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Financial divide in Hungary: The rich get richer, the poor get poorer
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According to hvg.hu, the GKI Economy Research Inc. recently published an analysis about the purchasing power – an essential segment of quality of life – of Hungarian settlements between 2009 and 2016, and it turned out that the advantage of more abundant regions is continuously growing, while the poor still lag behind.
Based on the calculations of GKI, the purchasing power/person rate – in other words, the total income that can be spent in a year – in an average Hungarian settlement is 1.2 million forints (data from 2009-2016 period).
The most interesting part is the differences they found: there’s a divide worth three million forints between the richest and the poorest settlement.
The purchasing power/person rate didn’t exceed 800 thousand forints in 280 settlements, while the rate varied between 800 thousand and one million in 558 settlements. It was 1-1.2 million in 895 places, and the 7th district, 787 towns and the 4th district fall between 1.2 and 1.4 million. The rate was outstanding in 442 settlements and the 6th district (1.4-1.6 million), and in further 189 settlements and the 12th district (more than 1.6 million).
There is a simple explanation why the rich get richer and the poor get poorer. The poor work (40-70 hours per week) for their money. The rich have their money work for them 24 hours a day 365 days a year. Guess who is going to accumulate more wealth at the end of 12 months?