Friday, May 22, 2015

Mexico, the second most unequal country – The Economist

Encourage formality generate quality jobs and help decrease the GAP:. OECD

The global financial crisis was responsible for more press these levels

The gap between rich and poor peaked in most countries of the Organization for Economic Cooperation and Development (OECD). The discrepancy in income in Mexico was consolidated as one of the most evident within member nations; only surpassed by Chile, according to a report of the institution.

The report noted that in the decade prior to 2005, income inequality in the country declined. With the recent recession that hit the world economy, this difference increased again.

In 2012, 10% of the average income of the richest population was 30.5 times more than the 10% of the poor, above the proportion of the 80s, which was 22 to one, but less than the 33.5 one to mid 90s.

The inequalities OECD countries are more pronounced in Chile, Mexico, Turkey, United States and Israel; and less in Denmark, Slovenia, Slovakia and Norway.

Within the OECD, which groups 34 countries, 10% of the richest people now have incomes 9.6 times higher than the 10% most poor.

That ratio was 7.1 times in 1980 and 9.1 times in 2000, according to a new report released by the organization. The inequalities are even stronger in terms of heritage.

“We have reached a critical point. Inequalities in OECD countries were never so high since the measure, “said Angel Gurria, secretary general of the organization, to present the report in Paris with Marianne Thyssen, European Commissioner for Employment.

“By failing to address the problem of inequality, governments weaken the social fabric of their countries and jeopardize economic growth in the long term,” said Gurria.

It is estimated that the increase in inequality Between 1985 and 2005, in 19 OECD countries studied reduced growth by 4.7 percentage points accumulated between 1990 and 2010.

To reduce inequality and stimulate growth, the OECD recommends governments to promote equality between men and women in employment, to broaden access to more stable jobs and encourage investment in education and training throughout working life.

From 1995 and 2013, more than half of the jobs created in the OECD countries were part-time, temporary or self-employed required time.

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