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Question: I was just wondering if there is an ideal degree of disparity for developing countries to operate at. I don't know a lot about economics (I've just taken six months of economics studies), but I'm quite interested in learning more. I am aware that many leading economists believe that great inequality is harmful, but these economists are often based in the United States or the United Kingdom, not in poor nations. I was thinking that perhaps an initial'spurt' of inequality could help to accelerate growth. I'm aware that Deng Xiaoping exacerbated inequality in China, which eventually resulted in tremendous economic growth. In India, a similar situation transpired. I also considered the possibility that inequality should not be denigrated because it may be indicative of a higher standard of living in some countries. According to the assumption that immigration regulations remain weak, countries with higher levels of living should experience greater inequality as impoverished people migrate to them, right? South Africa has a high Gini coefficient, but Malawi has one that is significantly lower. Also, according to Paul Collier, emerging countries should build market economies in order to catch up with the rest of the world; however, this will just exacerbate inequality further, correct? The facts, on the other hand, suggests the polar opposite of what I believe. Africa as a continent is the world's second most unequal continent, and it is also the world's poorest continent. What makes you believe that is the case? Do you believe that reducing inequality will be beneficial to the region? According to the Kuznets curve, a country may have to go through a period of mass inequality before achieving a stable level of development, however the African continent contradicts this theory because it is very unequal while still being poor. What do you believe is the root cause of this? 700 words or downvote

Question: I was just wondering if there is an ideal degree of disparity for developing
countries to operate at. I don't know a lot about economics (I've just taken six months of
economics studies), but I'm quite interested in learning more.
I am aware that many leading economists believe that great inequality is harmful, but
these economists are often based in the United States or the United Kingdom, not in
poor nations. I was thinking that perhaps an initial'spurt' of inequality could help to
accelerate growth. I'm aware that Deng Xiaoping exacerbated inequality in China, which
eventually resulted in tremendous economic growth. In India, a similar situation
transpired. I also considered the possibility that inequality should not be denigrated
because it may be indicative of a higher standard of living in some countries. According
to the assumption that immigration regulations remain weak, countries with higher levels
of living should experience greater inequality as impoverished people migrate to them,
right? South Africa has a high Gini coefficient, but Malawi has one that is significantly
lower. Also, according to Paul Collier, emerging countries should build market
economies in order to catch up with the rest of the world; however, this will just
exacerbate inequality further, correct?
The facts, on the other hand, suggests the polar opposite of what I believe. Africa as a
continent is the world's second most unequal continent, and it is also the world's poorest
continent. What makes you believe that is the case? Do you believe that reducing
inequality will be beneficial to the region? According to the Kuznets curve, a country may
have to go through a period of mass inequality before achieving a stable level of
development, however the African continent contradicts this theory because it is very
unequal while still being poor. What do you believe is the root cause of this?
700 words or downvote

Added by Josefa B.

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