Underdevelopment refers to the low level of development characterized by low real per capita income, widespread poverty, lower level of literacy, low life expectancy, and underutilization of resources, etc. An underdeveloped economy fails to provide acceptable levels of living to a large fraction of its population.
The main causes of underdevelopment of an economy include:
1. poverty;
2. child marriage;
3. illiteracy;
4. high population growth rate;
5. corruption;
6. high dependence on agriculture;
7. economic inequality;
8. lack of structural, institutional, and technical change.