Because it is THE issue facing many societies today, with negative effects across the board, and yet, it is largely ignored:
“The incomes of the richest sections of society are soaring in the UK, China and India, and in most other countries as well. The poorest groups are seeing slow improvements at best, and often decline. Recent estimates indicate that at the current rate it will take more than 800 years for the bottom billion of the world population to achieve 10% of global income.
The UN general assembly began its 66th session last week. Many of the heads of state attending will no doubt report on their country’s progress towards the millennium development goals. They’re also likely to discuss the targets that will succeed the MDGs after 2015. However, there will almost certainly be a looming gap in these presentations: the rising inequalities between and within countries.
A year ago, coinciding with the UN MDG summit, the Institute of Development Studies (IDS) and the MDG Achievement Fund released a report showing that the MDG targets largely overlooked inequality. Even in countries where there has been progress towards the MDGs, inequalities have grown. A Unicef study shows that only a third of the countries that have reduced national rates of child mortality have succeeded in reducing the gap between mortality rates in the richest and poorest households.
Inequality matters not just for those at the bottom. Highly unequal countries tend to grow more slowly, are more prone to conflict and have weaker civil societies. The much-cited study The Spirit Level found that across developed countries, crime, disease and environmental problems were exacerbated by inequality. Such ill effects in society made everyone worse off, even the middle classes.”
And yet, reducing poverty is essential to development and healthier societies:
“The meeting examined successful inequality reduction policies, sharing the lessons of a handful of countries that have defied the global trend. Thirteen countries in Latin America, including Brazil, Argentina and Chile, have narrowed the gap between the incomes of the poorest and wealthiest groups over the last decade. Similar positive trends have been seen in Malaysia, Thailand and in several African nations.
How was progress possible in these countries? Inequalities fell when governments expanded social protection programmes like Brazil’s Bolsa Familia. Minimum wage legislation and policies allowing more people to access secondary and higher education also contributed to success. Successful countries used progressive taxation or channelled mining and oil revenues to fund inequality-reducing programmes.”
These programs have been discussed at length in Just Give Money to the Poor.