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Publicēts: 02.02.2012.
Valoda: Angļu
Līmenis: Augstskolas
Literatūras saraksts: 5 vienības
Atsauces: Ir
Darba fragmentsAizvērt

Distribution of Income and Poverty
Robert Hunter Wade (2004) in his work “Is globalization Reducing Poverty and Inequality?” reports on changes in world poverty and income distribution during past 20 years. According to Wade, “the neoliberal argument says that world poverty and income inequality fell over the past two decades for the first time in more than a century and a half, thanks to the rising density of economic integration across national borders” . The paper provides quantitative analysis of world income distribution, taking different sources of information for reliable analysis. The performed analysis showed that level of world poverty in the research period probably has fallen. However Wade suggests that statistics provided by the World Bank might be presented in that way so that the situation looks better than it is in reality. The author supports this suggestion, grounded on the fact that growth rate of world GDP (US dollars) fell from 5.5% in 1970-80 to 1.1% in 1990-2000. Wade assumes that income inequality comes along with higher poverty, slower economic growth, higher unemployment, and higher crime. The author totally agrees with this statement, taking into account high possibility of increase of crimes in societies where majority of population live in poor conditions and people do not see possibility to make situation better. If population suffers from high unemployment, worsened by widely spread poverty, and decreasing level of life, we can predict growth of crime in such countries. Another function of inequality is migration. The author is convinced that understandable reaction of a human being is to look for better life in richer country.…

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