Tracking was a really challenge to me but the

Tracking the Global inequality both in income and wealth was
a really challenge to me but the results are shocking.

This Project shows us the evolution of global income
inequality over the past years. Global income inequality—the total of
inequality within and between nations—is massive today, the birth of uneven
growth in the world’s regions since the beginning of the Industrial Revolution.
The Economy of the West was booming while Middle east and Africa were busy
fighting their wars over most of the period, which led to the dramatical grow
of the Global inequality. The economical growth remained uneven, now most of
the wealth world wide lies between few Nations and with a very few percentage
of the population.

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Today around 2.7 Billion people live without proper access to
a good public health, and more than 800 million are undernourished according to
UNDP. The average life expectancy between a low-income and high-income country
is around 19 years which is a very serious issue to be addressed.  More than 70% of the worlds adults own under
10,000$ in wealth while less than 1% of the worlds population owns almost 50%
of the worlds total wealth. The other 40% is distributed among 8% of the worlds
population. The graph below illustrates the Global wealth shares by population percantage.

Western and European countries host the majority share of the
world’s millionaires. More than 70 percent of the world’s millionaires are in
Europe or North America, with 43 percent of this millionaires are from United
States. The only nonWestern nations with a significant share are Japan, China,
and Korea.

 

I would like to talk about some of the causes that leads to
inequality, common factors to impact inequality include:

·      
Labor Market outcomes.

·      
Providing more opportunities for wealthy people to
investment.

·      
Increase international and decrease domestic
influences.

·      
Extra-legal property ownership of real estate and
businesses.

·      
The CEO’s very highly paid salaries is growing in
acceptance; while, skilled workers are being paid low wages.

·      
suppressing wages in low-skill jobs due to a surplus
of low-skill labor in developing countries

 

NeoClassical Economics

Neoclassical economics views the rising of inequality due to
arising in value by labor, capital and land. The labor wages inequality in
income distribution is due to different classification of labors. In a market
economy, inequality is caused because of the productivity gap between
highly-paid professions and skilled workers.

Sometimes the wages equilibrium is lower than the minimum
wages that leads to labors are being paid and many which want to work for a
lower wage are not being hired which leads:

·      
Unemployment rate to rise.

·      
Uneducated or freshly educated labors won’t find a job
due to high minimum wages.

·      
Skilled labors will find it very difficult to find a
job due to the standards of wages.