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Top 1 percent holds 22 percent of total national income in India: World Inequality Report 2022

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New Delhi: The latest report on Income Inequality published by World Inequality Lab put India in the ‘Poor and Very Unequal Country’ category as the top one percent of people of India holds 22 percent of the total national income and the top ten percent holds 57 percent income of the country.

According to the report, India is now among the most unequal countries in the world. A report states India’s position as a poor and very unequal country, with an affluent elite.

The report pointed out that the average national income of the Indian adult population is Rs 204,200, While the bottom 50 percent earns Rs 53,610, the top 10 percent earns more than 20 times (Around Rs 1,166,520 per year).

The report further mentioned that the top 10 percent and top 1 percent hold respectively 57 percent and 22 percent of total national income, the bottom 50 percent share has gone down to 13 percent.

“Gender inequalities in India are very high, The female labor income share is equal to 18 percent. This is significantly lower than the average in Asia (21 percent, excluding China),” the report said.

However, Smart brains are shifting to other countries due to income inequality in the country, this is one of the reasons people are fleeing abroad. The people who are financially capable enough – are in condition to provide better education to their children when the other side, who are not earning enough – they are not in conditions to provide better education to their children.

The report observed that income and wealth inequalities have been on the rise nearly everywhere since the 1980s, following a series of deregulation and liberalization programs that took different forms in different countries.

“The rise has not been uniform: certain countries have experienced spectacular increases in inequality (including the US, Russia, and India) while others (European countries and China) have experienced relatively smaller rises,” it said.

The report was authored by Lucas Chancel, co-director of the World Inequality Lab, and coordinated by several experts, including French economist Thomas Piketty.

(_Vinayak Barot)