Published Apr 22 2024

Poverty puzzle: The deepening gap between the rich and the poor

For years, the narrative of growing poverty has tugged at our heartstrings, with people either living with barely enough to survive, or dying with even less.

So why is it only getting worse? Despite years of efforts to address the issue, poverty is only getting worse. Not only that, but middle-class families are now also struggling to make ends meet as the cost-of-living crisis bites, while the wealth gap between the rich and the rest of us continues to grow.

The growing number of displaced persons only adds to the critical need for change. The relationship between poverty and displacement is cyclical.

Poverty can make people more vulnerable to displacement, as they may lack the resources to cope with environmental or economic shocks, or may be forced to flee their homes due to conflict or persecution.

Conversely, displacement can lead to poverty, as people may lose their livelihoods and access to basic services, and may struggle to rebuild their lives in new communities.

How does the poverty cycle perpetuate itself, and how can we break free from it? Can a recession help reset the balance? Is there anything else we can do to restore balance, without enforcing a new political ideology?

About the Authors

  • Brett inder

    Professor, Econometrics and Business Statistics, Monash Business School, Monash University

    Brett’s interest lies in development economics. He develops econometrics techniques that provide accurate readings of the ‘messy’ and complex data economists deal with as they try to determine cause and effect in everyday life. This takes him into such areas such as the provision of services to people with mental illness, for a current project with Southern Health backed by an Australian Research Council grant. Separate research he is undertaking on mental illness and the labour market is funded by beyondblue.

  • Sara niner

    Lecturer, Anthropology, School of Social Sciences

    Sara is an interdisciplinary researcher and lecturer in Anthropology with the School of Social Sciences. Before becoming an academic she spent many years working with the East Timorese diaspora in Australia followed by many years working and researching in Timor-Leste. She is an expert in the field of gender and international development with a particular interest in those issues in the post-conflict environment of Timor-Leste.

  • Paul kellner

    Research Fellow, BehaviourWorks Australia, Monash Sustainable Development Institute, Monash University

    Paul joined the BehaviourWorks (BWA) in October 2021 where he focuses on undertaking Rapid Evidence and Practice Reviews. Before joining BWA, Paul held a range of applied research, evaluation, policy, and consulting roles, usually working at the intersection of his research interests, which include children and young people, migration, and health and wellbeing. His recent roles have included Senior Research and Evaluation Advisor at Our Watch, where he focused on social marketing campaigns for young people, and Research and Policy Project Lead at AMES Australia where he led strategic projects in support of AMES portfolio of services for newly arrived refugees and migrants in Victoria.

  • Asadul islam

    Professor, Department of Economics and Director, Centre for Development Economics and Sustainability (CDES)

    He is the Director of the Centre for Development Economics and Substantiality (CDES). His current focus is on early childhood development in projects in Bangladesh, Uganda and Tanzania, and in working with Rohingya communities in Bangladesh. He has demonstrated his particular interest in issues that make positive changes in the lives of people in developing countries. He is also collaborating with leading NGOs and institutions in Bangladesh and India to address a number of emerging challenges on COVID-19 issues.

  • Hang vo

    Chief Executive Officer, Sacred Heart Mission. President of the Australian Council of Social Service

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