Roots of Inequality

in #success8 years ago

Intuitively we assume that everything has normal distribution including human characteristics. This means most people are in the middle or average and some people are in the both extremes. Well you can apply Normal Distribution to the height, weight, IQ, hair color in the particular region. But not everything follows normal distribution. Productivity and creativity are distributed in a Pareto Distribution. This distribution is much more “unfair” if you can say so. This distribution say that only square root of people in particular domain are producing 50% of productive work. Basically if you have a large company where 10000 people work then only 100 of them producing 50% of productivity. You can even say about this distribution “ Those that have more get more and those who have less will get less.” Matthieu principle. Actually many economist call it Matthieu principle . This distribution gives World full of inequality.
This distribution might be explained by the thing when you start to become successful then you start to get more opportunities from different people. So it’s like success attracts more success. On the other hand when you start to fail people start to move away from you and failure starts to produce more failure turning into down spiral. As you start to win your probability for winning start to increase and as you lose you vulnerability increases too. ineq1.jpg

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