It is inequality – The Economist

The political, social, security and even economic growth problem is inequality.

That famous phrase of Bill Clinton “is the economy stupid “, it has become a classic. The origin of many of the problems of a country is its economy, but the problem of the economy is inequity. An OECD study shows that a lack of economic growth is more related to inequality than anything else and that inequality is in turn directly linked to the impoverishment of employment and education problem. In the last 25 years in the member countries of the OECD has not only opened the gap between the richest and the poorest, or between the rich and the lower middle class (deciles two to four), but even among those of above and the middle and upper middle class (deciles five to nine). The concentration of income has now the highest level in history

Few rich do not generate economy.; on the contrary, making growth and development in a country is the internal market and its middle classes. Take a very simple example: if all the money that high and upper middle classes were spent on safety in other areas, the Mexican economy would be another, for one simple reason:. Security spending does not add value

The businessmen and politicians sold us for years that structural reforms would change the country’s economy and once achieved were spent trying to explain why

they are not what they promised us and why not give economic performance expected in the expected time (yesterday Hacienda again lower growth expectations and we will close the year just like the last 10, below 2 percent). Little or no use of the energy and telecommunications reforms if we do not solve the problem of inequality. By contrast, social reforms were made in contradiction of what is required: labor pauperizó employment via the legalization of certain schemes of outsourcing, but not ossified union structures touched, and education reform merely a necessary but insufficient reform . Work in the field

The central thesis of the study is that inequality is a risk to growth in the long term; no economic future without social mobility and for that education remains the most important factor (only to feed the pessimism, Mexico has the worst Gini index combined with educational level among OECD). Let’s not give laps. The political, social, security and even economic growth and inequality problem is not resolved by giving more money to SEDESOL and subsidizing transport. It is a matter of education and wages

petersen.diego@gmail .com