Global Income Inequality May Fall as Emerging Markets Skill Up

Friday, January 12, 2018

Emerging-market economies will drive skill gains in the global labor force in the coming decades, potentially reducing inequality between nations in the process.

The world will see the number of skilled workers — those with nine or more years of education — rise 30 percent to 2.16 billion by 2040, up from 1.66 billion in 2011, according to a new World Bank report. Thanks to their growing populations and investments in education, developing countries are expected to contribute all of those additional educated workers.

“The next big wave of change in the global labor market, the rising share of educated workers in emerging and development economies, will likely lift global potential growth and be accompanied by a further decrease in global income inequality,” according to the report.

Photo courtesy of DFID.

Source: Bloomberg Markets (link opens in a new window)

employment, global development