Global Inequality: Causes, Effects, and Potential Solutions Analysis

This report delves into the multifaceted issue of global inequality, examining its various dimensions, including income and wealth disparities, and gender inequality. It identifies key contributing factors such as geographic disadvantages, technological advancements, and government policies, highlighting their impact on the widening gap between the rich and the poor. The report analyzes the role of the World Health Organization (WHO) in addressing these challenges, focusing on community engagement, advocacy for common good, and interventions in business supply chains. It also explores the implementation of campaigns and recommendations aimed at reducing inequality. The report concludes by emphasizing the increasing inequality in Australia and globally, and underscores the importance of continued efforts to mitigate these disparities through various strategies and initiatives.

Justice and change in a global
world

Table of Contents
INTRODUCTION...........................................................................................................................1
MAN BODY....................................................................................................................................1
Global inequality....................................................................................................................1
Why the issue affected............................................................................................................1
Ways to address the issue through World Trade Organization..............................................2
CONCLUSION................................................................................................................................3
References........................................................................................................................................4

INTRODUCTION
In this global world, there are most of the issues which are faces by the firm as well as
people some of them are poverty, inequality and unemployment. In the same way, present report
is based upon the global issue i.e. Global inequality and the chosen firm for this report is World
Health organization, which is an agency that is mainly concern with public health. The quoted
firm is also operated at different countries and it is mainly responsible for the World Health
Report and then take necessary action for removing the problem as well.
MAN BODY
Global inequality
Global inequality Is mainly focus on the income inequality at world or state level while
common good refers to shared or beneficial for almost all the members of a community.
Inequality has been rise from several decades and though many of the country are also try
to reduce the number of people who are living in extreme poverty but it has been analysed that
through economic gap that the richest level of wealth is the grow and this leads to global
inequality Sumner, (2019).
On the other side, it has been analysed that as globalization and the world economy is
continue to become more global and in the same way, global inequality is world's economy
rivals that creates a gap between the rich and poor and as a result, poorer become more poorer
and rich become more richer.
Overall this affect the economy of the world and also raises the conflicts as well.
Therefore, in Australia, inequality is increases and it is a deficient measure of an inequality, it is
so because of pre-tax measure of income. As per KPMG, 60% of the Australian households pay
no net income tax.
Why the issue affected
As inequality is consider one of the major issue at global level and it is also affected
through variety of issues such as:
Geography: It is one of the most affecting factor of global inequality such as the country
who is poor, then they have certain geographic characteristics which also contribute to the
economic problem Ravallion, (2019). For instance, at global level sometimes it faces
transportation cost in accessing the global market due to its location.
1

Growth in technology that widens the income gaps: Many authors argued that global
inequality is also affected by growth in advance technology such that for unskilled workers there
are lot of workers which did not know how to operate the system and the rapid development of
artificial intelligence, the skilled workers are replaced by robots and computer. This it leads to
increase the global inequality at global level Zucman, (2019).
Government policies: It also increases the issue of global inequality such that corruption
in government. It has been further analysed that government policy may focus little on citizen
concern with inequality and their main focus in on politics and leaders action. Thus, it also raise
the level of global inequality Kanbur, (2019).
Thus, it has been analysed that at global level, the inequality is become a major issue and
excessive inequality is also harmful in a society. Such that when people with low income and
wealth are left behind, such that they struggle to reach a socially acceptable living standards and
this leads to creates a divisions in a society.
Overall, too much inequality is also bad for the economy and the government of Australia
is also put their own efforts in order to overcome the issue and decreases the percentage of global
inequality in world. At global level, the inequality is decreases because of strong economic
growth in developing countries.
Such that as per the report, it has been analysed that the wealthiest 10% of Australian
with an average per capita wealth is around $2 million and also hold around 48% of the net
wealth compared to past years. But on the other side, it has been analysed that the poor 50% of
Australian has also share the net wealth fall from 3.9% to 3.7% (Wealth inequality in Australia,
2018). Thus, it shows that the wealth inequality in Australia is getting worse from last many
years.
The inequality is not only done by wealth and income but it is also describe in the form of
Gender Inequality in which different company pay different wages to their employees by
discriminating on the basis of gender. Even records also shows that in Australia, men, women,
transgender are experience aspects of gender inequality.
Ways to address the issue through World Trade Organization
Community Engagement: on the other side, World Health Organization start making
their efforts in order to reduce the level of global inequality such that, the Close the Gap
campaign is introduce in which WHO also help to launch and also produce the range of
2

recommendations for a government in order to close the Indigenous Health gap (Ways to
overcome Inequality in Australia, 2018). Further, it also prescribe the minimum waged that
should be pay to the employees and this will help to reduce the level of income inequality. Even
the quoted firm also introduce different campaign that shows or also ensure the non-
discrimination in the workplace and also recommended different ways that help a business which
might be contributing to inequality and think broadly, so that it creates positive impact upon the
people and helps to raise the economy of the country as well.
Advocacy to Promote Common Good: Apart from this, it has been also analysed that
WHO also takes action on the business supply chain that protect the human right and it also
includes paying poverty wages to women as well. WHO also makes sure that the tax affairs of
large business are public right across the globe and also helps to stop money from being hidden
in tax shelter so that the revenue of the Australia is increases and provides better support to the
country's economy as well Pieterse, (2019).
CONCLUSION
By summing up above report it has been concluded that in Australia, inequality is
increases from many years and even at global level, the inequality is raises in many forms such
as gender, income or wealth level, education etc. The report also concluded different factors that
also affect and increases the level of global inequality. Further, WHO also start initiating some
steps that helps to reduce the level of Inequality in Australia, such that it launch some campaign
that provides the idea and also make people and organization aware about the inequality so that
the level of inequality id reduces at global level.
3

References
Books and Journals
Kanbur, R. (2019). INEQUALITY IN A GLOBAL PERSPECTIVE.
Pieterse, J. N. (2019). Globalization and culture: Global mélange. Rowman & Littlefield
Publishers.
Ravallion, M. (2019). Global inequality when unequal countries create unequal
people. European Economic Review. 111. 85-97.
Sumner, A. (2019). Global Poverty and Inequality: Change and Continuity in Late
Development. Development and Change.50(2). 410-425.
Zucman, G. (2019). Global wealth inequality. Annual Review of Economics. 11.
Online
Ways to overcome Inequality in Australia. 2018. [Online]. Available through:
<https://theconversation.com/there-are-many-good-ideas-to-tackle-inequality-its-time-
we-acted-on-them-106700>.
Wealth inequality in Australia. 2018. [Online]. Available through:
<http://www.roymorgan.com/findings/7733-wealth-inequality-in-australia-is-getting-
worse-201809210554>.
4