illustration for the drivers of inequality

What causes inequality?

After establishing the facts about inequality through applying the Multidimensional Inequality Framework, you might want to take your work a stage further to try and identify what causes, or drives, inequalities in well-being. This is a critical step if you are ultimately interested in trying to identify ways in which inequality can be reduced. We have developed a number of resources to assist with this work and you should feel free to adapt these to suit your needs and country context.

The first resource focuses on global and regional drivers of inequality. For these drivers, one government’s action alone may not successfully tackle the problems that are created (for example, climate change). Through our work we have identified ten global or regional drivers of inequality. You might find it helpful to review these and consider how they affect your country and the inequalities you have identified.

The second, and main resource comprises detailed information on potential drivers of inequality structured around the life domains of the MIF and are what we refer to as country-level drivers of multidimensional inequality. This resource allows you to map the inequalities you have measured in one of the domains, for example Domain 2 Physical and Legal Security, to information that can help you determine how these inequalities have arisen. For each domain we have identified a number of main driver categories, a series of guiding questions to help your analysis of drivers and a number of indicators that you could use to monitor these drivers..

For those who are interested in the theoretical foundation of the Framework, the work on drivers is also informed by the Capability Approach. In particular we have tried to identify what are known in this theory as 'conversion factors' (particularly processes and structures) that can explain how a given distribution of individual resources (so-called 'commodity set') can result in greater inequalities in outcomes (so-called 'functionings'). The theory also guides us to value choice and agency. For example, to distinguish between someone choosing to fast for religious reasons and someone starving due to lack of access to food, although in both cases at a point in time neither will be receiving nutrition. We therefore are concerned about drivers of inequality that constrain choice, whether this is because of social or cultural norms (for example, restricting choice in terms of who you marry), the direct consequence of the behaviour of others or due to inadequate institutions or services.

Global and regional drivers

Global and regional drivers of inequalities are drivers that have either global or regional scope. For these drivers, one government’s action alone may not successfully tackle the problems that are created (for example by climate change).

The global drivers of inequality are important not only because of their direct impact in driving various forms of inequalities, but also because they may reduce the ability and autonomy of countries to enact inequality-reducing policies at the national level. For example, global trade rules can limit national action to protect smallholders’ and small firms’ incomes and livelihoods. Trade rules regarding intellectual property can limit the ability of countries to access affordable medicines. Bilateral investment treaties can limit a country’s ability to regulate corporations. Ineffective corporate tax rules and a lack of financial transparency facilitate the transfer of income and wealth offshore. Countries that cannot effectively tax income and wealth are obliged to tax labour and consumption more heavily, resulting in more regressive forms of taxation becoming the norm. These are all examples of global drivers that have an impact on the ability of nation states to enact inequality-reducing policies or on their effectiveness when adopted.

Although global or regional level action may be necessary, this does not mean you cannot do anything useful at national level with respect to these drivers. Some important changes may be feasible to mitigate negative impacts and/or to take protective measures.

Click on the buttons below to find out about the ten prominent global and regional drivers and further information about them.

  1. Dominant narratives, and corresponding policies, that justify and perpetuate inequality
  2. Values, norms, practices and structures that perpetuate discrimination and intolerance, especially discrimination against women
  3. Financialisation, the power of capital and global elites
  4. The rise and power of global corporations and the lack of effective regulation
  5. Lack of financial transparency and ineffective global tax governance
  6. Skewed structure of global trade
  7. Climate change and environmental degradation
  8. Conflict, global displacement and international migration policies
  9. Skewed technological development, scientific progress and innovation
  10. Lack of effective global governance
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Country-level drivers (MIF)

Country-level drivers of multidimensional inequality drivers are structured around the life domains of the Framework. This resource allows you to map the inequalities you have measured in one of the domains to information that can help you determine how these inequalities have arisen. For each domain we have identified a number of main driver categories, a series of guiding questions to help your analysis of drivers and a number of indicators that you could use to monitor these drivers. These are designed to capture drivers of advantage as well as disadvantage where relevant. You should feel to adapt this resource to reflect your findings on inequality, your needs and your country context, as not everything will be relevant and you may wish to add some additional material.

For example, in Domain 2 Physical and Legal Security we have ten main driver categories which include:

2.1 Harmful social and cultural norms which result in certain groups being at greater risk of violence and sexual exploitation

2.2 Harmful social and cultural norms which result in some individuals or groups having less access to legal rights and legal security

2.3 Lack of independent, representative judiciary and police, and a legal framework which ensures adequate accountability and public scrutiny of policy and judiciary decisions

2.4 Legal impunity, state violence and institutional discrimination

2.5 Inadequate and unequal distribution of policing, security and safety in public spaces and workplaces; and protection of infrastructure and resources

2.6 Lack of recognition and implementation of International Human Rights Standards

2.7 Unequal access to justice: lack of knowledge with regard to legal rights; unequal access to affordable and high-quality legal assistance and legal representation

2.8 Lack of policies to protect children's integrity, particularly in relation of sex abuse and child pornography

2.9 Lack of or insufficient policies and legal frameworks to foster equality and to protect against arbitrary discrimination

2.10 Unregulated access to guns and other weapons among population

For driver category 2.4 Legal impunity, state violence and institutional discrimination we provide the following explanation:

This driver covers physical security risks related to the states’ own conduct (human rights violations), and physical security impacts from conflict and war. It covers aspects related to institutionalised identity-based discrimination – where certain groups receive harmful or poorer treatment by police, in court and in prison (including being at risk of physical harm and in relation to sentencing inequalities). It also covers instances when certain (favoured, powerful) groups receive greater legal protections and better treatment due to political capture and their ability to influence law-making, avoid prosecution or secure more favourable treatment before the court for their crimes.

For this driver category we also provide a number of guiding questions to aid the identification and analysis of these drivers of inequality. These include:

Is there evidence of arbitrary arrest and ‘disappearance’, unlawful detention, detention without trial, unfair punishments, torture?

Is there an independent regulator of prisons and an effective inspection regime?

Is there evidence of discrimination in terms of the treatment and detention conditions of those held in detention?

Are policies in place to prevent disproportionality within the legal system?

Are policies in place to prohibit ‘fast track’ legal/administrative services for the rich – for example, with regard to buying citizenship (including on the basis of investment), negotiating fines and penalties in legal cases including: tax dodging or business misconduct, use of special airport channels etc.?

Potential indicators to monitor the drivers of inequalities in this area, include:

  • Number of investigations and prosecutions into police misconduct and brutality (disaggregated by relevant characteristics of victims).

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