Inequality levels in Iceland greater than in Pinochet’s Chile? Skip to content

Inequality levels in Iceland greater than in Pinochet’s Chile?

By Iceland Review

The tax policy of Icelandic authorities is the main cause of inequality in Iceland, which is growing faster than at the time of Augusto Pinochet’s reign in Chile, according to University of Iceland professor Stefán Ólafsson.

Ólafsson, interviewed in Fréttabladid today, maintains that inequality has increased more quickly in Iceland than in any other Western nation in the past three decades, and claims that new figures from OECD confirm this.

Fréttabladid cites a talk given by Ólafsson at the Annual General Meeting of the Icelandic Federation of Labour, concerning the poor pension benefits of the Icelandic public. In this regard, Iceland is below the OECD average, despite Iceland being in the top 10 richest nations in the Western hemisphere.

According to Ólafsson, with increased globalization, labor movements have become even more essential to secure the living conditions of the general public.

In his view, three tasks are crucial in Iceland: a shortening of the work week, complete revisal of tax policies, and improved conditions for pensioners.

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