Question

Country A is rich in natural resources. These resources are evenly distributed across the country. Country B has resources concentrated at few places. The government of Country B is hindering the resource distribution due to vested interests. What could be a possible impact of this scenario?

A. Country B will have high level of proverty
B. Country A will have high level of proverty
C. Country B will have low level of proverty
D. Country A and B both will have low level of proverty

Answer 1

I would likely go with A) Country B will have a high level of poverty because the richness and even distribution of Country A's resources reduce the probability of poverty. The citizens have greater access to resources that will sustain them. In Country B, however, the low distribution of the resources means citizens in areas where they are not as concentrated will suffer and likely have a high level of poverty.