THE CZECH GOVERNMENT’S STRATEGY FOR FIGHTING INEQUALITY

Abstract

Defenders of globalization often argue that, whatever distress it may cause for the rich-world workers, it has been good for poor or less affluent countries. The inequality as measured by the distribution of income between the rich and poor countries, has globally narrowed. But within each country, the story is less pleasing. We may use three different arguments to support this conclusion: 1) differentiation among workers. A-skilled workers in rich countries; B-low skilled workers in rich countries; C-high-skilled workers in poor countries; D-low-skilled workers in poor countries. The new slogan originating in the Silicon Valley works with the ?gig economy? and with the appearance of the new workers category - contract workers. 2) growth of crony capitalism (measured by the crony capitalism index). 3) social and economic mobility. The authors came to the conclusion that inequality of workers in the Central European post-communist countries will never reach the income level corresponding to their counterparts of groups A and B in the developed economies of the EU and the inequality in the Czech Republic contrary to the general accepted opinion about egalitarian society has been growing.