“NEW INEQUALITY” AND ECONOMIC GROWTH AFTER COVID-19

Abstract

The article analyzes the main forms of manifestation of the "new inequality" caused by the coronavirus crisis. The author identifies the reasons for the growing inequality in developed countries and reveals its tendencies in incomes, benefits and compensations received, in welfare of various decile groups of employees. Among the causes of economic inequality there are: rent-seeking, misguided macroeconomic policy, the declining role of trade unions, the role of new technologies and changes in the structure of labor demand. A new form of economic inequality is revealed: the relationship between the level of health and the level of education (income). A new ruling class of developed countries has been identified that is interested in further strengthening economic inequality. The author shows that the pandemic has led to a sharp stratification of income and the welfare of employees, both within countries and between countries, turning inequality into a dangerous economic disease. According to the author, the most striking manifestation of the "new inequality" on a global scale is the lack of access to vaccinations in most countries of the world. The article shows the negative impact of income inequality on economic growth in the long run. The author believes that the "new inequality" requires a change in national macroeconomic policy after the coronavirus crisis.