Causes of socio-economic imbalance
Socio-economic imbalance is a term used to describe a situation where people do not have equal access to resources. Inequality is another word used for imbalances. We say that there is social and economic inequality when one group of people have significantly more money, power or resources than another. This is another way of saying that there is a gap between the rich and the poor.
There are some very wealthy people in South Africa. These people earn a great deal of money, have access to resources and enjoy a high standard of living. There are also many people in our country who live in poverty. Those who live in poverty earn a low level of income. They also have limited access to basic resources, such as water and electricity.
Economic inequality and its causes
Economic inequality refers to the gap in levels of wealth and income between the rich and the poor. The term is usually used to refer to inequality among individuals and groups within a country, but it can also refer to inequality between countries.
One cause of economic inequality is the difference in wealth. Wealth refers to the value of all the goods a person owns together with the money they have saved. Wealth is also sometimes called personal assets. Different people have different amounts of wealth. Some people, for example, own large areas of land and shares in companies.
In most countries, the law says that when a person dies their wealth income and wealth than others. can be passed on to others as set out in their will. So a person might inherit wealth (money, jewellery or property) from a family member, even though they have done nothing to earn it. This means wealth can be passed down from one generation to another. Inheriting wealth is one of the factors that contributes to economic inequality.
The main reason for economic inequality is the big differences in the wages and salaries that people earn. In other words, differences in the levels of income...