Economic Inequality

Definition

Economic inequality refers to the unequal distribution of income and opportunity between different groups in society.

Analogy

Imagine if you were playing Monopoly and some players started with more money than others - that's economic inequality.

Related terms

Income Distribution: This term describes how wealth and income are divided among society. Using our Monopoly analogy, it would be like deciding who gets what amount at the start of the game.

Poverty Line: The poverty line is an official measure that defines those who cannot afford basic necessities such as food, shelter, clothing etc. It’s like setting a rule in Monopoly where players with less than $200 can't afford any properties anymore.

Wealth Gap: The wealth gap refers to the difference in assets and income between individuals or groups. It's like the difference between the player who owns all the hotels in Monopoly and the player who can barely afford rent.