Income inequality has been rising in a majority of G20 economies, in some of them significantly. This rising trend in inequality has more recently started to focus attention on policies to promote a more inclusive pattern of growth. This shift in attention has also been motivated by increasing evidence from recent research that rising inequality may be harmful to economic stability and growth. Not only can rising inequality undermine longer-term growth prospects, but it can also hurt growth in the short to medium term by weakening aggregate demand.
poverty and inequality
A recent Economist (April 25th, 2015) cover story on the “Europe’s boat people: A moral and political disaster ” (requires a subscription), refers to a critical global challenge of migrants and asylum seekers as countries around the world undergo trying times due to war, economic crisis, and joblessness, resulting in more poverty and deprivation.