Income inequality is rising. A quarter of a century ago, the average disposable income
of the richest 10% in OECD countries was around seven times higher than that of the
poorest 10%; today, it’s around 9½ times higher. Why does this matter? Many fear this
widening gap is hurting individuals, societies and even economies. This book explores
income inequality across five main headings. It starts by explaining some key terms
in the inequality debate. It then examines recent trends and explains why income inequality
varies between countries. Next it looks at why income gaps are growing and, in particular,
at the rise of the 1%. It then looks at the consequences, including research that
suggests widening inequality could hurt economic growth. Finally, it examines policies
for addressing inequality and making economies more inclusive.
Published on December 15, 2015Also available in: Spanish, French