Goal 10: reduce inequality within and among countries.

Author:Carpentier, Chantal Line
Position:Sustainable development goals of the United Nations General Assembly

The Rio+20 negotiations began amidst the fallout from the 2008 financial crisis, which made it abundantly clear that the economic, social and environmental imbalances that had built up recently could no longer be tackled separately, sequentially, or by countries acting alone. Despite rapid export growth, strong capital inflows and high commodity prices in the developing world, the resulting income gains had been unevenly distributed, and many poorer countries and communities remained vulnerable to shocks and reversals. Crisis came in the wake of slow growth, massive income redistribution in favour of the top 1 per cent and an explosion in private debt, provoking not only a degree of moral soul-searching but also raising concerns about the fragility of the social compact.

It was recognized that the sustainable development goals (SDGs) would have to be more universal and more inclusive than the Millennium Development Goals (MDGs), to address a wider range of socioeconomic differences around which inequalities had emerged and grown.


Compared to 30 years ago, income inequality has risen in a startling number of countries and is at its highest level in most member countries of the Organisation for Economic Co-operation and Development (OECD) since the end of the Second World War. Moreover, income inequality has been compounded by wealth inequality, particularly in countries with already high inequality levels such as the United States of America. Other traditionally more egalitarian countries, such as Germany, Denmark and Sweden, have also seen the gaps between rich and poor increase.

Economists have been making the connection between globalization and income convergence, and closing income gaps across nations appears to be a clear trend, reflecting the growth slowdown in rich countries and sustained rapid growth in China and later in India. However, the trend is less secure than many had initially envisaged (The Economist explains, 2014). Moreover, recent growth spurts in developing countries have themselves coincided with rising levels of inequality, in some cases as or even more pronounced than in advanced economies.

Combining these intra/inter-inequality trends is no easy task, though overall, the global Gini coefficient has, on some estimates, dropped slightly over the last 20 years (Lakner and Milanovic, 2013), in no small part because wage earners in the advanced countries have seen their incomes squeezed. Even so...

To continue reading