A concerted policy shift is needed to end the cycle of rising income inequality, macroeconomic instability and crisis that has prevailed under finance-driven globalization, according to a new UNCTAD Policy Brief.
The challenge of pursuing inclusive and sustainable growth and development was set out in the conclusions adopted by the recent UNCTAD XIII ministerial meeting in Doha, Qatar.
UNCTAD's latest policy brief issued today explores the links between finance-driven globalization and income inequality, pointing to the way in which vicious circles of inequality, instability and crisis have damaged productive investment and slowed long-term growth.
Looking at recent experiences in Latin America, the policy brief also shows that it is possible to reverse the trend toward growing inequality. This depends, however, on national and international efforts to re-ignite growth, with renewed attention to employment, income distribution and social protection.