The Reasons Why Inequality Between Rich and Poor Countries Is Constantly Increasing

As the Food and Agriculture Organisation of the United Nations (FAO) has recently pointed out, low-income countries with few resources, weaker public health, social protection, hygiene, and problematic public services than developed countries are facing exceedingly difficult situations in dealing with the health crisis and its economic impact.

by Thanos S. Chonthrogiannis

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The pandemic brought to the fore the transfer of wealth from certain sectors of an economy to other sectors of the same economy, but at the same time exacerbated all kinds of inequalities between rich and poor countries, in the same way that it transferred wealth between industries within rich countries.

The gap will widen even further in the future as poor countries are unable to integrate modern technologies such as Artificial Intelligence (AI), 3D- printing, etc. and as is the case in rich countries.

This finding alone has made it necessary to transfer wealth for investment in developed economies. As a result, the gap between rich and poor countries in poor countries (mainly rural areas) has widened.

Any progress made in the last fifteen years to close the gap between rich and poor countries has in fact been vented. The poor have become poorer and are heading for a livelihood in jobs that need to be contacted by the customer.

The International Labour Organisation has pointed out that six hundred (600) million people work in the catering, hotel, and retail sectors alone. Sectors of the economy were brutally hit by repeated economic shutdowns and lockdowns.

These are the sectors of the economy where young people and low-skilled people, women, and minorities of all kinds work, and in general those who do not have a stable job.

At the same time, a large proportion of these workers to make a living will have to necessarily head to the shadow economy, already increasing the two (2) billion people (worldwide) who work in it.

 

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1 Comment

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