Timeline Of Global Wealth Inequality by

Industrial Revolution (London), Late 18th-Early 19th Century

jsorenson12 — 2023-12-04 18:54:49 UTC

The Industrial Revolution brought extreme technological and economic growth to Europe in the late 18th and early 19th centuries. This event also brought with it extreme economic inequality both within and among nations. On a global scale, a wealth gap was created between industrialized and non-industrialized regions. In chapter 15 of our book, it states: "Societies that industrialized tended to see their incomes grow, sometimes substantially... in contrast, societies that remained basically agrarian with higher population densities (and labor abundance rather than land abundance) tended to fall behind" (Pollard 625).

The rapid industrial production increase in Europe enabled powerful countries to have an advantage over smaller less-developed ones. Having the most up-to-date technology equated to economic success, and to make matters worse, increased migration to industrialized societies took laborers away from societies hoping to industrialize, further increasing the wealth gap.

Karl Marx (Germany, London) 1818-1883

jsorenson12 — 2023-12-04 18:58:20 UTC

Karl Marx was a European economist and philosopher who is widely known for his critique of capitalism and support for 'scientific socialism.' One of Marx's core ideas was that capitalism inevitably creates a class system within society that unfairly benefits the bourgeoisie and punishes the proletariat. This was true in some cases, including London during the industrial revolution. Factory owners made significant economic gains while the workers suffered long hours, poor working conditions, and low wages.

Marx believed that because of the class inequality that is a result of capitalism, the working class would eventually rise up to create a socialist society. In chapter 16, it is said that, "Marx and (Friedrich) Engels predicted that there would be overproduction and underconsumption, which would lead to lower profits for capitalists and, consequently, lower wages or unemployment for workers—which would ultimately spark a proletarian revolution" (Pollard 668).

Marx's socialist revolution never came to fruition, though his writing heavily influenced soviet revolutionaries like Vladimir Lenin. Marx's critique of capitalism highlights the situation with wealth inequalities across the world. The CEOs hold so much more power and wealth than the working class, and the gap has only increased since the 19th century.

Colonialism 15th century-1941

jsorenson12 — 2023-12-04 19:10:09 UTC

Colonialism and imperialism played crucial roles in increasing wealth gaps between industrialized and non-industrialized countries. Colonial powers often targeted countries with little to no industrial development and exploited them for resources and labor. Because colonies were structured in a way that benefitted the colonizing power, the resources and wealth accumulated would be in the hands of the imperial power, not the colony. The exploitation of colonies would have lasting effects, leaving countries at an economic disadvantage that can still be seen today.

Additionally, colonies were not only exploited for resources but also for labor. Indigenous people were often put to work as laborers or even slaves, enriching the pockets of imperialists and dehumanizing the local population, who were not being paid sufficiently. The discrimination that these people suffered prevented them from having access to sufficient education and healthcare.

The Great Depression 1929-1930s

jsorenson12 — 2023-12-07 22:27:47 UTC

The great depression sent shockwaves through the global economy when U.S. banks failed, which many countries across the globe relied on due to the devastating effects of WWI. The depression created a scene in which people lost their savings and business owners saw massive decreases to their wealth. Chapter 19 describes the situation: "Bankers panicked, stock prices plunged, debtors walked away from their loans, banks failed, and as big lending from New York slammed shut, countries went off the gold standard one by one, letting their currencies fall" (Pollard 797).

Unemployment soared during the great depression. As people lost their jobs, poverty became widespread. On a global scale, countries who were dependent on global trade suffered huge economic challenges. The wide-spread challenges faced by countries and their populations during the great depression made way for changes to economic and social policies.

Three World Order, 1947-1991

jsorenson12 — 2023-12-07 22:30:08 UTC

The three world order is the structure of competing nations after WWII. According to our book, the combination of decolonization and the post-WWII landscape made way for a "three-world order in which the liberal democratic and capitalist First World and the communist Second World competed for global influence, notably among the newly decolonized Third World states" (Pollard 797).

First and second world countries were often large, industrialized global superpowers with an abundance of wealth and influence. This leaves third world countries as decolonized states that were left to fend for themselves after WWII. Third world countries often provided raw materials and cheap labor for first and second world countries. The exploitation of these countries is a direct result of the post colonial world, in which powerful industrialized countries have economic, social, and cultural influence over smaller, less developed states.