INTRODUCTION
For decades, inequality has been increasing all over the world. Within a single country, inequality can occur. Some people are blessed with resources and others are far away from the light of evolution. However, economic disparities have widened as the world's wealthiest individuals accumulate new levels of wealth.
The types of inequities we have noticed in society are as follows:
(a).Wealth inequality
(b).Treatment and responsibility inequality
(c).Gender economic Inequality
The World Inequality Datasets include factors such as year, population and regions. National income GDP, income inequality, average wealth, wealth-income ratio, wealth disparity, and gender inequality are only a few of the indicators cited. We'll go through each factors one by one.
There are now 195 nations on the globe. Currently, the world population will touch 7.9 Billion in April 2022. Each and every country follows a different set of policies which enhances demographic disparities. First, let's look into the national income per adult.
(A).Inequality Comparision based on Income.
Income is the earning of a individual in a year, the average world's income in 2021 is nearly 17 Euros. But, is this Income is same for all regions? How it varies with time? Let's find out.
In this graph, we demonstrate how the income of various regions has evolved through time. We looked at the data from 1950 to 2020 and found that North America's economic situation was at the top and is increasing at a constant pace. The world's income is very low when compared to very few regions which say that many nations are below the average line and are not even increase with time. If we take Asia and Africa their income is not at all increasing. Whereas the income of North America, Europe are increasing and continuously moving bigger than the average. This is a huge inequality as not only income of many countries low but also it is not increasing. If we look at North America its average income rose by 35k Euros, for Africa it rose just by 3k which is one in ten. The average has been dragged down by Africa and Asia. The fall in income in the year 2020 for all regions is attributed to covid.
Comparison of income within regions throughout time
Income is the monthly or yearly earnings of a person. So, this is the most significant parameter to measure inequality. In the previous graph, we have seen inequality among different regions. But, here we are showing inequality within the regions. From the graph it is clear that 52% of the world's income is earned only by the top 10% of people, 20% of income is earned by the top 1% of people, whereas only 9% of income is shared by the bottom 50%. Which shows us a huge income inequality throughout the world.
The inequality in Europe and Oceania is somewhat less than the others as the bottom 50% of people hold some significant percent of Income. Coming to underdeveloped regions like Asia, Africa, and Latin America the inequality is very huge. In Latin America, 25% of Income is earned by only the top 1% and the bottom 50% of people earn only 9%. In Asia and Africa, the situation is the same.
Going through time with small changes in percentages there are many changes in the inequalities across the globe. As in 1980 top, 10% of people earned 52% and in 2020 also they earned the same, with a small increase in the earnings of the bottom 50% which is almost negligible. In Asia, Africa, and Latin America there is a small reduction in inequality as the bottom 50% of people can earn some increment in earnings. But in Europe, there is an increase in inequality as in 1980 the top 10% of people earned 30% which rose to 35% in 2020.
Income variation within Asia
Inequalities are not only between regions, but there are also within the regions. To show this we have drawn income graph within Asia.
Now, let us see and analyze the different growth and income inequality patterns within Asia for the past few decades. Inequality within Asia is more than in the World. As we can observe, the income of West Asia took a jump from the year 1960, due to the reason that the Oil requirements increased throughout the world, its income took a jump but fell in the 1990s due to the cold war. then after it is increasing continuously. Whereas in other parts like South and East they are very less and also not increased in early years but after the year 2000, they also increased significantly and thus moving towards less inequality.
(B).Inequality Comparision based on Wealth
Wealth is determined by taking the total market value of all physical and intangible assets owned, then subtracting all debts. Essentially, wealth is the accumulation of scarce resources. The twelfth edition of the Global Wealth Report, published by the Credit Suisse Research Institute, shows continued wealth growth. Total global wealth grew by 7.4% and wealth per adult reached another record high of USD 79,952. The total net wealth of the entire world comes to a staggering $431 trillion. But is this wealth is shared equally across the regions and population let us see.
From the graph above we can observe that the world's 80% of the total wealth is owned by only 10% of the people in that too 37% of the total wealth on the earth is owned by just 1% population and the bottom 50% population holds just 1% of wealth is not at all increasing with time, which a huge huge inequality. In the case of income, it was like some local percentage was earned by different population but here that is not the case. This implies the wealth parameter has an inequality across regions and all within the population of the region.
This situation is somewhat better in Europe but that is too huge an inequality. In Asia, Africa and Latin America inequality is huge, and change with time is completely negligible. The good thing is that at least the bottom 50% of the population is gaining a numeric percentage.
Public vs Private Wealth
Public wealth belongs to all or the government, which does not have inequalities. But, Private wealth belongs to individuals which can be accumulated by individuals. Therefore, this parameter is very useful in measuring inequality.
Over the years Relative Public Wealth is Falling
One of the best parameters to measure inequality in society is Public and Private wealth. Increase in private wealth indicates that the wealth is getting accumulated. As the countries are becoming rich the wealth is becoming accumulated in the hands of people and thus circumstances of crisis governments can not withstand the crisis which in turn leads to the worst case of crisis. In the graph, we can observe that over the years public wealth almost remains the same, whereas public wealth is increasing constantly. This clearly shows that wealth sharing is drastically falling, giving rise to huge inequality.
Public vs Private Wealth of different regions with time
The above two graphs depict the change in the public and private wealth of different nations with time. Basically, with the observation, it is clear that the difference between the private and public wealth in developed countries is less compared to that in developing countries. If we consider the USA and France, the private wealth is nearly the same as that of the public. Whereas if we take more developing countries like India and China, there is a huge difference, we can see in the second graph that the Indian line is superior to all others, indicating the huge inequality.
Top 10% wealth vs Income
Here, we have drawn bar graph to show comparative inequality between Income and Wealth.
This graph of income vs wealth is drawn to show that income and wealth show similar inequalities for many of the regions. It is observed that wealth inequality is comparatively more than income inequality, as income is something based on the present working of a person whereas wealth is related to their parental wealth accumulation.
From the graph, it is clear that 53% of income is shared by only the top 10% of people, whereas the top 10% of people share nearly 75% of the world's wealth. So, even though wealth and income show similarities in inequality, the wealth factor holds more inequality.
First we have calculated the average of wealth and income of every country. Then we mindfully selected a subset of the average data. Furthermore we examine the ratio between two parameters. We have assigned one id called cluster id for each country of that subset. So, for each country with average wealth income ratio of that subset will be assigned with a cluster id.Hence, the countries with similar average wealth income ratio clustered together as we can see in the graph.
(C).Measuring inequality with Regional Carbon emitters
Carbon Footprint is a new parameter to measure inequality, as this directly corresponds to the wealth.
A carbon footprint is the total amount of greenhouse gasses (including carbon dioxide and methane) that are generated by our actions. It is a basic point that more the wealth, more the industries, more the usage of electrical items like A.C. So, this parameter can also be used to measure the inequality around the globe. The total emittance observed from the graph in 2019 is 48 billion tons. Much of this contribution comes from Asia depicting the fact that Asia holds much of the world's population and also industries. Thus, its emittance is increasing heavily through the years.
But in the case of developed countries which mostly depend on the technological economy, the emittance is not changing through the years. and in the case of underdeveloped countries also it is not increasing since there are no industries and so no emittance.
So, carbon inequality says that developing countries hold the highest inequalities.
Carbon Emission compared with wealth of different regions
In this graph we have compared wealth with Carbon emittance to compare the similarities between them.
This bar graph between wealth and carbon emittance reflects the point above i.e developing countries hold more inequality when compared to developed and underdeveloped countries.
The world is on track to produce nearly 43 billion tonnes by 2020. Asia makes the most significant contribution (25 billion tonnes). This is understandable given Asia's large population of developing countries. Europe, North America, and Africa are all large continents in terms of land area, but their contributions are relatively minor (17 billion tonnes combined).
(D). Inequality with Female Labour Income share
Now, lets move to measure inequality with Gender.
This graph depicts the earnings of female workers. Russia and Central Asia are at the top of the graph, accounting for 40% of the country's total income. However, for the Asian nation, it only reached 20%. Through the years the percentage of share of male workers or male work is significantly becoming equal or all men moving towards the average share. But, it is not the case for female workers, it is remaining significantly low and constant. Changing mindsets will be the most difficult problem because many barriers to entrepreneurship are linked to hierarchical and lineage traditions that are strongly ingrained in many South Asian societies. To ensure that women in rural regions have the same access to a great education, employment, healthcare, and decision-making as their urban counterparts, more consistent work is necessary to bridge the rural-urban or even gender division.
Through our analysis, we observe that the income or wealth is mainly accumulated by a very less percentage of the people or countries, or regions.
Nearly 90% of the total wealth is accumulated with a significantly low percentage(25 %) of the population in each country.
This depicts that only a few countries are above the average line. And also, when comparing a country basis, we observed that the wealth is associated with only a few developed countries or high resource countries which depicts a high inequality on a regional basis.
We also observed that analysing data on a regional basis is better and more efficient as regions depict the resource availability and also strategic importance which we also observed in analysing.
With the above statement, we want to say that the regions are having nearly the same shares, as Latin America and the Indian subcontinent.
Regarding the female income labour share, it is observed that their income share is increasing in parallel to males.
Coming to the carbon emission, it primarily depicts that more carbon emission implies more industrial productivity which interns depict that this factor also leads to inequality.
CONCLUSION
From our observation we conclude that Inequality is more with Wealth parameter follwed by Gender then followed by Income.
Gender disparities in educational attainment hinder economic progress both directly and indirectly by decreasing average human capital and influencing investment and population growth. As a result, economic progress decreases fertility and narrows the pay gap between men and women. Lower GDP per capita is linked to a low female-male enrolment ratio. Therefore, if we can increase the literacy rate, we can improve GDP per capita. As a result, one of the few "win-win" development methods might be fostering gender equality in education. It enhances economic prosperity and efficiency, as well as other key human development goals, and it is beneficial in and of itself. Furthermore, industries and cars are highly frequent in industrialized countries. As a result, there is more pollution in the environment. A 1% increase in revenue results in a 0.88 percent increase in emissions.