"The IT World"
he research is based on the main concept of "Income Inequality" because the technology has a huge impact on unskilled labours (low-income groups). The labour market plays an important role to the income inequality gap. Computers and machinery perform quicker and more efficient tasks than the labours. For example, activitie like manufacturing and packaging all can be done by the machines with the help of computers. Hence, jobs involving in repetitive tasks have largely been eliminated. More unskilled workers are either being layoff or paid in lower wages. This is simply because the unskill labours do not have the necessary computer skills that creates a mispatch between them and the jobs. As a result, the market will eventually demands more skilled labours to use the computers and operate the systems. Thus, the income gap among the workers has widened. The Lorenze Curve shows the world income from the poor to the rich. (Graph 1.1). Besides, the graph shows the four quintiles and the income distribution gap can be visualised clearly across the different income groups.
Since the high-income population has more income and the low-income population receives lower income, this results in most of them unable to participate in the goods and services also able to access to the education. This will affect the economy as many low-income groups aren't able to contribute in the goods and services. Therefore, technological change brings the world to the new era of information where people receives more knowledge but also widens the income gap between the gap between skilled and unskiled labours.
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