Measures to combat poverty and intensify international cooperation for poverty eradication

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1 Measures to combat poverty and intensify international cooperation for poverty eradication Forum: Economic and Social Council Student Officer: Yu Na Kim, President Introduction Sustainable Development Goals (SDGs) are goals that are set by the United Nations to combat and tackle different ongoing world issues that are occurring continuously. The first goal of the sustainable development goals is: End poverty in all its forms everywhere. The United Nations mainly defines someone as being in poverty as earning less than 1.9 dollars per day. The UN reported that though poverty rates declined significantly since the 21st century, up to 42% of the population in Sub-Sharan Africa are continuing in their lives below the poverty line. Thus, to combat the severity of this issue, the UN has implemented this aspect to one of the sustainable development goals. Though many questions how poverty can be eradicated in a mere 20 years; however, economist Jeffrey Sachs has made a fascinating calculation that it would cost $175 billion, which is in fact, less than one percent of the combined income of the richest countries in the world. This study done by Jeffrey Sachs is a great indication that more international attention should be brought to this matter so that poverty could be tackled in a holistic manner. Though the initial thought that comes when one thinks about the term poverty is low income and the lack of resources, true poverty encompasses greater definition according to the UN, which includes hunger and malnutrition, limited access to education and other basic services, social discrimination as well as the lack of participation in decision-making. Thus, beyond fundamental resources for life, poverty also includes social services and human rights. With these different facets of poverty other than income and resources, this issue should be tackled with a greater international force, approaching it in different perspectives. 17 Sustainable Development Goals (SDGs) that are set by the General Assembly committee in 2015, aiming at 2030 in achieving these goals Background As the contemporary world is very interconnected, one s lives impact other s lives greatly

2 in either a direct sense or indirect sense. The United Nations once reported that there are more than 700 million people, which consists of 11% of the entire world population, who lives in extreme poverty and facing difficulties daily in fulfilling their fundamental necessities such as but not limited to: health, education, and access to water sanitation. This issue of poverty not only affects regions that are severely lacking economic stability but also in developed regions, which it has been recorded that there are 30 million children growing up poor in the world s richest countries. The Gini index indicates the income inequality of nations, where number 0 indicates complete equality and number 1 indicating complete inequality. These numbers are reported yearly by the Organization for Economic Co-operation and Development (OECD). In its most recent data of 2017 OECD Social and Welfare Statistics, South Africa had the greatest inequality, having its Gini Index indicating 0.63, which is then followed by Costa Rica, Brazil, Mexico, and Turkey. Though Gini Index is merely a measure of income equality, not the level of poverty, it provides a glimpse in the path to resolving such issue of poverty and the lack of fundamental needs. In OECD countries, it has been reported that the richest 10% of the populations earn 9.6 times the income of the poorest 10%. Furthermore, the distribution of wealth is currently not in balance, where the 10% of the wealthiest households holds half of the total wealth of the world, and the next 50% wealthiest households holding almost the other half. Though there are many international actions that were accomplished to resolve the issue of poverty, the United Nations reported that unless urgent actions are taken to the Least Developed Countries (LDCs), the goals that are set for the 2030 Agenda, the Sustainable Development Goals, will not be accomplished. While the target 1 of the Sustainable Development Goals 8 is raising the economic growth of 7%, it was 5% in 2017, and 5.4 % in 2018, which is definitely lower than the target range. Paul Akiwumi, the director of UN Conference on Trade and Development (UNCTAD) s Division for Africa, mentioned The international community should strengthen its support to LDCs in line with the commitment to leave no one behind, and that with the global economic recovery remaining tepid, development partner face constraints in extending support to LDCs to help them meet the Sustainable Development Goals. Inequalities between the LDCs and other developing countries risk widening. International Actions It is noteworthy that the poverty headcount ratio at $1.9 a day significantly declined throughout the period from 1960 to 2015, according to the World Bank s poverty statistic report. In 1981, the 42.4 percent of the entire population lived below the income rate of 1.9 dollars per day. However, that percentage fell 32.4%, resulting in 10% of the entire population by The following are several significant international actions achieved in measures to reduce poverty on the global scale. International Day for the Eradication of Poverty Let us remember that ending poverty is not a matter of charity, but a question of justice, the UN Secretary-General Antonio Guterres remarked during the gathering on the International Day for the eradication of poverty in On the October 17 th of 2018, under the theme of Coming together with those furthest behind to build an inclusive world of universal respect for

3 human rights and dignity, the event marked the 25 th anniversary of the declaration by the General Assembly of the international day for the eradication of poverty. As it is suggestable by looking at the 2018 theme, poverty is not solely an economic issue, yet it is a multidimensional phenomenon that encompasses a lack of both income and the basic capabilities to live in dignity. Thus, deprivations of the following aspects can also be referred as being in poverty : dangerous work conditions, unsafe housing, lack of nutritious food, unequal access to justice, lack of political power, and limited access to health care. The World Bank The World Bank is an international organization that is made up of 189-member countries. The organization was established to provide economic support, advice and initiate research of developing nations for their advance in their economic and social circumstances. The two central goals that the World Bank is pushing are: eradicating poverty to no more than 3% by 2030 and promote shared prosperity ( a sustainable increase in the well-being of the poorer segments of society) by promoting income growth of the bottom 40% of the population of each country. to discuss a few projects initiated by the World Bank, the on-farm water management project was initiated in a village in the Balkh Province (Afghanistan), which the main irrigation canal improved, bringing agricultural productivity and water efficiency. In Mexico, few states were in poverty due to high-level of income inequality. The World Bank thus contributed in Mexico s effort in developing a more inclusive, effective, and integrated social protection system including relaunching a conditional cash transfer program to help improve access to higher education and formal employment. In Mozambique, a rural electrification project was implemented, that expanded the access to electricity. A farmer testing the machine for irrigation in Balkh District, Afghanistan Human Rights Watch (HRW) The Human Rights Watch (HRW) is a non-governmental organization (NGO) that presses for policy changes and promote human rights and justice of the world. It was established in 1978, and it is known for its accurate findings, reports, effective use of media, and for human rights advocacy. The HRW is a key player in supporting those who are suffering from poverty, by addressing the causes of poverty like discrimination, armed conflict, and displacement. It also reports on violations that makes the humanitarian crisis worse, such as violent attacks and statecontrolled media. HRW publishes more than 100 reports per year and reveals the conditions of human rights in 90 countries. Also, they meet with governments, the UN, the African Union and the European Union for suggesting advancements in policies and giving advice. Reporters, columnists, broadcasters, policymakers, the UN, and other intergovernmental institutions rely on the reports published by the HRW when citing related work. As an NGO to ensure its independence, HRW does not accept any government funds, as they don t embrace political causes, remaining neutral in armed conflicts. The HRW recently initiated in using satellite technology to identify the abuses of human rights in different regions. This satellite imagery is helpful in showing

4 the before and after circumstances after a major conflict occurs. Issues Raised Rising wealth gap The wealth distribution is currently at an extreme state. According to the Global Wealth Databook, the richest 1% owns 45% of the world s wealth. Also, the world s wealthiest individuals that are less than 10 percent of the entire population, in fact, holds 84 percent of the global wealth. This doesn t seem right. How is it that there is countless living in the streets begging for food, while others hold the amount of money, they cannot finish spending in their entire lifetime? There is a term for people who worth more than 30 million dollars, which is Ultra high net worth individuals. These individuals represent a mere 0.003% of the world population, but hold 11.3 percent of total global wealth. Extreme poverty According to the World Bank, more than 1 billion people are still living in deep poverty, and the majority of them live in rural areas with poor education, employed in the agricultural sector, and are under the age of 18. In Sub-Saharan Africa only, 42% of the population is living in extreme poverty, living in less than 1.9 dollars per day. Thus, due to this extreme poverty, 1 in 3 children will experience stunted growth due to the lack of fundamental necessities such as food and clean water. This stunted growth is impacting their cognitive abilities negatively, resulting in greater difficulties to excel in class. In fact, according to the 2017 UNICEF Child Mortality report, 1 child in 36 dies in the first month in areas like Sub-Saharan African, while in the world s highincome countries the ratio is 1 in 333, a 294 gap. Sanitation issues According to the Life Water organization, there are circa 12% of the world s population that practices open defecation, which means they would defecate outside, in a field or behind a home, etc. This practice greatly pollutes the environment and increases the likelihood of the transfer of diseases. While the UNICEF reported that the simple act of washing hands reduces preventable diseases by 40%, less than half of rural populations even have that knowledge and the resources for sanitary practices. Key Terms Poverty

5 Poverty is beyond income and financial status, it is also more than the lack of food and water. In truth, how each person defines poverty differs, yet the United Nations defines poverty as: hunger and malnutrition, limited access to education and other basic services, social discrimination as well as the lack of participation in decision-making. Thus, poverty involves the rights of each individual, their accessibility to social services, and authority over decisions that they make. When pondering measures to enhance international cooperation of solving this issue of poverty, it is expected that delegates will draft solutions beyond mainly tackling fundamental necessary supplies and resources. Human rights and authority of one should also be considered. Sustainable Development Goals (SDGs) There are seventeen SDGs that are set by the UN in 2015, which the member states will function towards the same goals from ending poverty to tackling climate changes. There are three central elements to allow sustainable development to be accomplished. Those three elements are economic growth, social inclusion, and environmental protection. To meet these goals practically, the Addis Ababa Action Agenda from the third international conference on financing for development provided detailed actions and Goal 1 of SDGs policies. The global indicator framework will monitor and review the sustainable development goals for countries. Though SDGs are not legally binding, in other words, countries aren t obliged to follow them, they are expected to take ownership and establish a national framework in accomplishing those goals. Depending on the countries policies, plans and programs, the practical implementation and successful results will vary. Gini Index The Gini index is a measure of statistical dispersion to represent the income or wealth distribution, centrally it is a measurement of inequality. The number ranges between 0 and 1, 0 representing perfect equality and 1 representing perfect inequality. The score of 1 would indicate that only a single person is taking in all the income. According to the latest data provided by the Organization for Economic Co-operation and Development (OECD), South Africa marks the highest coefficient, having This is soon followed by Costa Rica, Mexico, Chile, and Turkey, which are 0.48, 0.46, 0.45, and 0.4 respectively. Social Institutions and Gender Index (SIGI) The SIGI is a measure of discrimination against women in social institutions. Discrimination is often seen through restrictions of access to justice, blocking human rights, limiting opportunities and prohibiting decision-making power. The SIGI specifically considers five facets of discriminatory social institutions, which are: discriminatory family code, restricted physical integrity, son bias, restricted resources and assets, and restricted civil liberty. Just like the Gini Index, the number ranges from 0 to 1, with 0 indicating zero discrimination against women, and 1 representing a high level of discrimination against women. Human Development According to Amartya Sen, an Indian economist who was awarded the 1998 Nobel Prize in Economic Sciences for his interest and contributions towards the problems of the poorest

6 members of the society, Human development is concerned with what I take to be the basic development idea: namely, advancing the richness of human life, rather than the richness of the economy in which human beings live, which is only a part of it. The Human Development Index (HDI) considers a wide range of indicators, including the following: demography, education, environmental sustainability, gender, health, human security, inequality, mobility and communication, socio-economic sustainability, trade, work, and employment. According to the most recent data of 2017 HDI, provided by the United Nations Development Program (UNDP), Niger has the lowest score of in 2017, which is then followed by Central African Republic (0.317), South Sudan, and Chad. Regressive taxes and Progressive taxes Simply put, regressive taxes are taxes that burden low-income citizens more than the wealthier citizens, while progressive taxes are the opposite. A sales tax would be a regressive tax. To elaborate, most products contain some tax when it is sold to the consumers. For the lowincome citizens, those sales tax would be much more burdensome than richer citizens. On the other hand, progressive taxes are placed mostly to redistribute the income, reducing the gap between the rich and the poor. Possible Solutions Though poverty definitely includes circumstances of severely lacking necessities such as food and water, how the international community approach this issue should diversify and get widened. In other words, poverty is beyond earning less than 1.9 dollars per day, it is about the quality of individuals lives. In measures to intensify international cooperation for poverty eradication, more platforms for communication should first be taken place, and policy-makers are to implement helpful policies that benefit the whole. Communication Platforms Establishing more discussion platforms, talking about poverty on a global scale would surely enhance the international cooperation for the eradication of poverty. Through those discussions, if different representatives of some sort present their ideas in resolving this issue and come up with a variety of innovative solutions, all would be benefited. The size of these communication platforms would vary, and the members participating in these platforms would also vary. Policies Policies impacts individuals lives on a day-to-day basis. Thus, if the current policies are better drafted, steps towards poverty eradication would nonetheless take place. Policies that promote opportunities, eliminate unfair treatments of both men and women in the labor market, redistributes wealth through taxing progressively are a few policies in economic terms. Additionally, policies that enhance the accessibility and maintainability of social services such as education and healthcare, and policies that empower both men and women would also benefit society as a whole. Sources 9 World Poverty Statistics That Everyone Should Know. Lifewater, 21 Dec. 2018, lifewater.org/blog/9-worldpoverty-statistics-to-know-today/.

7 A New Irrigation Canal in Northern Afghanistan Boosts Farmers' Production. World Bank, About. Human Rights Watch, 21 Sept. 2018, About Our Research. Human Rights Watch, 21 Nov. 2017, Britannica, The Editors of Encyclopaedia. Amartya Sen. Encyclopædia Britannica, Encyclopædia Britannica, Inc., 30 Oct. 2018, Global Inequality. Inequality.org, inequality.org/facts/global-inequality/. Human Development Reports. Human Development Reports, Goal 1: End Poverty in All Its Forms Everywhere - United Nations Sustainable Development. United Nations, United Nations, Inequality - Income Inequality - OECD Data. TheOECD, data.oecd.org/inequality/incomeinequality.htm#indicator-chart. Inequality - Social Institutions and Gender - OECD Data. TheOECD, data.oecd.org/inequality/socialinstitutions-and-gender.htm#indicator-chart. International Day for the Eradication of Poverty 2018 Poverty Eradication. United Nations, United Nations, In It Together: Why Less Inequality Benefits All (Summary in Polish). In It Together: Why Less Inequality Benefits All, 2015, doi: /8bae07b3-pl. Overview. World Bank, Poverty. Council of Europe, Council of Europe, Poverty, Development, Hunger, Health, Lack of, Homeless, Global Goals, Humanitarian Affairs, Poor. United Nations, United Nations, Poverty. Literacy Rate, Adult Female (% of Females Ages 15 and above) Data, data.worldbank.org/topic/poverty. The Sustainable Development Agenda - United Nations Sustainable Development. United Nations, United Nations,