Inequality

We have explored Inequality before, but now we're going to take a look at what creates and perpetuates it.

In the beginning

Before the industrial revolution, the richest countries were only about 2 to 3 times as rich as the poorest countries. Now, that number is closer to 100 times.

As such, we can already see the first cause: Rapid Industrialization creates bigger and bigger returns, allowing countries that are ahead in terms of wealth to get even more ahead.

Global Trade

While Trade does indeed benefit everyone, it helps you more the richer you are, by allowing companies and portfolios to grow beyond one countries' borders.

Technology

Jobs created by new technologies can sometimes only be filled by people who have access to modern education, leaving those in unfavorable conditions even further behind.

Financial Markets

Many investments and assets favor those who are already rich, because, if you invest 100k you'll probably get smaller fees and better advice than if you only invest 1k.

Conclusion

While many factors increase inequality, we have to agree that some of them are inevitable, such as the multiplying effect on investments, but we have to try to create more opportunities for poor people to get wealthier because that way we won't miss out on possible innovations that those people might create and invent!

If you have any ideas on how to minimize inequality, leave them in the comments!

Thanks for reading!
Remember to Upvote and Resteem, so that I can keep making many posts per week!

But, after all this, What does it mean to be poor? and How can tech and cryptos help poor people?

Read about how globalization impacts poor people:

• Globalization