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Rich-poor divide: How do we make sure economic growth is inclusive?

Income inequality in Europe is on the rise. The European debt crisis and the Great Recession added urgency to the need to address inequalities and to respond to the middle-class households that feel left behind. However, the benefits of economic growth after the recession have not affected all equally and income inequalities have risen further.


How can policy-makers best resolve these inequalities?

Should we be addressing globalisation, technological change, skill mismatches or inadequate social and economic policies?

Should we focus on redistributing existing wealth by taxing the rich, rather than relying on philanthropy?


Learn more about this topic.


Old building
Image courtesy of Stéphane Guillot


What do you think?

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Glykeria Stavrou
17 July 2019

Globalization is one of the most important causes of inequalities. People spend money on multinational companies due to the low-cost products they offer, accepting the same time to pay the low-quality price. Thus, the wealth gathering is increased and the inequalities are risen. Philanthropy is an ineffective solution as the rich ,many times, donate amounts of money that come in contrast with their real income. The middle-class need empowerment through a stable source of income, which is the State, and not occasional donations. So, taxing the rich seems to be one of the most effective solutions to blunt inequality.

Anssi Eboreime
04 September 2019

A universal basic income would be an amazing tool to combat rising inequalities. This money must not be newly printed however, to avoid inflation, but must come from cuts into business grants for giant corporations (who do not need such grants), and taxes. We must also revamp existing benefit programs in a way that we can use the UBI to get rid of excess bureaucracy for more savings. Also education in investment for the general populace would go a long way to making everyone in the EU benefit from economic growth and not just the few, as if everyone owns stocks then everyone benefits from economic growth.