Economic equality and GDP growth may not move in the same direction .comment
Dear student,
It is true, particularly in developing countries, that the equality and growth in GDP may not move in the same direction. In other words, it might be the case that the benefits of rise in GDP are cornered by a only a small section of the population. In such a situation while the rich continue to become the poor further become poor. That is, it might happen that with the rise in GDP the problem of inequality is further aggravated.
It is true, particularly in developing countries, that the equality and growth in GDP may not move in the same direction. In other words, it might be the case that the benefits of rise in GDP are cornered by a only a small section of the population. In such a situation while the rich continue to become the poor further become poor. That is, it might happen that with the rise in GDP the problem of inequality is further aggravated.