Inequality in income and wealth among certain groups can often lead a nation into conflict. Once the gap between the haves and the have-nots widens beyond a certain point, economic progress grinds to a halt, and tensions in society increase. The pandemic has only exacerbated this situation, causing immense suffering and plunging the youth of many nations into darkness. Therefore, the question arises: how can developed countries work to reduce this inequality gap?
It is often said that if a nation produces more educated individuals, it will lead to well-organized and sustained growth over the long term, as those individuals understand the value of teamwork and the impact it can have on achieving a successful nation.
For all countries to thrive, there must be a well-structured system of employment, both formal and informal. To ensure this, governments must undertake reforms to bridge the wage gap between high-earning and low-earning citizens.
Universal Pay Scheme
To ensure equality between the rich and lower-income people, a universal payment can be implemented to ensure that every citizen can live with dignity. Through this, individuals have the opportunity to utilize their creativity and abilities without having to worry about basic necessities.
In order to achieve the best possible equitable distribution, governments must provide social safety measures such as pension schemes, particularly to those working in informal markets. This will ensure that those in the informal market feel they have sufficient resources and that their health will not be compromised.
Inequality in income and wealth among certain groups can have a severe impact on a nation, leading to conflict and hindering economic progress. To reduce this inequality gap, governments must look to invest in education and undertake employment reforms to bridge the wage gap between high-earning and low-earning citizens. Ultimately, this will result in a more prosperous and equitable society, where the youth are given the opportunity to succeed and thrive.