The Effects of Globalization on World Income Inequality

Globalization is defined as the transfer or easy flow of goods, services and capital from one country to another. Due to this rapid transfer in trade across boundaries, this article attempts to bring out the relationship that exists between globalization and income inequality levels across regions, and among individuals within different countries. To do this the article brings clearly the empirical evidence that various economic researchers have come up with, and most important is that there are various schools of thought giving different view points in so far as this relationship is concerned. Therefore this article seeks to give a comprehensive look in the various view points, and through empirical evidence comes up with a rational and factual analysis on the effects that globalization has on income inequality.