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International Inequality and the COVID-19 Pandemic
1Bonn, Germany.
Inter Economics
|February 23, 2022
Summary
Government COVID-19 responses impacted global income and production. While immediate income inequality remained stable in 2020, future wealth and health disparities may increase economic inequality.
Area of Science:
- Economics
- Public Health
- Sociology
Background:
- Government interventions, including lockdowns and stimulus packages, were implemented globally to combat the COVID-19 pandemic and its economic repercussions.
- These measures have influenced the distribution of income and production both domestically and internationally.
Purpose of the Study:
- To analyze the impact of COVID-19 pandemic responses on global and EU-wide income inequality.
- To assess the short-term changes in disposable income distribution and project future trends in economic inequality.
Main Methods:
- Analysis of current evidence on income and production distribution.
- Evaluation of the effects of lockdowns and stimulus programs on economic inequality.
Main Results:
- Evidence suggests that EU-wide and global disposable income inequality did not experience dramatic changes in 2020.
- The unequal effects of the pandemic on individual wealth and health are anticipated to exacerbate income inequality in the long term.
Conclusions:
- Immediate policy responses to the COVID-19 crisis did not significantly alter global income inequality in 2020.
- Disparities in wealth and health resulting from the pandemic are projected to be key drivers of future increases in income inequality.
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