Thread by @margianta

"Like an hourglass. At the top, super rich global elite, to whom you can sell..Jets. At the bottom, global poor, to whom there will be..opportunities to sell poverty products: payday loans, zero-hour contracts, high interest credit."

Familiar? Indonesia is becoming an hourglass.

Payday loans are more common in 🇮🇩 (@kredivo, paylaters)

Gig economy & its zero-hour contract 'partners' (@gojekindonesia, @GrabID)

Austerity hurt middle class (⬆BPJS fee, ⬆property price, but wages ↔)

While the rich got tax amnesty--hoping this 'trickles down' to economy.

On July 2018, the govt stated that the poverty rate in Indonesia is the lowest in history (9.82%), compared to 2017 (10.12%)

But this data was questioned by @IndefEconomics, because it's measured from consumption (26 USD/month) rather than earnings.

tirto.id/cara-cara-meng…

@SMERUInstitute (2019) shows that a child who lived in a poor family when they're 8-17 yo suffers an 87% earnings penalty.

Meaning: If you're born poor, you'll most likely stay poor. Less chance to be a middle class.

The ones who made it are outliers.

smeru.or.id/en/content/eff…

Points on inequality:

- Global wealth is growing but inequality within countries are widening

- Middle class is declining & trickle down economy doesn't work

- Govt must stop austerity that hurts middle class. Instead, invest in public needs

- Save middle class = save us all