Income Distribution is More Important than Economic Growth in Developing Countries It has always been the focus of government’s to develop and growth their economies, however economic growth alone does not promise the equal distribution of income and wealth. On the contrary many developing countries have seen much economic growth, however this economic growth has not been translated into higher living standards for all citizens, rather it has succeeded in making the rich even more richer and the poor even more poorer. According to Milanovic’s study 25% of the world’s population either owns or controls 75% of the world income and the poorest 75% of the population had access to only 25% of world’s income ((Li, 2001, pp. 572). When compared...The end:
.....ot enough of the new wealth is channeled through welfare activities to the poorer segments of society nor is it transferred through taxes from the rich to the poor. Thus making it impossible for the poor to break out of their cycle of poverty due to their lack of education and skills and thus making the disparity in income distribution only widen and not lessen. References Ackerman, B., & Alstott, A. (1999, April). “Against Inequality: The Stakeholder Society”. The Atlantic Monthly. Dugger, W. M. (2004). “Naming the System: Inequality and Work in the Global Economy”. Journal of Economic Issues, 38(3), pp. 863. Li, S. (2001). “Regional Development in China: States, Globalization and Inequality”. China Review International, 8(2), pp. 572.