Capitalism and Poverty Eradication

Capitalism is often credited with lifting people out of poverty, but the reality is more complex. While capitalism has undeniably led to economic growth, it has not effectively met the needs of the poor. The poverty line set at $1.90 per day by the World Bank is arbitrary and does not consider actual human needs. When using more empirically grounded poverty lines, it becomes clear that poverty has not been dramatically reduced. The reality is that capitalism has produced extraordinary wealth, but it has predominantly benefited rich countries and individuals while exploiting the labor and resources of the global poor, perpetuating inequality and poverty.