The state of global inequality is alarming, showing no significant improvement over the past century, according to the World Inequality Report 2022, Andrew Stanley wrote for an IMF blog.

Just 10% of the world population hold 75% of all wealth, get 50% of all income and account for nearly 50% of all CO2 emissions.

The richest 1% own so much of the world’s money that it doesn’t fit on the chart

The report highlights that economic disparities today mirror those of the early 20th century, and the COVID-19 pandemic has exacerbated the situation further.

Utilising four measures, including two traditional and two new metrics, the study provides a comprehensive analysis of the persistent inequality issue.

Wealth and income remain the primary traditional measures. The poorest half of the global population holds only €2,900 per adult in purchasing power parity, while the wealthiest 10% owns roughly 190 times more. Income distribution shows a similarly stark divide, with the richest 10% capturing 52% of global income, while the poorest 50% receives just 8.5%.

The top 10% of the world’s population has 76% of the wealth and produce 48% of the emissions

The report introduces two new measures to broaden the understanding of inequality: ecological and gender inequality. Carbon dioxide emissions are assessed by income category, revealing significant disparities not only between nations but also within them. The analysis of gender inequality focuses on labour income, showing that women's share of income has seen only marginal improvement over the past 30 years.

Addressing inequality is a matter of political will. "Much can be done about inequality," Stanley says, "and it is always a political choice, with better policy design inevitably leading to fairer development pathways."