markets as a strategy to raise demand and promote economic
growth. This happened through public policies that focused on
generating employment and household income, ensuring access to
land and assets, as well as infrastructure and services, and enhancing
human capital and labour productivity. Likewise, developing
country governments can focus on expansionary macroeconomic
policies that support employment and broad-based economic
activities, introduce new schemes to extend health services and
social protection for all, and invest in education, water supply,
sanitation, food security and nutrition.
Last but not least, inequality matters to political stability. Gross
inequities tend to generate intense social tensions and even violent
conflict. Equitable policies, on the other hand, are able to enlist the
political support of citizens in democratic systems, and can build
social stability.
A more equitable world can be achieved. This requires action at
national and international levels.
Some questions for policy makers include:
- How can national development strategies and socio-economic
recovery plans address inequality and better prioritize the needs
and rights of lower income groups?- How can inclusive development outcomes be accelerated?
- How can governments best guarantee the right to food,
housing, education and medical care, along with the right to
employment and social security, with special attention to
families and children?- How can employment-generating activities at the local level be
fostered, including decent employment for young people?
- Are all possible fiscal space options being considered to ensure
a Recovery for All and accelerate inclusive development?
- How can government spending be refocused on the bottom
quintiles to push them up? Is the government doing all that it
can?- Are the long-term economic, social and political costs of leaving
out low- and middle-income households and vulnerable
children in the current economic crisis being considered?