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Updated: Oct 3, 2025

Using Cholesky Decomposition to Explore Individual Differences in Longitudinal Relations between Reading Skills
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Evaluating Global Inequality Using Decomposition Approach.

Ning Ma1, Tsun Se Cheong2, Jing Li3,4

  • 1Hainan College of Economics and Business, Haikou, China.

Frontiers in Psychology
|February 14, 2022
PubMed
Summary
This summary is machine-generated.

Global inequality declined between 2000-2017, driven by East Asia and upper-middle-income countries. However, disparities persist between developed and developing nations, with worsening inequality within developing countries.

Keywords:
North–South divideTheil indexdecomposition analysisglobalinequality

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Area of Science:

  • Economics
  • Development Studies
  • Global Studies

Background:

  • Limited recent research exists on the decomposition of global inequality.
  • Understanding the drivers of global inequality is crucial for sustainable development.

Purpose of the Study:

  • To investigate global inequality using a decomposition technique.
  • To identify the driving forces behind the evolution of global inequality from 2000 to 2017.

Main Methods:

  • Utilized World Bank data for the study period 2000-2017.
  • Applied decomposition by subgroups to analyze inequality drivers.
  • Examined North-South divide, regional, and income subgroup impacts.

Main Results:

  • Observed a gradual decline in international inequality from 2000 to 2017.
  • Noted persistent disparities between developed and developing countries, with increased inequality within developing nations.
  • Identified geographical location as a significant factor, with East Asia contributing 40% to the decline.
  • Found that reduced inequality among upper-middle-income countries also contributed substantially to the overall fall.

Conclusions:

  • Global inequality has shown a declining trend, yet significant disparities remain.
  • Regional factors, particularly East Asia's contribution, and income group dynamics are key drivers.
  • Findings offer insights for international strategies on inequality management and human development within the Sustainable Development Goals framework.