In the United States, poverty is not equally distributed. Some states are significantly poorer than others. Even among states that struggle with high poverty rates, there are significant differences in how poor they are. We will discuss why is Louisiana so poor. Why are some states poor, and why are others not?
HIGH UNEMPLOYMENT IS THE MAIN REASON FOR POVERTY
Unemployment rates are the most important measure of poverty in any country. The higher the rate, the more people are poor. And the level of unemployment varies greatly across U.S. states. In the U.S., the state with the lowest unemployment rate in Nevada, which has an annual rate of 4.3%.
The state with the highest rate is Alaska, where 9.2% of the labor force is unemployed. The reason why some states have higher rates of unemployment than others is mainly due to the industries that are dominant in each of these states.
All industries create jobs and generate income for those who work at these jobs. However, some industries are more important for creating jobs than others.
LACK OF INFRASTRUCTURE AND OPPORTUNITIES FOR EMPLOYMENT
Other reasons for differences in state poverty rates are related to basic infrastructure and populations. Of course, every state in the U.S. has good infrastructure, and most have well-developed schools. But some states also have other advantages.
A state may have lots of lakes and rivers or mountains in which people can enjoy outdoor activities. Or, it may have a long coastline where people can fish. These resources can attract people who want to live in those areas and create jobs. All states have populations. But some states have larger populations than others.
In general, the larger the population, the more opportunities there are for employment.
States With Little Natural Resource Endowment
All of the above applies to states with little natural resource endowment. The main difference between them and the states with more natural resources is that they need to invest much more in education.
In states with few employment opportunities, people need to go to school and get high-level education to get good jobs. In other words, people in these states need to invest a lot in their human capital.
These states also need to invest in infrastructure and other industries that create jobs. This will help people find employment and reduce the state’s poverty level.
REASON THAT WHY IS LOUISIANA SO POO
In the U.S., poverty levels vary significantly from one state to the next. The main reason for this is that some states have better economies than others. And this directly affects people’s ability to get good jobs and earn high incomes.
The state with the highest poverty rate in Mississippi, where 19.6% of the population is poor. This is followed by Louisiana, where 19.3% of the population is poor. And New Mexico, where 18.3% of the population is poor.
All of these states have economies that are not doing well. And this affects the level of poverty among their populations. The state with the lowest poverty rate in New Hampshire, where 8.2% of the population is poor.