Article by Mizuki Imamura

Photo by Elena Mozhvilo on Unsplash

As globalization advances and economies evolve, disparities—both between countries and within them—intensify. This phenomenon raises the question: is the economic inequality within nations a more pressing issue than the international economic divide? While disparities within a country undeniably affect individuals’ quality of life, focusing solely on them may hinder our ability to address global inequities, which play a critical role in shaping socioeconomic opportunities across borders.

In Japan, I spent my childhood without access to private tutoring, as was the case for most of my friends. We all relied solely on public education, which often felt inadequate. Many students couldn’t afford to attend cram schools, and some couldn’t pursue higher education due to financial constraints or familial responsibilities that required them to work. While starting work at a young age isn’t necessarily detrimental, I strongly feel that everyone should have the freedom to choose their future without economic hardship as a limiting factor. Upon entering university, I observed a different reality. Most of my classmates seemed financially comfortable, and, despite studying topics like poverty, they appeared indifferent to the inequality present within our society. This disparity between my background and that of my peers sparked my interest in the origins of inequality and potential solutions for creating a more equitable society. These experiences have driven me to explore how structural inequalities are formed and what steps can be taken to ensure that economic circumstances don’t prevent individuals from reaching their full potential.

According to Wilkinson and Pickett, the authors of The Spirit Level, societies with high levels of internal inequality tend to experience increased social issues, ranging from poor health to higher rates of violence. They argue that such problems are more closely tied to income inequality than to average living standards. This suggests that creating more equitable societies within individual nations could help alleviate a range of social ills. However, ignoring international disparities would neglect the significant role that global economic imbalances play in shaping individuals’ life chances.

Branko Milanovic’s research into global income distribution illustrates the importance of one’s birth country in determining life opportunities, such as access to health, education, and income. His studies suggest that a person’s position in the global income percentile is largely determined by their country of origin and parental income level—factors outside of an individual’s control. This indicates that global inequality is not merely an abstract issue; it directly affects people’s opportunities for upward mobility, particularly for those born into low-income countries. Addressing global inequality could, therefore, have a direct impact on reducing poverty, ensuring that economic growth benefits a wider population, and limiting the dominance of wealthier nations over poorer ones.

The implications of global inequality extend beyond economic outcomes. High levels of inequality can exacerbate issues like immigration pressures and sociopolitical instability, which arise when people seek better opportunities across borders. In both developed and developing nations, the disparities between wealthier and poorer segments of society foster a range of social tensions. For instance, inequality can create barriers to accessing education and healthcare, both critical to human development. Ignoring the broader, global context of inequality may therefore lead to inadequate solutions that fail to address the root causes of many contemporary issues.

To understand the persistence of inequality, it’s important to examine the social structures that enable it. Charles Tilly’s work on “durable inequality” emphasizes how certain groups are systemically categorized and marginalized, leading to imbalanced resource allocation and entrenched social divisions. This classification allows dominant groups to consolidate power by restricting resources and opportunities available to marginalized groups. Consequently, any attempt to create a more equitable society must involve dismantling these structural inequalities, which are often embedded in legal and political systems.

In assessing the scope of inequality, it is also essential to consider the tools we use to measure it. Traditional metrics, like GDP, often overlook disparities within nations and fail to account for inequality in terms of access to healthcare, education, and other social services. Shifting our focus to alternative metrics—such as quality of life, healthcare access, or educational attainment—could provide a more accurate picture of global inequality. These measures could help policymakers understand and address the deeper impacts of economic disparities on human welfare.

Ultimately, creating a more equitable world will require sustained effort and a shift in perspective that acknowledges both local and global inequalities. By broadening our approach to include measures beyond GDP and by addressing the institutional factors that perpetuate inequality, we can work towards a more just and balanced global society that provides fair opportunities for all.

References:

Wilkinson, Richard; Kate Pickett, in The Spirit Level: Why Equality is Better for Everyone, London: Penguin, 2010

Tilly, Charles. Durable Inequality. E-book, Berkeley: University of California Press, 1998, https://hdl-handle-net.manchester.idm.oclc.org/2027/heb31533.0001.001.

Branko Milanovic. Global Inequality: A New Approach for the Age of Globalization. Harvard University Press, 2018

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