What is the extent of income inequality among nations? Explain, citing relevant data on incomes received by populations and total GDP in the United States and developing nations.
What will be an ideal response?
Data from the United Nations indicates that the richest 20% of the world’s population receives more than 80% of the world’s income. The poorest 20% receives less than 2%. The poorest 60% receive less than 6%. Also, in 2010 the United States had a total GDP of about $14.6 trillion. The combined GDP of the 144 developing nations in 2010 was only $20 trillion. Clearly, there is considerable income inequality among nations.
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