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Thomas Pogge on Global Poverty (May 31

,
2011)
Author of “World Poverty” Thomas Pogge argues that global poverty is on the rise, even while the average
global income is increasing. In general, the poor’s share of global profits has decreased, unequal income and
wealth distribution has increased, and the actual numbers of those living in poverty are larger than current
models suggest. According to Pogge, citizens themselves are responsible for the continued unequal
distribution of resources, because they have the means to change things. He argues for a reassessment of
power structures, global arrangements, and institutional roles so that the poor can improve their lives and
reclaim their human rights. (Policy Innovations)

A Worry for Beijing That Goes Beyond
Cities (April 25, 2011)
China’s gap between rich and poor is growing at an alarming rate, and is prompting government authorities to
make changes in an attempt to prevent social unrest. While economic reform has raised incomes for many
Chinese, making some phenomenally wealthy, scores of millions remain mired in deep poverty. The growing
gulf is breeding resentment, which may prompt broader class conflict. (New York Times)

Inequality, the New Dynamic of
History (February 6, 2011)
Policy makers around the world have identified the growing divide between rich and poor as a factor of
increased instability. While proponents of the market system advocate for changes in redistributive policies,
others have voiced the need for adopting more radical changes to global economic structures. Governments
are removing stimulus measures established after the global economic meltdown and are replacing them with
austerity programs in an effort to mend battered finances. Yet questions loom about the effects such actions
will have on the working class and what this means for global inequality. ( The Guardian)

Egypt Youth Unemployment Was 'Time Bomb':
IMF Head (February 1, 2011)
Director of the International Monetary Fund (IMF) Dominique Strauss-Kahn claims that he had repeatedly
warned policy makers about the possibility of revolution in Egypt over the past year. Strauss-Kahn spoke out
last summer at a meeting in Morocco, where he raised concerns about the specter of general instability in the
region due to vast inequality in income distribution and high levels of youth unemployment. Strauss-Kahn's
comments clash with multiple IMF staff reports from recent years, which lauded Egypt's wide-ranging reform
efforts and policies that guaranteed greater macroeconomic stability. ( CNBC)

IMF Raises Spectre of Civil War as Global
Inequalities Worsen (February 1, 2011)
The International Monetary Fund (IMF) identifies global inequality as a major cause of the economic crisis and
urges nations to address it. A recent paper released by the IMF states that workers have steadily lost their
"bargaining power" relative to owners of capital. To reverse this trend, governments should institute radical
changes to their tax codes and offer debt relief to workers facing an escalating crunch from low wage growth
and increasing food and energy prices. (The Telegraph)

The Rise of the New Global Elite
(January/February, 2011)
The gulf between rich and poor around the world is widening. The "transglobal community of peers," from
Lagos to Beijing, often educated at elite Western institutions, tends to view themselves as having more in

2010) "Philanthrocapitalists" that want to pay back parts of what they have earned from the society. Today. the world's rich have two options: "suppress dissent or share their wealth. A new financial system must also reduce income inequalities. contributing to the possibility of a more equal distribution of global wealth. like Bill Gates' "Giving Pledge." Without a major and concerted effort to redistribute global wealth the world is surely headed for deeper social and economic crisis." Instead of donating large parts of their capital to various foundations." before imposing their own priorities and agendas through new foundations.2 billion people live on less than a dollar a day." owners of multinational corporations should address issues like offshore bank accounts and corporate tax avoidance . (OpenDemocracy) An Era of Disparity (July 22. income inequality has grown dramatically in most regions of the world. 2008) Income inequality between the rich and the poor is accelerating. ( The Atlantic) 2010 How Billionaires can Help the World (August 23. 2009) Global capitalism creates social inequality and increases the gap between rich and poor. One-third of the 4. (International Labor Organization) World of Work Report 2008 (October 2008) The financial crisis provides a rare opportunity for world leaders to reform the structures of global governance.4 billion people who live in poor countries. 2008) While economic growth produced millions of new jobs since the early 1990s. This article says "progressive billionaires should concentrate on cleaning their dirty laundry first. should be doing so in a way that can accomplish more than just a "scratch on the surface. (Zmag) 2008 A World in Flux: Crisis to Agency (October 16. Governments should in future regulate financial companies and control currency speculation through a tax on all currency transactions across borders. Many economists argue that the world's growing income inequality is at least partly responsible for the economic crisis. The author says that the increasingly globalized . 20 percent of the world's population receives over 80 percent of the world's income. New communication technologies can create alternative realities. international capital flows and the global financial crisis will further widen this gap between the world's rich and poor. In the end. the gap between people living in extreme poverty and extreme wealth grew by 70 percent. Economic deregulation. This article suggests that the world needs a global conversation on how to bridge this social rift. (Open Democracy) 2009 Creating Common Grounds (July 15.topics that actually cuts to the core of social injustice and world poverty. From 1990 to 2005. The report promotes a "Decent Work Agenda" including social protection and respect for workers rights in order to obtain a more equal global labor market. whereas 1. There are 500 billionaires worldwide. do not have access to safe drinking water.common with each other than their next door neighbors. This article suggests that a global summit should launch a reform of the financial system.

The author concludes that a tiny group at the top of global society reaps the rewards of globalization. Globalization has been good to those in the tops of societies. 2008) This Canadian Broadcasting Corporation article criticizes world leaders and economists who use Gross Domestic Product (GDP) as an indicator of quality of life. He supports drastic re-distribution from the top down. most sophisticated yacht. He proposes alternate measures like the UN Human Development Index and the Genuine Progress Indicator that use health." as it fails to reflect the income gaps between the rich and the poor. But. But. 2008) Increasingly. but also within both poor and rich nations. Spreading the Benefits of Globalization (March 26. 2008) Global income inequality between rich and poor countries is decreasing says Inter Press Service. between the North and the South. (Countercurrents. Instead. (Transnational Institute) . such as increasing income tax for top earners. GDP: The Measure and Mismeasure of the Economy (June 30. this data fails to explain why poverty and hunger are increasing worldwide. GDP measures overall output and strength of a country's economy. the growth has only benefited a small section of these countries' populations. and institutions such as the World Bank are less important than before. environmental impact and standard of living as indicators of the quality of life. The UN Conference on Trade and Development (UNCTAD) reports that real per capita incomes are on average 18 times higher in richer nations than poorer nations. This New York Times article reports that billionaires are continuing a game of "one-upmanship" around who has the longest. and the risk of an economic recession will place further. and eliminating income tax for those earning less than a given average national income. 2008) This World Economy and Development in Brief article states that increased exports and foreign investment have led to strong economic growth in some poorer countries. but the world's billionaires are not worried. leading to violent protests in India and large-scale demonstrations in China. we should favor local workers and firms because a local economy would empower a greater majority of the world's people. ( World Economy & Development in Brief) Measuring Wealth by the Foot (March 16. the public." Various reports show a trend of increased inequality in the world.economy unfairly allows a small percentage of the people to benefit. 2008) Many fear for a global recession. climate change. while the vast majority of people miss out. But. Globalization and War (March 10. the author says "GDP is a measure of quantity. compared to 24 times higher in 1980. but the system as a whole faces crisis: The World Trade Organization finds itself in deadlock. extreme stress on the world system and will lead to increased violent conflict. finance-driven globalization" has led to huge and ever increasing inequality. economic inequality within richer and poorer nations has also increased markedly. 2008) Political scientist Susan George argues that "corporate-led. not quality. George argues that scarcity of food and water. Globalization 'Localizes' Inequality (March 11. economists and development analysts are questioning whether globalization has delivered on its "promised benefits. The 2008 UNCTAD Least Developed Countries Report says that countries should increase public spending through well-targeted programs in areas of primary education and create jobs for their growing populations. In fact.org) Global Slowdown: The LCDs' Sword of Damocles (July 17.

While Latin American countries are among the world's largest food producers. (International Herald Tribune) Are the Poor Getting Poorer? (October 31. The economic differences are particularly well reflected in statistics on US citizens' health. 2007) This Inter Press Service article investigates the links between economic growth and inequality in Latin America. Many economists. Depending on where they choose to invest their fortunes Chinese billionaires could influence global political and economic relations. which in any case are inadequate indicators of wealth in a country where luxury goods are more affordable than necessities such as basic health care. China has the largest number of billionaires in the world. the World Bank and the International Monetary Fund (IMF) analyze growing global inequalities of wealth and income. In the Harlem district of New York. Inequality Growing Globally (October 21. life expectancy of male infants matches that of Belize and Tanzania and the average life expectancy is lower than in Bangladesh. The author also argues that ultimately poverty is self-inflicted and that people could escape their "perceived poverty" if they were willing to work and get married. such as Iran and Venezuela. 2007) This article on poverty and inequality from WorldNet Daily is an example of how statistics can be misused to prove a case. Although foreign direct investment is surging worldwide. The authors point to success in other industrialized nations and call for higher spending on education and increased levels of taxation to create a more equal society. the new wealth brings a higher degree of economic independence. 2007) The continuing rise of global oil prices is causing a shift in wealth in favor of oil-producing countries. most investment still takes place in rich countries. 2007) Three reports by the United Nations Conference on Trade and Development (UNCTAD). (Washington Post) The Newest Billionaires: China's Economy Churns out Dozens (November 6. The author uses statistics on the frequency of color TV and microwave ownership to prove that poverty does not exist in the US.000 a year and the inequalities in wealth and income could destabilize Chinese social relations. which may strengthen their position on the international political arena. poverty and hunger are huge problems in the continent. . The author's interpretation of household consumption data fails to take into consideration relative prices of consumer goods. note that oil-producing countries fail to diversify their economies and that wealth remains concentrated among a few. Poverty and job insecurity leave a great number of US citizens without any or sufficient insurance and access to health care in general is often limited." China has a per capita income of less than US$1. however. (openDemocracy) Scarcity Amid Abundance (October 16. 2007) Second to the US. For some of these countries. 2007 Oil Price Rise Causes Global Shift in Wealth (November 10. Investment. 2007) This article focuses on the huge inequalities in the United States. Venezuela. The article looks in detail at the various projects and policies that have been implemented by governments in Brazil. The IMF says that trade liberalization has increased income inequalities while the World Bank suggests that countries must promote agricultural and rural development to level out global earnings. ( Jamaica Glearer) American Sickness: Diagnosis and Cure (October 16. Commentators suggest that the growth of individual fortunes in China may also alter the country's "cultural landscape. Argentina and Uruguay to reduce hunger and concludes that they have been relatively successful.

The foreigners are attracted by London's strategic business location and by very favorable tax arrangements. However. among them President Franklin D. the house-holds who hold less than US$100. A report from the same group draws attention to the money made from handling these valuable assets – 111 wealth managing firms who were surveyed have an astonishing average profit margin of 34. with a 7. the expansion of wealth in London is driving up prices making it difficult for ordinary inhabitants to continue living in an increasingly elite city.Inequality in India and China: Is Globalization to Blame? (October 15. 2007) In the first half of the twentieth century.7 percent. Billionaires from Abroad (October 5. But. On the other hand. who proposed the idea of a maximum wage to counter income inequality. Roosevelt. These networks follow in the wake of many alternative wealth-creation institutions that workers and citizens have set up to create more equal employment and wage arrangements.5 percent increase in 2006 alone. Business is soaring and the city is experiencing an influx of foreign billionaires spending their money in the city. The Boston Consulting Group estimates that 0. ( Wall Street Journal) Massive Inequality is Unexamined Fault Line Behind GM Walk-Out (October 2. The author argues that the Indian and Chinese case studies alone cannot establish the effects of globalization on income distribution. the author of this YaleGlobal article argues that the expansion of industrialization in countries such as China and India has created many jobs and lifted a lot of people out of poverty. (AlterNet) . Concerned citizens are establishing "solidarity economy networks" to promote social justice. US labor unions struggled successfully to improve wages and working conditions. Since then. The richest one percent now earn as much as the bottom 33 percent of the population. US administrations have lowered tax rates and the strength and influence of labor movements has been diminished. (Inter Press Service) Trickle-Up Economics: New Report Reveals Staggering Global Wealth Concentration (October 8. Critics suggest increased exposure to international market is to blame. 2007) From 2001 to 2006. 2007) Income and wealth inequality is growing in the US. (Too Much: A Commentary on Excess and Inequality) Behind London's Boom. Even though the Congress never adopted the maximum wage. as was demonstrated in their factory walkout in October 2007. The unions had support from high level politicians. world wealth increased significantly. London officials are seeking to attract rich business people bringing money to town. high wages were held down by high taxes. in both countries poverty declined prior to economic liberalization. 2007) The Asian continent has experienced increasing economic inequality over the last two decades. Stemming the Trickle-Up Effect: Finding Alternative Economies (October 11. Economic experts gathering in Washington in October 2007 agree that setting up communities such as the solidarity networks and employee stock ownership plans could be a good approach to reduce the inequalities in the US economy.7 percent of the world's households now hold a third of the world's financial assets.000 in assets saw a decline in wealth. Over the same period. and London mayor Ken Livingstone has established offices in China and India to attract high-end investments. Organized General Motors auto workers are now trying to reverse the trend. 2007) London is now rivaling New York as the world's financial capital.

" Rodrigo Guerra. This agreement will enable member countries to "swap reserves if speculators again target their currencies. 2007) This International Herald Tribune article argues that the standard of living in Venezuela and Brazil has risen in recent years. the Association of South East Asian Nations (ASEAN) have come together with China. The report serves as a reminder of the extreme differences in a world of increasing inequality in income and wealth. because his programs have prioritized the poor who are loyal to the regime. All Fall Down (July 30. Managing Globalization: To Reduce Poverty. (Chicago Tribune) . the wealthiest 10 percent of Chinese control 40 percent of all assets while the poorest 10 percent possess just 2 percent of these assets. In Brazil on the other hand. Income Disparity in Latin America Widens (July 30. Rather the very rich tend to buy bigger and more expensive yachts. The two countries are experiencing equally worrisome levels of income inequality and turbulence in their financial markets." Reports from the Monaco boating fair indicate no reduction in luxury purchases despite higher oil prices. ( Foreign Policy in Focus) Experts: As Economy Grows." Today.For the Yachting Class. ( Catholic News Service) In China. President Hugo Chavez has implemented land reform and redistributed Venezuela's oil wealth to reduce inequality. a yacht with a private helicopter and submarine is now the "real deal. This has caused fear." But former US Treasury Secretary Robert Rubin argues that is it almost inevitable that there will be severe financial crises in the future around the world. or Beginning of the End? (September 11. economies in the region are growing. to reform the education and the judiciary in order to reduce such disparity. Latin America's economy has "grown between 4 to 6 percent annually since 2004. progress appears to have been more "widespread" than in Venezuela and easier to measure. 2007) This Globalist article compares the US and Chinese economies following decades of economic globalization. But some have criticized Chavez. head of the Social Observatory of the Latin American Bishops' Council. ( New York Times) Globalization: End of the Beginning. 2007) Despite some solid economic growth in various Latin American countries. and to equip them with ever more advanced accessories. In Venezuela. He predicts that the structure of the global economy will have to change to counter the wide global and national disparities. the region has the greatest income inequality in the world. 2007) Ten years after the devastating Asian financial crisis. said that the inequality is quickly increasing in all Latin American countries. Seeking to protect their economies. The article calls for governments to invest in social programs. but there is also greater poverty and inequality. 2007) According to a recent study by the Chinese Academy of Social Sciences. and Japan to form the "ASEAN Plus Three" financial group. a falling dollar and warnings of global warming. an Unsettling Gap Grows (July 15. the Latest Amenity Can Take Flight (October 2. the central contradiction in China's economic rise lies between the urge to consume and the struggle for social equality. South Korea. He does not necessarily advocate for an end to globalization but rather a reform of the nature of globalization as we know it. even among pro-globalization advocates. The author suggests that the global economy is headed towards a rough patch." but "200 million people still live in poverty and 81 million of them in extreme poverty. This article discusses how a growing inequality gap in China is upsetting Chinese socialist leaders who fear that inequality could lead to instability instead of "a harmonious society. 2007) The very rich have long been spending their money on fancy cars and big yachts. Money Isn't Everything (August 21. While a yacht is still a desired luxury product for those with high incomes.

and "highly educated households" assembled more wealth than "less educated ones." global inequality both between and within countries has instead increased. China and Nepal experienced the widest wealth gaps. The report argues that urban areas have grown richer than rural areas. 2007) Although proponents of globalization predicted it would result in a "more equitable world with equal opportunities. UN Expert Says (February 9. ( UN News) Rich Growing Richer Faster than Poor in Developing Asia (2007) This Asia Development Bank (ADB) study argues that there is a growing gap between rich and poor in Asia as rich people are growing richer far faster than poor people are improving their lot.Inequality Rising Despite Promises of Globalization. A United Nations senior economist has stated that "full. The report shows that out of the 22 countries analyzed. productive and decent employment not economic liberalization" is the only way to effectively reduce poverty and narrow these global income gaps." .