Business Trends

Week 7:
• A disparate world: Inequality and poverty

Professor:
Mg. Alberto José Salas Morales
 Agenda

• Intro to Inequality.
• Recover our previous knowledge through Ss. presentations.
• Discussion about the introductory part of the reading A disparate
world: inequality and poverty.
• Individuals work on: the problem of education and inequality.
• At the end of the session, each participant will
identify global inequality and poverty levels,
recognizing the major social and economic
indicators.
 Discussion Question

What’s the difference between the concept of poverty and the concept of inequality?
Discovery: Inquiry time

Read the intro about a disparate world: inequality and poverty and share
your ideas with the class.
 Interest – A disparate world: Inequality and poverty

Watch the following

video and provide a
definition of
inequality and
poverty with some
characteristics.

Include some
examples according
to our reality.
Discovery: Inquiry time
Inequality

Is it on the decrease or on the increase?

What are its causes?
What are the consequences?
What is the impact of income & wealth concentration on consumption, savings,
and investment?
Measuring Income Inequality

You can just compare the difference in income between those at the top
and those at the bottom.
Gini coefficient: A measure of the deviation of the distribution of income
among individuals, households or countries from a perfectly equal
distribution. A value of 0 means each has the same income, while a value of
100 means that just one of them enjoys all of the income.
Gini Definition – Calculation – Advantages and disadvantages

https://www.laits.utexas.edu/lawdem/unit03/reading2/Gini_definition.html
 Understanding the Gini Coefficient

https://www.youtube.com/watch?v=BwSB__Ugo1s
 INEQUALITY IN LATIN AMERICA

https://www.laits.utexas.edu/lawdem/unit03/index.html
The Causes of Rising Inequality

Technological change.
Trade.
Foreign investment.
Growth of the service sector.
Welfare state retrenchment.
Growth of wealth accumulation (capital gains).
Changes in taxation.
Growth of emerging economies.
Some causes

Technological Change
The “skills gap,” or the mismatch between the technological requirements of jobs
and people’s skills.
Technology is not the “great equalizer”…
Trade
Has reduced inequality in emerging economies by stimulating economic growth.
Has increased inequality in developed markets due to job migration.

Foreign Investment
Part of it involves eliminating jobs in the home country of the firm. (That type of
foreign investment is called “vertical.”)
It has been a net contributor to inequality globally, according to the IMF (World
Economic Outlook 2007).
 Discovery: – Income, Inequality and Poverty

Watch the following

video about Income,
Inequality and
Poverty and share
your ideas with the
class.
https://www.youtube.com/watch?v=nD1a
TppjESY&t=113s
Experience

Group Work

Watch the video about The

problem of education
inequality and apply all the
information inquired about
and describe during the
lesson to build your
conclusion of the class.
Conclusion NRC 13160

Go into the following paddle and write your conclusions about inequality and poverty and the
problem of education inequality.

https://padlet.com/albertosalasmo/yyfxvj7c4nmnnocl
 Conclusion NRC 13455

Go into the following paddle and write your conclusions about inequality and poverty and the
problem of education inequality.

https://padlet.com/albertosalasmo/ufqvkbg6q5virsb5
Instrumento de evaluación

Doc in Blackboard!
Reference

CHANGES IN THE STRUCTURE OF CONSUMPTION: THE AGING OF SOCIETY AND ACCESS TO NEW MARKETS.

https://www.youtube.com/watch?v=bCmIfSJBDH8

file:///C:/Users/user/Desktop/UPN/2022/Business%20Trends/Business%20Trends%20Reading/W%2003%20Manage
ment%20Rev%20Ed%20-%20Chapter%2008.pdf

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