Wealth is not distributed equitably/equally. It can vary widely from country to country and even within countries themselves.
The World Bank categorizes countries as either high-income, middle-income, or low-income by calculating the average wealth of each nation’s residents. Countries with greater wealth often have greater access to resources such as food, water and medical care, while countries with less wealth have less access to these resources and face issues such as poor health and higher mortality (death) rates.
As the next generation of leaders, it is important for us to understand some of the inequities in resource distribution around the world and some of the feelings of helplessness and frustration that result from these inequities.
Why is this important?
"To plan for the FUTURE, we need to know about the PRESENT."
A common sight in South Africa...
the gini index
The GINI index ranges between 0 and 100: A country with a totally equal income distribution, in which every person received the same income, would have a Gini index of 0; a country with a completely unequal distribution, where one person got all of the income and everyone else earned nothing, would have an index of 100.
As you can see from the map above, South Africa is THE MOST UNEQUAL country in the world! We had a GINI index of 63 in 2020. The world average is 38.43. The country with the lowest is Slovenia, with 24.2.
the gini index
at a municipality level...
Here we are able to see wealth inequality in the different municipalities around South Africa.
The red represents extremely high levels of inequality.
what is this area called?
High-Income Countries (people on average earn more than $12476 or R180 503 per year).
R180 500 --> R15 040 per month --> R500 per day
Middle-Income Countries (people earn between $4036 - $12 475 or R58 400 - R180 488 per year)
R122 000 --> R10 166 per month --> R340 per day
Low-Income Countries (people on average earn less than $4035 or R58378 per year)