The assigned flow chart depicts the cyclic Nature of poverty at an institutional and an individual levels.
It’s is Evident that at institutional level,the low critical mass hinders the development of services and infrastructure which lead to low rate of business.The absence of business inturns lead to fewer job opportunities which can cause movement of workers in search of jobs. Movement of workers further generates the decrease in population density which inturn makes it hard for region to get critical mass to develop services and infrastructure and this cycle continues.
Probing ahead,in a individual level absence of jobs make it difficult to generate reasonable income which makes it hard to invest in property and education. Due to this population is unable to develop skills and it depletes the capital. This leads to drop in ability to generate income and people will have low security against economic and health risks which can be the reason for debt and loss of income. This inturns make it hard for people to generate reasonable income to invest in assets and education. Further,this cycle continues.
Overall,poverty at institutional and individual levels cause regional losses,in terms of low population and resource development along with insecurity and poverty ridden society.
