'Error' in premium notes? (1 Viewer)

[matt88m]

Taken from the premum 'The Global Economy Notes..

2.3.4 Distribution of income and wealth
Globalisation has done very little to promote equality of income. The rich appear
to be getting richer whilst the poor are getting poorer

This is wrong. The poor are still getting richer.
Its pretty minor but still annoys me...

 

[*Ninny-mole*]

Yeah, I get what you mean. But, although the poor are benefiting from globalisation, it is creating a more unequal society, as the rich are really getting richer, so that *comparatively* they are kinda no better off...
hmmm, ok, what I said is technically not fully correct (as with the premium notes) but it is right...In the exam however, I wouldn't say that the poor are getting poorer because you are right, it is wrong... Yeah...

 

[mitsui]

it's pro not correctly worded

the absolute poverty is actually improving, 400million ppl r lifted out of absolute poverty since 1990s. esp improvment in east asia from 28% to 21%

however relative poverty has worsen in most places
80%GWP goes to top 15% population

the ratio between richest 20% and poorest 20% is
30:1 1960
60:1 1990
74:1 1997

 

[Sparcod]

However.....
The OECD countries have 20% of the world's population but 56% of world trade and 70% of the GDP. Note, I believe it's getting worse because the rest of the world has a faster economic growth rate than low-income nations at under 1% over past decade.

 

[mitsui]

lol

it's just like arguing whether a glass of water is half full, or half empty

 

[Sparcod]

Well...there is the World Bank supporting the poorer nations with funds for development projects.

 

[sf_diegoxrock]

rich are getting richer at a faster rate than the poor are getting richer

 

[michaeln36]

mm i agree.
off pat statements like "the rich are getting richer and the poor keep getting poorer" really annoy me. They are pure fiction (the minimum wage has only ever gone up), and are just said without thinking by idiots who want to make a point - even though the very essence of the statement is wrong.

 

[mitsui]

it depends on which perspective u r looking from

i will always argue poor r getting poorer despite how absolute poverty has been reduced

because even if they r all getting better, they arent imrpoving at the same rate

 

[zedzed]

the inequality between countries has increased. i mean sure, absolute poverty has fallen but if you remove china's contribution to that figure then you'll see a very different picture. there are MORE people living in absolute and relative poverty in countries like the ones in sub-saharan africa. their life expectancy has fallen over the last decade. they receive something like 0.6% of FDI. you could definitely argue that globalisation has led to greater inequality in the world because of how the global trading system works (protection, etc).

 

[Rafy]

Thanks for bringing it to our attention.
I shall follow it up and have it clarified if necessary.

 

[Sparcod]

Yeh, but this decade, the poor are catching up. This decade saw the economic growth rate of some countries like Sierra Leone surpass 6% annually.