Globalization, Skills & Inequality
IMF Blog, March 17, 2016
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- Globalization, Skills & Inequality
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Bibliographic details
- Authors: iMFdirect
- Published: March 17, 2016
Main findings
- Over the last 25 years, inequality did not decrease with globalization as widely expected.
- Nobel Laureate and Harvard Professor Eric Maskin notes a high correlation between high inequality and social and political unrest, with consequences for a country's political and economic stability.
- Income disparities between skilled and unskilled workers has only increased in recent years.
Causes and mechanisms
- Globalization was widely expected to reduce inequality, but that expectation has not been realized in the last 25 years.
- A key driver identified is widening income disparities between skilled and unskilled workers.
Policy recommendations
- Improving the skill set of those left behind by globalization through education and training could make a significant difference to close the gap.
Interview details
- Format: Podcast interview with Professor Eric Maskin.
- Published on: March 17, 2016.
- Hosted on: iMFdirect.
- Listen to the interview here:
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IMF iMFdirect, March 17, 2016