low
socio-economic location or being discriminated against due to race or
gender.
The most frequent excuse individuals make when it comes to money is
that they don’t have enough of it. This argument is commonly used to
rationalize why people can’t purchase the goods they desire or why
they can’t save money. Yet, this explanation entirely overlooks the
reality that it’s feasible to produce more money via hard effort,
devotion, and wise financial choices.

Another typical reason is that individuals don’t have enough time to

concentrate on reaching financial success. This argument generally
arises from the perception that producing more money involves too
much work and that it’s better to just remain in the same financial
situation. However, this justification is incorrect because it overlooks
the reality that there are various alternatives to produce money
outside of typical work. From beginning a side company to investing in
stocks, there are numerous possibilities open to those who are
prepared to put in the work.
These excuses can influence why someone is poor because they give a
clearer explanation of the circumstances that have led to their poverty.
It can be easier to understand why someone is poor when their
reasons are laid out in detail.
Finally, another excuse people often make is that they don’t have
enough knowledge or skills to be financially successful. This excuse is
rooted in fear and insecurity, and it prevents people from learning the
skills they need to increase their financial stability.
The truth is, excuses are a major contributor to poverty. People who
make excuses are more likely to continue in the same financial
situation, whereas those who accept responsibility and make
adjustments are more likely to attain financial success. Therefore, if
you want to be financially successful, it’s necessary to accept
responsibility for your actions and quit making excuses. With
commitment and hard effort, you may attain the financial success that
you seek.

6. Unhealthy Lifestyle Habits

Poverty is one of the most important concerns confronting the globe
today, with more than 1 billion people living in severe poverty. While
numerous variables lead to poverty, unhealthy behaviors may also play
a role. These behaviors may vary from addiction to poor judgment, etc,
and can have a huge influence on an individual’s life. Not only can
these behaviors create severe financial hardship, but they may also
hinder a person from learning critical skills for economic success. We
will cover some of these tendencies in this section.
a. Ignoring Education and Training Opportunities
When it comes to a person's financial success, education and training
opportunities may play a key influence. By disregarding educational
and training opportunities, people are placing themselves in danger of
financial difficulty. Education and training are vital factors in learning
information, developing skills, and gaining useful experience that will
enable you to become successful and rich.
Educational opportunities offer a person with the information and
abilities to excel in the profession. Without this knowledge and skill
set, someone is more likely to struggle to get a job, much alone a well-
paying one and without a job, you are more likely to suffer poverty.
Training is also a key aspect of success. Training supplies us with the
practical skills required to execute a job efficiently. It can educate us
on how to utilize various tools and technology, as well as how to
communicate with people. These courses and programs provide
people the ability to study and perhaps achieve new certifications that
may help them find a job or climb up the corporate ladder. Without
these opportunities, people may struggle to perform at their best and
may not be able to obtain the job they desire, additionally disregarding
these opportunities is to restrict your capacity to become successful.
b. Poor Time Management
Poor time management may have a huge influence on why you are
poor. When you don’t manage your time effectively, it may lead to lost
opportunities, wasted time, and an overall lack of productivity. This
may have a major influence on your capacity to generate money and
attain financial success.

When you don’t manage your time well, you may lose out on critical
opportunities that may help you generate more money. For example,
you may miss deadlines for applying for jobs or promotions, or you
may miss out on networking events that might lead to professional
improvements. Additionally, if you don’t manage your time well, you
may wind yourself squandering time on things that don’t add to your
financial success. This might involve browsing through social media,
watching television, or indulging in other things that don’t help you
create more money or develop your career.
Poor time management may also contribute to a lack of productivity.
When you don’t manage your time efficiently, you may find yourself
delaying or difficult to concentrate on the activities that you need to
do. This may lead to missed deadlines, incomplete tasks, and an
overall lack of development. This may prohibit you from obtaining
success in your profession, as well as hamper your potential to
produce more money.
Additionally, poor time management may contribute to a lack of
motivation and a sensation of being overburdened. When you don’t
manage your time appropriately, it may be tough to remain motivated
and on track with your objectives. This might lead to a sensation of
being overwhelmed and feeling that you can’t do anything. This might
make it tough to concentrate on producing more money and attaining
financial success.
Summary: Poor time management may lead to a lack of concentration
and efficiency, both of which can be key contributors to financial
instability. Without a strategy or framework, activities may take longer
than intended, resulting in missed deadlines and lost opportunities.
Additionally, poor time management may lead to poor decision-
making, which can lead to expensive blunders and poor investments.
Without a suitable strategy and timeframe, it may be difficult to
prioritize work, resulting in a loss of productivity and perhaps, a lack
of money. Poor time management may also lead to instances of
procrastination, which can further impair financial security.
c. Living Beyond Your Means
When it comes to financial success, living within your means is a
critical component. Unfortunately, many individuals fall into the trap
of living beyond their means and end up in a cycle of poverty. Here are
a few ways living over your means might impact why you are poor.
The most apparent way living beyond your means impacts your
financial health is by generating a cycle of debt. When you spend more
money than you have, you need to borrow cash to offset the deficit.
This leads to interest payments, late fines, and other expenses that
may mount up rapidly. The more debt you have, the harder it is to pay
it off and the more interest you will have to pay. This might establish a
cycle of debt that can be hard to stop.
Another way living beyond your means might harm your financial
health is that it can hinder you from establishing an emergency fund
or investing for retirement. When you are living paycheck to paycheck,
it might be tough to save away any money for the future. This might
leave you with no financial buffer in the case of an emergency or
retirement, placing you in an extremely hazardous financial position.
Finally, living beyond your means might have a toll on your mental
health. The stress and worry that come from continuously striving to
keep up with the Joneses may take a toll on your mental health. This
might lead to sadness, anxiety, and other mental health disorders that
can further influence your financial circumstances.
Summary: Living beyond your means is a highly harmful habit that
may have a lasting influence on your financial health. It may lead to a
cycle of debt, impede you from saving for the future, and have a
detrimental influence on your mental health. If you find yourself living
beyond your means, it's crucial to take measures to get back on track
and start living within your means.
d. Addiction
Addiction is a big element in why many people are impoverished.
Whether it’s alcohol, drugs, or gambling, addiction can have a terrible
influence on an individual’s finances. Not only can an addiction cause
a person to lose money in the near term, but it may also have long-
term implications that make it impossible for them to ever move out of
poverty.
One of the most immediate repercussions of addiction is an
individual’s inability to keep down a job. Addiction creates cognitive
deficits that might make it difficult to concentrate on activities or
remain motivated. This may lead to poor work performance, which
can lead to a person being fired or laid off. Even if a person can hold a
job, their addiction may force them to take days off or come in late,
both of which may diminish their income or lead to disciplinary
action.
Addiction often generates additional financial concerns. For example,
someone may spend a considerable part of their money on drugs or
activities to which they are addicted. This might leave them without
enough money to pay for essentials such as food, clothes, and rent. An
addiction may also motivate a person to engage in unlawful acts to
sustain their habit, resulting in court bills or penalties that further
deplete their income.
Finally, addiction may lead to a person losing essential connections,
such as family or friends. This might lead individuals to be isolated,
making it harder to locate assistance or resources to help them better
their financial circumstances. A person may also lose vital
relationships that may have helped them find a job or accommodation.
Summary: Addiction may have a terrible impact on an individual’s
finances. It may lead them to lose their career, spend too much money
on their addiction, and ruin crucial relationships. These financial
concerns might make it impossible for a person to ever overcome
poverty. If you or someone you know is battling with addiction, it is
crucial to get assistance as soon as possible to avoid long-term
financial ramifications.
e. Investing In Get Rich Quick Schemes
Investing in get-rich-quick schemes is generally considered a certain
method to generate money fast and effortlessly. However, this form of
investment may be a deadly trap that might leave you poorer than
when you began.
When it comes to get-rich-quick schemes, the promises of rapid and
easy money sometimes appear too good to be true. These schemes
often entail investing with the hope of a big return in a short period.
However, the fact is that these strategies generally end in losses
instead of gains.
The reason for this is that these schemes are generally founded on
misleading promises, unreasonable assumptions, and fraudulent acts.
They depend on people’s desire to earn a lot of money with no work,
and they may easily abuse those who are inexperienced in the financial
environment.
The risk of investing in get-rich-quick schemes is that you might lose
all of your money in a matter of days or weeks. If the strategy includes
investing in a risky item or involves illegal activity, you might even
wind yourself facing legal action.
In addition, you might wind up paying exorbitant charges for investing
in get-rich-quick schemes. This might further erode your earnings and
leave you with less money than you began with.
Finally, investment in get-rich-quick schemes might lead to a false
feeling of security. You may feel that you have discovered a certain
approach to making money, and this may lead to overconfidence and
incorrect actions. This might lead to further losses and ultimately put
you in an even worse financial condition.
Summary: Investing in get-rich-quick programs may be a risky trap
that might leave you less than when you began. It’s vital to be aware of
the hazards involved and to be sure to conduct your homework before
making any investments. By adopting a more careful approach, you
may guarantee that your money is invested more safely and
sustainably.
 CONCLUSION
Poverty is a big problem that affects individuals of all ages and origins.
It has a tremendous influence on the quality of life of people, families,
and communities. Poverty may lead to a range of negative
repercussions, including poor health, low educational achievement,
and lower economic stability.
At an individual level, poverty may have a terrible influence on
someone's life. People who are living in poverty generally struggle to
make ends meet and may experience food insecurity, restricted access
to healthcare, and insufficient housing. These difficulties may lead to
physical, emotional, and mental health concerns. Furthermore,
poverty may restrict educational possibilities, making it harder for
people to learn the skills and information essential for future
employment and upward social mobility.
At the household and societal level, poverty may have a ripple effect.
Children from low-income households may have trouble obtaining
appropriate educational opportunities, making it harder for them to
break the cycle of poverty. Communities may also be impacted by
poverty since it can lead to greater crime rates, social instability, and
economic stagnation.
Although poverty is a serious concern in today's culture, it doesn't
have to be a life sentence. With the correct mentality and resources,
anybody can break out of poverty and attain financial independence.
Here are some pointers to help you get started:
1. Take use of available resources. Many government programs,
charities, and other groups give financial support to persons in need.
Do your homework and find out what's available in your region.
2. Build a budget and stick to it. Having a budget can allow you to keep
track of your costs and make sure you're living within your means. It
will also help you save for your future.
3. Make education a priority. Education is a crucial component of
success. Invest in yourself by taking advantage of educational
possibilities. Whether it's via a local community college or online
programs, these tools may help you build the skills you need to
succeed.
4. Develop a plan. Write out your objectives and establish a strategy on
how to attain them. Having a roadmap can assist keep you on track
and inspired.
5. Look for employment opportunities. Look for jobs in your area or
look into starting your own business. Being able to sustain oneself
financially is a crucial aspect of breaking out of poverty.
6. Make contacts. Networking is crucial in every job. Attend events and
create relationships with individuals who may support you in your
path.
Breaking out of poverty may be a lengthy and arduous path. It involves
hard effort, devotion, and drive. However, with the correct resources
and mentality, it is possible to break out of poverty and attain financial
independence.