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The gap between rich and poor countries is widening these days. Due to good governance and low levels of corruption in first world countries they are achieving high growth when compared to third world countries. However, poor countries can catch up with them by implementing strict laws and reforms.

To begin with, rich countries have significantly higher growth rates because of zero tolerance towards corruption. They value talent and make sure that talented people have no dearth of opportunities in their country. This allows them to attract huge investments and thus create new employment opportunities. In addition, rich nations enforce laws which favor companies to expand their presence. Companies in turn pay taxes to these nations and help them grow financially. For these reasons, first world countries can maintain a very healthy growth rate.

Poor countries need to follow similar growth models and focus on improving their economy. Firstly, they need to implement tax reforms so that multi-national companies do not face any hassles when expanding their base in these countries. Secondly, corruption by officials is very high in these countries and it has a direct impact on people’s lives. Often times, skilled people do not have enough opportunities in these nations and this forces them to migrate to other countries. Strict anti-corruption laws need to be implemented to ensure proper governance. In addition, the government should proactively create opportunities to prevent brain drain⊕.

To conclude, the economic disparity between countries is growing. In my opinion, high levels of corruption and poor governance are the main causes of poverty in poor countries. However, this can be overcome by implementing proper laws and regulations.