Saturday, October 18, 2014

More on inequality

Two interesting videos illustrate the extent of wealth inequality in East Africa and in the world.  They are worth watching and the data is as always striking: half of all East Asians own less wealth valued at less than £500. This is equal to the combined wealth of the richest six people in the region.  Six people have as much as 66 million!!!! More broadly, 2% of the world population controls half of the total wealth, which makes calls for redistribution rather obvious.

What is the situation in Latin America?  We should do similar videos and the numbers will be as striking or not more.  This is clear when consider the limited research on inequality at the top.  See, for example, this paper on Chile by López, Figueroa and Gutiérrez.  This graph, in particular, shows that according to their estimations, the income share of the top 1% in Chile is significantly than the US--which has become model of inequality:

The situation in terms of wealth is likely to be even more dramatic

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