Question

Explain some of the challenges low-income countries face in regards to economic growth (in other words, why do low-income countrues have trouble increasing their GDP oer capita at high rates?)

Answer 1

Generally low in countries face many problems such as- poverty, inequality, low transportation, bad infrastructure,more unskilled labour, underdeveloped human resource, bad health and education system etc. But the most important thing that hinders them from increasing there gdp is low capital, low income and low investment. Low income countries mainly stay in vicious circle of poverty and it is really difficult for them to get out of it so this thing troubles them while increasing gdp per capita in an increasing rate.