Answer to Question #219147 in Management for Neo

Question

Three approaches that developing governments can take to deal with poverty and the provision of houses

Answer 1

1.Promotion of decent rural employment: many developing countries face a lot of rural-urban migration as citizens seek employment opportunities in cities due to extremely impoverished conditions in the rural areas. This aspect of poverty has resulted in exponential growth of slums. Developing governments can establish rural development policies such as investing in agriculture, boosting social policies, increasing investment in rural infrastructure, creating new income generating opportunities etc. to reduce poverty and overcrowding in urban centers.

2.Social housing policies: affordability of decent housing is one major problem tied to poverty. Having access to quality affordable housing is fundamental to reduce poverty. Developing governments can help alleviate poverty through social housing – public housing construction of low-cost dwelling units for lower income groups. It can then clear slums and rehouse its residents in this new standard housing.

3.Goverment subsidies or rent control: the proportion of the population living in conditions below the minimum standards in developing countries is alarming. Poorest populations spend part of their income paying for nonstandard dwelling spaces. Developing governments can choose to establish rental subsidy programs that subsidize housing rent for the most vulnerable groups. They can also design policies towards rent control in vulnerable areas. The extremely poor populations can use the saved income to improve their living conditions.