Why are there inequalities in the world and which measures work and which do not?

Many people are concerned about the problem of inequality. However, equality can manifest itself in different ways. When everyone is rewarded equally, regardless of their efforts and achievements, it deprives the more talented and hardworking of incentives to work. The result is equality of outcome, which, as the collapse of communism showed, is a failed idea. We seek equality of opportunity, which makes more sense.

For example, if a black student during the apartheid era in South Africa was not allowed to attend prestigious white universities, even though he was doing well, that is clearly unfair. People need equal opportunities, but implementing policies that favor the less talented simply because of their race is also wrong. In an effort to equalize outcomes, we lose valuable talent and penalize those who are the most capable and work the hardest.

Examples of countries with ineffective efforts to combat inequality

A key example is the United States, which, despite its status as the world's leading economy, remains a country with high levels of social and economic inequality. The main problem here is ill-conceived tax policies and insufficient support for the vulnerable. 

While the upper strata of society receive significant tax breaks and the opportunity to build capital, people with low incomes often face limited access to health care, quality education and social services. This creates a vicious circle of poverty where opportunities to move up the social ladder are severely limited. Moreover, economic programs to reduce poverty often fail to achieve their goal due to bureaucratic complexities and insufficient funding.

The UK also demonstrates examples of ineffective combating inequality. Despite large-scale social programs and redistribution of income through taxation, the gap between different social groups remains a problem. High housing prices in major cities such as London mean that young people and low-paid workers face problems accessing quality housing. 
Government programs for affordable housing are not large enough and do not address the root of the problem. In addition, cuts in health and education spending amid economic crises only make the vulnerable worse off.

France, as one of Europe's largest economies, also faces inequality despite an extensive social security system. High youth unemployment, especially in suburban and rural areas, shows that social programs are not always effective in addressing employment and supporting the poor. 

Why doesn't fighting inequality work?

In the West today, there is a radical approach to tackling inequality that, while well-intentioned, leads to new problems. In an effort to correct historical injustices, proponents of such initiatives often go to extremes, introducing rigid quotas and measures focused on artificially equalizing outcomes. This creates tensions in society, as such steps are often perceived as unfair to those who succeed through their own efforts and abilities. As a result, instead of addressing inequality, these drastic measures create new forms of discontent and may even undermine the foundations of social justice for which they were introduced.

How do we fight inequality in the Nordic countries?

In the Nordic countries, the fight against inequality is based on a social security system that ensures that citizens have access to basic services such as health care, education and decent unemployment benefits. These states, including Sweden, Norway and Denmark, actively implement retraining programs for people who have lost their jobs and provide them with all the resources they need to successfully find a new career. A key aspect of their policies is the principle of “equality of opportunity,” which means creating an environment in which everyone has access to the necessary resources to realize their potential, regardless of social or economic background.

Special emphasis is placed on a system of progressive taxation to redistribute wealth and reduce inequality. High taxes on the rich go to fund social programs, which creates conditions for a more equal distribution of wealth. Affordable education programs and employment support play an important role in helping citizens adapt to changing labor market conditions. Thanks to these measures, the Nordic countries successfully maintain a balance between the free market and social justice, minimizing the gap between the rich and the poor.

Conclusion

Excessive equalization of intermediate opportunities can be harmful. While the question of what exactly to consider excessive remains open, equality of starting conditions is not enough unless an environment is created where everyone is provided with minimum guarantees in the form of income, education, and health care. Without this, it is impossible to claim that there is fair competition, especially when some people have to start the race with weights that immediately put them at a disadvantage. Equality at the start is absolutely necessary, but it is not enough to create a truly fair and efficient society.

It is fair to give laid-off workers the opportunity to start a new career, providing them with decent unemployment support and health insurance even if they lose their job. It is also important to offer retraining programs and assistance in finding a new job. Scandinavian countries have been particularly successful in this regard, where such initiatives have become an integral part of social policy.