Alliances to fight poverty › Economic development

Inequalities increase the difficulty of addressing the challenges faced by Europe’s economies

Jun23

While GDP and wealth have continued to increase overall, inequality has risen in Europe – as in other developed countries – since the mid-1980s. There are now wide inequalities in the distribution of income in the EU. Today, with the effects of the financial crisis still lingering, Europe faces a monumental challenge in its effort to tackle social inequalities. Persistent and growing gaps in income distribution provide a potent reminder…

Promote investment in the real economy

Mar13

One of our proposals is to promote investment in the real economy instead of of investments in financial assets that have no productive counterpart. One of the obstacles for an economic recovery is that at this moment their is more investment in financial assets than in the real economy. Because of the low intrest rate, created by the Central Banks to help the governments to finance their debts, investors are…

Redistribution and growth

Mar4

The IMF launched a new working paper on the issue of redistribution. An important working paper because it shows that redistribution doesn’t obstruct growth. IMF has recognized in recent years that one cannot separate issues of economic growth and stability on one hand and equality on the other. Indeed, there is a strong case for considering inequality and an inability to sustain economic growth as two sides of the same…