1. Panem’s economic situation is unusaul because on one side they have all these people suffering and starving while on the other they have all these technological advances. It’s like jumping from the past to the future at the same time.
2. Economic theory says that prosperity is driven by capital accumulation and the solow residual of technology. This works becuase as well as having the physical things, which sometimes aren’t available, they have the resources and knowledge of making and surviving off of what they can.
3. They are so poor becuase the main things that they make and export can only be sold in one place and that makes it less expensive so the workers get paid less. They are so rich in knowledge because they have been learning all these things over the course of the establishment of these districts. Also this article states that many places that are poor now once weren’t and were in fact rich- “the reversal of fortune”.
4. It is the theory that countries that used to be rich are now poor and countries that used to be poor are now rich. It also says that this is not a coincidence.
5. The problems are that they are extremely corrupt. The reason they stay corrupt is that we need the extraction companies so they won’t get better and they are very difficult to leave.