Matthew Effect Highlights Growing Wealth Gap

The "Matthew effect" describes how individuals or entities that already have resources tend to acquire even more, while those with little fall further behind. Sociologist Robert K. Merton coined the term in 1968, drawing on a biblical passage that says, "to him who has, more will be given."

Economist Thomas Piketty notes that when capital yields higher returns than the overall economy, wealth concentrates among the already‑rich. A Bank for International Settlements study of Italy from 1991‑2016 found the top 10 % of earners achieved returns up to 2.75 percentage points higher than the rest, partly due to early access to digital banking—a gap that narrowed as online services spread to all households. A Harvard‑led study published in *PNAS* showed a similar bias in scientific funding, where projects led by already‑prominent researchers received more support.

These findings illustrate a systemic tendency for success to beget further success across finance, technology, and academia.