Establishing a Relationship Between Inequality in Education and Inequality in Income

Abstract

In this paper the relationship between inequality in education and inequality in the rate of income is explored. Many people from all round the world do not have access to quality education, which is a huge component of the Human Development Index (HDI). HDI is a summary measure of success in several crucial dimensions such as, long and healthy life, being knowledgeable, and the standard of living. Education, therefore, is a key component of the HDI as it is concerned with the standard of living as well as knowledge. Access to education is limited all around the world for a variety of reasons: gender inequality, income, lack of resources etc. Especially in the countries that are relatively poor (mostly in Sub-Saharan Africa) experience major obstacles in education inequality. In this sense, poverty status is correlated with the education gaps, especially when a country is facing severe problems in the distribution of income. In addition, residency in terms of rural or urban areas also does impact education inequality. Although many factors such as geographical location, education inequality, lack in research and development; the focus of the research is the correlation between education inequality and inequality in income distribution.