BLUF

According to Branko Milanović, global inequality has improved with the growth of China's economy. However, this has resulted in reduced purchasing power for many individuals in the lower and middle-income brackets in the West. This situation could potentially lead to social disruption and increased income polarization within Western societies.

Summary

KEY POINTS:
  1. An expert reveals that global inequality has reached its highest level since the late 19th century.
  2. Economist Milanović discovers that global inequality is decreasing despite rising inequality within countries.
  3. The booming economy of China played a significant role in reducing global inequality.
  4. The shifting distribution of global income impacts the Western middle class and erodes Western hegemony.
READ: The West is poorer and ‘it’s very good news,’ says top inequality researcher: ‘There is no reason why for 2 centuries, people from the West should’ve been at the top’

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