Economic Inequality between People

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THE HISTORY OF ECONOMIC INEQUALITY Economic inequality can be said to be the gap between the rich and poor. Economic inequality typically refers to the unequalness among individuals and countries. It can also be referred to inequality among countries. It varies between people, historical periods, economic structures and systems; for example capitalist economy where people make their money themselves and the rich wants to become richer and are not willing to render any form of assistance to the poor, leaving them to live their lives (Wojciech Kopczuk, 2010). During the apartheid period in South Africa, the white people ruled the black people and made them their slaves. The black people are not attending the same school the white people go and the black are not allowed to work in an office owned by a white. The white people killed any black person that wanted to overthrow them and arrested some and sentenced the rest for life. The Apartheid policy was highly effective of achieving its goal of preferential treatment for whites as demonstrated in figure1 Apartheid and the People of South Africa Blacks Whites Population 19 million 4.5 million Land Allocation 13 percent 57 percent Share of National Income <20 percent 75 percent Ratio of average earnings 1 14 Minimum taxable income 360 rands 750 rands Doctors/population 1/44,000 1/400 Infant mortality rate 20%(urban) 40% (rural) 2.70% Annual expenditure on education per people $45 $696 Teacher/pupil ratio 1/60 1/22 Table 1: Table showing Economic inequality in South Africa Figure (Anzovin , 1987) From the table, the blacks in South Africa are many than the whites in the country, eighty-seven percent of the land allocation went to the whites and the remaining thirteen ... ... middle of paper ... ..., often lead to high levels of inequality, outcomes that are widely viewed as unfair." (Stilitz, 2012). A job where there is high level of supply and also want to work for a lengthy period of time only some would be chosen thereby causing low wage to the job seekers. According to Hazlitt, Henry ‘’ Members may also receive higher wages through collective bargaining political influence, or corruption’’ (Hazlitt, 1988). Future The effects of economic inequality The major effect of economic inequality is poverty. When people are cheated or deprived of their right as citizens they would suffer. Different sources and scholars have tried to predict the future of economic inequality but have not come to a conclusion on the possible future. They are not sure of the future because they cannot tell when there would be another war that would make people become slaves.

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