The world is a very unequal place. The income and wealth distributions are heavily skewed in favour of a small group of ultra-wealthy individuals. Statistics have repeatedly shown that the chasm is widening.
India’s inequality has risen, according to the newest World Inequality Report 2022, with the country being classified as a “poor and extremely unequal country with a wealthy elite.” This is due to the fact that the top 10% of the population controls 57% of national income, with the top 1% accounting for 22% of that. The lowest half of the population, on the other hand, owns just 13% of the national income. The middle class is likewise impoverished, accounting for just 29.5 percent of national income. There has been a drop in worldwide income, according to the research.
Rich nations account for a portion of it, while South and Southeast Asian countries contribute for the remainder. India has made a big contribution to this decline. When India’s figures are removed from the equation, South and Southeast Asian countries’ incomes actually increased little. In 2021, India’s adult population had an average national income of little over Rs 2 lakh. The wealthiest ten percent earned Rs 11.6 lakh per year, while the lowest half earned just Rs 53.6 thousand per year.
These disparities have far-reaching social and political consequences. The poorest half of the population not only has a little fraction of overall income and wealth, but they are also impoverished. According to the government of India’s own figures, 25% of India’s population is impoverished on a multidimensional score that considers characteristics such as education and health. Obviously, in such an economy, there are countless and severe deprivations. The children and the young, who make up India’s tremendous demographic dividend, are the ones who suffer the most. Rich businesspeople have started to flee India in search of better pastures. The brightest brains in the world make their way to the other side of the globe. The poor, who are denied such opportunities, stay trapped in a circle of poverty. As a result, irrationality, violence, and blind faith have become commonplace.
According to the Globe Inequality Report, today’s world is just as unequal as it was at the early twentieth century height of Western empire. Was this the type of economic growth that was predicted even half a century ago?
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