Why is poverty a problem in Jakarta?

Answer 1

Without a doubt, poverty in the capital city of Indonesia, the city of Jakarta, is also a problem anywhere poverty can be found.

But to be specific to the question re: Jakarta, the problems of poverty can best be described in a summary fashion. Here are some of problems:

A. Poverty usually means high unemployment, which hurts the economy;

B. The high unemployment means that unemployment benefits will be high;

C. To pay the unemployment benefits the funds must either be generated by increasing taxes or by borrowing funds to pay benefits;

D. The economy of Indonesia as a whole is not a healthy one. Thus the problem in Jakarta is a nationwide one, usually meaning a small tax base to draw upon;

E. As an aside, Jakarta of course being the capital, has more media coverage than most of Indonesia, making their problem a well known international, high profile problem; and

F. Poverty can mean higher crime rates, poor health facilities, poor health among sectors of the population.