The impacts of neoliberal economic policies on income distribution and poverty

One of the most important thesis of neoliberalism is free entrepreneurship. An uncontrolled free entrepreneurship causes a dominating free market. The most important criticism of neoliberalism is it's implenting policies that is watching over capital instead of labor in labor-capital nexus. To watch for capital leads to a worrying unbalanced income distribution in favour of capital owners. The depth of inequality between different income groups is rapidly increasing and poverty is becoming a serious problem. The neoliberal policies that are applied for decreasing poverty unfortunately, makes poverty permanent. Poverty becomes a threatening problem of world economics. In this thesis, first, it will be underlined that neoliberal policies triggered an unbalanced income distribution. Then it will be stated that neoliberal economic policies that became popular by globalization till 1970s give rise to a deep poverty nearly all over the World. In this context, as a conclusion, alternative applicable policies will be elaborated and put forwarded to struggle with poverty and to minimize the inequality of income distribution. Keywords: Neoliberalism, income distribution, poverty.