By Rogelio Madrueño Aguilar, José María Larrú and David Castells-Quintana
Inequality is above all a multidimensional problem. Yet, the key question is whether it is possible to reduce inequality and to what extent. Recent evidence suggests that the growing divide between rich and poor threatens to destabilize democracies, undermines states’ economies and fuels a variety of injustices, either economically, socially, politically or ecologically. Despite certain variations, this holds true not only for rich economies, but also for low and middle income countries.
Inequality is above all a multidimensional problem. It is by all means a complex issue that requires global solutions in accordance with the challenges imposed by the 2030 Agenda for Sustainable Development. As stated in this agenda “the achievement of inclusive and sustainable economic growth […] will only be possible if wealth is shared and income inequality is addressed”.
Yet, the key question is whether it is possible to reduce inequality and to what extent. Recent evidence suggests that the growing divide between rich and poor threatens to destabilize democracies, undermines states’ economies and fuels a variety of injustices, either economically, socially, politically or ecologically. Despite certain variations, this holds true not only for rich economies, but also for low and middle income countries.
When looking a little more closely at the ongoing popular upheavals, protests and street disturbances in different countries, they have something in common: the dissatisfaction of people, mostly youths, with the uneven distribution of opportunities, limited social mobility and issues of environmental sustainability in their societies, to name only a few. After 2008, all these reasons have triggered a wave of global protest in a growing number of countries, such as Chile, Haiti, Ecuador, Spain, etc.
In particular, there seems to be a lack of confidence in the political class and the institutional setting, and their capacity to reverse these negative trends. More importantly, there is a clear awareness that the concentration of market power and wealth in the hands of the rich with linkages to political power is a fundamental problem.
Institutional solutions versus social mobilization
The open question now is whether we should pave the way for reducing inequality through the normal functioning of institutions, or through different types of mobilization and social protest? In fact, we are indeed witnessing many cases which show a preference for the second option.
Again, the aim of fighting inequality faces a daunting challenge: the combination of rising inequalities within countries and an apparent inequality trap seems to be a vicious cycle that is difficult to break; especially in the light of prevalent inconsistencies in policy objectives and institutional implementation at the national and global level: on the one hand there are mechanisms in place that reinforce economic, political or social structures that lead to persisting inequality. On the other hand, efforts are being made to connect the fight against corruption, crime and tax evasion, which may lead to a reduction of social inequalities.
This lack of policy coherence is affecting economic growth and redistribution as two key conditions to reduce the gap between the richest and the poorest. It is not only that several regions experience weak growth in per capita income, but there has also been a strong opposition to the introduction of a capital gains tax for the wealthiest across countries, who have become even richer over the past decades. This, however, translates into an emerging pattern where inequality is strongly linked with less sustained growth. At the same time the goal of economic growth itself is increasingly being questioned. Particularly in countries of the global north there are serious doubts about its compatibility with ecological sustainability.
Persisting inequalities or paradigm shift?
For all of these reasons we find ourselves facing a tough situation in which class struggle settings are becoming more frequent and severe in many areas of the world. It seems that we are either moving towards a problem of persistent inequalities or standing on the threshold of a new paradigm shift.
Therefore, there is an urging need to examine and assess the different impacts that the spiral of inequality is causing around the world. While acknowledging that some inequalities might be socially fair to a certain extent, others claim asymmetric responses in order to favour socially disadvantaged groups such as women and children. Markets alone are unable to reach an economically efficient outcome or to create a level playing field for all members of society. This means moving ahead towards a balanced social agenda that takes into account the multidimensionality of inequalities as well as the historical, legal, social, economic, climatic and intergenerational perspective.
If you are you interested in discussing global inequalities, please, consider submitting to our seed panel “Rethinking inequalities in the era of growth limits and social injustice” at the EADI/ISS General Conference 2020.
Our panel aims to find new understandings to the notion of inequalities in order to enrich the contemporary development discourse and explore global cooperative solutions. This involves new ideas, dimensions and approaches, including critical voices from the global south.
This article is part of a series launched by the EADI (European Association of Development Research and Training Institutes) and the ISS in preparation for the 2020 EADI/ISS General Conference “Solidarity, Peace and Social Justice”. It was also published on the EADI blog.
Image Credit: Alicia Nijdam on Wikicommons
About the authors:
Rogelio Madrueño Aguilar is Research Associate at the Ibero-America Institute for Economic Research, Georg-August-Universität Göttingen, the Complutense Institute of International Studies, and the Spanish Network of Development Studies (REEDES).
José María Larrú is Professor of Economics at the Universidad San Pablo CEU, Madrid.
David Castells-Quintana is visiting professor in the Department of Applied Economics at the Autonomous University of Barcelona.
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David Castells-Quintana is visiting professor in the Department of Applied Economics at the Autonomous University of Barcelona.
Dr. Oane Visser (associate professor, Political Ecology research group, ISS) leads an international research project on the socio-economic effects of – and responses to – big data and automatization in agriculture.


About the author:

Fernande Pool is a Marie Skłodowksa Curie “Leading” Fellow at ISS. Her current ethnographic research with Muslims in the Netherlands aims to destabilise hegemonic conceptualisations of religion and secularism, wellbeing and development. Her








About the author:



About the author:
About the author:
Dr Sruti Bala is Associate Professor at the Theatre Studies Department of the University of Amsterdam and Research Affiliate with the Amsterdam Centre for Globalisation Studies and Amsterdam School of Cultural Analysis. Her research interests are at the crossroads of theatre and performance studies, cultural analysis, post- and decolonial thinking and feminist theory.
Marina Cadaval is currently a PhD student at the ISS, where she also completed her Masters’ in Development Studies in the major of Social Policies for Development (2015-2017). She works on topics of inclusion of indigenous women in graduate education in Mexico, analysing the processes of formation of educational policies that have taken place in the last twenty years. Before returning to the academia, she worked for more than 10 years in the implementation of the first policy to promote graduate education for Mexican indigenous peoples.
About the author:


Adriaan Ferf coordinated the DRC programme of the Secure Livelihoods Research Consortium. He has over 40 years of experience with policy studies and evaluations of development and humanitarian programmes in Africa and Asia.
Dorothea Hilhorst is professor of humanitarian aid and reconstruction at the International Institute of Social Studies of Erasmus University Rotterdam.
A third problem with established approaches to research uptake is that they assume that those commissioning research mean it when they say that they want to base their programmes on evidence. Unfortunately, policy agents tend to cherry pick what they find useful in research, to then act only on pieces of evidence that speak to their frame of reference. Finding out that your leading governance or social development programme, which has taken years to design and implement, is actually challenged by emerging research evidence is a major headache. In the politicised pulls and pushes that inform the process of policy-making, the space for using evidence can be rather small indeed.

Kees Biekart is Associate Professor in Political Sociology at the International Institute of Social Studies of Erasmus University Rotterdam. His area of expertise is in NGOs, social movements, civil society, and foreign aid, in particular in relation to Latin America.