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  • Anforme What are the causes of inequality of income and wealth in the UK?

Anforme What are the causes of inequality of income and wealth in the UK?

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What are the causes of inequality of income and wealth in the UK.

Tony Darby, Head of Economics and Business Studies at Rugby School, examines the reason why there are marked differences in household incomes.

Summary of contents:

  • Explanation as to why the UK is an unequal country.
  • Education and skills: marginal revenue product and specialisation explaining differences in incomes.
  • Immobility: Impact on incomes from labour immobility, geographical immobility and compensating differentials.
  • Discrimination by gender and ethnicity.
  • Government policy: welfare payments to reduce inequalities.
  • Government policy: the National Minimum Wage
  • Conclusions


This article is featured in ET volume 19 issue 1.

What are the causes of inequality of income and wealth in the UK.

Tony Darby, Head of Economics and Business Studies at Rugby School, examines the reason why there are marked differences in household incomes.

Summary of contents:

  • Explanation as to why the UK is an unequal country.
  • Education and skills: marginal revenue product and specialisation explaining differences in incomes.
  • Immobility: Impact on incomes from labour immobility, geographical immobility and compensating differentials.
  • Discrimination by gender and ethnicity.
  • Government policy: welfare payments to reduce inequalities.
  • Government policy: the National Minimum Wage
  • Conclusions


This article is featured in ET volume 19 issue 1.

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