Inequality is a concept in which rights, opportunities, and status are not in the state of equality. It is a concept which tends to have a different meaning to different people. Although there are various types of inequalities to be considered by different people, “economic inequality” is something which we will discuss in this article. The World’s Economy is mainly concerned with the economic inequality. This has lead to strong impacts on the World’s Economy. Many authors refer economic inequality as monetary inequality, income inequality or, more specifically, inequality in living standards and conditions. “Right based inequality” is the next important type of inequality which is considered by many leaders. Right based inequality means inequality of rights. Many people around the world face this type of inequality as well, besides income inequality. Most of the people, who don’t have so much of political power or who are not considered to be equal before the law, are usually deprived of their basic rights.
Different views of economic inequality
There are two main views which have been determined from various discussions by various leaders. One of them is primarily bothered with the inequality of outcomes. This one may be the result of situations like family background, ethnicity, gender, talent, effort, etc which are beyond one’s control. This view takes an achievement-oriented or ex-post perspective. The second one is bothered with the inequality of opportunities. It focuses on the circumstances which are beyond one’s control, and also affect his/her potential outcomes. This view takes a potential achievement or ex-ante perspective. Since 1980 the rising inequality in the developing countries has been a very concerning factor which resulted in the increase in political and social instability. Hence we can say that the reducing inequality should become a new goal in the coming years. This rising inequality is responsible for the sharp rising in the share of all the global inequality.
Inequality and biasness resulting in the existence of the poverty
It has made many great thinkers around the world to think that even after so much of advancement in every field, why the poverty does still exist. The main reason is the unequal society, which plays an important role in the economic inequality and bias against the poorer and the weaker sections around the world. In these societies, the wealth is highly concentrated at the top, which results in the extreme disadvantage at the bottom. Hence the differences in the social standing and biasness are highly salient in the world’s economy. It has also been observed that in societies where more economic equality persists, the concept of superiority diminishes, and there’s no such evidence of people seeing themselves as above than the average. It is not necessary that income inequality and biasness should persist in developing countries only and the developed nations have nothing to do with that. Both Japan and the US are the developed nations, but Japan is considered to be one of the most equal and the US is considered to be one of the least equal nations.