Two important trend reversals have taken place in global inequality over the last 25 years: the inequality between countries has started to decrease after two centuries of steady increase and the inequality within many countries has started to rise after a long period of stability, in particular in developed countries.

After documenting this evolution, Francois Bourguignon, former Chief Economist at the World Bank, focused on two sets of questions. First, is globalisation the main cause behind this paradoxical change in global inequality? Second, if it is the case, what should be done to prevent further rises in within-country inequality that could derail the process of globalisation and, at the same time, the progress towards less unequal standards of living across countries?

Francois Bourguignon is professor of economics at the Paris School of Economics and at the Ecole des Hautes Etudes en Sciences Sociales in Paris. He is a specialist in the economics of development, public policy, income distribution and inequality and has authored many academic papers and books. Prior to his current appointment, he held the position of Chief Economist at the World Bank from 2003 to 2007.

This lecture was presented by the Development Policy Centre at Crawford School of Public Policy at The Australian National University.