In the era of globalization and liberalization, the world is enjoying high growth as well as suffering from the ill-effects of unequal distribution of its economic outcomes. The activities of anti-government demonstrations in China and across the world via the Occupy Wall Street Movement highlight that inequality has become an international phenomenon. It is apparent in both poor countries under authoritarianism and rich countries governed by a democratic regime. Thus, inequality has become not only a hurdle to development but also a threat to social and political stability. The spread of the Jasmine Revolution across parts of North Africa and the Arab Spring are illustrative of what can happen under certain circumstances.This book confirms the inconsistencies between high growth and increasing inequality via a series of case studies across 11 countries, numerous regions, and OECD members. Many of the case studies draw upon original household surveys. Our findings indicate the seriousness of income inequality, explore factors that have caused the inequality and analyze their economic and social consequences.The book raises, and deals with, three key questions: (1) Can high growth reduce inequality gradually? (2) Can government intervention be effective in equalizing income distribution? (3) Is the income disparity an engine for, or an obstacle of, high growth?
In the era of globalization and liberalization, the world is enjoying high growth as well as suffering from the in-effects of unequal distribution of its economic outcomes. The activities of anti-government demonstration in China and Occupy Wall Street reflect that inequality has become an international phenomenon happens both in poor countries with dictatorial authority and rich countries with a democratic regime. Consequently, the inequality issue has become not only a hurdle to the development of one country but also a threat to its social and political stability. The spread of the Jasmine Revolution in some parts of Africa and the Arab Spring is a good example.
This book shows the inconsistencies of high growth and increasing inequality with case studies of 11 countries and regions, and OECD members based on original household surveys. It indicates the seriousness of income inequality, explores factors that caused the inequality and analyzes their economic and social consequences.
The book raises three key questions: (1) Can high growth shrink inequality gradually? (2) Can government intervention be efficient to equalize income distribution? (3) Is income disparity an engine or an obstacle of high growth?
