The Myth of the Poverty Trap

In 1981, an estimated 44 percent of the global population lived in extreme poverty. In 2019, that number shrank to just 9 percent. We often think of poverty as a trap, but recent research shows it doesn’t have to be. The economist and co-founder of GiveDirectly, Paul Niehaus, explains how extreme poverty fell over the past 40 years and how it could be eliminated for good. 

Further reading: 

“How Poverty Fell,” by Vincent Armentano, Paul Niehaus, and Tom Vogl 

“How Progressives Froze the American Dream,” by Yoni Appelbaum

One Illness Away: Why People Become Poor and How They Escape Poverty, by Anirudh Krishna

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