Why are tropical countries so poor

s & Development The s that are present within a country are a big factor when it comes to its development and thus they are to be considered on par with the progress that a nation is able to make. The institutions of a country can be described as the focal point when it comes to the achievements that a country is able to make, be it economically, politically or even socially (Chang, 2007). None of these sectors of the society are able to operate without the presence of good and capable institutions around to act as the backbone for stable relations to prosper. As a point of clarity, in this case the term Institutions are in reference to establishments such as hospitals, schools, the military, as well as civil and media services that have been set up usually by the government to help in the everyday activities of the nation. Having given these examples, one can see how development cannot be achieved without the presence of proper institutions in place (Komives, 2005). For example, a country without efficient medical facilities would be hindered in the process of development as they fought against diseases that would no doubt attack and ravage their nation as a result (Blastland, 2009).
Tropical countries are a good example of how poor institutions have hindered the progress of certain parts of the country and as a result left many of the members from that area languishing in poverty (Ravallion, Chen & Sangraula, 2008). The lack of well ground institutions such as schools especially of the higher learning category (that is, colleges and universities) in rural areas have left the members of those societies unable to match up to their counterparts in the cities and thus as a result they are unable to get well paying jobs and are limited to minimal career roles that hardly have a valid future in their prospects such as janitors and messengers (Greif, 2006). Their inability to climb up the professional ladder due to a lack of sufficient education ensures that they are not able to get higher paying jobs and better their lives in the process all as a result of a lack of proper institutions for education. The lack of proper institutions in these tropic countries have led to only a chosen few (being the financially wealthy) being able to get ahead and better their lives (Kristof, 2009). In a country like Haiti, for example, statistics show that over half the population live below the poverty line, this can be said to be because of lack of properly set up institutions in the country (Solley, 2005).
The establishment of good institutions in a country is able to assist in the progress of that nation in a great number of ways. One of the main areas that good institutions are able to tackle is the financial stability of a country (Kingdom, Liemberger & Marin, 2006). The presence of good institutions leads to a number of economic advantages such as the creation of jobs, the development of a well educated generation and the stability of a nation allowing it focus on developing the quality of life for its people. All in all, it should be known that the government can be considered to be an institution on its own and thus is one of the most essential if a country is to prosper in its endeavors.
References
Blastland, M., 2009, Just What Is Poor? BBC NEWS, http://news. bbc. co. uk. December
7, 2012.
Chang, H., 2007, Institutional Change and Economic Development, Anthem Press.
Greif, A., 2006, Institutions and the Path to the Modern Economy: Lessons from
Medieval Trade, Cambridge University Press, Cambridge.
Kingdom, B., Liemberger, R., & Marin, P., 2006, The Challenge Of Reducing Non
Revenue Water (NRW) In Developing Countries. How The Private Sector Can Help: A Look At Performance Based Service Contracting. Water Supply and Sanitation Board Discussion Paper Series, The World Bank, Washington D. C.
Kristin, K., Vivien F., Jonathan, H and Quentin, W., 2005, Water, Electricity and the
Poor: Who benefits from utility subsidies? The World Bank, Washington D. C.
Kristof, N. D., 2009, How Can We Help the World’s Poor, New York Times.
http://www. nytimes. com. December 7, 2012.
Krugman, P. and Robin, W. (2009) Macroeconomics, Worth Publishers, New York City.
Ravallion, M., Chen, S and Sangraula, P., 2008, Dollar a Day Revisited, The World
Bank.
Solley, B. A., 2005, When Povertys Children Write: Celebrating Strengths,
Transforming Lives. Heinemann, Inc., Portsmouth, NH.