Taking the very essence of developing scenario
around the globe in the wake of WTO by January 1, 2005 and related
deviations feared. It appears to be a long way to following a track of
global inequality. Countries, organizations and even individuals have
witnessed gripping impact of inequality which again posing a threat.In
the past, concern shown by the UN economists in the Human Development
Report that "Inequality has worsen within countries, across
countries and rising among the people as well."
Inequality seems risen with a moderate pace. High
rise in some countries and down in others. Globalization does not take
the one sided course. However, there comes least evidence that within
country inequality not gone up during last few decades.It is agreeing
that across the countries incomes in terms of purchasing power seen
least unequal as cost of living in poor countries is lower. Market
exchange rates play least role. Anyhow trend is not downward. It
remains the fact that for the past few decades countries have grown
richer manifold (mostly economies of scales) and most of poorest not
only stayed poor but further burdened.
Global dispersion of income will widen if Africa,
South Asia and South East Asian continue to be stagnate with the
speedily grown economy of China.Relieving the poverty or narrowing the
gap between rich and poor results encouraging however, poverty
worldwide has fallen insignificantly. Country variance weighted by
population is always better than the un-weighted one, but still it
ignores inequality within the country. However, it becomes obvious in
the wake of applying any measure that rising global inequality is
hardly be seen.
Either convergence or concentration of income
among, people, corporations and countries, inequality takes varied
moves as across the country rapid rise and within the country
moderate, largely depending on quantum of trade. Even with the start
and early years of its progress more rise of global inequality may be
witnessed across the countries than within or among the people.
America and countries located in Europe will be
least exploited to the rise of inequality given the present scenario
as major trade would mature within and across European countries.
Particularly countries in South Asia and South East Asia are to face
continuous dilemma till such time avail more to offer and bear least
intake.Apprehensions to this are Competitiveness, Bilateral
Agreements, Regional Trade, Exploitation of economy as strategic
source, Attaining of market access by sticking to influence.
Countries deviating international regulations and
making internal sanctions will give rise and countries with least
developed infrastructure are subject to see rise of inequality.
Protectionist measures by big economies like US and Japan to deal with
the challenges posed by emerging economies, and at the same time
developing scenario is encouraging China, India and some other East
Asian countries for the formation of an economic bloc. It also propels
market economy whereby setting of prices, subsidies standards are
likely to be under cover.
Avoiding and closing of such apprehensions/moves
would minimize possible tension across the regions. Countries
competing with economies of scales, need to be either making knowledge
or technology based output within and across country. Mature economies
as Brazil, India and China, for instance would be comparatively at
advantage for attracting larger trade and under developed economies in
Eastern and Central Asia can best be offsetting inequality syndrome by
strategically opening up of their economies, specifically agriculture
and industrial produce linking export.
China being the largest exporter in the region
beside India certainly places lasting intricacy to the regional
economies. Even now China getting larger share of direct foreign
investment which developing economies enjoyed in the past. Opening up
of economy in developing countries is not as such premediated making
the economic activities less viable. Availing the specific locations
as strategic trading hubs and attracting monetary resources may do
good for reducing the gap of inequality.
For the developing countries in East Asia, Central
Asia and South East Asia, openings to exploration, tourism, energy,
agriculture sectors are much volatile for the sustaining with giant
economies and getting time space for future preparation. Inducing the
local ones and letting participate financial institutions of foreign
origin for specific purposes play vital role when foreign direct
investment is feared moving away.
Location-wise strategic positions of the countries
(depending) either land lock or otherwise may well let neutralize the
growing inequality by taking some far-reaching and un-compromised
policy measures relating to setting of priorities —
developing/permitting new land and sea routes, leaving other regional
irritants behind and that must benefit them with better cost
Within country perspective inequality persists in
varying proportions till the time its manpower happens to be
productive as a whole but more technically. In such cases value
addition produce can largely satisfy and accommodate the needs, also
help bar depletion of resources, depending on updation of knowledge
and modernization of industrial processes.