Inequality

Our research asks two key questions: how can the benefits of growth be more evenly shared, and what should be the priority for policy-makers concerned with rising inequality?
Scavenging demolished slum house, Mumbai, India (Source: Joe Athialy, Flickr - http://www.flickr.com/photos/joeathialy/2315648771/)

Inequality is on the rise in many countries, prompting a new interest from policy-makers in how to prevent and reduce it. This focus matters, as the unequal distribution of income, power and resources can:

  • make growth less effective at reducing poverty, and exclude some groups from contributing to growth or benefiting from growth altogether
  • lead to political and economic instability and social unrest
  • make it harder for the poorest to influence government institutions, and less likely that policies will benefit the poorest.