The issue of income inequality has been stealthily haunting the United States of America for quite some time already. From the late nineteen seventies up until today, income inequality is an issue that is recurring. Now if one would want to know more about the income gap in America, here are some of the facts and arguments.
Now before discussing about this issue, it is very crucial to first have a clear understanding of the income gap. Now this gap is known as the inequality of the wealth distribution among the people that are in the country. Now when one would discuss about this issue, he would be looking at how much each class would be getting.
Now one would probably be more than familiar with the saying that the rich are getting richer and the poor are getting poorer. Now this is actually happening in America right now as majority of the wealth of the country is actually being taken by the rich. The middle class will also get a share but a low one, and the poor will be left with nothing.
Of course it is also very important to know as to why this would be the case. Now in a study that was made by the Organization for Economic Cooperation and Development, they studied the wealth inequality situations of eighteen countries between the years 1975 and 2007. The country wherein the rich had the most benefits was indeed the United States.
In order to know why this is the case, one has to take a look at the active US market. Now it is common knowledge that the market of this country is a totally free market as it is a democratic country. This means that the wealth that is being generated by the people is not really monitored as the government would have little involvement with the market.
Of course one will now tend to ask himself whether this is actually a good thing or a bad thing. Now the common argument in this situation is that the powerhouses like the CEOs and the firms are actually contributing to the economy because they are wealth generators. They will be able to contribute to a better economy through exports and would also contribute to bigger taxes for the government.
Others believe this gap is very unhealthy because the more the unemployment rate would be going up, the less people with spending power. Now with the power all being squeezed at the top, these economists believe that the economy of the US will suffocate itself to death. This is simply because it will not be utilizing all of its people and therefore not be fully productive.
Now by taking a look at some of the issues that would stem out from this one issue, it can be seen how this problem would affect the country. Now there are still those who believe that being fair is good for the country. Now there is also the other side that believes that the unemployment rate will stop the economic growth in the future.
Now before discussing about this issue, it is very crucial to first have a clear understanding of the income gap. Now this gap is known as the inequality of the wealth distribution among the people that are in the country. Now when one would discuss about this issue, he would be looking at how much each class would be getting.
Now one would probably be more than familiar with the saying that the rich are getting richer and the poor are getting poorer. Now this is actually happening in America right now as majority of the wealth of the country is actually being taken by the rich. The middle class will also get a share but a low one, and the poor will be left with nothing.
Of course it is also very important to know as to why this would be the case. Now in a study that was made by the Organization for Economic Cooperation and Development, they studied the wealth inequality situations of eighteen countries between the years 1975 and 2007. The country wherein the rich had the most benefits was indeed the United States.
In order to know why this is the case, one has to take a look at the active US market. Now it is common knowledge that the market of this country is a totally free market as it is a democratic country. This means that the wealth that is being generated by the people is not really monitored as the government would have little involvement with the market.
Of course one will now tend to ask himself whether this is actually a good thing or a bad thing. Now the common argument in this situation is that the powerhouses like the CEOs and the firms are actually contributing to the economy because they are wealth generators. They will be able to contribute to a better economy through exports and would also contribute to bigger taxes for the government.
Others believe this gap is very unhealthy because the more the unemployment rate would be going up, the less people with spending power. Now with the power all being squeezed at the top, these economists believe that the economy of the US will suffocate itself to death. This is simply because it will not be utilizing all of its people and therefore not be fully productive.
Now by taking a look at some of the issues that would stem out from this one issue, it can be seen how this problem would affect the country. Now there are still those who believe that being fair is good for the country. Now there is also the other side that believes that the unemployment rate will stop the economic growth in the future.
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