Globalization and Inequality

by Momoyo Tanaka

Globalization creates inequality between developed countries and developing countries, and rich and poor in domestic. One researcher showed that developed countries like the U.S., EU and Japan are one hundred times as rich as developing countries like Ethiopia, Haiti and Nepal. The West countries have been developing since nineteenth century (after the Industrial Revolution), and also the rising nations.  However, ex-colonial countries have not.  In addition, because of globalization, domestic inequality between rich and poor is a big problem now. There are some causes that occurs inequality; education and poverty.  Then, I will show the solution.

First, education causes inequality because of globalization. Generally speaking, benefits cannot be divided equal in globalization because capitalists and people who owe resources gain most of benefits.  Because of globalization ― expansion of the market and the development of IT technology ― when companies find employees, they tend to hire the people who have high skill, not the number of people.  Rich people can have high education, but poor people are difficult, and they lost the chance of working.  Rich people would get high wages and widen the sphere of work, but poor people tend to work in bad labor conditions and low wages.  Education is necessary to survive the global world, and it causes inequality.

Second, poverty causes inequality. A lot of developing countries suffer from poverty because they do not have chance of business. Developing countries are dependent on Mono culture which grows coffee, cotton, and so on. At the colonial period, these countries were forced to grow one material to create industrial products in law prices. After finished Colonization, the system of Mono culture remained.  Developing countries cannot create industrial product because they only produce one material, so they cannot extricate themselves from poverty.  If developing countries escape from poverty, they might develop and less poverty.  Then, developed countries are developing because of globalization, for example trade, the development of industry and technology. These countries are rich and have skill, so they succeed in globalization. Recently, inequality between developing countries which were colony and developed countries which were suzerain states are expanding. Thus, poverty causes inequality.

Then, what can developed countries to correct inequality?  One solution is that to achieve Millennium Developing Goals (MDGs). MDGs aims to achieve peace and safety, development and poverty, environment, the role of 21st century, and so on by 2015.  However, it is said that it is difficult to achieve it by 2015 if the present situation were to continue.  The world needs to cooperate with each other more to accomplish MDGs and to correct inequality.


・Future Problem Solving. “Globalization Creates the Inequality in Developing Countries”. June 29, 2012.

・the Ministry of Foreign Affairs. “What Japan Do to Achieve Millennium Developing Goals”. June 29, 2012.

・Hunger Free World. ”the Relation between MDGs and Us”. June 29, 2012


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