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The Importance Of Income Inequality

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What is income inequality and how is it related to inequality of access to quality education? Income inequality is the unbalanced distribution of income amongst the population. One may not think Education inequality and Income inequality are related yet they are. The higher the income group you belong to the better quality education you can get. This is because education is becoming more and more expensive, especially in poor countries and if you belong from a low income group that means you cannot afford to gain education because you cannot afford to pay the fees. The second problem is, children from poor families due to income inequality are forced to stop their education in order to earn money for the family to survive. Similarly, if you …show more content…

This also increases income inequality because educated workers who can use technology get the high paid jobs, increasing the income differences creating more difference between the rich and the poor. This inequality relation is common in most parts of the world however, the case in Pakistan is worse because it is a poor country and there is income and education inequality even within the districts of Pakistan. Income inequality in Pakistan We can see this rise in income inequality with the help of Gini Coefficient, which measures how income is distributed in a country. The Gini coefficient ranges between 0 to 1, with 0 being the perfect distribution and 1 being the worst. Huzaima Bukkhari and Dr Ikramul Haq report that as specified by US State Report Pakistan's GINI Coefficient was 0.63 in 2006. This proves that the major part of the total income was acquired by a few people and the distribution was hightly inequal. (As cited in Huzaima Bukhari and Dr Ikramul Haq) Figure 1 shows the income distribution of Pakistan in 2008. The GNI per capita being $4110. This shows the high inequality between the rich and the poor. As almost 40% of the share of total income is obtained by the richest 20% while the lowest 20% just get 9% . Figure …show more content…

Pakistan Literacy-Rate. Retrieved from http://ilm.com.pk/pakistan/pakistan-information/pakistan-literacy-rate/ Barro, R., & Lee, J.W., (April 2010). A New Data Set of Educational Attainment in the World, 1950-2010. Journal of Development Economics, 104, 184-198. Retrieved from http://www.barrolee.com/ Bukhari, Huzaima., & Haq, Iqramul., Income Inequality. Retrieved from http://economyofpakistan.blogspot.com.tr/2008/05/income-inequality.html Jamal, H., & Khan, A. J., (2005). The Knowledge Divide: Education Inequality in Pakistan. The Lahore Journal of Economics, 10, 85-86. Retrieved from http://121.52.153.179/JOURNAL/vol10-NoI/Haroon%20Jamal.pdf Kemal, A.R., Income Inequalities in Pakistan and a Strategy to Reduce Income Inequalities. 8-11. Retrieved from http://www.finance.gov.pk/poverty/pakistan-incomeinequality-growth.pdf. Literacy Rates, The World Factbook. Retreived from https://www.cia.gov/library/publications/the-world-factbook/fields/2103.html Pakistan Income Distribution. Retrieved from http://www.indexmundi.com/facts/pakistan/income-distribution Sultana, N., (2012, July 30). Inequality in Education. Retrieved from

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