BREAKING “POVERTY VICIOUS CIRCLE”IN THE POVERTY-STRICKEN AREAS

s:Early there was a theory of “Poverty vicious circle”in the poor regions in the development of economics.This represents the economic phenomena to some extent objectively.But the writer doesn't think it is an economic law.“Poverty vicious circle”can or must be broken.In 1993,Noth,Nobelist for economics put forward economic growth theory answering how to break“Poverty vicious circle”.That is,property right must be given a clear definition;“mental control”of social public must be relieved and an effective economic organization must be set up.Yet it is the system factor,not the technical factor that plays a decisive role in the economic growth.And system innovation can pave a way for the technical innovation.