Chapter 2 poor economics takes a very good look at poverty traps that are around the world. Many of the problems that seem to come with this trap seem to arise from a pure lack of investment in human capital. For example poor monetary institutions make it very difficult to break the trap. My question would  be why these institutions are unable to act more efficiently. Like the problem in India the lending body should be able to distinguish between the different classes. At least in this class of family why would the loaning agency increase the interest to a level unattainable by the already struggling family.

Another question that I had for the reading is when they mentioned the investment needed to prevent the spread of malaria. The authors do a great job of explaining how a low funding can deter these investments but my question is why would an outside agency not donate the necessary funds if the return on that investment is so high. While throughout the chapter the "poverty trap" is described in detail I cannot help but wonder how much foreign investment is necessary for a poverty trap, such as a health trap, to be broken. I guess I can kind of answer this question myself. Combining my knowledge of the first two chapters of freakenomics it is obvious that foreign investment does not see a benefit from investing in health care. The only people who are willing to invest are too poor, poverty trap.

Finally what is the estimated amount of calories necessary? And how can they not attain in. Even after reading the book I noticed some investment is made by outside corporations and they seem to be feeding the poor...or at least in the commercials.

Hey World,

So it my first time using a blog and I guess im going to approach it like my personal journal.