In this chapter, the connections between education policies, social inequality and marginalization are rethought. Through a criticism of the traditional class-based understanding of inequality, the concept of social inequality is linked to identities. By referring to the concept of the ‘marginal man’ (sic) proposed by Robert E. Park in the early 20th century, marginalization, in turn, is conceptualized as an identity conflict that is rooted in cultural transitions. Last, both social inequality and marginalization are examined in relation to educational policies. By focusing specifically on the situation of today’s youth, it is argued that it is crucial for the educational policies that aim to reduce inequality and marginalization to recognize the ways in which global developments are reflected in the identity formation and identity conflicts of young people.