Widening levels of income distribution have led to increased anger, according to a poll carried out for the Guardian by ICM. The articles linked to below look at this issue from a range of perspectives and using a series of regional case studies.
Anger at gap between rich and poor – ICM poll Guardian (20/2/08)
Diamonds for rich inside M25; hard times for the rest Guardian (21/1/08)
What the Romans did for us: introduce a North-South divide Guardian (21/1/08)
Where Burberry, Bentleys and bling prevail Guardian (21/1/08)
Dark reality hidden behind the picturesque scenery Guardian (21/1/08)
Mills and mail order: end of Empire marks another stage of decline Guardian (21/1/08)
Mind the gap Guardian (21/1/08)
Questions
| 1. |
Define the terms ‘Lorenz curve’ and Gini coefficient’. |
| 2. |
Using diagrams as appropriate show the changes that have taken place in income distribution in the UK in the past decade. |
| 3. |
Assess the principal causes of the growing North-South divide. |
| 4. |
Evaluate two policy options available to the government to reduce the widening gap in income distribution. |
At the turn of the century, the UN Development Programme identified a series of seven Millennium Development Goals (http://www.undp.org/mdg/). The article linked to below from the Guardian, considers the progress that has been made towards these goals. Urgent progress is required if the goals are to be met by the target date of 2015.
Poverty, hunger and disease: so much done yet so much left to do Guardian (10/12/07)
Questions
| 1. |
What are the seven Millennium Development Goals. |
| 2. |
Discuss the action that is required if the goals are to be met by the target date of 2015. |
| 3. |
Analyse the extent to which an increase in overseas aid will help to achieve the Millennium Development Goals. |
In many parts of the world poor water and sanitation are one of the biggest killers. The article below looks at the situation in the shanty towns of Dhaka in Bangladesh.
Where death by water is part of daily life Guardian (26/11/07)
Questions
| 1. |
What is the difference between economic growth and economic development. |
| 2. |
Assess the extent to which an increase in economic growth will help to deliver higher living standards. |
| 3. |
Discuss the effectiveness of foreign aid as a policy to improve the standard of water and sanitation. |
Rapidly rising food prices have led to instability in many countries and have fuelled inflation in less developed economies where food spending is a greater proportion of overall consumer spending. A number of factors have contributed to this rapid rise in prices, but one important contributory factor is the move towards growing crops that can be used as bio-fuels in the developing world and this shift in production is having a knock-on effect in world food markets.
Big food companies accused of risking climate catastrophe Guardian (8/11/07)
An agricultural crime against humanity Monbiot.com (6/11/07)
Global food crisis looms as climate change and fuel shortages bite Guardian (3/11/07)
Questions
| 1. |
Identify the main factors that have led to rising world food prices. |
| 2. |
Assess the extent to which the move towards bio-fuels has contributed to the rise in world food prices. |
| 3. |
Explain how the impact of rising food prices differs in the developed and developing world. |
| 4. |
Discuss policies that governments could adopt to ameliorate the impact of rising food prices on the level of economic growth. |
Globalisation has reduced the bargaining power of unskilled workers and pushed up inequality in many western countries, the OECD said, urging governments to improve their social safety nets.” With the gap between rich and poor widening once again, the media have been considering the impact of widening income and wealth distribution. The articles below look at this widening gap and also at the ways in which the rich are using their money.
Gap between rich and poor widens Guardian (20/6/07)
For the super-rich it’s all give and take – at record levels Guardian (20/6/07)
Looking after the super-rich BBC News Online (Evan Davis blog) (9/8/07)
Questions
| 1. |
Define what is meant by the terms (i) Lorenz curve and (ii) Gini coefficient. |
| 2. |
Using illustrations as appropriate, show how the Lorenz curve and the value of the Gini coefficient have changed in the past decade. |
| 3. |
Assess the likely impact on the major macroeconomic targets of growing income inequality. |
| 4. |
Discuss policies that the government could put in place to try to reduce the level of income inequality. |