Inequality, a threat for the society or a requirement to development?!

    In media, social rumors and even some scientific works inequality in economic levels of a society is known as an unwanted phenomenon and something that should be treated and finally eliminated. But is inequality really a threat to the welfare of a society?

The experience that world have had with Communism has very well revealed that eliminating property rights and sharing the benefits of the production is not the best way toward equality. The principal reason of Soviet Union’s demolishment was probably the lack of any incentive for the citizens for entrepreneurship. Contrary to what the communism school of thought had, the amount which a manager and a factory worker contribute to a certain production is not known equal anymore. Since the 90s, management was added to the three other production factors which were known till that time, Capital, Labour and Land. So, a manager is not anymore known as a labour, and the amount that he/she contributes in the production procedure can’t be considered as much as a labour who contributes with his physical power.

Regarding Rostow’s stages of economic growth, nations may experience an era of economic inequality among its citizens to pass to the economic maturity level. In the take off stage of Rostow's theory, we need to progress in certain economical sector by large investments. Since the private sector always searches the best place for investment, we can expect the best efficiencies in this sector. In the cases where a private enterprise(it may also be a few)  is the only provider or buyer of a certain good, monopoly and monopsony would occur relatively, which would exploit the consumers or producers. Many countries’ governments have intervened regarding the Keynesians ideology with their financial and monitory instruments (Taxes and Tariffs).  But should the states intervene or that is a normal phenomenon in the road toward the maturity level of development mentioned by Rostow?