Inequality between Countries

This lecture explores the significant disparities in GDP per capita between countries, analyzing data from 1990 to 2019. It delves into the concentration of low-income countries in Africa, different scales of incomes, and the implications for catching up. The instructor discusses the sensitivity of growth rates, the convergence or lack thereof, and the catching up dynamics. Various growth rate calculation methods are presented, along with the implications of exponential trends. The lecture also highlights countries that have caught up in GDP per capita and compares GDP per capita in 1960 and 2019. The wealth and poverty of nations are discussed, along with possible explanations for the observed inequalities.